MAY-15-2006

Valspar Reports Second Quarter Earnings

The Valspar Corporation (NYSE-VAL), a leading coatings manufacturer, today reported net income for the 2nd quarter ended April 28, 2006 of $47,935,000 or $0.46 per diluted share versus net income of $39,241,000 or $0.38 per diluted share for the comparable period last year. This year's results include expenses of $0.01 per diluted share related to Valspar's manufacturing rationalization plan and $0.01 per diluted share for stock based compensation. Last year's results included $0.02 per diluted share from the favorable settlement of a lawsuit. Sales for the quarter increased 8.6% to $766,816,000, compared to $705,942,000 last year.

Net income for the first six months of fiscal 2006 was $70,476,000 or $0.69 per diluted share, compared with $50,939,000 or $0.49 per diluted share for the same period a year ago. Sales for the first half increased 10.6% to $1,396,581,000 compared to first half sales of $1,263,086,000 a year ago.

Commenting on the 2nd quarter and outlook for the year, William L. Mansfield, President and Chief Executive Officer, said, "Our improved second quarter performance was driven by continued sales strength in our Paints and Coatings segments, progress in recovering raw material cost increases and improved manufacturing efficiencies. We expect full year earnings per share in the range of $1.55 to $1.65, which is $0.10 per share higher than previous guidance. This estimate includes expensing stock based compensation and the net cost of our manufacturing rationalization plan."

For further information, contact Lori A. Walker, Vice President, Treasurer and Controller at Valspar / 612-375-7350.

Note: Valspar will host a conference call on Monday, May 15th at 10:00 AM CST. The call can be heard live over the Internet at www.valspar.com under Investors. Those unable to participate during the live broadcast can access an archive of the call on the Valspar website. A taped replay of the call can be accessed by dialing 1-800-475-6701 in the U.S. or 320-365-3844 outside the U.S. beginning at 1:30 PM, using access code 828159.

This press release contains certain "forward-looking" statements. These forward-looking statements are based on management's expectations and beliefs concerning future events. Forward-looking statements are necessarily subject to risks, uncertainties and other factors, many of which are outside the control of the Company that could cause actual results to differ materially from such statements. These uncertainties and other factors include, but are not limited to, dependence of internal earnings growth on economic conditions and growth in the domestic and international coatings industry; risks related to any future acquisitions, including risks of adverse changes in the results of acquired businesses and the assumption of unforeseen liabilities; risks of disruptions in business resulting from the integration process and higher interest costs resulting from further borrowing for any such acquisitions; our reliance on the efforts of vendors, government agencies, utilities and other third parties to achieve adequate compliance and avoid disruption of our business; risks of disruptions in business resulting from the Company's relationships with customers and suppliers; unusual weather conditions adversely affecting sales; changes in raw materials pricing and availability; delays in passing along cost increases to customers; changes in governmental regulation, including more stringent environmental, health and safety regulations; the nature, cost and outcome of pending and future litigation and other legal proceedings; the outbreak of war and other significant national and international events; and other risks and uncertainties. The foregoing list is not exhaustive, and the Company disclaims any obligation to subsequently revise any forward-looking statements to reflect events or circumstances after the date of such statements.