STATEMENTS OF CONSOLIDATED INCOME (thousands of dollars except per common share data) See notes to consolidated financial statements. 43 Year ended December 31, 2004 2003 2002 Net sales........................................................................ $ 6,113,789 $ 5,407,764 $ 5,184,788  Cost of goods sold ........................................................ 3,412,378 2,952,469 2,846,201  Gross profit .................................................................. 2,701,411 2,455,295 2,338,587  Percent to net sales .................................................... 44.2% 45.4% 45.1% Selling, general and administrative expenses ................ 2,068,936 1,881,664 1,784,527  Percent to net sales .................................................... 33.8% 34.8% 34.4% Interest expense ............................................................ 39,948 38,742 40,475  Interest and net investment income .............................. (5,533) (6,668) (5,050) Other expense - net ...................................................... 17,865 18,631 21,471  Income before income taxes, minority interest and cumulative effect of change in accounting principle .. 580,195 522,926 497,164  Income taxes ................................................................ 185,662 190,868 186,463 Minority interest .......................................................... 1,279 Income before cumulative effect of change  in accounting principle .............................................. 393,254 332,058 310,701  Cumulative effect of change in accounting principle - net of income taxes of $64,476 ................................ (183,136) Net income.................................................................... $ 393,254 $ 332,058 $ 127,565  Income per common share: Basic: Before cumulative effect of change  in accounting principle ...................................... $ 2.79 $ 2.29 $ 2.07  Cumulative effect of change in accounting principle - net of income taxes .......................... (1.22) Net income ............................................................ $ 2.79 $ 2.29 $ 0.85  Diluted: Before cumulative effect of change  in accounting principle ...................................... $ 2.72 $ 2.26 $ 2.04  Cumulative effect of change in accounting principle - net of income taxes .......................... (1.20) Net income ............................................................ $ 2.72 $ 2.26 $ 0.84 