STATEMENTS OF CONSOLIDATED SHAREHOLDERS’ EQUITY AND COMPREHENSIVE INCOME (thousands of dollars except per common share data) See notes to consolidated financial statements. Common Stock Preferred Stock Unearned ESOP Compen- sation Other Capital Retained Earnings Cumulative  Other  Comprehensive  Treasury Stock Income (Loss) Total Balance at January 1, 2002 .................... $208,031 $ 168,305 $(168,305) $ 200,643 $2,120,927 $ (837,284) $ (204,553) $1,487,764  Comprehensive income: Net income .......................................... 127,565 127,565  Foreign currency translation ................ (48,285) (48,285) Minimum pension liability,  net of taxes of $3,572 ...................... (8,334) (8,334) Comprehensive income .................... 70,946  Treasury stock purchased ........................ (3,040) (187,280) (190,320) Redemption of preferred stock ................ (126,499) 126,499 Income tax effect of ESOP ...................... 22,380  22,380  Stock issued (tendered) for  exercise of options................................ 1,792 41,498 (4,562) 38,728  Stock tendered in connection  with restricted stock grants .................. (768) (768) Restricted stock grants (net activity) ........ 13 3,082  3,095  Stock acquired for trust............................ (76) (76) Revocable trust stock sold -  including realized gain.......................... 1,148 1,148 Cash dividends --$.60 per common share.. (91,007) (91,007) Balance at December 31, 2002 ................ 209,836 41,806 (41,806) 265,635 2,157,485 (1,029,894) (261,172) 1,341,890  Comprehensive income: Net income .......................................... 332,058  332,058  Foreign currency translation ................ 31,822 31,822 Minimum pension liability,  net of taxes of ($35) ........................ 82  82  Comprehensive income .................... 363,962  Treasury stock purchased ........................ (238,148) (238,148) Issuance of preferred stock  to pre-fund ESOP ................................ 350,000 (350,000) Redemption of preferred stock ................ (107,149) 107,149 Income tax effect of ESOP ...................... 24,665  24,665  Stock issued (tendered) for  exercise of options .............................. 2,172 52,239 (743) 53,668  Stock tendered in connection  with restricted stock grants.................. (2,132) (2,132) Restricted stock grants (net activity)........ 401 5,240 5,641  Cash dividends --$.62 per common share.. (90,689) (90,689) Balance at December 31, 2003 ................ 212,409 284,657 (284,657) 347,779 2,398,854 (1,270,917) (229,268) 1,458,857  Comprehensive income: Net income .......................................... 393,254  393,254  Foreign currency translation ................ 17,782  17,782  Minimum pension liability,  net of taxes of ($597) ...................... 1,394 1,394 Unrealized gain on marketable equity securities, net of taxes of ($328)...... 510  510  Comprehensive income .................... 412,940  Treasury stock purchased ........................ (9,565) (257,793) (267,358) Redemption of preferred stock ................ (112,838) 112,838 Income tax effect of ESOP ...................... 19,304  19,304  Stock issued (tendered) for exercise of options .............................. 3,702 105,719 (645) 108,776  Restricted stock grants (net activity)........ 285 11,357 11,642  Cash dividends --$.68 per common share.. (96,915) (96,915) Balance at December 31, 2004 ................ $ 216,396 $ 171,819 $(171,819) $ 474,594 $2,695,193 $(1,529,355) $ (209,582) $ 1,647,246 45