Snap-on Chairman Details 1999 Achievements and Year 2000 Priorities; Shareholders Re-elect Directors; Snap-on Declares Quarterly Dividend

KENOSHA, Wis. - May 1, 2000 - At the Snap-on Incorporated (NYSE:SNA) annual meeting of shareholders, chairman, president and chief executive officer Robert A. Cornog, highlighted 1999 as a year of major investments and completed initiatives, outlined the company’s short-term priorities for growing the business and leveraging new technologies, and celebrated Snap-on’s 80th anniversary.

Cornog told shareholders: “Building on the achievements of 1999, we believe Snap-on is in the best position in the industry to capture future marketplace opportunities. Our dealer business remains healthy and prospects for the future are very bright. We will make use of the Internet and technology tools to enhance the dealer proposition by providing for two-way communications between Snap-on and its dealers, while providing training and other business support to strengthen their skill sets and earnings capacity. The Internet will also be used to grow other channels and strengthen customer relationships, while reaching out to new customers.”

Cornog praised employees for their efforts in implementing the Project Simplify restructuring initiative, while completing the conversion to an enterprisewide computer system. “Project Simplify is producing the desired results today and for the future. We are seeing improvements in the simplicity, speed and flexibility of our operations. Today, the computer system and our operations are functioning at the high levels expected when we began the conversion several years ago. The system provides a significant competitive advantage for Snap-on going forward.”

Looking to the future, Cornog highlighted the company’s short-term priorities, which include continued organic growth of its core businesses, continuous improvement efforts and leveraging of the Bahco acquisition. “Many opportunities exist to derive value from the Snap-on-Bahco combination,” he said.

Snap-on Incorporated shareholders re-elected four directors to the corporation’s board of directors: Bruce S. Chelberg, chairman of the board and chief executive officer of Whitman Corporation. Roxanne J. Decyk, vice president of corporate strategy of Shell International Limited. Arthur L. Kelly, managing partner of KEL Enterprises L.P. Jack D. Michaels, chairman, president and chief executive officer of HON INDUSTRIES. All will serve for terms expiring at the 2003 annual meeting.

The board of directors declared a second-quarter dividend of 23 cents per share, payable June 9, 2000, to shareholders of record May 19, 2000. Snap-on has paid consecutive quarterly cash dividends since 1939.

Snap-on Incorporated is a leading global developer, manufacturer and marketer of tool, diagnostic and equipment solutions for professional tool users. Product lines include hand and power tools, diagnostics and shop equipment, tool storage products, diagnostics software and other solutions for the transportation service, industrial and other commercial industries. Products are sold through its franchise dealer van, company direct sales and distributor channels. Founded in 1920, Snap-on is a $1.9 billion, S&P 500 company headquartered in Kenosha, Wisconsin.

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Richard Secor
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