The Sherwin-Williams Company Internal Audit & Loss Prevention Greg Schillo -Field Audit Supervisor-Eastern Division Brad Henderson -Field Auditor-Cincinnati Zone

Company Overview In business since 1866, SW has been in operation for 138 years. Over 25,000 employees. In 2004, sales rose to over $6 billion. More than 3,000 automotive, paint stores and chemical coatings stores Worldwide.

The company is comprised of 3 Operating Groups, a Corporate Division: Company Structure The company is comprised of 3 Operating Groups, a Corporate Division: Corporate Paint Stores Group Consumer Group Consumer Diversified Brands Wood Care Global Group Automotive Division Chemical Coatings Division

Corporate Comprised of many departments that are common across all operating divisions and business units. In some instances (i.e. Fixed Assets, Accounts Payable), the systems are Corporate based; however divisions are responsible for day to day activities. Departments Include: Human Resources • Accounts Payable • Audit & LP Purchasing • Accounting • Tax Safety • Fixed Assets • Environmental Legal • Real Estate • Risk Management

Internal Audit & Loss Prevention Comprised of: Field Audit Consists of a Manager, four Field Audit Supervisors, two Senior Zone Supervisors, two Analysts, and approximately 50 Field Auditors Corporate Audit Consists of approximately 22 auditors throughout Corporate, IT, and International.

Department Structure                                                                                                                                                                                                          

Department Structure

General Responsibilities The Company maintains an Internal Audit Department means of providing all levels of management with information to better control operations. Internal auditing is an independent review and appraisal activity assigned the responsibility to audit all activities of the Company as a service to management.

Department Functions Why we audit: To ensure compliance with Company and Division policy and procedure, as well as GAAP To ensure accuracy and integrity of Company financial records, and that proper support exists To safeguard assets To act as deterrent to potential irregularities Ensure Division employees are knowledgeable Be “eyes and ears” of top management Determine variances Take an independent point of view on Company operations

Department Functions Who we audit: Company operations, not personalities/individuals Deficiencies may be the responsibility of the District Manager, Distribution Center, landlord, plant, Division office, as well as store Manager.

Department Functions When we audit: Surprise basis Stores have no chance to hide things Enables auditors to evaluate appearance from customer’s perspective Determine that operating procedures are complied with on a timely basis To act as a deterrent to potential irregularities.

Training 7 Week Training Program 2 weeks with 3 different training auditors located across the country. ½ the audit in 1st two weeks, ½ the audit in 2nd two weeks, whole audit 3rd two weeks. Very intense and in depth Evaluated at end of each session One week audit by self with no trainer.

Benefits of Field Audit Travel Relocation Self Satisfaction Knowledge of the business Positively impact business processes Part of continuous improvement Opportunities for advancement Independence Teamwork

We will be on campus for interviews: Interviewing We will be on campus for interviews: October 4, 2005

Careers Field Auditor Analyst Senior Field Auditor / Field Audit Supervisor Senior Zone Supervisor Field Audit Manager Field Auditor Corporate Auditor Field Audit Supervisor Any other Accounting / Finance positions the company has to offer.

Conclusion Questions? Comments…