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Eaton

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Good Morning and welcome to Eaton’s monthly Investor Information Session

For the next 20 minutes, we will provide you with an overview of Eaton’s current financial and operational position. As potential investors, you will be able to use this information to assist in your investing decisions.

Did all of you receive your 2009 Eaton Annual Report? I will have to follow up with our assistant Diane. She seems to drop the ball from time to time. Regardless, each of you will be receiving the 2010 Annual Report by the end of next week.

Let’s take a look at Eaton’s 2009 Annual Report.
The report is divided up into 3 sections. I will highlight some of them. My colleagues may refer to them in a little more detail
1. Stay Focused
a. Financial Highlights
b. Letter to Shareholders
c. 2009 Successes/current operations
2. Tread Lightly
a. All about sustainability
3. Never Stop
a. Reports on Financial Statements
b. Reports on Internal Controls
c. Notes on Consolidated Financial Statements
d. Consolidated Financial Statements
e. Management Discussion & Analysis
f. Directors and Officers
g. Shareholder Information

The Annual report is presented well, polished, and has great graphics. Even so, the question we must ask --- Is this report useful for Eaton’s potential investors.

It meets the standards of SFAC No. 1 (Statement of Financial Accounting Concepts) Speaks to the objectives of financial reporting by business enterprises as it presents the goals and purposes of accounting.
1. It defines the users of accounting information
a. Present & potential investors and creditors
b. Defines the user as the average prudent user with a reasonable understanding of economic and business situations
2. Defines the objectives of financial reporting
a. To provide information that is useful in making rational investment, credit, and similar decisions
b. To help

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