Eaton Quarterly Dividend Payable August 27, 2004

CLEVELAND--July 28, 2004--Diversified industrial manufacturer Eaton Corporation's Board of Directors today declared a regular quarterly dividend of $.27 per common share, payable on August 27, 2004 to shareholders of record on August 9, 2004. Eaton has paid dividends on common shares every year since 1923.

Eaton Corporation is a diversified industrial manufacturer with 2003 sales of $8.1 billion. Eaton is a global leader in fluid power systems and services for industrial, mobile and aircraft equipment; electrical systems and components for power quality, distribution and control; automotive engine air management systems, powertrain solutions and specialty controls for performance, fuel economy and safety; and intelligent truck drivetrain systems for safety and fuel economy. Eaton has 55,000 employees and sells products to customers in more than 100 countries. For more information, visit www.eaton.com.