GRA

[fous]

Love the chart, love the set up, love the fundamentals. Earnings released yesterday and back to being profitable for the year 05.

-price action forming a triple bottom and running on the last leg of the pattern in a solid uptrend to break the neckline resitence at 11.82 Backed by the fundamental growth im hoping it will breakout of the pattern in the near future.

So yah.... Im buying this tomorrow

-fous man

[fous]

Here is the earnings report. Its Looooooooooooooong

Grace Reports Fourth Quarter and Full Year Financial Results
Tue Jan 24, 2006 5:40 PM ET

COLUMBIA, Md.--(Business Wire)--Jan. 24, 2006--
      W. R. Grace & Co. (NYSE:GRA) today announced its
financial results for the fourth quarter and full year ended December
31, 2005. Highlights are as follows:

   --  Sales for the fourth quarter of 2005 were $636.4 million
        compared with $589.1 million in the prior year quarter, an 8%
        increase (a 9.6% increase before the effects of currency
        translation). The increase was attributable primarily to
        higher sales volume in all geographic regions, improved
        product mix and selling price increases in response to cost
        inflation. Sales increased 5.8% for the Davison Chemicals
        segment and 10.7% for the Performance Chemicals segment.

   --  Net loss in the fourth quarter of 2005 was $0.6 million, or
        $0.01 per diluted share, compared with a net loss of $487.4
        million, or $7.36 per diluted share, in the prior year
        quarter. The 2005 fourth quarter includes a pre-tax charge of
        $30.0 million ($19.5 million after tax) to adjust estimated
        costs to resolve certain noncore obligations, primarily
        environmental cleanup, and a $20.0 million pre-tax gain ($13.0
        million after tax) from a payment by an insolvent insurance
        carrier for pre-Chapter 11 asbestos-related costs. The 2004
        fourth quarter included a $476.6 million pre-tax charge
        ($309.8 million after tax) to adjust Grace's liability for
        asbestos-related litigation, net of insurance, as reflected in
        its proposed plan of reorganization, and a $94.1 million
        pre-tax charge ($61.2 million after tax) to adjust interest
        accruals on pre-petition obligations to the rates reflected in
        the plan.

   --  Pre-tax income from core operations was $46.1 million in the
        fourth quarter, 36.4% higher than the 2004 fourth quarter.
        Pre-tax operating income of the Performance Chemicals segment
        was $32.6 million, up 26.4% compared with the 2004 fourth
        quarter, attributable principally to higher sales volume and
        productivity gains. Pre-tax operating income of the Davison
        Chemicals segment was $39.5 million, up 9.4% compared with the
        fourth quarter of 2004, as strong sales of catalysts worldwide
        and the favorable effects from the prepayment of a royalty
        obligation offset the negative impact on sales and costs from
        Hurricanes Katrina and Rita and higher costs of natural gas
        and certain raw materials.

   --  Sales for the year ended December 31, 2005 were $2,569.5
        million compared with $2,259.9 million for the prior year, a
        13.7% increase (a 12.8% increase before the effects of
        currency translation). Net income for 2005 was $67.3 million,
        or $1.00 per diluted share, compared with a net loss in 2004
        of ($402.3) million, or ($6.11) per diluted share. Pre-tax
        income from core operations amounted to $201.5 million for the
        year, a 12.4% increase over 2004, primarily attributable to
        higher sales.

   "We continued to deliver solid sales growth in the fourth quarter,
capping a successful operating year for our company," said Grace's
President and Chief Executive Officer Fred Festa. "Working with our
many valued customers, we have successfully improved business
fundamentals through a combination of innovation and productivity. Our
businesses ended 2005 with nearly 14% sales growth and 12% operating
profit growth in a year where we faced considerable cost pressures and
extraordinary events."

   CORE OPERATIONS

   Davison Chemicals

   Fourth quarter sales for the Davison Chemicals segment, which
includes silica- and alumina-based catalysts and materials used in a
wide range of industrial applications, were $338.3 million, up 5.8%
from the prior year quarter (a 7.9% increase before the effects of
currency translation). Key factors contributing to the sales increase
were: (1) increased demand for fluid cracking catalysts, particularly
those used to help produce clean fuels, and continued strong demand
for hydroprocessing catalysts that upgrade heavy crude oil, (2)
selling price increases, including the pass-through of higher costs
for commodity metals, and surcharges to partially offset natural gas
inflation, and (3) continued growth in specialty catalysts used in the
manufacture of polyethylene and polypropylene. Sales increases were
partially offset by reduced demand for silica-based products used in
industrial applications, especially in Europe, and lost volume due to
the impact of Hurricanes Rita and Katrina on customers. Sales were up
in all regions with a strong increase in fluid cracking catalysts
sales in Europe.
   Operating income of the Davison Chemicals segment for the fourth
quarter of 2005 was $39.5 million compared with $36.1 million in the
2004 fourth quarter, a 9.4% increase. Operating margin was 11.7%,
about 0.4 percentage points higher than the prior year quarter. The
increase in operating income was primarily attributable to higher
sales of catalysts, productivity gains, and the favorable impact from
prepayment of a royalty obligation.
   Sales of the Davison Chemicals segment for the year ended December
31, 2005 were $1,370.2 million, up 14.9% from 2004 (up 14.2% excluding
the effects of currency translation). Full year operating income was
$157.1 million, compared with $148.2 million for the prior year, a
6.0% increase, with operating margins at 11.5% compared with 12.4% in
2004. Full year operating results reflect higher sales in all regions
and major product lines and from acquisitions; offset by the negative
effects of the hurricanes in the Gulf of Mexico, higher raw material
and energy costs and incremental costs associated with integrating
business functions and processes.

   Performance Chemicals

   Fourth quarter sales for the Performance Chemicals segment, which
includes specialty chemicals and materials used in commercial and
residential construction and in rigid food and beverage packaging,
were $298.1 million, up 10.7% from the prior year quarter (up 11.8%
before the effects of currency translation). Key factors contributing
to the sales increase were: (1) volume growth in products directed at
high-growth industry, geographic and customer segments; (2) continued
steady construction activity in the United States; and (3) higher
selling prices in response to increases in raw material costs. Sales
were up in all regions, reflecting geographic expansion, recent
acquisitions and other growth initiatives.
   Operating income for the Performance Chemicals segment was $32.6
million in the fourth quarter of 2005 compared with $25.8 million for
the fourth quarter of 2004, a 26.4% increase. Operating margin of
10.9% was 1.3 percentage points higher than the fourth quarter of
2004. Higher operating income and margins were primarily a result of
sales volume growth, partially offset by raw material inflation.
   Sales of the Performance Chemicals segment for the year ended
December 2005 were $1,199.3 million, up 12.3% from 2004 (up 11.1%
excluding the effects of currency translation). Full year operating
income was $151.1 million compared with $131.8 million for the prior
year, a 14.6% increase, reflecting higher sales volume, and positive
results from productivity and cost containment initiatives, partially
offset by raw material cost inflation. Operating margin of 12.6% was
slightly higher than the prior year.

   Corporate Costs

   Corporate costs related to core operations were $26.0 million in
the fourth quarter of 2005 compared with $28.1 million in the prior
year quarter, and $106.7 million for the full year 2005 compared with
$100.7 million for 2004. The full year increase was attributable
primarily to higher pension expense and costs to support global supply
chain initiatives.

   OTHER MATTERS

   In the fourth quarter of 2005, Grace increased its estimate for
the cost of resolving non-core liabilities by $30.0 million, primarily
environmental clean-up costs, to account for more current and
comprehensive estimates of future spending. Also in the fourth
quarter, Grace received a $20.0 million payment from a group of
insolvent insurance companies for coverage of asbestos-related costs
incurred prior to Grace's Chapter 11 filing.
   As previously disclosed, Grace and current and former employees
are defendants in a criminal proceeding related to former vermiculite
mining operations in Montana, and Grace and two employees are
defendants in a civil lawsuit related to the clean-up of a former
vermiculite processing site in New Jersey. Grace's fourth quarter and
full year financial statements include $7.5 million and $22.0 million,
respectively, of legal costs (included as part of "Selling, general
and administrative expenses" in the Consolidated Statement of
Operations, and "Pre-tax income (loss) from noncore activities" in the
Segment Basis Analysis) for the defense of Grace and the named
individuals with respect to these lawsuits. At this time, Grace cannot
predict the outcome of these lawsuits nor the extent of any financial
impact. Defense costs are being expensed as incurred.

   CASH FLOW AND LIQUIDITY

   Grace's net cash flow from operating activities for 2005 was $54.4
million, compared with $313.0 million for 2004. The 2005 cash flow
includes an increase in working capital in response to higher sales
and bankruptcy court-approved payments aggregating $119.7 million to
resolve U.S. federal tax return audits and an environmental
contingency at a formerly owned site. For 2005 pre-tax income from
core operations before depreciation and amortization was $315.5
million, 9.5% higher than in 2004, a result of the higher income from
core operations described above. Cash used for investing activities in
2005 was $65.0 million, primarily reflecting capital replacements,
partially offset by proceeds from the termination of life insurance
policies.
   At December 31, 2005, Grace had available liquidity in the form of
cash ($474.7 million), net cash value of life insurance ($84.8
million) and available credit under its debtor-in-possession facility
($211.3 million). Grace believes that these sources and amounts of
liquidity are sufficient to support its business operations, strategic
initiatives and Chapter 11 proceedings for the foreseeable future.
Grace's debtor-in-possession credit facility expires on March 31, 2006
and is expected to be renewed at the current level of $250 million.

   CHAPTER 11 PROCEEDINGS

   On April 2, 2001, Grace and 61 of its United States subsidiaries
and affiliates, including its primary U.S. operating subsidiary W. R.
Grace & Co.-Conn., filed voluntary petitions for reorganization under
Chapter 11 of the United States Bankruptcy Code in the United States
Bankruptcy Court for the District of Delaware (the "Filing"). Grace's
non-U.S. subsidiaries and certain of its U.S. subsidiaries were not
part of the Filing. Since the Filing, all motions necessary to conduct
normal business activities have been approved by the Bankruptcy Court.
   On November 13, 2004, Grace filed a plan of reorganization, as
well as several associated documents, including a disclosure
statement, with the Bankruptcy Court. On January 13, 2005, Grace filed
an amended plan of reorganization (the "Plan") and related documents
to address certain objections of creditors and other interested
parties. The amended Plan is supported by committees representing
general unsecured creditors and equity holders, but is not supported
by committees representing asbestos personal injury claimants and
asbestos property damage claimants. The Bankruptcy Court proceedings
are currently focused on the estimation of Grace's asbestos-related
liabilities. The Bankruptcy Court has approved a process and timeline
for the estimation of asbestos-related property damage and personal
injury claims, with estimation hearings targeted for the fall of 2006.
   Most of Grace's noncore liabilities and contingencies (including
asbestos-related litigation, environmental claims, tax matters and
other obligations) are subject to compromise under the Chapter 11
process. The Chapter 11 proceedings, including related litigation and
the claims valuation process, could result in allowable claims that
differ materially from recorded amounts. Grace will adjust its
estimates of allowable claims as facts come to light during the
Chapter 11 process that justify a change, and as Chapter 11
proceedings establish court-accepted measures of Grace's noncore
liabilities. See Grace's recent Securities and Exchange Commission
filings for discussion of noncore liabilities and contingencies.

   Grace is a leading global supplier of catalysts and other products
to petroleum refiners; catalysts for the manufacture of plastics;
silica-based engineered and specialty materials for a wide-range of
industrial applications; specialty chemicals, additives and materials
for commercial and residential construction; and sealants and coatings
for food packaging. With annual sales of more than $2.5 billion, Grace
has about 6,500 employees and operations in nearly 40 countries. For
more information, visit Grace's web site at www.grace.com.

   This announcement contains forward-looking statements that involve
risks and uncertainties, as well as statements that are preceded by,
followed by or include the words "believes," "plans," "intends,"
"targets," "will," "expects," "anticipates," or similar expressions.
For such statements, Grace claims the protection of the safe harbor
for forward-looking statements contained in the Private Securities
Litigation Reform Act of 1995. Actual results might differ materially
from those projected in the forward-looking statements. Factors that
could cause actual results to materially differ from those contained
in the forward-looking statements include: Grace's bankruptcy and
proposed plan of reorganization, Grace's legal proceedings, the cost
and availability of raw materials, especially natural gas and
petroleum-based raw materials, risks related to foreign operations,
especially, security, regulation and currency risks and those factors
set forth in Grace's most recent Annual Report on Form 10-K, quarterly
report on Form 10-Q and current reports on Form 8-K, which have been
filed with the Securities and Exchange Commission and are readily
available on the Internet at www.sec.gov. Reported results should not
be considered as an indication of future performance. Readers are
cautioned not to place undue reliance on forward-looking statements,
which speak only as of the date thereof. Grace undertakes no
obligation to publicly release any revisions to the forward-looking
statements contained in this announcement, or to update them to
reflect events or circumstances occurring after the date of this
announcement.
-0-
*T

W. R. Grace & Co. and Subsidiaries
Consolidated Statement of Operations

                                Three Months Ended     Year Ended
(Unaudited)                        December 31,       December 31,
======================================================================
Amounts in millions, except per
share amounts                    2005     2004      2005      2004
----------------------------------------------------------------------

Net sales                        $636.4   $589.1  $2,569.5  $2,259.9
                                --------------------------------------
Cost of goods sold, exclusive
of depreciation and
amortization shown
separately below                  431.4    381.8   1,689.8   1,431.5
Selling, general and
administrative expenses,
exclusive of net pension
expense and depreciation shown
separately below                  131.1    125.2     481.1     442.8
Depreciation and amortization       27.9     28.4     114.0     108.8
Research and development
expenses                           14.1     12.3      59.2      51.1
Net pension expense                 17.5     16.0      71.9      61.9
Interest expense and related
financing costs                    14.0     98.8      55.3     111.1
Other (income) expense             (33.0)   (19.3)    (67.4)    (68.4)
Provision for asbestos-related
litigation, net of insurance          -    476.6         -     476.6
Provision for environmental
remediation                        25.0      1.6      25.0      21.6
                                --------------------------------------
                                   628.0  1,121.4   2,428.9   2,637.0
                                --------------------------------------
Income (loss) before Chapter 11
expenses, income taxes and
minority interest                   8.4   (532.3)    140.6    (377.1)
Chapter 11 expenses, net           (11.0)    (6.2)    (30.9)    (18.0)
Benefit from (provision for)
income taxes                        4.7     53.4     (21.3)      1.5
Minority interest in
consolidated entities              (2.7)    (2.3)    (21.1)     (8.7)
                                --------------------------------------
     Net income (loss)             $(0.6) $(487.4)    $67.3   $(402.3)
======================================================================
Basic earnings (loss) per
common share                     $(0.01)  $(7.36)    $1.01   $ (6.11)
Average number of basic shares      66.9     66.2      66.8      65.8

Diluted earnings (loss) per
common share                     $(0.01)  $(7.36)    $1.00    $(6.11)
Average number of diluted
shares                             66.9     66.2      67.3      65.8
======================================================================

Note: The amounts in these financial statements are unaudited and are
subject to change prior to the filing of Grace's Annual Report on
Form 10-K. Any changes will be reflected in the Form 10-K and
promptly disclosed publicly, if material.



W. R. Grace & Co. and Subsidiaries
Segment Basis Analysis                       Three Months Ended
(Unaudited)                                     December 31,
======================================================================
Amounts in millions                      2005       2004     % Change
----------------------------------------------------------------------
Net Sales:
  Davison Chemicals                       338.3      319.7        5.8%
  Performance Chemicals                   298.1      269.4       10.7%
----------------------------------------------------------------------
Total Grace sales                        $636.4     $589.1        8.0%
======================================================================

Pre-tax operating income:
  Davison Chemicals                       $39.5      $36.1        9.4%
  Performance Chemicals                    32.6       25.8       26.4%
  Corporate costs                         (26.0)     (28.1)       7.5%
----------------------------------------------------------------------
Pre-tax income from core
operations(a)                             46.1       33.8       36.4%
----------------------------------------------------------------------

Pre-tax income (loss) from noncore
activities(a)                            (27.6)    (469.7)      94.1%
----------------------------------------------------------------------
Interest expense                          (14.0)     (98.      85.8%
Interest income                             1.2        0.1         NM
----------------------------------------------------------------------
Income (loss) before Chapter 11
expenses and income taxes                  5.7     (534.6)     101.1%
Chapter 11 expenses, net                  (11.0)      (6.2)    (77.4%)
Benefit from (provision for) income
taxes                                      4.7       53.4     (91.2%)
----------------------------------------------------------------------
    Net income (loss)                     $(0.6)   $(487.4)      99.9%
======================================================================

======================================================================
Key Financial Measures:
  Pre-tax income from core operations
   as a percentage of sales:
    Davison Chemicals                      11.7%      11.3%   0.4 pts.
    Performance Chemicals                  10.9%       9.6%   1.3 pts.
    Total core operations                   7.2%       5.7%   1.5 pts.
    Total core operations adjusted
     for profit sharing of joint                             
     ventures(b)                            7.7%       6.1%   1.6 pts.

  Pre-tax income from core operations
   before depreciation and
   amortization(a)                        $74.0      $62.2       19.0%
    As a percentage of sales               11.6%      10.6%   1.0 pts.

  Gross profit percentage (sales less
   cost of goods sold as a percent of
   sales) (c)                              29.1%      31.7% (2.6) pts.
======================================================================
Net Sales by Region:
  North America                          $261.0     $250.2        4.3%
  Europe                                  237.7      209.5       13.5%
  Asia Pacific                             98.6       97.4        1.2%
  Latin America                            39.1       32.0       22.2%
----------------------------------------------------------------------
Total                                    $636.4     $589.1        8.0%
======================================================================


W. R. Grace & Co. and Subsidiaries
Segment Basis Analysis                           Year Ended
(Unaudited)                                     December 31,
======================================================================
Amounts in millions                      2005       2004     % Change
----------------------------------------------------------------------
Net Sales:
  Davison Chemicals                     1,370.2    1,192.2       14.9%
  Performance Chemicals                 1,199.3    1,067.7       12.3%
----------------------------------------------------------------------
Total Grace sales                      $2,569.5   $2,259.9       13.7%
======================================================================

Pre-tax operating income:
  Davison Chemicals                      $157.1     $148.2        6.0%
  Performance Chemicals                   151.1      131.8       14.6%
  Corporate costs                        (106.7)    (100.7)     (6.0%)
----------------------------------------------------------------------
Pre-tax income from core
operations(a)                            201.5      179.3       12.4%
----------------------------------------------------------------------

Pre-tax income (loss) from noncore
activities(a)                            (30.3)    (457.1)      93.4%
----------------------------------------------------------------------
Interest expense                          (55.3)    (111.1)      50.2%
Interest income                             3.6        3.1       16.1%
----------------------------------------------------------------------
Income (loss) before Chapter 11
expenses and income taxes                119.5     (385.     131.0%
Chapter 11 expenses, net                  (30.9)     (18.0)    (71.7%)
Benefit from (provision for) income
taxes                                    (21.3)       1.5         NM
----------------------------------------------------------------------
    Net income (loss)                     $67.3    $(402.3)     116.7%
======================================================================

======================================================================
Key Financial Measures:
  Pre-tax income from core operations
   as a percentage of sales:
    Davison Chemicals                      11.5%      12.4% (0.9) pts.
    Performance Chemicals                  12.6%      12.3%   0.3 pts.
    Total core operations                   7.8%       7.9% (0.1) pts.
    Total core operations adjusted
     for profit sharing of joint
     ventures(b)                            8.7%       8.3%   0.4 pts.

  Pre-tax income from core operations
   before depreciation and
   amortization(a)                       $315.5     $288.1        9.5%
    As a percentage of sales               12.3%      12.7% (0.4) pts.

  Gross profit percentage (sales less
   cost of goods sold as a percent of
   sales) (c)                              31.0%      33.0% (2.0) pts.
======================================================================
Net Sales by Region:
  North America                        $1,087.1     $979.0       11.0%
  Europe                                  936.1      815.7       14.8%
  Asia Pacific                            403.2      349.2       15.5%
  Latin America                           143.1      116.0       23.4%
----------------------------------------------------------------------
Total                                  $2,569.5   $2,259.9       13.7%
======================================================================

Note (a): The above chart, as well as the financial discussion in
other parts of this earnings release, divides Grace's financial
results between "core operations" and "non-core activities". Core
operations comprise the financial results of Davison Chemicals,
Performance Chemicals and the cost of corporate activities that
directly or indirectly support business operations. In contrast,
non-core activities comprise all other events and transactions not
directly related to the generation of operating revenue or the support
of core operations and generally relate to Grace's former operations
and products. Grace uses pre-tax income from core operations as a
factor in determining certain incentive compensation and as a key
factor in its management's decision-making process. Neither pre-tax
income from core operations nor pre-tax income from core operations
before depreciation and amortization purport to represent income or
cash flow as defined under generally accepted accounting principles,
and should not be considered an alternative to such measures as an
indicator of Grace's performance. These measures are provided to
distinguish operating results of Grace's current business base from
results and related assets and liabilities of past businesses,
discontinued products, and corporate legacies including the effect of
Grace's Chapter 11 proceedings.

Note (b): Reflects the add-back of minority interests in consolidated
subsidiaries.

Note (c): Includes depreciation and amortization related to
manufacturing of products.

NM - Not Meaningful



W. R. Grace & Co. and Subsidiaries                      Year Ended
Consolidated Statement of Cash Flows (Unaudited)        December 31,
======================================================================
Amounts in millions                                    2005     2004
                                                    --------- --------

OPERATING ACTIVITIES
Income (loss) before Chapter 11 expenses, income
taxes and minority interest                         $ 140.6  $(377.1)
Reconciliation to net cash provided by (used for)
operating activities:
   Depreciation and amortization                       114.0    108.8
   Interest accrued on pre-petition liabilities
    subject to compromise                               50.6    106.4
   Net (gain) loss on sales of investments and
    disposals of assets                                  0.7      0.8
   Net pension expense                                  71.9     61.9
   Payments to fund pension plans                      (47.7)   (33.3)
   Net gain from litigation settlement                    --    (51.2)
   Cash received from litigation settlement               --     62.5
   Provision for environmental remediation              25.0     21.6
   Provision for asbestos-related litigation, net of
    insurance                                             --    476.6
   Loss on sale of business                              1.1       --
   Provision for uncollectible receivables               2.6      1.9
   Income from life insurance policies, net             (3.5)    (3.0)
   Payments under postretirement benefit programs      (11.9)   (12.5)
   Expenditures for environmental remediation           (6.7)    (9.0)
   Expenditures for retained obligations of
    discontinued operations                             (1.0)    (1.
   Changes in assets and liabilities, excluding
    effect of businesses acquired/divested and
    foreign currency translation:
       Working capital items                           (46.3)   (15.
       Other accruals and non-cash items               (45.3)    27.4
                                                    --------- --------
   Net cash provided by (used for) operating
    activities before income taxes and Chapter 11
    expenses                                           244.1    364.2
Cash paid to settle noncore contingencies             (119.7)      --
Chapter 11 expenses paid                               (24.3)   (13.5)
Income taxes paid, net of refunds                      (45.7)   (37.7)
                                                    --------- --------
   Net cash provided by (used for) operating
    activities                                          54.4    313.0
                                                    --------- --------

INVESTING ACTIVITIES
Capital expenditures for property and equipment        (81.1)   (62.9)
Businesses acquired, net of cash acquired               (5.5)   (66.3)
Proceeds from termination of life insurance policies    14.8       --
Net investment in life insurance policies               (1.7)   (14.0)
Proceeds from life insurance policies                    2.2     15.8
Proceeds from sales of investments and disposals of
assets                                                  1.8      1.8
Proceeds from sale of business                           4.5       --
                                                    --------- --------
   Net cash provided by (used for) investing
    activities                                         (65.0)  (125.6)
                                                    --------- --------

FINANCING ACTIVITIES
Net payments of loans secured by cash value of life
insurance policies                                     (0.6)    (4.0)
Net (repayments) borrowings under credit
arrangements                                          (10.4)     1.2
Fees under debtor-in-possession credit facility         (2.2)    (2.1)
Proceeds from exercise of stock options                  3.1      4.2
                                                    --------- --------
   Net cash provided by (used for) financing
    activities                                         (10.1)    (0.7)
                                                    --------- --------
Effect of currency exchange rate changes on cash and
cash equivalents                                      (15.0)    14.5
                                                    --------- --------
   Increase (decrease) in cash and cash equivalents    (35.7)   201.2
Cash and cash equivalents, beginning of period         510.4    309.2
                                                    --------- --------
Cash and cash equivalents, end of period             $ 474.7  $ 510.4
                                                    ========= ========



W. R. Grace & Co. and Subsidiaries           December 31, December 31,
Consolidated Balance Sheet (Unaudited)           2005         2004
======================================================================
Amounts in millions

ASSETS
Current Assets
Cash and cash equivalents                    $     474.7  $     510.4
Trade accounts receivable, net                     401.7        390.9
Inventories                                        278.3        248.3
Deferred income taxes                               27.3         16.3
Other current assets                                71.6         62.6
                                             -------------------------
   Total Current Assets                          1,253.6      1,228.5

Properties and equipment, net                      589.7        645.3
Goodwill                                           103.9        111.7
Cash value of life insurance policies, net
of policy loans                                    84.8         96.0
Deferred income taxes                              704.1        667.4
Asbestos-related insurance expected to be
realized after one year                           500.0        500.0
Other assets                                       281.3        290.0
                                             -------------------------
   Total Assets                              $   3,517.4  $   3,538.9
                                             =========================

LIABILITIES AND SHAREHOLDERS' EQUITY
(DEFICIT)
Liabilities Not Subject to Compromise
Current Liabilities
Debt payable within one year                 $       2.3  $      12.4
Accounts payable                                   166.8        146.0
Income taxes payable                                10.1          7.7
Other current liabilities                          197.9        206.1
                                             -------------------------
   Total Current Liabilities                       377.1        372.2

Debt payable after one year                          0.4          1.1
Deferred income taxes                               54.3         64.1
Minority interest in consolidated affiliates        36.4         15.4
Unfunded defined benefit pension liability         447.9        424.9
Other liabilities                                   41.8         75.3
                                             -------------------------
   Total Liabilities Not Subject to
    Compromise                                     957.9        953.0

Liabilities Subject to Compromise
Pre-petition debt plus accrued interest            684.7        645.8
Accounts payable                                    31.5         31.3
Income tax contingencies                           134.5        210.4
Asbestos-related liability                       1,700.0      1,700.0
Environmental remediation                          342.0        345.0
Post-retirement benefits                           187.7        196.3
Other liabilities and accrued interest              74.7         78.9
                                             -------------------------
   Total Liabilities Subject to Compromise       3,155.1      3,207.7
                                             -------------------------
   Total Liabilities                             4,113.0      4,160.7
                                             -------------------------

Shareholders' Equity (Deficit)
Common stock                                         0.8          0.8
Paid-in capital                                    423.4        426.5
Accumulated deficit                               (505.9)      (573.2)
Treasury stock, at cost                           (119.7)      (125.9)
Accumulated other comprehensive loss              (394.2)      (350.0)
                                             -------------------------
   Total Shareholders' Equity (Deficit)           (595.6)      (621.
                                             -------------------------
   Total Liabilities and Shareholders'
    Equity (Deficit)                         $   3,517.4  $   3,538.9

[fous]

No complaints over here. In this morning at 10.80.

-fous

[fous]

expansion in the middle east.. News from Jan 10th:

Grace Expands Presence in Middle East
Tue Jan 10, 2006 8:00 AM ET

COLUMBIA, Md.--(Business Wire)--Jan. 10, 2006--
      W. R. Grace & Co. (NYSE:GRA) is expanding its reach in
the Middle East through Advanced Refining Technologies, a joint
venture of Chevron Products Company, a division of Chevron USA, and
Davison Chemicals, a business unit of Grace.
   ART has entered into an agreement with the Kuwait Catalyst Company
(KCC) pursuant to which KCC will manufacture residuum hydroprocessing
catalysts for ART. KCC serves the petroleum refining industry in the
Arabian Gulf region. Residuum hydroprocessing catalysts help refiners
produce environmentally friendly, cleaner-burning transportation fuels
by removing sulfur and other contaminants from petroleum. The
agreement also includes an alliance with Japan Energy Corporation
(JE), a supplier of fuel and gas, that enables KCC to have access to
research and development and technical support for both JE's and ART's
catalyst technology.
   In a separate development, Maurice A. Ghattas, vice president of
Grace Middle East, will oversee Grace operations in the region
effective January 1, 2006. The region's dominance in the oil industry
and growth in commercial and residential construction are spurring
Grace's plans to explore strategic business opportunities. Mr. Ghattas
will be responsible for expanding existing markets, leveraging new
opportunities, establishing relationships with local business leaders
and supporting global sourcing efforts in the region. Mr. Ghattas
joined Grace in 2004 as vice president of global supply chain and has
been instrumental in Grace's productivity gains. He will be based in
Dubai, United Arab Emirates.
   "Strengthening our presence in the Middle East puts us in a better
position to serve our customers, develop products that meet their
needs and help them grow their own businesses. The Middle East offers
significant opportunities for our refining technologies, sealants and
coatings, and construction and building materials businesses," Fred
Festa, president and CEO of Grace, said.
   More than 27 million tones of petrochemicals and commodity
chemicals are exported from the region each year, according to the
Gulf Cooperation Council. Investment in the region is growing 10%-15%
each year.

   Grace is a leading global supplier of catalysts and other products
and services to petroleum refiners; catalysts for the manufacture of
plastics; silica-based engineered and specialty materials for a
wide-range of industrial applications; specialty chemicals, additives
and materials for commercial and residential construction; and
sealants and coatings for food packaging. With annual sales of more
than $2.3 billion, Grace has over 6,500 employees and operations in
nearly 40 countries. For more information, visit Grace's web site at
www.grace.com.

[fous]

The chart remains bullish. And i like it!

-fous man

[ScottishTrader]

Nice pick Fous 

Was keeping my eye on it today, but got caught up in SUF. But this one looks good so I may see if I can get some - but also have an eye on FNSR.  What to do when you don't have enough trading slots to trade em all?

Keep up the picks man! 

[fous]

Pull back on friday down 5% or so. I plan on holding as long as it closes above the ascending trendline which is trailed closely by the 20 EMA.

-fous

[fous]

News of GRA's affiliate pushes prices higher to breakout of of the triple bottom resistence neckline. Currently up 1.04/9.28% for the day.

Instantis Sales More Than Double in 2005

January 31, 2006 06:00:47 (ET)

SANTA CLARA, Calif., Jan 31, 2006 /PRNewswire via COMTEX/ -- By establishing itself in 2005 as the pre-emptive choice for Enterprise Performance Improvement software solutions for initiatives like Six Sigma, New Product Development, IT, M&A and others, Instantis today announced that 2005 sales bookings were 240% of 2004, continuing the stellar growth of the prior year. Instantis won 19 deals in 2005 and EnterpriseTrack now has a larger installed base of customers than any other competitive product. This remarkable growth is a validation of the continuing expansion of performance improvement initiatives like Six Sigma across the market and the importance of developing solutions that can effectively align these initiatives to meet strategic objectives and manage and execute the entire initiative end-to-end.

Selected New Instantis EnterpriseTrack Customers for 2005 Include 
    -- Intrawest (NYSE: IDR; with over 24,000 employees and $1.5 billion in 
       annual revenues) is a world leader in destination resorts and adventure 
       travel. The company has interests in 10 mountain resorts in North 
       America's most popular mountain destinations. 
    -- MDS (NYSE: MDZ; TSX: MDS with over 8,800 employees and $1.7 billion in 
       annual revenue) Operating in 27 countries to provide a diverse range of 
       products and services to increase speed, precision and productivity in 
       the drug development and disease diagnosis processes. 
    -- Verizon (NYSE: VZ; with over 200,000 employees and $71 billion in 
       annual revenues) One of the world's leading providers of communications 
       services. Verizon has a global work force operating within four 
       business units -- Domestic Telecom; Verizon Wireless; Information 
       Services; and International. 
    -- WR Grace (NYSE: GRA; with over 6,500 employees and $2.5 billion in 
       annual sales) is a leading global supplier of catalysts and to 
       petroleum refiners and the manufacture of plastics; specialty materials 
       for industrial applications for commercial and residential 
       construction; and sealants and coatings for food packaging. 

"2005 was another breakout year for Instantis. We released three new product versions and won 19 new customers -- all grown organically and all deployed on a single software platform. This establishes EnterpriseTrack as the clear market leader," said Prasad Raje, CEO of Instantis. "Our customers have provided a tremendous endorsement of the strength of our team and products, but more importantly, it has been a valuable opportunity to leverage daily feedback and hands-on insights from the world's best companies into our new releases."

"In 2005, the development and deployment of advanced project portfolio solutions targeted for Six Sigma and other performance improvement initiatives continues to shift from internal IT efforts to established solutions vendors with commercial software now the norm," said Dan Miklovic, managing vice president at Gartner. "In 2006 the demand for improvement in process management, process compliance and process reporting are driving widespread need and the opportunity for effective process improvement solutions."

[fous]

Trend still remains bullish. Todays candle is a shooting star wich is a sign of a top reversal but i think this will generally remain bullish though may have a short term pull back.  I don't plan on selling any time soon unless there is an unexpected technical breakdown.

-fous

[fous]

Mondays gonna be shaky Sounds like the sentiment towards the bill passing is negative though, im hoping it dont. I'll be watching closely on monday.

Sponsors say it`s last chance for US asbestos bill

February 02, 2006 13:56:13 (ET)

By Susan Cornwell

WASHINGTON, Feb 2 (Reuters) - Co-sponsors of a controversial U.S. Senate bill to create a $140 billion asbestos injury fund warned on Thursday it was the last chance for such a measure to pass Congress in the foreseeable future.

But Pennsylvania Republican Sen. Arlen Specter and Vermont Democratic Sen. Patrick Leahy made no predictions about whether their proposal could overcome expected procedural hurdles when it is brought up for debate in the Senate on Monday.

"If this bill goes down, I think there is not going to be another bill," Specter told a news conference with Leahy. "We are really facing the option now of getting the best bill we can, or just not having a bill."

Leahy expressed similar sentiments, saying the proposal "may very well be our last chance for legislation".

Asbestos fibers are linked to cancer and other lung-scarring diseases, and hundreds of thousands of injury claims have clogged courtroom dockets and helped push into bankruptcy proceedings more than 70 U.S. companies, including W.R. Grace & Co. (GRA,Trade) and USG Corp. (USG,Trade)

Specter and Leahy's bill would take asbestos suits out of court and pay victims' claims from a fund financed by asbestos defendant companies and insurers.

It passed the Senate Judiciary Committee in May but it has divided lawmakers from both parties, split industry groups and struggled to gain momentum. Asbestos victims' groups, who say they prefer to keep the right to sue in court, traveled to Capitol Hill on Thursday to urge senators to oppose it.

Reid says he will object to beginning the debate. This would pose a procedural hurdle to the bill; sponsors would need 60 votes to overcome it.

The measure could face an immediate challenge on the Senate floor from Minority Leader Harry Reid, a Nevada Democrat who questions whether it provides enough money for victims.

The chairman of the Budget Committee, Sen. Judd Gregg of New Hampshire, has also said he may raise a budget point of order, another 60-vote hurdle, because of concerns about the legislation's impact on taxpayers.

Asked whether he thought the legislation could muster 60 votes, Specter did not answer directly, but said he and Leahy were getting a "pretty good response" as they courted support.

The White House meanwhile said that asbestos reform was a high priority for President Bush -- something some analysts had begun to doubt after Bush failed to mention it in his State of the Union speech to Congress on Tuesday.

Bush brought up the subject during a trip to Minnesota. "It's time to send a clear message to investors and markets and employees that we've got to have a legal system in regards to asbestos that's fair to people who have actually been harmed and reasonable for those who need to pay," he said.

Stocks of companies with asbestos liabilities were mostly lower in afternoon trading. W.R. Grace shares were off 1.6 percent to $12.50 each. USG was down 2.28 percent to $95.67.

[fous]

nice breakout today.

[fous]

nice strong finish jumping another .40 towards the close.

-fous

[fous]

well im happy............................ pre market up 2.45/18% 

-i'll likley be taking some profits today as my general price target was around 15$

-fous

[fous]

well im happy............................ pre market up 2.45/18%

-i'll likley be taking some profits today as my general price target was around 15$

-fous

False alarm.................he he he, must have been an error on my platform, way to get me excited and then shoot me down...............................

Opened at 13.76

[fous]

doh! set a trailing stop after i saw the fake premarket action........................ out at 13.68............... asbestos bill be debated today, may regret getting out, may not

-fousc