Date

October 31, 2008

Eaton Delists Phoenixtec Power Company Ltd. From Taiwan Stock Exchange,

Merges Taiwanese Businesses

CLEVELAND … Diversified industrial manufacturer Eaton Corporation (NYSE:ETN) today announced that it delisted recently acquired Phoenixtec Power Company Ltd. from the Taiwan Stock Exchange and merged its two Taiwanese businesses. The combined entity under which Eaton will manufacture products in Taiwan is Eaton Phoenixtec MMPL Co., Ltd.

Through Eaton Phoenixtec MMPL Co., Ltd., Eaton will manufacture Phoenixtec’s brands including PhoenixtecTM, CentralionTM and Santak®.

Eaton acquired Phoenixtec, a manufacturer of single- and three-phase uninterruptible power supply (UPS) systems for the global marketplace, following a tender offer launched on December 21, 2007, in Taipei, Taiwan. In connection with the merger, Eaton also acquired all remaining shares of Phoenixtec common stock.

Eaton Corporation is a diversified power management company with 2007 sales of $13 billion. Eaton is a global technology leader in electrical systems for power quality, distribution and control; hydraulics components, systems and services for industrial and mobile equipment; aerospace fuel, hydraulics and pneumatic systems for commercial and military use; and truck and automotive drivetrain and powertrain systems for performance, fuel economy and safety. Eaton has 82,000 employees and sells products to customers in more than 150 countries.

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Kelly Jasko
(216) 523-5304

Vivian Xiao
(86 21) 6387 9988-634