GRACO INC — Director's Dealing 2008

Sep 23, 2008

SEC Form 4 — Statement of Changes in Beneficial Ownership

Issuer: GRACO INC (GGG)
CIK: 0000042888
Period of Report: 2008-09-22

Reporting Person: Ahlers David M (Vice President Human Resources)

Derivative Transactions

Date	Security	Exercise Price	Code	Shares	A/D	Expiration	Underlying	Ownership
2008-09-22	Non-Qualified Stock Option (right to buy)	$38.91	A	30000	Acquired	2018-09-22	Common Stock (30000)	Direct

Footnotes

F1: Employee stock option granted under the Amended and Restated Stock Incentive Plan (2006) in transaction exempt under Section 16b-3. The stock option becomes exercisable three (3) years after the date of grant.