W.W. GRAINGER, INC. — Director's Dealing 2004

Jan 2, 2004

SEC Form 3 — Initial Statement of Beneficial Ownership

Issuer: GRAINGER W W INC (GWW)
CIK: 0000277135
Period of Report: 2004-01-01

Reporting Person: CHEN YC (Sr. Vice Pres., Supply Chain)

Holdings (Non-Derivative)

Security	Shares	Ownership
Common Stock	28625	Direct

Holdings (Derivative)

Security	Exercise Price	Expiration	Underlying	Shares	Ownership
Option	$38.75	2006-06-30	Common Stock (5180)		Direct
Option	$37.25	2007-04-29	Common Stock (5280)		Direct
Option	$51.6875	2008-04-28	Common Stock (4900)		Direct
Option	$48.625	2009-04-27	Common Stock (5750)		Direct
Option	$42.8125	2010-02-28	Common Stock (1950)		Direct
Option	$43.50	2010-04-25	Common Stock (7100)		Direct
Option	$43.50	2010-04-25	Common Stock (1070)		Direct
Option	$37.50	2011-04-24	Common Stock (710)		Direct
Option	$37.50	2011-04-24	Common Stock (10000)		Direct
Option	$54.61	2012-04-23	Common Stock (10000)		Direct
Option	$45.50	2013-04-29	Common Stock (20000)		Direct

Footnotes

F1: Exercisable in four equal annual installments beginning 4/26/2001.