Form 8-K

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UNITED STATES
\nSECURITIES AND EXCHANGE COMMISSION\n

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Washington, D.C. 20549\n

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FORM 8-K\n

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CURRENT REPORT
\nPursuant to Section 13 OR 15(d) of The Securities Exchange Act of 1934\n

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Date of Report (Date of earliest event reported): September 9, 2011

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BRADY CORPORATION\n

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(Exact name of registrant as specified in its charter)

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Wisconsin\n	1-14959\n	39-0971239

(State or other jurisdiction \nof incorporation)\n	(Commission File Number)\n	(IRS Employer Identification No.)

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6555 West Good Hope Road \nMilwaukee, Wisconsin\n		53223

(Address of principal executive offices)\n		(Zip Code)

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Registrant’s telephone number, including area code: (414) 358-6600

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Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

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o		Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

o		Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

o		Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

o		Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

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Item 2.02		RESULTS OF OPERATIONS AND FINANCIAL CONDITION

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On September 12, 2011, Brady Corporation (the “Corporation”) issued a press release announcing\nits fiscal 2011 fourth quarter financial results. A copy of the press release is being furnished\nto the Securities and Exchange Commission as Exhibit 99.1 attached hereto and is incorporated\nherein by reference.\n

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Item 8.01		OTHER EVENTS

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Director Compensation\n

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On September 9, 2011, the Corporation’s Board of Directors authorized an increase in\ncompensation paid to its non-management Directors. Pursuant to the Board action, the annual\ncommittee chair fees will increase from $6,000 to $10,000 for each of the Chairs of the\nCompensation, Corporate Governance, Finance, and Technology Committees and from $10,000 to $15,000\nfor the Chair of the Audit Committee, effective at the annual Board of Directors meeting to be held\non November 17, 2011.\n

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On September 9, 2011, the Corporation’s Board of Directors approved an annual stock-based\ncompensation award of approximately $75,000, half in time-based options and half in unrestricted\nshares of Class A Common Stock, for each non-management Director effective September 30, 2011,\nsubject to shareholder approval of a new equity incentive plan. On September 9, 2011, the\nCorporation also amended the Brady Corporation Directors’ Deferred Compensation Plan to incorporate\nrules for the deferral of compensation payable in the form of Brady Corporation common stock. The\nforegoing description of the amendment does not purport to be complete and is qualified in its\nentirety by reference to the full text of the Brady Corporation Directors’ Deferred Compensation\nPlan, a copy of which is filed herewith as Exhibit 10.1 and is incorporated herein by reference.\nThe remaining components of director compensation remain unchanged.\n

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Increase in Annual Dividend\n

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On September 9, 2011, the Corporation announced that its Board of Directors had increased the\nannual cash dividend on its Class A Common Stock from $0.72 to $0.74 per share. A quarterly\ndividend in the amount of $0.185 per share will be paid on October 31, 2011, to shareholders of\nrecord as of the close of business on October 10, 2011. A copy of the press release regarding the\ndividend is attached hereto as Exhibit 99.2 and is incorporated herein by reference.\n

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Share Repurchase Program\n

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On September 12, 2011, the Corporation announced that its Board of Directors authorized a\nshare buyback program for up to two million shares of the Corporation’s Class A Common Stock. The share\nrepurchase plan may be implemented from time to time on the open market or in privately negotiated\ntransactions. The repurchased shares will be available for use in connection with the\nCorporation’s stock-based plans and for other corporate purposes. A copy of the press release\nregarding the share buyback program is attached hereto as Exhibit 99.1 and is incorporated herein\nby reference.\n

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Item 9.01		FINANCIAL STATEMENTS AND EXHIBITS

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(d) Exhibits.\n\n

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The following are filed as Exhibits to this Report.\n\n

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Exhibit No.		Description of Exhibit

	10.1		Brady Corporation Directors’ Deferred Compensation Plan, as amended.

	99.1		Press Release of Brady Corporation, dated September 12, 2011, relating to fourth\nquarter fiscal 2011 financial results and share buyback program.

	99.2		Press Release of Brady Corporation, dated September 9, 2011, related to increase in\nquarterly dividend.

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Exhibit 10.1\n

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BRADY CORPORATION\n

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DIRECTORS’ DEFERRED COMPENSATION PLAN\n

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AS AMENDED AND RESTATED EFFECTIVE SEPTEMBER 9, 2011\n

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ARTICLE I\n

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INTRODUCTION\n

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1.1 For periods prior to calendar year 2005, Brady Corporation has maintained the Brady\nCorporation Directors’ Deferred Compensation Plan by means of a series of individual deferred\ncompensation agreements with covered directors. This amended and restated document shall apply to\nthose prior agreements with respect to both investment and distribution of amounts deferred before\n2005 and after 2004 and with respect to rules for making deferrals after 2004. This document is\nintended to comply with the provisions of Section 409A of the Internal Revenue Code and shall be\ninterpreted accordingly. If any provision or term of this document would be prohibited by or\ninconsistent with the requirements of Section 409A of the Code, then such provision or term shall\nbe deemed to be reformed to comply with Section 409A of the Code. This Plan is amended and\nrestated, effective as of September 9, 2011 to provide rules for the deferral of compensation\npayable in the form of Brady Corporation common stock.\n

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ARTICLE II\n

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DEFINITIONS\n

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The following definitions shall be applicable throughout the Plan:\n

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2.1 “Account” means the account credited from time to time with bookkeeping amounts\nequal to the portions of a Participant’s compensation deferred pursuant to Section 3.1 and earnings\ncredited on such amounts in accordance with Article IV.\n

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2.2 “Administrator” means the Board of Directors of Brady Corporation.\n

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2.3 “Beneficiary” means the person, persons, or entity designated by the Participant\nto receive any benefits payable under the Plan on or after the Participant’s death. Each\nParticipant shall be permitted to name, change or revoke the Participant’s designation of a\nBeneficiary in writing on a form and in the manner prescribed by the Corporation; provided,\nhowever, that the designation on file with the Corporation at the time of the Participant’s death\nshall be controlling. Should a Participant fail to make a valid Beneficiary designation or leave\nno named Beneficiary surviving, any benefits due shall be paid to such Participant’s spouse, if\nliving; or if not living, then any benefits due shall be paid to such Participant’s estate. A\nParticipant may designate a primary beneficiary and a contingent beneficiary; provided, however,\nthat the Corporation may reject any such instrument tendered for filing if it contains successive\nbeneficiaries or contingencies unacceptable to it. If all Beneficiaries who survive Participant\nshall die before receiving the full amounts payable hereunder, then the payments shall be paid to\nthe estate of the Beneficiary last to die.\n

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2.4 “Code” means the Internal Revenue Code of 1986, including any subsequent\namendments.\n

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2.5 “Corporation” means Brady Corporation.\n

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2.6 “Distribution Date” means the October 1 following the Payment Event. For\ndistribution elections prior to February 17, 2011, the Distribution Date was the quarterly date\nspecified by the Participant upon which distribution would be made or commenced following the\nParticipant’s Separation from Service or the In-Service Payment Event Date, as the case may be.\nAll distribution elections in effect on February 17, 2011 shall remain in effect unless the\nParticipant consents to a Distribution Date that is the October 1 following the Participant’s\nPayment Event; provided that no change in Distribution Date may change the calendar year of the\ndistribution. If the distribution is payable other than in a single installment, subsequent\ninstallments shall be paid on anniversaries of the Distribution Date.\n

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2.7 “Effective Date” means September 9, 2011. This document describes how this Plan\nhas been administered for periods after 2004 and prior to September 9, 2011 and how it shall be\nadministered for periods on and after September 9, 2011.\n

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2.8 “In-Service Payment Event Date” means the date, if any, specified by the\nParticipant as the reference date following which distribution of his Account shall begin. An\nIn-Service Payment Event Date may be no earlier than January 1, 2007. For distribution elections\nfollowing the Effective Date, a Participant may not elect an In-Service Payment Event Date.\n

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2.9 “Participant” means a director of Brady Corporation currently eligible to make\ndeferrals (an “Active Participant”) and any former director who previously participated in the Plan\nand is entitled to benefits.\n

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2.10 “Payment Event” means the date of a Participant’s Separation From Service. For\ndistribution elections prior to February 17, 2011, a Participant could elect a Payment event that\nwas the earlier of the date of a Participant’s Separation From Service or the date the Participant\nspecified as his In-Service Payment Event Date.\n

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2.11 “Plan” means the Brady Corporation Directors’ Deferred Compensation Plan, as set\nforth herein and as it may be amended from time to time.\n

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2.12 “Plan Year” means the calendar year.\n

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2.13 “Separation from Service” means expiration or termination of the arrangement with\nthe Corporation pursuant to which the Participant performed services as a director of the\nCorporation if such expiration or termination constitutes a good faith and complete termination of\nthe relationship and all other independent contractor relationships the Participant has with the\nCorporation. A good faith and complete termination of a relationship shall not be deemed to have\noccurred if the Corporation anticipates a renewal of a contractual relationship or anticipates that\nthe Participant shall become an employee of the Corporation. For this purpose, the Corporation is\nconsidered to anticipate the renewal of a contractual relationship with the Participant if it\nintends to contract again for the services provided under the expired arrangement, and neither the\nCorporation nor the Participant has eliminated the Participant as a possible provider of services\nunder any such new arrangement. Further, the Corporation is considered to intend to contract again\nfor the services provided under an expired arrangement if the Corporation’s doing so is conditioned\nonly upon incurring a need for the services, the availability of funds or both. The foregoing\nrequirements are deemed satisfied if no amount will be paid to the Participant before a date at\nleast 12 months after the day on which the arrangement expires pursuant to which the Participant\nperformed services for the Corporation (or, in the case of more than one arrangement, all such\narrangements expire)\nand no amount payable to the Participant on that date will be paid to the Participant if,\nafter the expiration of the arrangement (or arrangements) and before that date, the Participant\nperforms services for the Corporation as a director or other independent contractor or an\nemployee). If a Participant provides services both as an employee of the Corporation and as a\nmember of the board of directors of the Corporation, the services provided as an employee are not\ntaken into account in determining whether the Participant has a Separation from Service as a\ndirector for purposes of this Plan because this Plan is not aggregated with any plan in which the\nParticipant participates as an employee pursuant to IRS Regulation Section 1.409A-1(c)(2)(ii).\n

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2.14 “Unforeseeable Emergency” means a severe financial hardship to a Participant\nresulting from an illness or accident of the Participant or the Participant’s spouse or dependent\n(as defined in Section 152(a) of the Code), loss of the Participant’s property due to casualty\n(including the need to rebuild a home following damage to a home not otherwise covered by\ninsurance, for example, as a result of a natural disaster), or other similar extraordinary and\nunforeseeable circumstances arising as a result of events beyond the control of the Participant.\nFor example, the imminent foreclosure of or eviction from the Participant’s primary residence may\nconstitute an Unforeseeable Emergency. In addition, the need to pay for medical expenses,\nincluding non-refundable deductibles, as well as for the costs of prescription drug medication, may\nconstitute an Unforeseeable Emergency. Finally, the need to pay for funeral expenses of a spouse\nor a dependent (as defined in Code section 152(a)) may also constitute an Unforeseeable Emergency.\nExcept as otherwise provided above, the purchase of a home and the payment of college tuition are\nnot Unforeseeable Emergencies. Whether a Participant is faced with an Unforeseeable Emergency is\nto be determined based on the relevant facts and circumstances of each case.\n

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ARTICLE III\n

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DEFERRALS\n

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3.1 Deferral Elections. An Active Participant may elect to defer a specified\npercentage of his fees for services performed as a director of the Corporation during a Plan Year\nby completing and filing such forms as required by the Corporation prior to the first day of the\nPlan Year. The Corporation may permit a Participant to make one deferral election with respect to\ncompensation payable in cash and a separate deferral election with respect to compensation payable\nin the form of Brady Corporation common stock. A Participant’s deferrals shall be taken at a\nuniform percentage rate from each of the payments made to him by the Corporation during the Plan\nYear. Compensation deferred shall be retained by the Corporation, credited to the Participant’s\nAccount pursuant to Section 4.1 and paid in accordance with the terms and conditions of the Plan.\nA director who is not already eligible to participate in any other deferred compensation plan of\nthe account balance type sponsored by the Corporation who becomes an Active Participant for the\nfirst time during a Plan Year (i.e., first becomes a director) may within 30 days after the\neffective date of participation make an election to defer a specified percentage of compensation to\nbe paid to him for services to be performed subsequent to the deferral election.\n

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3.2 Continued Effect of Elections. An Active Participant’s deferral election with\nrespect to a Plan Year under Section 3.1 shall be irrevocable after the last date upon which it may\nbe filed pursuant to Section 3.1 and shall continue in effect each subsequent Plan Year until\nprospectively revoked or amended in writing. For a revocation or amendment to be effective with\nrespect to payments during a Plan Year, it must be filed by the last date for which an effective\ndeferral election is permitted to be filed with respect to those payments under Section 3.1.\n

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3.3 Prior Deferral Elections. Any deferral election made prior to calendar year 2005\nunder an individual agreement shall be treated as a deferral election described in Section 3.1 and\nshall continue in effect until modified as described in Section 3.2 above unless modified earlier\npursuant to Section 8.12(a) below.\n

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3.4 Unforeseeable Emergency. In the event that a Participant makes application for a\nhardship distribution under Section 6.3 and the Administrator determines that an Unforeseeable\nEmergency exists, all deferral elections otherwise in effect under this Article III and any other\nnonqualified deferred compensation plan of the account balance type sponsored by the Corporation\nshall immediately terminate upon such determination. To resume deferrals thereafter, a Participant\nmust make an election satisfying the provisions of Section 3.1, as the case may be, as those\nprovisions apply to someone who is already an Active Participant in the Plan.\n

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ARTICLE IV\n

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ACCOUNTS\n

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4.1 Credits to Account. Bookkeeping amounts equal to the amounts deferred by a\nParticipant pursuant to Section 3.1 shall be credited to such Participant’s Deferral Account as\nsoon as practicable after the deferred compensation would otherwise have been paid to such\nParticipant in the absence of deferral.\n

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4.2 Valuation of Account.\n

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(a) The Participant’s Account shall be credited or charged with deemed earnings or\nlosses as if it were invested in accordance with paragraph (b) below.\n

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(b) (i) The investment funds available hereunder for the deemed investment of the\nAccount shall be the Brady Stock Fund and such other funds as the Administrator shall from\ntime to time determine. However, in no event shall the Corporation be required to make any\nsuch investment in the Brady Stock Fund or any other investment fund and, to the extent such\ninvestments are made, such investments shall remain an asset of the Corporation subject to\nthe claims of its general creditors.\n

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(ii) On the date credited to the Participant’s Account, deferrals shall be\ndeemed to be invested in one or more of the investment funds designated by the\nParticipant for such deemed investment, subject to the following rules for\ninvestments in the Brady Stock Fund: (A) deferrals of compensation payable in the\nform of Brady Corporation common stock shall automatically be credited to the Brady\nStock Fund on the date that the stock would otherwise be issued to the Participant\nand (B) deferrals of cash compensation designated for investment in the Brady Stock\nFund shall initially be credited to the General Investment Sub-account and\ntransferred to the Brady Stock Sub-account on a quarterly basis. Once made, the\nParticipant’s investment designation shall continue in effect for all future\ndeferrals until changed by the Participant. Any such change may be prospectively\nelected by the Participant at the times established by the Administrator, which\nshall be no less frequently than quarterly, and shall be effective only for\ndeferrals, credited from and after its effective date. Until such time as the\nAdministrator takes action to the contrary, such changes may be elected at the same\ntimes as changes may be elected with respect to the Brady Matched 401(k) Plan.\n

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(iii) The portion of a Participant’s Account invested in the Brady Stock Fund\nshall be called the Brady Stock Sub-account. The remaining portion of the\nParticipant’s Account shall be referred to as the General Investment Sub-account.\n

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(iv) A Participant’s balance in the Brady Stock Fund shall be determined as\nthough the Participant’s deferrals allocated to that Fund are invested in shares of\nClass A non-voting common stock of Brady Corporation by purchase at the fair market\nvalue\nprice of such stock on the date the deferrals are credited to the Participant’s\nBrady Stock Fund Sub-account.\n

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(v) The value of the Brady Stock Sub-account on any particular date will be\nbased upon the value of the shares of Class A non-voting common stock of Brady\nCorporation which the sub-account is deemed to hold on that date. The shares of\nsuch stock deemed to be held in such sub-account shall be credited with dividends at\nthe time they are credited with respect to actual shares of Class A non-voting\ncommon stock of Brady Corporation and such dividends shall be deemed to be used to\npurchase additional shares of Class A non-voting common stock of Brady Corporation\non the day following the crediting of such dividends at the then fair market value\nprice of such stock. The sub-account shall also be credited from time to time with\nadditional shares of Class A non-voting common stock of Brady Corporation equal in\nnumber to the number of shares granted in any stock dividend or split to which the\nholder of a like number of shares of Class A non-voting common stock would be\nentitled. All other distributions with respect to shares of Class A non-voting\ncommon stock of Brady Corporation shall be similarly applied. In the event of a\ndistribution of preferred stock, such preferred stock shall be valued at its par\nvalue (or its voluntary liquidating price, if it does not have a par value).\n

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(vi) The valuation of the funds held in the General Investment Sub-account shall\nbe accomplished in the same manner as though the deemed investment in such funds had\nactually been made and are valued at their fair market value price on valuation\ndates hereunder.\n

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(vii) A Participant’s Account shall be valued as of December 31 each year and at\nsuch other times established by the Administrator, which shall be no less frequently\nthan quarterly. Until such time as the Administrator takes action to the contrary,\nsuch valuation shall be at the same time as valuations made of Brady matched 401(k)\nplan assets.\n

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(viii) All elections and designations under this section shall be made in\naccordance with procedures prescribed by the Administrator. The Administrator may\nprescribe uniform percentages for such elections and designations.\n

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(ix) A Participant may prospectively elect to reallocate his Account balance\namong the investment funds at the times established by the Administrator, which\nshall be no less frequently than quarterly. Until such time as the Administrator\ntakes action to the contrary, such changes may be elected at the same times as\nchanges may be elected with respect to the Brady Matched 401(k) Plan.\nNotwithstanding any other provision of this Plan to the contrary, a Participant may\nnot make (i) any election or transaction in the Brady Stock Fund at a time when the\nParticipant is in possession of any material non-public information or at a time not\npermitted under the Corporation’s policy on insider trading or (ii) an opposite way\nelection with respect to the Brady Stock Fund within six months of a prior election\nregarding the Brady Stock Fund.\n

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(x) Notwithstanding subparagraph (ix) above, from and after May 1, 2006, a\nParticipant may not shift any amounts from his Brady Stock Sub-account to his\nGeneral Investment Sub-account or vice-versa. The preceding sentence shall not\napply to a Participant who has had a Separation from Service prior to May 1, 2006.\nA Participant shall, on or after February 16, 2006 and prior to May 1, 2006, be\nentitled to reallocate up to 50% of the balance of the portion of his Account\nattributable to pre-2004 deferrals from investments in the Brady Stock Fund to the\nother investment funds available\nhereunder; and, thereafter, the portion of such account attributable to\npre-2004 deferrals held in the Brady Stock Fund must remain in the Brady Stock Fund\nbut the director may continue to make new investment choices from among available\ninvestment funds with respect to remaining portions of that account. The preceding\nsentence shall not apply to a Participant who has a Separation from Service before\nreallocation under such sentence has taken place.\n

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(c) The Corporation shall provide annual reports to each Participant showing (a) the\nvalue of the Account as of the most recent December 31^st, (b) the amount of\ndeferral made by the Participant for the Plan Year ending on such date and (c) the amount of\nany investment gain or loss and the costs of administration credited or debited to the\nParticipant’s Account.\n

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(d) Notwithstanding any other provision of this Agreement that may be interpreted to\nthe contrary, the deemed investments are to be used for measurement purposes only and\nshall not be considered or construed in any manner as an actual investment\nof the Participant’s Account balance in any such fund. In the event that Brady Corporation\nor the trustee of any grantor trust which Brady Corporation may choose to establish to\nfinance some or all of its obligations hereunder, in its own discretion, decides to invest\nfunds in any or all of the funds, the Participant shall have no rights in or to such\ninvestments themselves. Without limiting the foregoing, the Participant’s Account balance\nshall at all times be a bookkeeping entry only and shall not represent any investment made\non the Participant’s behalf by the Corporation or any trust; the Participant shall at all\ntimes remain an unsecured creditor of the Corporation.\n

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ARTICLE V\n

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VESTING\n

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5.1 Full Vesting. A Participant shall be fully vested and nonforfeitable at all times\nin his or her Account hereunder.\n

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ARTICLE VI\n

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MANNER AND TIMING OF DISTRIBUTION\n

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6.1 Payment of Benefits. After a Participant’s Payment Event the Participant’s\nAccount shall be paid to the Participant (or in the event of the Participant’s death, to the\nParticipant’s Beneficiary). Payment shall be made in a Single Sum or Installments as specified in\nthe Participant’s payment election pursuant to Section 6.2:\n

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(i) Single Sum. A single sum distribution of the value of the balance\nof the Account on the Distribution Date following the Participant’s Payment Event.\nIf the Participant receives a single sum distribution before Separation from Service\nwith the result that additional amounts are subsequently deposited in the\nParticipant’s Account, a distribution shall be made on each succeeding Distribution\nDate of the entire value of the then balance of the Account.\n

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(ii) Installments. The value of the balance of the Account shall be\npaid in annual installments on the Distribution Date each year with the first of\nsuch installments to be paid on the Distribution Date following the Participant’s\nPayment Event. Annual installments shall be paid in one of the alternative methods\nspecified below over the number of years selected by the Participant in the payment\nelection made pursuant to\nSection 6.2, but not to exceed 10. The earnings (or losses) provided for in\nSection 4.2 shall continue to accrue on the balance remaining in the Account during\nthe period of installment payments. The alternative methods available are as\nfollows:\n

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(A) Fractional Method. The annual installment shall be\ncalculated by multiplying the most recent July 31 value of the Account by a\nfraction, the numerator of which is one, and the denominator of which is the\nremaining number of annual payments due the Participant. By way of example,\nif the Participant elects a 10 year annual installment method, the first\npayment shall be one-tenth (1/10) of the Account balance. The following\nyear, the payment shall be one-ninth (1/9) of the Account balance. Further,\nregardless of the method selected by the Participant, the final installment\npayment will include 100% of the then remaining Account value.\n

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(B) Percentage or Fixed Dollar Method. The annual installment\nshall be calculated by multiplying the most recent July 31 value of the\nAccount, in the case of the percentage method, by the percentage selected by\nthe Participant and paying out the resulting amount or, in the case of the\nfixed dollar method, by paying out the fixed dollar amount selected by the\nParticipant for the number of years selected by the Participant. However,\nin the event the dollar amount selected is more than the value of the\nAccount in any given year, the entire value of the Account will be\ndistributed. Further, regardless of the method selected by the Participant,\nthe final installment payment will include 100% of the then remaining\nAccount value.\n

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(iii) In Cash or In Stock. Prior to May 1, 2006 all payments shall be\nmade in cash, except that amounts held in the Brady Stock Sub-account attributable\nto pre-2004 deferrals shall be distributed by means of Class A non-voting common\nstock of Brady Corporation. From and after May 1, 2006, payments shall be made in\ncash and/or Class A non-voting common stock of Brady Corporation pursuant to the\nfollowing:\n

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(A) If distribution is made in a single sum, the value of the portion\nof the Participant’s Account which consists of the General Investment\nSub-account shall be paid in cash while the value of the portion of the\nAccount which consists of the Brady Stock Sub-account shall be paid by\ndistributing the number of shares of Class A non-voting stock of Brady\nCorporation which represent the number of deemed shares held in the Brady\nStock Sub-Account, except, however, that any fractional shares shall be\nvalued and distributed in cash.\n

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(B) If distribution is made in installments, a portion of each\ninstallment shall be distributed in cash and a portion in Class A non-voting\nshares of common stock of Brady Corporation. The portion to be distributed\nin cash shall be that portion of the total installment payment which is the\nsame percentage as derived by dividing the value of the Balance in the\nGeneral Investment Sub-account by the value of the total Account balance and\nthe portion to be distributed in stock shall be the same percentage as\ndetermined by dividing the value of the balance of the Brady Stock\nSub-account by the value of the total Account balance. The number of shares\nof Class A non-voting shares of common stock of Brady Corporation to be\ndistributed shall be the number having the same value as the portion of the\ninstallment to be paid in such stock, except, however, that any fractional\nshares shall be distributed in cash.\n

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6.2 Payment Election. An individual who first becomes a Participant at the beginning\nof a Plan Year shall, prior to his date of participation, complete a payment election form\nspecifying the form of payment applicable to such Participant’s Account under the Plan. An\nindividual who first becomes a Participant other than on the first day of a Plan Year shall, no\nlater than 30 days after the effective date of participation, complete a payment election form\nspecifying the form of payment applicable to such Participant’s Account; provided, however, that if\nsuch Participant is already a participant in any other nonqualified plan or plans sponsored by the\nCorporation of the account balance type, the most recent payment election with respect to any one\nof those plans shall be the form of payment election deemed elected under this Plan regardless of\nwhether the individual elects a different form of payment during that initial 30 day period. A\n“payment election form” shall mean the form established from time to time by the Administrator\nwhich a Participant completes, signs and returns to the Administrator to make an election under the\nPlan. To the extent authorized by the Administrator, such form may be provided electronically and,\nin such case, need not be signed by the Participant. A Participant may change the form of payment\nby completing and filing a new payment election form with the Corporation, and the payment election\nform on file with the Corporation as of the date of the Participant’s Payment Event shall be\ncontrolling. Notwithstanding the foregoing, a payment election form changing the Participant’s\nform of payment shall not be effective if the Participant has a Payment Event within twelve months\nafter the date on which the election change is filed with the Corporation. Any change in payment\nmethod must have the effect of delaying the commencement of payments to a date which is at least\nfive (5) years after the initially scheduled commencement date of payment previously in effect.\nAny change in the Distribution Date must have the effect of delaying the commencement of payments\nto a date which is at least five (5) years after the initially scheduled Distribution Date. For\npurposes of compliance with Code Section 409A, a series of installment payments is designated as a\nsingle payment rather than a right to a series of separate payments; therefore, a Participant who\nhas elected (or is deemed to have elected) any option under Section 6.1(a)(i) or (ii) may\nsubstitute any of the other options for the option originally selected as long as the foregoing\none-year and five year rules are satisfied. A switch from the percentage method to the fixed\ndollar method or vice versa and a switch from either of those methods to the fractional method or\nvice versa is considered a substitution of a new option for the original option for purposes of\nthis rule even if the number of yearly installments is not changed. The five year delay rule does\nnot apply if the revised payment method applies only upon the Participant’s death or disability.\nFor this purpose, “disability” means that the Participant is unable to engage in any substantial\ngainful activity by reason of any medically determinable physical or mental impairment which can be\nexpected to result in death or can be expected to last for a continuous period of not less than 12\nmonths.\n

\n\n

6.3 Financial Hardship. A partial or total distribution of the Participant’s Account\nshall be made prior to a Payment Event upon the Participant’s request and a demonstration by the\nParticipant of severe financial hardship as a result of an Unforeseeable Emergency. Such\ndistribution shall be made in a single sum as soon as administratively practicable following the\nAdministrator’s determination that the foregoing requirements have been met. In any case, a\ndistribution due to Unforeseeable Emergency may not be made to the extent that such emergency is or\nmay be relieved through reimbursement or compensation from insurance or otherwise, by liquidation\nof the Participant’s assets, to the extent the liquidation of such assets would not cause severe\nfinancial hardship, or by cessation of deferrals under Section 3.1 and any other nonqualified\ndeferred compensation plan of the account balance type sponsored by the Corporation. Distributions\nbecause of an Unforeseeable Emergency must be limited to the amount reasonably necessary to satisfy\nthe emergency need (which may include amounts necessary to pay any Federal, state, or local income\ntaxes or penalties reasonably anticipated to result from the distribution). Determinations of\namounts reasonably necessary to satisfy the emergency need must take into account any additional\ncompensation that is available because of cancellation of a deferral election under Section 3.1 and\nany other nonqualified deferred compensation plan of the account balance type sponsored by the\nCorporation upon a payment due to an Unforeseeable Emergency. The payment may be made from any\narrangement in which the Participant participates that provides for payment upon an Unforeseeable\nEmergency, provided that the arrangement under which the payment was made must be designated\nat the time of payment.\n

\n\n

-8-\n

\n\n

6.4 Delayed Distribution.\n

\n\n\n

(a) A payment otherwise required under this Article VI shall be delayed if the\nCorporation reasonably anticipates that the making of the payment will violate a term of a\nloan agreement to which the Corporation is a party, or other similar contract to which the\nCorporation is a party, and such violation will cause material harm to the Corporation;\nprovided, however, that payments shall be made on the earliest date on which the Corporation\nreasonably anticipates that the making of the payment will not cause such violation, or such\nviolation will not cause material harm to the Corporation, and provided that the facts and\ncircumstances indicate that the Corporation entered into the loan agreement (including such\ncovenant) or other similar contract for legitimate reasons, and not to avoid the\nrestrictions on deferral elections and subsequent deferral elections under Code Section\n409A.\n

\n\n\n

(b) A payment otherwise required under this Article VI shall be delayed if the\nCorporation reasonably determines that the making of the payment will jeopardize the ability\nof the Corporation to continue as a going concern; provided, however, that payments shall be\nmade on the earliest date on which the Corporation reasonably determines that the making of\nthe payment will not jeopardize the ability of the Corporation to continue as a going\nconcern.\n

\n\n\n

(c) A payment otherwise required under this Article VI shall be delayed upon such other\nevents and conditions as the Internal Revenue Service may prescribe in generally applicable\nguidance published in the Internal Revenue Bulletin.\n

\n\n

6.5 Inclusion in Income Under Section 409A. Notwithstanding any other provision of\nthis Article VI, in the event this Plan fails to satisfy the requirements of Code Section 409A and\nregulations thereunder with respect to any Participant, there shall be distributed to such\nParticipant as promptly as possible after the Administrator becomes aware of such fact of\nnoncompliance such portion of the Participant’s Account balance hereunder as is included in income\nas a result of the failure to comply, but no more. Any such distribution shall be taken on a pro\nrata basis from the Participant’s General Investment Sub-account and Brady Stock Sub-account in the\nmanner described in Section 6.1(a)(iv)(B).\n

\n\n

6.6 Domestic Relations Order. Notwithstanding any other provision of this Article VI,\npayments shall be made from an account of a Participant in this Plan to such individual or\nindividuals (other than the Participant) and at such times as are necessary to comply with a\ndomestic relations order (as defined in Code Section 414(p)(1)(B)). Any such distribution shall be\ntaken on a pro rata basis from the Participant’s General Investment Sub-account and Brady Stock\nSub-account in the manner described in Section 6.1(a)(iv)(B).\n

\n\n

6.7 De Minimis Amounts. Notwithstanding any other provision of this Article VI, a\nParticipant’s entire Account balance under this Plan and all other nonqualified deferred\ncompensation plans of the account balance type shall automatically be distributed to the\nParticipant on or before the later of December 31 of the calendar year in which occurs the\nParticipant’s Separation from Service or the 15^th day of the third month following the\nParticipant’s Separation from Service if the total amount in such Account balance at the time of\ndistribution, when aggregated with all other amounts payable to the Participant under all\narrangements benefiting the Participant described in Section 1.409A-1(c) or any successor thereto,\ndo not exceed the amount described in Code Section 402(g)(1)(B). The foregoing lump sum payment\nshall be made automatically and any other distribution elections otherwise applicable with respect\nto the individual in the absence of this provision shall not apply.\n

\n\n

-9-\n

\n\n

ARTICLE VII\n

\n\n\n

ADMINISTRATION\n

\n\n

7.1 Administrator. The Plan shall be administered by the Administrator, which shall\nbe the Corporation’s Board of Directors. The Administrator shall have all authority that may be\nappropriate for administering the Plan, including the authority to adopt rules and regulations for\nthe conduct of its affairs and for implementing, amending and carrying out the Plan, interpreting\nthe provisions of the Plan and determining a Participant’s entitlement to benefits hereunder. The\nAdministrator shall be entitled to rely upon the Corporation’s records as to information pertinent\nto calculations or determinations made pursuant to the Plan.\n

\n\n

The Administrator may also delegate any of its clerical or other administrative duties to one\nor more officers or employees of the Corporation, who may assist the Administrator in the\nperformance of any of its functions hereunder. In the event of such delegation, a reference to the\nAdministrator shall be deemed to refer to such officer(s) or employee(s).\n

\n\n

7.2 Authority of Administrator. The Administrator shall have full and complete\ndiscretionary authority to determine eligibility for benefits under the Plan, to construe the terms\nof the Plan and to decide any matter presented through the claims procedure. Any final\ndetermination by the Administrator shall be binding on all parties and afforded the maximum\ndeference allowed by law. If challenged in court, such determination shall not be subject to\nde novo review and shall not be overturned unless proven to be arbitrary and capricious\nbased upon the evidence considered by the Administrator at the time of such determination.\n

\n\n

7.3 Administrator Actions. The Administrator may authorize one or more of its members\nto execute on its behalf instructions or directions to any interested party, and any such\ninterested party may rely upon the information contained therein. The members may also act at a\nmeeting or by unanimous written consent. A majority of the members shall constitute a quorum for\nthe transaction of business and shall have full power to act hereunder. All decisions shall be\nmade by vote of the majority present at any meeting at which a quorum is present, except for\nactions in writing without a meeting, which must be unanimous.\n

\n\n

7.4 Minor or Incompetent Payees. If a person to whom a benefit is payable is a minor\nor is otherwise incompetent by reason of a physical or mental disability, the Corporation may cause\nthe payments due to such person to be made to another person for the first person’s benefit without\nany responsibility to see to the application of such payment. Such payments shall operate as a\ncomplete discharge of the obligations to such person under the Plan.\n

\n\n

7.5 No Liability. Except as otherwise provided by law, neither the Administrator, nor\nany member thereof, nor any director, officer or employee of the Corporation involved in the\nadministration of the Plan shall be liable for any error of judgment, action or failure to act\nhereunder or for any good faith exercise of discretion, excepting only liability for gross\nnegligence or willful misconduct. The Corporation shall hold harmless and defend any individual in\nthe employment of the Corporation and any director of the Corporation against any claim, action or\nliability asserted against him in connection with any action or failure to act regarding the Plan,\nexcept as and to the extent that any such liability may be based upon the individual’s own gross\nnegligence or willful misconduct. This indemnification shall not duplicate but may supplement any\ncoverage available under any applicable insurance.\n

\n\n

-10-\n

\n\n

7.6 Claims Procedure.\n

\n\n\n

(a) If the Participant or the Participant’s Beneficiary (hereinafter referred to as a\n“Claimant”) is denied all or a portion of an expected benefit under the Plan for any reason,\nhe or she may file a claim with the Administrator or its designee. The Administrator or its\ndesignee shall notify the Claimant within 60 days of allowance or denial of the claim,\nunless the Claimant receives written notice prior to the end of the sixty (60) day period\nstating that special circumstances require an extension of the time for decision and\nspecifying the expected date of decision. The notice of the such decision shall be in\nwriting, sent by mail to the Claimant’s last known address, and if a denial of the claim,\nmust contain the following information:\n

\n\n\n

(i) the specific reasons for the denial;\n

\n\n\n

(ii) specific reference to pertinent provisions of the Plan on which the denial\nis based;\n

\n\n\n

(iii) if applicable, a description of any additional information or material\nnecessary to perfect the claim, an explanation of why such information or material\nis necessary, and an explanation of the claims review procedure; and\n

\n\n\n

(iv) a description of the Plan’s claims review procedure, including a statement\nof the Claimant’s right to bring a civil action under Section 502 of ERISA if the\nClaimant’s claim is denied upon review.\n

\n\n\n

(b) A Claimant is entitled to request a review of any denial of his claim. The request\nfor review must be submitted in writing to the Administrator within 60 days after receipt of\nthe notice of the denial. The timely filing of such a request is necessary to preserve any\nlegal recourse which may be available to the Claimant and, absent the submission of request\nfor review within the 60-day period, the claim will be deemed to be conclusively denied.\nUpon submission of a written request for review, the Claimant or his representative shall be\nentitled to review all pertinent documents, and to submit issues and comments in writing for\nconsideration by the Administrator. The Administrator shall fully and fairly review the\nmatter and shall consider all information submitted in the review request, without regard to\nwhether or not such information was submitted or considered in the initial claim\ndetermination. The Administrator shall promptly respond to the Claimant, in writing, of its\ndecision within 60 days after receipt of the review request. However, due to special\ncircumstances, if no response has been provided within the first 60 days, and notice of the\nneed for additional time has been furnished within such period, the review and response may\nbe made within the following 60 days. The Administrator’s decision shall include specific\nreasons for the decision, including references to the particular Plan provisions upon which\nthe decision is based, notification that the Claimant can receive or review copies of all\ndocuments, records and information relevant to the claim, and information as to the\nClaimant’s right to file suit under Section 502(a) of ERISA.\n

\n\n\n

(c) If a determination of disability for purposes of Section 6.1(b) or 6.2 becomes\nnecessary and if such determination is considered to be with respect to a claim for benefits\nbased on disability for purposes of 29 CFR Section 2560.503-1, then the Administrator shall\nadopt and administer a special procedure for considering such disability claims meeting the\nrequirements of 29 CFR Section 2560.503-1 for disability benefit claims.\n

\n\n

7.7 Conflict of Interest. No person who is covered under the Plan may vote or decide\nupon any matter relating solely to himself or vote in any case in which his individual right to any\nbenefit under\nthe Plan is particularly involved. Decisions shall be made by remaining members of the\nCorporation’s Board of Directors.\n

\n\n

-11-\n

\n\n

ARTICLE VIII\n

\n\n\n

MISCELLANEOUS\n

\n\n

8.1 Amendment or Termination. The Corporation (through its Board of Directors or\nauthorized officers or employees) reserves the right to alter or amend the Plan, or any part\nthereof, in such manner as it may determine, at any time and for any reason. Further, the Board of\nDirectors of the Corporation reserves the right to terminate the Plan, at any time and for any\nreason. Notwithstanding the foregoing, in no event shall any amendment or termination deprive any\nParticipant or Beneficiary of any amounts credited to him under this Plan as of the date of such\namendment or termination; provided, however, that the Corporation may prospectively change the\nmanner in which earnings are credited or discontinue the crediting of earnings and, further, the\nCorporation may make any amendment it deems necessary or desirable for purposes of compliance with\nthe requirements of Code Section 409A and regulations thereunder.\n

\n\n

If the Plan is amended to freeze benefit accruals, no additional contributions shall be\ncredited to any Participant Account hereunder. Following such a freeze of benefit accruals,\nParticipants’ Accounts shall be paid at such time and in such form as provided under Article VI of\nthe Plan. If the Corporation terminates the Plan and if the termination is of the type described\nin regulations issued by the Internal Revenue Service pursuant to Code Section 409A, then the\nCorporation shall distribute the then existing Account balances of Participants and beneficiaries\nin a lump sum within the time period specified in such regulations and, following such\ndistribution, there shall be no further obligation to any Participant or beneficiary under this\nPlan. However, if the termination is not of the type described in such regulations, then following\nPlan termination Participants’ Accounts shall be paid at such time and in such form as provided\nunder Article VI of the plan.\n

\n\n

8.2 Applicable Law. This Plan shall be governed by the laws of the State of\nWisconsin, except to the extent preempted by the provisions of ERISA or other applicable federal\nlaw.\n

\n\n

8.3 Relationship to Other Programs. Participation in the Plan shall not affect a\nParticipant’s rights to participate in and receive benefits under any other plans of the\nCorporation, nor shall it affect the Participant’s rights under any other agreement entered into\nwith the Corporation, unless expressly provided otherwise by such plan or agreement. Any amount\ncredited under or paid pursuant to this Plan shall not be treated as any type of compensation or\notherwise taken into account in the determination of the Participant’s benefits under any other\nplans of the Corporation, unless expressly provided otherwise by such plan.\n

\n\n

8.4 Non-Assignability by Participant. No Participant or Beneficiary shall have any\nright to commute, sell, assign, pledge, convey, or otherwise transfer any rights or claims to\nreceive benefits hereunder, nor shall such rights or claims be subject to garnishment, attachment,\nexecution or levy of any kind except to the extent otherwise required by law.\n

\n\n

8.5 No Right to Continued Service. Neither participation in this Plan, nor the\npayment of any benefit hereunder, shall be construed as giving to a Participant any right to be\nretained in the service of the Corporation, or limiting in any way the right of the Corporation to\nterminate the Participant’s service at any time.\n

\n\n

-12-\n

\n\n

8.6 Assignability by Corporation. The Corporation shall have the right to assign all\nof its right, title and obligation in and under this Plan upon a merger or consolidation in which\nthe Corporation\nis not the surviving entity or to the purchaser of substantially its entire business or assets\nor the business or assets pertaining to a major product line, provided such assignee or purchaser\nassumes and agrees to perform after the effective date of such assignment all of the terms,\nconditions and provisions imposed by this Plan upon the Corporation. Upon such assignment, all of\nthe rights, as well as all obligations, of the Corporation under this Plan shall thereupon cease\nand terminate.\n

\n\n

8.7 Unsecured Claim; Grantor Trust. The right of a Participant to receive payment\nhereunder shall be an unsecured claim against the general assets of the Corporation, and no\nprovisions contained herein, nor any action taken hereunder shall be construed to give any\nindividual at any time a security interest in any asset of the Corporation, of any affiliated\ncorporation, or of the stockholders of the Corporation. The liabilities of the Corporation to a\nParticipant hereunder shall be those of a debtor pursuant to such contractual obligations as are\ncreated hereunder and to the extent any person acquires a right to receive payment from the\nCorporation hereunder, such right shall be no greater than the right of any unsecured general\ncreditor of the Corporation. The Corporation may establish a grantor trust (but shall not be\nrequired to do so) to which the Corporation may in its discretion contribute (subject to the claims\nof the general creditors of the Corporation) the amounts credited to the Account. If a grantor\ntrust is so established, payment by the trust of the amounts due the Participant or his Beneficiary\nhereunder shall be considered a payment by the Corporation for purposes of this Plan.\n

\n\n

8.8 Notices or Filings. Any notice or filing required or permitted to be given to the\nAdministrator hereunder shall be sufficient if in writing and hand-delivered, or sent by registered\nor certified mail, to the address below:\n

\n\n\n

Corporate Treasurer
\nBrady Corporation
\nP.O. Box 571
\nMilwaukee, WI 53201-0571\n

\n\n

Such notice shall be deemed given as of the date of delivery or, if delivery is made by mail,\nas of the date shown on the postmark on the receipt for registration or certification.\n

\n\n

Any notice or filing required or permitted to be given to a Participant hereunder shall be\nsufficient if in writing and hand-delivered, or sent by mail, to the last known address of the\nParticipant.\n

\n\n

8.9 Special rules for 2005-2007. Notwithstanding the usual rules required regarding\nthe deferral elections and distribution elections:\n

\n\n\n

(a) A Participant may on or before March 15, 2005 make a new deferral election to apply\nto amounts which would otherwise be paid in calendar year 2005; provided that such amounts\nhave not been paid or became payable at the time of the election. Such election shall\nremain in effect for future years until modified pursuant to Section 3.2.\n

\n\n\n

(b) On or before December 31, 2007, a Participant may elect an In-Service Payment Event\nDate and/or make an election as to distribution of his Account from among the choices\ndescribed at Section 6.1 hereof without complying with the rules described in Section 6.2\nhereof as long as the effect of the election is not to accelerate payments into 2006 or to\ndefer payments which would otherwise have been made in 2006 and not to accelerate payments\ninto 2007 or to defer payments which would otherwise have been made in 2007. Such election\nshall become effective after the last day upon which it is permitted to be made or, if\nearlier, the first day of the calendar year in which payments under the election are\nscheduled to commence. In order to change any such election after December 31, 2007, the\nrequirements of Section 6.2 hereof must be satisfied. Any individual who has on or before\nDecember 31, 2006 elected an In-Service Payment Event Date of January 1, 2007 and a\nDistribution Date of April 1, may on or before\nDecember 31, 2007 elect to change the Distribution Date to be applicable in calendar\nyear 2008 and subsequent years from April 1 to January 1.\n

\n\n

-13-\n

\n\n\n

EXHIBIT 99.1\n

\n\n

For More Information:
\nInvestor contact: Aaron Pearce 414-438-6895
\nMedia contact: Carole Herbstreit 414-438-6882\n\n

\n\n

Brady Corporation Reports Fiscal 2011 Fourth Quarter Results and Announces Share Buyback\nProgram.\n

\n\n\n

MILWAUKEE (September 12, 2011)—Brady Corporation (NYSE: BRC), a world leader in identification\nsolutions, today reported its full year fiscal 2011 financial results and financial results for the\nfourth quarter ended July 31, 2011. The company also announced that its Board of Directors\nauthorized a share buyback program for up to two million shares of the company’s Class A Common\nStock.\n

\n\n\n

Year Ended July 31, 2011:\n

\n\n\n

Net income for the year ended July 31, 2011 was up 32.6 percent to $108.7 million compared to\n$82.0 million for the year ended July 31, 2010. Excluding $6.6 million of after-tax restructuring\ncharges for the year-ended July 31, 2011 and $11.4 million of after-tax restructuring charges for\nthe year ended July 31, 2010, net income was up 23.4 percent to $115.3 million for the year ended\nJuly 31, 2011 compared to $93.4 million for the year ended July 31, 2010.\n

\n\n

Earnings per diluted Class A Common Share were up 31.6 percent to $2.04 for the year ended\nJuly 31, 2011 compared to $1.55 for the year ended July 31, 2010. Excluding after-tax\nrestructuring charges, earnings per diluted Class A Common Share increased 22.7 percent to $2.16\nfor the year ended July 31, 2011 compared to $1.76 per share for the year ended July 31, 2010.\n

\n\n

Sales for the year-ended July 31, 2011 were up 6.4 percent to $1.34 billion compared to $1.26\nbillion for the year ended July 31, 2010. Organic sales growth was 2.9 percent, acquisitions net\nof divestitures contributed 1.0 percent to sales growth, and the impact of foreign currency\ntranslation increased sales by 2.5 percent during the year ended July 31, 2011. By segment,\norganic sales increased 3.2 percent in the Americas, 4.7 percent in Europe and 0.4 percent in the\nAsia-Pacific region.\n

\n\n

Fourth Quarter Ended July 31, 2011:\n

\n\n\n

Net income for the quarter ended July 31, 2011 was up 37.0 percent to $29.6 million compared\nto $21.6 million in the same quarter last year. Excluding $1.6 million of after-tax restructuring\ncharges in the fourth quarter of fiscal 2011 and $4.6 million of after-tax restructuring charges in\nthe same quarter last year, net income was up 19.1 percent to $31.2 million compared to $26.2\nmillion in the same quarter last year.\n

\n\n

Earnings per diluted Class A Common Share were up 34.1 percent to $0.55 in the fourth quarter\nof fiscal 2011 compared to $0.41 in the fourth quarter of fiscal 2010. Excluding after-tax\nrestructuring charges, earnings per diluted Class A Common Share increased 18.4 percent to $0.58 in\nthe fourth quarter of fiscal 2011 compared to $0.49 per share in the same quarter of fiscal 2010.\n

\n\n

Sales for the fiscal 2011 fourth quarter were up 6.3 percent to $343.1 million compared to\n$322.9 million in the fourth quarter of fiscal 2010. Organic sales declined 0.6 percent,\ndivestitures, net of acquisitions reduced\nsales by 0.2 percent, and the impact of foreign currency translation increased sales by 7.1\npercent. By segment, organic sales increased 2.0 percent in Europe and 0.4 percent in the\nAsia-Pacific region and decreased 2.7 percent in the Americas’ region.\n

\n\n

Share Buyback Program:\n

\n\n\n

Brady’s Board of Directors has authorized a share buyback program for up to two million shares\nof the Company’s common stock. The share repurchase plan may be implemented from time to time on\nthe open market or in privately negotiated transactions.\n

\n\n

Commentary and Guidance:\n

\n\n\n

“I am pleased with our strong earnings and cash flow both in the fourth quarter and the full\nfiscal year in light of a still challenging economy and relative moderate organic growth for the\ncompany. This is a testament to the positive impact BBPS is having on efficiency and productivity.\nDuring fiscal 2011, we returned $38.1 million of cash to our shareholders in the form of\ndividends, repaid $61.3 million of debt while increasing our cash position by $75.1 million; ending\nwith $390 million of cash on hand at July 31, 2011,” said Frank M. Jaehnert, Brady’s President and\nChief Executive Officer. “I’m also happy to report that our Board of Directors authorized a share\nbuyback program for up to 2 million shares and approved an increase in the dividend to our\nshareholders for the 26^th straight year.”\n

\n\n

“We remain focused on putting our cash to work through investment in organic growth\nopportunities as well as strategic acquisitions,” said Brady Chief Financial Officer Thomas J.\nFelmer. “As we look into fiscal 2012, we remain cautious about the health of the overall global\neconomy. We believe that the pace of economic growth will be modest. Accordingly, we anticipate\nlow-single-digit organic sales growth in fiscal 2012. For fiscal 2012, we expect earnings per\ndiluted Class A Common Share of between $2.30 and $2.50, exclusive of after-tax restructuring\ncharges. This guidance is based on current exchange rates, a full-year tax rate in the mid-20\npercent range, capital expenditures of approximately $25 million, and depreciation and amortization\nof $45 million.”\n

\n\n

A webcast regarding Brady’s fiscal 2011 fourth quarter financial results will be available\nat www.investor.bradycorp.com beginning at 9:30 a.m. Central Time today.\n

\n\n

Brady Corporation is an international manufacturer and marketer of complete solutions that\nidentify and protect premises, products and people. Brady’s products help customers increase\nsafety, security, productivity and performance and include high-performance labels and signs,\nsafety devices, printing systems and software, and precision die-cut materials. Founded in 1914,\nthe company has millions of customers in electronics, telecommunications, manufacturing,\nelectrical, construction, education, medical and a variety of other industries. Brady is\nheadquartered in Milwaukee, Wisconsin and employs approximately 6,500 people at operations in the\nAmericas, Europe and Asia-Pacific. Brady’s fiscal 2011 sales were approximately $1.34 billion.\nBrady stock trades on the New York Stock Exchange under the symbol BRC. More information is\navailable on the Internet at www.bradycorp.com.\n

\n\n

###\n

\n\n\n

Brady believes that certain statements in this news release are “forward-looking statements”\nwithin the meaning of the Private Securities Litigation Reform Act of 1995. All statements related\nto future, not past, events included in this news release, including, without limitation,\nstatements regarding Brady’s future financial position, business strategy, targets, projected\nsales, costs, earnings, capital expenditures, debt levels and cash flows, and plans and objectives\nof management for future operations are forward-looking statements. When used in this news release,\nwords such as “may,” “will,” “expect,” “intend,” “estimate,” “anticipate,” “believe,” “should,”\n“project” or “plan” or similar terminology are generally intended to identify forward-looking\nstatements. These forward-looking statements by their nature address matters that are, to different\ndegrees, uncertain and are subject to risks, assumptions and other factors, some of which are\nbeyond Brady’s control, that could cause actual results to differ materially from those expressed\nor implied by such forward-looking statements. For Brady, uncertainties arise from the length or\nseverity of the current worldwide economic downturn or timing or strength of a subsequent recovery;\nfuture financial performance of major markets Brady serves, which include, without limitation,\ntelecommunications, manufacturing, electrical, construction, laboratory, education, governmental,\npublic utility, computer, transportation; difficulties in making and integrating acquisitions;\nrisks associated with newly acquired businesses; Brady’s ability to develop and successfully market\nnew products; changes in the supply of, or price for, parts and components; increased price\npressure from suppliers and customers; fluctuations in currency rates versus the US dollar;\nunforeseen tax consequences; potential write-offs of Brady’s substantial intangible assets; Brady’s\nability to retain significant contracts and customers; risks associated with international\noperations; Brady’s ability to maintain compliance with its debt covenants; technology changes;\nbusiness interruptions due to implementing business systems; environmental, health and safety\ncompliance costs and liabilities; future competition; interruptions to sources of supply; Brady’s\nability to realize cost savings from operating initiatives; difficulties associated with exports;\nrisks associated with restructuring plans; risks associated with obtaining governmental approvals\nand maintaining regulatory compliance; and numerous other matters of national, regional and global\nscale, including those of a political, economic, business, competitive and regulatory nature\ncontained from time to time in Brady’s U.S. Securities and Exchange Commission filings, including,\nbut not limited to, those factors listed in the “Risk Factors” section located in Item 1A of Part I\nof Brady’s Form 10-K for the year ended July 31, 2010. These uncertainties may cause Brady’s actual\nfuture results to be materially different than those expressed in its forward-looking statements.\nBrady does not undertake to update its forward-looking statements.\n

\n\n\n

\n\n

\n\n\n

BRADY CORPORATION AND SUBSIDIARIES\n

\n\n\n\n

CONDENSED CONSOLIDATED STATEMENTS OF INCOME\n\n

\n\n\n

(Dollars in Thousands)\n

\n\n\n

\n\n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n\n\n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n\n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n


	(Unaudited)
	Three Months Ended Jul 31,			Twelve Months Ended Jul 31,
								Percentage										Percentage
	2011			2010			Change		2011		2010			Change
Net sales	$	343,104			$	322,894			6.3	%	$	1,339,597			$	1,259,096			6.4	%
Cost of products sold		178,068				164,155			8.5	%		683,401				635,799			7.5	%

Gross margin		165,036				158,739			4.0	%		656,196				623,297			5.3	%

Operating expenses:
Research and development		10,775				11,671			-7.7	%		43,001				42,621			0.9	%
Selling, general and administrative		109,421				107,268			2.0	%		441,815				435,906			1.4	%
Restructuring charge		2,202				5,717			-61.5	%		9,188				15,314			-40.0	%

Total operating expenses		122,398				124,656			-1.8	%		494,004				493,841			0.0	%

Operating income		42,638				34,083			25.1	%		162,192				129,456			25.3	%

Other income (expense):
Investment and other income (expense)		1,098				(105	)		-1145.7	%		3,990				1,168			241.6	%
Interest expense		(5,484	)			(5,750	)		-4.6	%		(22,124	)			(21,222	)		4.3	%


Income before income taxes		38,252				28,228			35.5	%		144,058				109,402			31.7	%

Income taxes		8,669				6,636			30.6	%		35,406				27,446			29.0	%


Net income	$	29,583			$	21,592			37.0	%	$	108,652			$	81,956			32.6	%


Per Class A Nonvoting Common Share:
Basic net income	$	0.56			$	0.41			36.6	%	$	2.06			$	1.56			32.1	%
Diluted net income	$	0.55			$	0.41			34.1	%	$	2.04			$	1.55			31.6	%
Dividends	$	0.18			$	0.175			2.9	%	$	0.72			$	0.70			2.9	%

Per Class B Voting Common Share:
Basic net income	$	0.56			$	0.41			36.6	%	$	2.04			$	1.55			31.6	%
Diluted net income	$	0.55			$	0.41			34.1	%	$	2.03			$	1.53			32.7	%
Dividends	$	0.18			$	0.175			2.9	%	$	0.70			$	0.68			3.0	%

Weighted average common shares\noutstanding (in thousands):
Basic		52,815				52,476						52,639				52,402
Diluted		53,333				52,872						53,133				52,946

\n\n\n

\n\n

\n\n\n

BRADY CORPORATION AND SUBSIDIARIES\n

\n\n\n\n

CONSOLIDATED BALANCE SHEETS\n\n

\n\n\n

(IN THOUSANDS)\n

\n\n\n

\n\n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n\n\n \n \n \n \n \n \n \n\n\n\n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n\n\n


	(Unaudited)
	July 31, 2011			July 31, 2010

ASSETS

Current assets:
Cash and cash equivalents	$	389,971			$	314,840
Accounts receivable, net		228,483				221,621
Inventories:
Finished products		62,152				52,906
Work-in-process		14,550				13,146
Raw materials and supplies		27,484				28,620

Total inventories		104,186				94,672
Prepaid expenses and other current assets		35,647				37,839


Total current assets		758,287				668,972

Other assets:
Goodwill		800,343				768,600
Other intangible assets, net		89,961				103,546
Deferred income taxes		53,755				39,103
Other		19,244				20,808

Property, plant and equipment:
Cost:
Land		6,406				6,265
Buildings and improvements		104,644				101,138
Machinery and equipment		305,557				289,727
Construction in progress		11,226				9,873

		427,833				407,003

Less accumulated depreciation		287,918				261,501


Property, plant and equipment — net		139,915				145,502


Total	$	1,861,505			$	1,746,531


LIABILITIES AND STOCKHOLDERS’ INVESTMENT

Current liabilities:
Accounts payable	$	98,847			$	96,702
Wages and amounts withheld from employees		69,798				67,285
Taxes, other than income taxes		7,612				7,537
Accrued income taxes		9,954				10,138
Other current liabilities		54,406				50,862
Current maturities on long-term debt		61,264				61,264


Total current liabilities		301,881				293,788

Long-term obligations, less current maturities		331,914				382,940

Other liabilities		71,518				64,776


Total liabilities		705,313				741,504

Stockholders’ investment:
Common stock:
Class A nonvoting common stock — Issued 51,261,487 and 51,261,487 shares, respectively and outstanding 49,284,252 and 48,875,716 shares, respectively		513				513
Class B voting common stock — Issued and outstanding, 3,538,628 shares		35				35
Additional paid-in capital		307,527				304,205
Income retained in the business		789,100				718,512
Treasury stock — 1,667,235 and 2,175,771 shares, respectively of Class A nonvoting common stock, at cost		(50,017	)			(66,314	)
Accumulated other comprehensive income		113,898				50,905
Other		(4,864	)			(2,829	)


Total stockholders’ investment		1,156,192				1,005,027


Total	$	1,861,505			$	1,746,531

\n\n\n

\n\n

\n\n\n

BRADY CORPORATION AND SUBSIDIARIES\n

\n\n\n\n

CONSOLIDATED STATEMENTS OF CASH FLOWS\n\n

\n\n\n

(Dollars in Thousands)\n

\n\n\n


	(Unaudited)
	Twelve Months Ended
	July 31,
	2011			2010
Operating activities:
Net income	$	108,652			$	81,956
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization		48,827				53,022
Deferred income taxes		(8,161	)			(6,834	)
Gain on the sale of business (pre-tax)		(4,394	)			—
Non-cash portion of restructuring charges		2,155				2,260
Non-cash portion of stock-based compensation expense		9,830				9,721
Changes in operating assets and liabilities \n\n(net of effects of business acquisitions/divestitures):
Accounts receivable		7,680				(29,479	)
Inventories		(2,886	)			426
Prepaid expenses and other assets		5,624				(3,502	)
Accounts payable and accrued liabilities		(3,365	)			52,410
Income taxes		3,388				5,258

Net cash provided by operating activities		167,350				165,238

Investing activities:
Acquisition of business, net of cash acquired		(7,970	)			(30,431	)
Payments of contingent consideration		(1,528	)			—
Divestiture of business, net of cash retained in business		12,980				—
Purchases of property, plant and equipment		(20,532	)			(26,296	)
Settlement of net investment hedges		(5,542	)			6,248
Other		(39	)			1,798

Net cash used in investing activities		(22,631	)			(48,681	)

Financing activities:
Payment of dividends		(38,064	)			(36,786	)
Proceeds from issuance of common stock		8,193				3,717
Principal payments on debt		(61,264	)			(44,893	)
Proceeds from issuance of debt		—				94,915
Purchase of treasury stock		—				(2,537	)
Income tax benefit from the exercise of stock options and deferred\ncompensation distribution, and other		(439	)			859

Net cash (used in) provided by financing activities		(91,574	)			15,275

Effect of exchange rate changes on cash		21,986				(5,148	)

Net increase in cash and cash equivalents		75,131				126,684
Cash and cash equivalents, beginning of period		314,840				188,156


Cash and cash equivalents, end of period	$	389,971			$	314,840


Supplemental disclosures:
Cash paid during the period for:
Interest, net of capitalized interest	$	21,298			$	21,626
Income taxes, net of refunds		35,851				30,870
Acquisitions:
Fair value of assets acquired, net of cash	$	4,624			$	15,366
Liabilities assumed		(1,446	)			(5,201	)
Goodwill		4,792				20,266

Net cash paid for acquisitions	$	7,970			$	30,431

\n\n\n

\n\n

\n\n\n

Information by regional segment for the three and twelve months ended July 31, 2011 and 2010\nis as follows:\n

\n\n

\n\n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n\n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n \n\n\n


															Corporate and
(in thousands)	Americas			Europe			Asia-Pacific		Total Region		Eliminations			Total Company
SALES TO EXTERNAL CUSTOMERS
Three months ended:
July 31, 2011	$	146,212			$	102,970		$	93,922		$	343,104			$	—		$	343,104
July 31, 2010	$	148,929			$	91,020		$	82,945		$	322,894			$	—		$	322,894
July 31, 2009	$	124,867			$	86,567		$	75,769		$	287,203			$	—		$	287,203

Twelve months ended:
July 31, 2011	$	577,428			$	404,955		$	357,214		$	1,339,597			$	—		$	1,339,597
July 31, 2010	$	551,185			$	380,121		$	327,790		$	1,259,096			$	—		$	1,259,096
July 31, 2009	$	534,440			$	367,156		$	307,106		$	1,208,702			$	—		$	1,208,702

SALES GROWTH INFORMATION
Three months ended July 31, 2011:
Base		-2.7	%			2.0	%		0.4	%		-0.6	%			—			-0.6	%
Currency		1.6	%			12.8	%		10.5	%		7.1	%			—			7.1	%
Acquisitions/Divestitures		-0.7	%			-1.6	%		2.3	%		-0.2	%			—			-0.2	%

Total		-1.8	%			13.2	%		13.2	%		6.3	%			—			6.3	%

Twelve months ended July 31, 2011:
Base		3.2	%			4.7	%		0.4	%		2.9	%			—			2.9	%
Currency		1.1	%			0.6	%		6.9	%		2.5	%			—			2.5	%
Acquisitions/Divestitures		0.5	%			1.2	%		1.7	%		1.0	%			—			1.0	%

Total		4.8	%			6.5	%		9.0	%		6.4	%			—			6.4	%

SEGMENT PROFIT (LOSS)
Three months ended:
July 31, 2011	$	36,850			$	29,882		$	11,775		$	78,507			$	(3,655	)		74,852
July 31, 2010	$	34,964			$	25,035		$	13,516		$	73,515			$	(3,970	)		69,545
Percentage increase\n(decrease)		5.4	%			19.4	%		-12.9	%		6.8	%						7.6	%

Twelve months ended:
July 31, 2011	$	145,516			$	112,047		$	50,105		$	307,668			$	(15,742	)	$	291,926
July 31, 2010	$	125,169			$	103,316		$	52,105		$	280,590			$	(14,131	)	$	266,459
Percentage increase\n(decrease)		16.3	%			8.5	%		-3.8	%		9.7	%						9.6	%

\n\n\n

NET INCOME RECONCILIATION (in thousands)\n

\n\n


	Three months ended:			Twelve months ended:
	July 31, 2011			July 31, 2010			July 31, 2011		July 31, 2010
Total profit for reportable segments	$	78,507			$	73,515		$	307,668		$	280,590
Corporate and eliminations		(3,655	)			(3,970	)		(15,742	)		(14,131	)
Unallocated amounts:
Administrative costs		(30,012	)			(29,745	)		(120,546	)		(121,689	)
Restructuring costs		(2,202	)			(5,717	)		(9,188	)		(15,314	)
Investment and other income (expense)		1,098				(105	)		3,990			1,168
Interest expense		(5,484	)			(5,750	)		(22,124	)		(21,222	)

Income before income taxes		38,252				28,228			144,058			109,402
Income taxes		(8,669	)			(6,636	)		(35,406	)		(27,446	)

Net income	$	29,583			$	21,592		$	108,652		$	81,956

\n\n

\n\n\n

RECONCILIATION OF GAAP MEASURES TO NON-GAAP MEASURES
\n(in thousands)\n\n


	Fiscal 2011
	Q1		Q2			Q3		Q4	Total
EBITDA (1)
Net income	$	26,281		$	24,199		$	28,589	$	29,583	$	108,652
Interest expense		5,687			5,850			5,103		5,484		22,124
Income taxes		9,925			8,205			8,607		8,669		35,406
Depreciation and amortization		12,594			12,908			12,020		11,305		48,827


EBITDA (non-GAAP measure)	$	54,487		$	51,162		$	54,319	$	55,041	$	215,009

\n\n


	Fiscal 2010
	Q1		Q2			Q3		Q4	Total
EBITDA (1)
Net income	$	21,668		$	15,001		$	23,695	$	21,592	$	81,956
Interest expense		5,162			5,163			5,147		5,750		21,222
Income taxes		8,775			4,842			7,193		6,636		27,446
Depreciation and amortization		13,817			13,549			12,910		12,746		53,022


EBITDA (non-GAAP measure)	$	49,422		$	38,555		$	48,945	$	46,724	$	183,646

\n\n\n\n\n\n\n \n \n \n\n\n\n \n \n \n\n\n


(1)		Brady is presenting EBITDA because it is used by many of our\ninvestors and lenders, and is presented as a convenience to them.\nEBITDA represents net income before interest expense, income\ntaxes and depreciation and amortization. EBITDA is not a\ncalculation based on generally accepted accounting principles\n(GAAP). The amounts included in the EBITDA calculation, however,\nare derived from amounts included in the Condensed Consolidated\nStatements of Income data. EBITDA should not be considered as an\nalternative to net income or operating income as an indicator of\nthe company’s operating performance, or as an alternative to\noperating cash flows as a measure of liquidity. The EBITDA\nmeasure presented may not always be comparable to similarly\ntitled measures reported by other companies due to differences in\nthe components of the calculation.

\n\n\n\n

\n\n

\n\n\n

EXHIBIT 99.2\n

\n\n\n

For More Information Contact:
\nAaron Pearce (414) 438-6895\n\n

\n\n

Brady Corporation Increases Dividend to Shareholders for the 26^th Straight Year.\n

\n\n\n

MILWAUKEE (September 9, 2011)—Brady Corporation’s (NYSE: BRC) Board of Directors has announced an\nincrease in its annual dividend to shareholders of the company’s Class A Common stock from $0.72\nper share to $0.74 per share. A quarterly dividend of $0.185 per share will be paid on October 31,\n2011 to shareholders of record at the close of business on October 10, 2011. This dividend\nrepresents the 26^th consecutive annual increase in dividends.\n

\n\n\n

Brady Corporation is an international manufacturer and marketer of complete solutions that\nidentify and protect premises, products and people. Brady’s products help customers increase\nsafety, security, productivity and performance and include high-performance labels and signs,\nsafety devices, printing systems and software, and precision die-cut materials. Founded in 1914,\nthe company has millions of customers in electronics, telecommunications, manufacturing,\nelectrical, construction, education, medical and a variety of other industries. Brady is\nheadquartered in Milwaukee, Wisconsin and employs approximately 6,500 people at operations in the\nAmericas, Europe and Asia-Pacific. Brady stock trades on the New York Stock Exchange under the\nsymbol BRC. More information is available on the Internet at www.bradycorp.com.\n

\n\n

###\n

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\n\n


Date: September 15, 2011	\nBRADY CORPORATION\n

	/s/\nThomas J. Felmer\n
	Thomas J. Felmer
	Senior Vice President & \nChief Financial Officer


	BRADY CORPORATION \n
	By:	/s/\nAllan J. Klotsche\n

	Attest:	/s/ Frank M. Jaehnert


EXHIBIT
NUMBER		DESCRIPTION

	10.1		Brady Corporation Directors’ Deferred Compensation Plan, as amended.

	99.1		Press Release of Brady Corporation, dated September 12, 2011, relating to fourth\nquarter fiscal 2011 financial results and share buyback program.

	99.2		Press Release of Brady Corporation, dated September 9, 2011, related to increase in\nquarterly dividend.