LIVE CONFERENCE CALL
                                 10 a.m. CST
                     www.toro.com/companyinfo/invest.html

BLOOMINGTON, Minn., Dec. 11 /PRNewswire-FirstCall/ -- The Toro Company (NYSE: TTC) today reported net earnings of $5.0 million or $ .39 per diluted share on net sales of $275.4 million for its fiscal fourth quarter ended October 31, 2002. Results for the quarter include restructuring and other income of $1.0 million after tax or $ .08 per diluted share. Adjusted to exclude this income, the company's net earnings for the fourth quarter of fiscal 2002 totaled $ .31 per diluted share. In the comparable fiscal 2001 period, the company reported net earnings of $2.2 million or $ .17 per diluted share on net sales of $283.4 million. Adjusted to reflect the company's November 1, 2001 adoption of Statement of Financial Accounting Standards No. 142, "Goodwill and other Intangible Assets" (SFAS No. 142), net earnings for the fourth quarter of 2001 would have been $ 3.7 million or $ .29 per diluted share.

For the year ended October 31, 2002, Toro reported net earnings of $35.3 million or $2.73 per diluted share on net sales of $1,399.3 million. Results for fiscal 2002 include the following previously reported three items: a one-time foreign sales tax corporation benefit of $1.8 million or $ .14 per diluted share, a non-cash charge of $24.6 million after tax or $1.90 per diluted share for the cumulative effect of a change in goodwill accounting related to the adoption of SFAS No. 142, and restructuring and other expenses of $5.6 million after tax or $.44 per share, which includes the previously announced benefit for the fourth quarter.

Adjusted to exclude these items, the company's net earnings for fiscal 2002 totaled $4.93 per diluted share. In fiscal 2001, the company reported net earnings of $50.4 million or $3.86 per diluted share on net sales of $1,353.1 million. Results for the fiscal 2001 period include a benefit of $0.4 million after tax or $.03 per diluted share related to the reversal of a prior accrual for the closing of a facility. Adjusted to exclude this accrual reversal and to reflect the company's November 1, 2001 adoption of SFAS No. 142, net earnings for fiscal 2001 were $58.1 million or $4.44 per diluted share.

The following table summarizes the adjustments affecting the period-to- period comparisons.

    4th Quarter ended October 31, 2002          2002        2001       %

    Reported diluted earnings per share         $.39        $.17
    Restructuring and other income              (.08)         --
    Goodwill amortization expense                 --         .12
    Adjusted diluted earnings per share         $.31        $.29     6.9%


    Year Ended October 31, 2002                2002         2001       %

    Reported diluted earnings per share        $2.73      $ 3.86
    Cumulative effect of change in
     accounting principle                       1.90          --
    Restructuring and other expense (income)    0.44       (0.03)
    Goodwill amortization expense                 --        0.61
    One-time tax refund                        (0.14)        ---
    Adjusted diluted earnings per share       $ 4.93      $ 4.44    11.0%

"We are very pleased with results of the fourth quarter and year," said Kendrick B. Melrose, chairman and chief executive officer of The Toro Company. "While every business has been subject to trying conditions this past year, Toro has demonstrated solid earnings growth in spite of less than desirable weather conditions and an uncertain economy, both domestically and internationally." Melrose continued, "Our new product introductions combined with a continued focus on the customer fueled an increase, albeit modest, in net revenues for the year. On the other hand, our cost reduction initiatives led by our '5 by Five' programs have allowed us to deliver a double-digit increase in earnings for the year."

During the year just completed, Toro undertook several changes in its manufacturing operations to reduce costs and adjust manufacturing capacity. These changes involved closing the Riverside, California and Evansville, Indiana manufacturing facilities, expanding existing facilities in Juarez, Mexico and Beatrice, Nebraska and adding a second facility in Juarez to accommodate walk power mower production. These changes are proceeding as planned, and in the fourth quarter of 2002 the new Juarez plant became partially operational. Also, in the fourth quarter, Toro made the decision to close its Madera, California plant, which manufactures agricultural irrigation products and consolidated that production into other existing facilities. This resulted in a one-time restructuring and other expense charge of $1.2 million before tax. At the same time, Toro recorded a benefit of $2.7 million before tax from the reversal of accruals on the previous closings mainly as a result of the decision not to relocate the non-manufacturing portion of the facility at Riverside. The before tax combination of the charge of $1.2 million and the benefit of $2.7 million resulted in restructuring and other income of $1.5 million for the fourth quarter.

Net sales for the fourth quarter were down 2.8% reflecting lower snowthrower, rider and landscape equipment sales, which were partially offset by the continued strength of Toro residential walk behind mower products and stronger than expected golf equipment and irrigation sales. Gross margins improved due to product mix and reduction of product costs, which was partially offset by a charge relating to a distributor.

Segment Results

For the year, residential sales were up 9.8% in large part because of the successful introduction of Toro's moderately priced mower at both The Home Depot and independent dealers. Not only did shipments of this product increase, but retail sales exceeded expectations. Home Solution products also were up substantially due to new product placements and introductions of electric trimmers and retail irrigation. These increases were offset by a continued softness in the rider market as well as lower snowthrower sales.

Professional sales were up slightly for the year. Golf sales benefited from the introduction of new irrigation and equipment products worldwide. These new products included groundsmasters, greensmowers, utility vehicles, irrigation sprinklers and controllers. Residential/Commercial irrigation sales were also up worldwide as Toro took advantage of low field inventory and increased demand for Irritrol products. Entering into this season, landscape equipment field inventories were higher than normal. During the year both Toro and Exmark managed field inventories down to a more acceptable level. As a result, landscape equipment shipments were lower than planned even though retail continued to grow at a double-digit pace. The continued acceptance of these products at retail level combined with the reduction of field inventory should put Toro in a good position heading into next year.

Company-owned distributor sales were up 8.4% reflecting the previous year's acquisition of an additional distribution business. Without the acquisition, sales would have been down slightly due to poor weather and weak economic conditions.

Review of Operations

For the year, gross margin as a percent of sales for the year was up significantly reflecting the benefits of the company's continued focus on "5 by Five" initiatives and the movement of production to lower cost facilities. These gains were partially offset by product mix, unfavorable manufacturing variances as the company lowered sales to adjust field inventories and the previously mentioned charge relating to a distributor. SG&A expenses before restructuring charges were higher in dollars but lower as a percent of sales. A majority of the increase was due to the previously mentioned acquisition, which was partially offset by the exclusion of goodwill amortization expense in fiscal '02.

The balance sheet and cash flow statements reflect Toro's continued emphasis on asset management. The reduction in inventories and receivables from a year ago enabled the company to pay down substantially all short-term debt, repurchase stock and make significant capital expenditures while generating over $60 million in cash.

Business Outlook

Toro is entering fiscal 2003 in a stronger financial position than fiscal 2002. Field inventories have improved compared to last year's levels. However, a great deal of uncertainty remains in the economy. Toro initially expects revenues for fiscal 2003 to grow in the 5 - 7% range with earnings per diluted share estimated to be in the $5.45- 5.55 range, an increase of approximately 10 - 13% over fiscal 2002 before all charges and tax credits. In 2003, Toro expects earnings per diluted share for its first quarter, traditionally the company's slowest fiscal quarter, to range from $ .10 - .15.

The Toro Company is a leading worldwide provider of outdoor maintenance and beautification products for home, recreation and commercial landscapes.

Safe Harbor

Statements made in this news release, which are forward-looking, are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include statements regarding the outlook for the company's professional and residential businesses, benefits from the "5 By Five" profit improvement program; continued acceptance of new products; projected fiscal 2003 financial performance, including projected fiscal 2003 earnings growth of 10 to 13 percent per diluted share and earnings growth into the future; continued strong retail sales; expected change in channel partners field inventory levels and the potential contribution to results of operations of sales to large national retailers and local independent dealers, as well as assumptions underlying any of the foregoing.

Such statements involve risks and uncertainties that may cause results to differ materially from those set forth in those statements. Among other things, earnings and revenue growth could be affected by continued global economic decline that began in 2000; additional economic uncertainty created by the threat of further terrorist acts and war, which may result in heightened security for import and export shipments of components or finished goods; further reductions in consumer spending including spending for travel and golf and unanticipated increased costs; the company's ability to continue to reduce expenses and implement all aspects of the "5 by Five" profit improvement program including expenses necessitated by threats of terrorism or war; the company's ability to achieve fiscal 2003 sales and earnings estimates; continuing problems in the design and manufacturing of irrigation products; capital investments for a new production facility to satisfy the expected increase in demand for these products and increased dependence on selected national retailers; inflationary pressures and continued uncertainty and increased costs due to the continued strength for the dollar in foreign currency markets. In addition to the factors set forth in this paragraph, market, economic, financial, competitive, weather, production and other factors identified in Toro's quarterly and annual reports filed with the Securities and Exchange Commission, could affect the forward-looking statements in this press release. Toro undertakes no obligation to update forward-looking statements made in this release to reflect events or circumstances after the date of this statement.

                      THE TORO COMPANY AND SUBSIDIARIES

          Condensed Consolidated Statements of Earnings (Unaudited)
           (Dollars and shares in thousands, except per-share data)

                             Three Months Ended          Years Ended
                         October 31,   October 31,   October 31,  October 31,
                             2002          2001         2002         2001

    Net sales             $275,412      $283,376   $1,399,273    $1,353,083
    Gross profit            98,964        93,721      485,263       460,238
      Gross profit percent    35.9%         33.1%        34.7%         34.0%
    Selling, general, and
     administrative
     expense                90,589        89,106      376,278       366,284
    Restructuring and
     other expense (income) (1,544)            -        8,409          (679)
      Earnings from
       operations            9,919         4,615      100,576        94,633
    Interest expense        (4,523)       (4,113)     (19,747)      (22,003)
    Other income, net        2,054         2,921        5,970         7,447
      Earnings before income
       taxes                 7,450         3,423       86,799        80,077
    Provision for income
     taxes                   2,458         1,268       26,868        29,629
      Net earnings before
       cumulative effect of
       change in accounting
       principle
                             4,992         2,155       59,931        50,448
    Cumulative effect of
     change in accounting
     principle, net of
     income tax benefit
     of $509                     -             -      (24,614)            -
      Net earnings          $4,992        $2,155      $35,317       $50,448

    Basic net earnings per
     share, before
     cumulative effect of
     change in accounting
     principle               $0.40         $0.17        $4.78         $3.97
    Cumulative effect of
     change in accounting
     principle, net of income
     tax benefit                 -             -        (1.96)            -
    Basic net earnings per
     share                   $0.40         $0.17        $2.82         $3.97

    Diluted net earnings
     per share, before
     cumulative effect of
     change in accounting
     principle               $0.39         $0.17        $4.63         $3.86
    Cumulative effect of
     change in accounting
     principle, net of
     income tax benefit          -             -        (1.90)            -
    Diluted net earnings
     per share               $0.39         $0.17        $2.73         $3.86

Weighted average number

of shares of common

stock outstanding

- Basic 12,394 12,574 12,525 12,700

Weighted average number

of shares of common

stock outstanding

     - Dilutive             12,850        12,934       12,936        13,067



                       Net Sales by Segment (Unaudited)
                            (Dollars in thousands)

                            Three Months Ended            Years Ended
                          October 31,   October 31,  October 31,   October 31,
                             2002         2001          2002          2001

    Professional          $161,027      $157,901     $862,294      $858,855
    Residential             92,475       101,838      474,333       432,176
    Distribution            40,110        42,554      158,935       146,642
    Other                  (18,200)      (18,917)     (96,289)      (84,590)
      Total*              $275,412      $283,376   $1,399,273    $1,353,083

• Includes international

sales of $52,205 $47,658 $261,603 $252,828

          Earnings (Loss) Before Income Taxes by Segment (Unaudited)
                            (Dollars in thousands)

                             Three Months Ended           Years Ended
                          October 31,   October 31,  October 31,   October 31,
                             2002          2001        2002           2001

    Professional           $14,590        $1,342     $111,709      $106,600
    Residential             11,978        11,931       51,916        41,904
    Distribution               290           756        2,251          (361)
    Other                  (19,408)      (10,606)     (79,077)      (68,066)
      Total                 $7,450        $3,423      $86,799       $80,077


                      THE TORO COMPANY AND SUBSIDIARIES
              Condensed Consolidated Balance Sheets (Unaudited)
                            (Dollars in thousands)

                                                  October 31,    October 31,
                                                      2002            2001
    ASSETS
    Cash and cash equivalents                        $62,816        $12,876
    Receivables, net                                 255,739        271,677
    Inventories, net                                 224,367        234,661
    Prepaid expenses and other current assets         10,497         11,052
    Deferred income taxes                             38,722         33,927
      Total current assets                           592,141        564,193

    Property, plant, and equipment, net              156,779        142,245
    Deferred income taxes                              4,196          9,721
    Goodwill and other assets                         93,024        119,515
      Total assets                                  $846,140       $835,674

    LIABILITIES AND STOCKHOLDERS' EQUITY
    Current portion of long-term debt                $15,825           $513
    Short-term debt                                    1,156         34,413
    Accounts payable                                  86,180         77,549
    Other accrued liabilities                        190,589        180,092
      Total current liabilities                      293,750        292,567

    Long-term debt, less current portion             178,756        194,565
    Other long-term liabilities                        8,344          7,149
    Stockholders' equity                             365,290        341,393
      Total liabilities and stockholders' equity    $846,140       $835,674


                      THE TORO COMPANY AND SUBSIDIARIES
         Condensed Consolidated Statements of Cash Flows (Unaudited)
                            (Dollars in thousands)

                                                          Years Ended
                                                  October 31,     October 31,
                                                       2002           2001
    Cash flows from operating activities:
    Net earnings                                     $35,317        $50,448
    Adjustments to reconcile net earnings to net cash
     provided by operating activities:
    Cumulative effect of change in accounting
     principle                                        24,614              -
    Noncash asset impairment write-off                 4,099              -
    Provision for depreciation and amortization       30,932         37,171
    Writedown of investments                               -          1,926
    Gain on disposal of property, plant, and equipment  (856)           (56)
    Decrease in deferred income tax asset                730          6,706
    Tax benefits related to employee stock option
     transactions                                      1,508          4,841
    Changes in operating assets and liabilities:
      Receivables, net                                15,938        (15,538)
      Inventories, net                                10,294        (25,884)
      Prepaid expenses and other current assets          291          1,700
      Accounts payable and other accrued liabilities  21,287          8,878
        Net cash provided by operating activities    144,154         70,192

    Cash flows from investing activities:
      Purchases of property, plant, and equipment    (46,031)       (35,662)
      Proceeds from asset disposals                    2,964          2,298
      Decrease in investment in affiliates                 -            154
      Increase in other assets                        (2,621)        (3,001)
      Acquisitions, net of cash acquired                   -         (8,549)
        Net cash used in investing activities        (45,688)       (44,760)

    Cash flows from financing activities:
      (Decrease) increase in short-term debt         (33,257)        19,219
      Repayments of long-term debt                      (497)          (107)
      Increase in long-term debt                           -            219
      Increase in other long-term liabilities          1,195            326
      Proceeds from exercise of stock options         12,941         17,285
      Purchases of common stock                      (24,155)       (44,153)
      Dividends on common stock                       (6,026)        (6,108)
        Net cash used in financing activities        (49,799)       (13,319)

    Foreign currency translation adjustment            1,273           (215)

    Net increase in cash and cash equivalents         49,940         11,898
    Cash and cash equivalents as of the beginning
     of the year                                      12,876            978

    Cash and cash equivalents as of the end of
     the year                                        $62,816        $12,876

                     MAKE YOUR OPINION COUNT - Click Here
               http://tbutton.prnewswire.com/prn/11690X76973335

SOURCE The Toro Company

-0- 12/11/2002

/CONTACT: Investor Relations, Stephen P. Wolfe, Vice President, CFO, +1-952-887-8076, Stephen D. Keating, Assistant Treasurer, Director, Investor Relations, +1-952-887-8526, or Media Relations, Shelley Benedict, +1-952-887-8930, pr@toro.com , all of The Toro Company/

/Company News On-Call: http://www.prnewswire.com/comp/103025.html /