CPAC Reports Earnings for 3rd Quarter
Quarterly Cash Dividend Declared

LEICESTER, N.Y. – February 7, 2001 – CPAC, Inc. (Nasdaq/NNM: CPAK), an international manufacturer and marketer of cleaning chemicals and related accessories, personal care products, and prepackaged imaging chemical formulations, today announced results, in line with the Company’s projection made in early December, for the third quarter and nine months of fiscal year 2001, ended December 31, 2000.

The Company’s Board of Directors again declared a quarterly cash dividend in the amount of $0.07 per share, payable on March 23, 2001 to shareholders of record at the close of business on February 23, 2001.

Consolidated Results
Consistent with the slowing economy, consolidated net sales for the third quarter were $24.1 million compared to $27.1 million for the same period last year. Sales for the third quarter were affected by declines in both segments of the Company’s business.

Consolidated net income for the quarter was $1.06 million, or $0.19 per diluted share, compared with $1.57 million, or $0.25 per diluted share, for the third quarter last year.

Operating cash flow for the quarter remained strong at $2.782 million, or $0.50 per diluted share.

Consolidated net sales for the nine-months ended December 31, 2000 were $77.3 million compared to $81.6 million for the comparable period last year. Nine-month diluted earnings per share increased by 7.8 percent to $0.69, from $0.64 for the prior year period. Nine-month weighted average common shares outstanding were 5,591,798 compared with 6,232,778 for the prior year period. Detailed financial disclosures follow.

Outlook For 4^th Quarter and Fiscal Year 2002
Thomas N. Hendrickson, CPAC President and Chief Executive Officer, said, "Although we’re disappointed in this quarter's performance and the negative sales trend through the first three quarters, we are exploring a number of different actions that we believe will help to reenergize both the Fuller Brands and Imaging businesses during fiscal 2002. Even so, we believe it is likely that fourth quarter results will be below last year. Despite the weak economy, the company remains financially healthy. We have a strong balance sheet and positive cash flows."

During the third quarter the company initiated a program of increased investment in leveraging the value of the Fuller name to drive traffic to the Fullerbrush.com web site. With twelve web sites for Fuller Brands product sales, and a merchant partner alliance with Quixtar, the Internet provides a viable, low-cost option for distribution of Fuller Brush products.

Conference Call
The Company will discuss third quarter results in a conference call to be held today at 11:00 AM. To listen, log onto www.vcall.com/NASApp/Vcall/EventPage?ID=67280 for a simultaneous broadcast, or within 90 days to access an archived version. The recorded call can be accessed by dialing 1-800-625-5288.

Profile
CPAC, Inc. is an international manufacturer and marketer of industrial and household cleaning products and related accessories, and personal care products for the cleaning and personal care industry, as well as prepackaged chemical formulations, supplies, and equipment systems for the imaging industry. The company operates in two business segments: Cleaning and Personal Care (Fuller Brands) and Imaging. The Fuller Brands segment includes The Fuller Brush Company (commercial and consumer), Stanley Home Products, and Cleaning Technologies Group. CPAC's Imaging segment serves the global Imaging market and includes three domestic and four international chemical manufacturing operations. CPAC, Inc. shares trade on the Nasdaq National Market System under the ticker symbol "CPAK''. More information is available on the Company's web site (http://www.cpac-fuller.com).

CPAC, Inc.
Supplemental segment data
DECEMBER 31, 2000 AND DECEMBER 31, 1999
(unaudited)