Investors Meeting

1
The Professionals Source for Turf Care
First Quarter 2004
4/29/04
2
Safe Harbor Statement
Portions of this presentation and other
statements relating to sales and earnings
expectations, the amount of the charge associated
with the sale of the accounts receivable
portfolio, new Service Center openings and
profitability, the Companys ability to impose
price increases and other statements that are not
historical information are forward-looking
statements and, as such, reflect only the
Companys best assessment at this time.
Investors are cautioned that forward-looking
statements involve risks and uncertainties, that
actual results may differ materially from such
statements and that investors should not place
undue reliance on such statements. Factors that
may cause actual results to differ materially
from those projected or implied in the
forward-looking statements include, but are not
limited to, the final resolution of certain
contingencies relative to the collection of
identified accounts receivable, the Companys
ability to add new Service Centers in accordance
with its plans, which can be affected by local
zoning and other governmental regulations and its
ability to find favorable store locations, to
negotiate favorable leases, to hire qualified
individuals to operate the Service Centers, and
to integrate new Service Centers into the
Companys systems competitive factors in the
Companys business, including pricing pressures
lack of availability or instability in the cost
of raw materials which affects the costs of
certain products the Companys ability to impose
price increases on customers without a
significant loss in revenues potential rate
increases by third-party carriers which affects
the cost of delivery of products potential
regulations the Companys ability to effectively
manufacture, market and distribute new products
the success of the Companys operating plans
regional weather conditions and the condition of
the industry and the economy. For a further
discussion of risk factors, investors should
refer to the Companys Securities and Exchange
Commission reports, including but not limited to,
Form 10-K for the year ended December 31, 2003.
1.
3
Operating Results Year End2003
Operating ResultsFirst Quarter 2004
2.
2.
4
Sales First Quarter 2004

• Net sales increased 8
• Lawn Care
• Increase of 10.4
• Golf
• Decrease of 3.9
• Service Center Sales
• Same-store increase of 5.0
• Total increase of 10.2
• New Service Center sales -

8.0
1.1
3.1
2.3
1.5
0.9
First Quarter 2004 2003 Class of
2003 2.9 0.2 Class of 2004 0.5 ?
3.4 0.2
3.
5
SalesCustomer Sector by Transacting Location
4.
6
Product MarginFirst Quarter 2004
5.
7
Distribution CostFirst Quarter 2004
6.
8
Selling ExpensesFirst Quarter 2004

• Selling expense increase due to
• New Service Centers

First Quarter 2004 2003 Class of
2003 1.0 0.3 Class of 2004 0.2 ?
1.2 0.3
non-GAAP presentation
7.
9
GA ExpensesFirst Quarter 2004
8.
10
Pre-Tax Operating ResultsFirst Quarter 2004
9.
11
New Service CentersPre-Tax Operating
ResultsFirst Quarter 2004
10.
12
Loss Per ShareFirst Quarter 2004
Results reflect income tax benefit recorded at
estimated tax rate of 39.
11.
13
Capital Investment
(a) The above has been adjusted for the asset
securitization 2Q01 of 35.0 million, 3Q01of
37.0 million and 4Q01 of 31.2 million. (b)
Excludes accruals relative to asset
rationalization and severance costs.
12.
14
Free Cash FlowFirst Quarter 2004




2004
2003




EBIT

(7.2)


(8.0)

Depreciation amortization

1.9


2.1

EBITDA

(5.3)


(5.9)

Working capital changes

2.9


(22.3)

Interest payments

(0.2)


(1.2)

Tax refunds

3.6


0.1

Capital expenditures

(0.8)


(2.7)






Free Cash Flow


0.2


(32.0)





non-GAAP presentation

13.
15
First Quarter Consolidated Statements of
Operations, Balance Sheets, and Cash Flows
14.
16
Consolidated Statements of Operations
(a) On a generally accepted accounting
principles (GAAP) basis, LESCO cannot recognize
the benefit of establishing a deferred tax asset
to be realized in a future period, because of the
required accounting treatment for its current tax
position. Management believes that in order to
present a more meaningful comparison to
historical Company results, a tax benefit should
be reflected based on the operating loss recorded
in the first quarter of 2004. This assumes that
LESCO will realize benefits in the future from
its deferred tax assets which is an assumption
not recognized by GAAP. The Companys GAAP
operating results are included in column 1, the
adjustment to taxes in column 2 and the operating
results including the tax adjustments in column
3. The adjusted results reflect a tax benefit
calculated assuming a tax rate of 39.
15.
17
Consolidated Balance Sheets
16.
18
Consolidated Statement of Cash Flows
17.
19
The Professionals Source for Turf Care