Exhibit 99.1

PARKER HANNIFIN REPORTS RECORD YEAR-END SALES, EARNINGS, AND CASH FLOW FROM OPERATIONS; ANNOUNCES Q4 EPS UP 31 PERCENT TO $1.34

Cleveland, Ohio: July 28, 2005 – Parker Hannifin Corporation (NYSE: PH) today reported new records in sales, earnings and cash flow from operations for fiscal-year 2005. Sales topped $8 billion for the first time in the company’s 87-year history; diluted earnings per share for the year were also at an all-time high; and cash flow from operations reached a record $871.8 million, or 10.6 percent of sales, surpassing last year’s record of $649.5 million, or 9.3 percent of sales.

For the full year, Parker posted a 63-percent increase in income from continuing operations, at $548.0 million, or a 61-percent increase in earnings per diluted share of $4.55. Revenues reached a record $8.22 billion, up 17 percent. Last year, the company earned $336.2 million from continuing operations, or $2.82 per diluted share, on sales of $7.0 billion. Income from discontinued operations for fiscal 2005 was $56.7 million, or 47 cents per diluted share, which includes profit from operations and the gain on the divestiture of the Wynn Oil specialty chemicals business.

Fourth-quarter income from continuing operations increased 32 percent to $161.4 million, or a 31-percent increase in earnings per diluted share of $1.34 on sales of $2.21 billion for the period ended June 30, 2005, compared to income from continuing operations of $122.6 million, or $1.02 cents per diluted share on sales of $1.96 billion in the same period last year.

“We have just completed an exceptional year, driving significant shareholder value as evidenced by our Return on Invested Capital (ROIC), which should rank us among the upper tier of our peer group. We demonstrated that Parker can achieve significant growth, and produce the cash to invest in yet another year of strong results in fiscal 2006,” said Chairman and CEO Don Washkewicz. “Parker employees made an incredible effort to execute our Win Strategy, and we have a solid foundation in place to build the future of our company. This will be seen as another great period in Parker’s rich history of profitable growth.”

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Segment Results

In the North American Industrial segment, fourth-quarter operating income improved 16 percent to $128.4 million on sales of $940.1 million. For the full year, North American Industrial operating income was up 61 percent to $468.2 million on sales of $3.52 billion.

The International Industrial segment fourth-quarter operating income increased 36 percent to $76.0 million on sales of $642.9 million. For the full year, International Industrial operating income was up 67 percent to $267.2 million on sales of $2.40 billion.

In the company’s Climate & Industrial Controls segment, fourth-quarter operating income increased six percent to $23.6 million on sales of $225.5 million. For the full year, the Climate & Industrial Controls segment recorded operating income up four percent to $74.8 million on sales of $794.3 million.

Aerospace reported a fourth-quarter increase in operating income of 24 percent to $54.4 million on sales of $364.0 million. For the full year, Aerospace reported operating income up 26 percent to $199.2 million on sales of $1.36 billion.

In the “Other” segment, comprised of Astron metal buildings, fourth-quarter operating income was $4.6 million on sales of $38.0 million. Full year operating income was up 127 percent to $18.5 million on sales of $146.3 million.

Outlook

In fiscal year 2006, Parker for the first time will be expensing equity based compensation as required by FAS 123R. Without the impact of this accounting change, the fiscal-year 2006 earnings from continuing operations are projected to range from $5.00 to $5.40 per diluted share. With the impact of the accounting change, the company projects earnings from continuing operations for fiscal-year 2006 to range from $4.80 to $5.25 per diluted share, including an expense of approximately 15 to 20 cents per diluted share related to FAS 123R. Removal of the FAS 123R accounting change allows investors and the company to meaningfully evaluate future projected performance on a comparable basis with prior periods which were not impacted by the accounting change.

“Nearly all of our major end markets are performing very well and we are particularly pleased with the strong demand we’re seeing in Aerospace. The performance of our traditional markets, plus the potential of our new growth platforms, lead us to project another year of solid sales and earnings in fiscal 2006,” added Washkewicz.

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“Going forward, we will continue to drive our Win Strategy goals of premier customer service and financial performance; with an even greater emphasis on profitable growth.

“Our focus for fiscal 2006 is on growth through innovation. We have the financial capacity to expand our business through strategic acquisitions and we plan to increase our investment in new product development, all in an effort to best serve our customers.”

In addition to the information provided herein, Parker advises shareholders to note order trends, for which the company makes a disclosure several business days after the conclusion of each month. This information is available on the company’s investor information web site, at http://www.phstock.com.

NOTICE OF CONFERENCE CALL: Parker Hannifin’s conference call and slide presentation to discuss its fiscal fourth-quarter results is available to all interested parties via live webcast today at 10:00 a.m. ET, on the company’s investor information web site, www.phstock.com. To access the call, click on the “Live Webcast” link. From this link, users also may complete a pre-call system test and register for e-mail notification of future events and information available from Parker.

With annual sales exceeding $8 billion, Parker Hannifin is the world’s leading diversified manufacturer of motion and control technologies and systems, providing precision-engineered solutions for a wide variety of commercial, mobile, industrial and aerospace markets. The company employs more than 50,000 people in 46 countries around the world. Parker has increased its annual dividends paid to shareholders for 49 consecutive years, among the top five longest-running dividend-increase records in the S&P 500 index. For more information, visit the company’s web site at www.parker.com, or its investor information site at www.phstock.com.

Forward-Looking Statements:

Forward-looking statements contained in this and other written and oral reports are made based on known events and circumstances at the time of release, and as such, are subject in the future to unforeseen uncertainties and risks. All statements regarding future performance, earnings projections, events or developments are forward-looking statements. It is possible that the future performance and earnings projections of the company and individual segments may differ materially from current expectations, depending on economic conditions within both its industrial and aerospace markets, and the company’s ability to achieve anticipated benefits associated with announced realignment activities, strategic initiatives to improve operating margins, and growth and innovation initiatives. A change in economic conditions in individual markets may have a particularly volatile effect on segment results. Among the other factors which may affect future performance are: changes in business relationships with and purchases by or from major customers or suppliers, including delays or cancellations in shipments; uncertainties surrounding timing, successful completion or integration of acquisitions; threats associated with and efforts to combat terrorism; competitive market conditions and resulting effects on sales and pricing; increases in raw-material costs that cannot be recovered in product pricing; the company’s ability to manage costs related to employee retirement and health care benefits and insurance; and global economic factors, including currency exchange rates, difficulties entering new markets and general economic conditions such as inflation and interest rates. The company makes these statements as of the date of this disclosure, and undertakes no obligation to update them.

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PARKER HANNIFIN CORPORATION - JUNE 30, 2005

CONSOLIDATED STATEMENT OF INCOME