Exhibit 99.1

EMERSON ANNOUNCES STRONG THIRD QUARTER RESULTS

ST. LOUIS, August 5, 2008 – Emerson (NYSE: EMR) announced net sales for the third quarter ended June 30, 2008 were $6.6 billion, an increase of 14 percent compared with $5.8 billion for the same period last year. For the quarter, underlying sales increased 7 percent which excludes a 5 percent favorable impact from currency exchange rates and a 2 percent positive impact from acquisitions, net of divestitures. International sales led the growth, increasing 10 percent on an underlying basis with strong underlying growth continuing in Asia, Middle East/Africa and Latin America. Underlying sales in the United States increased 4 percent and in Europe increased 3 percent.

Earnings from continuing operations for the third quarter were up 13 percent to $647 million, or $0.82 per share. This represents an increase of 15 percent in earnings per share from continuing operations from the $0.71 achieved in the third quarter of 2007. During the third quarter, the Company entered into a definitive agreement to sell the European appliance motor and pump business and recorded a $36 million impairment charge. Including the impact from this charge, discontinued operations were negative $0.04 per share, resulting in net earnings per share for the third quarter of $0.78, an increase of 8 percent.

The third quarter operating profit margin improved 30 basis points to 16.6 percent in the quarter compared to 16.3 percent in the prior year quarter. The Company benefited from leverage on the additional sales volume and cost containment programs. The Company expects operating profit margin for the year to be in the range of 16.2 to 16.4 percent, a strong increase driven by new products, aggressive restructuring and emerging market growth. The pretax earnings margin for the third quarter was 14.4 percent compared to 14.2 percent in the prior year period.

“The first half’s positive momentum carried over into the third quarter, despite the ongoing challenging environment,” said Emerson Chairman, Chief Executive Officer and President, David N. Farr. “I commend the Emerson employees around the world who continue to execute and deliver solid performance and results for our customers in the face of continued tough economic conditions. It is through their efforts, attention to quality, operational excellence, focus on innovation, and international business growth that Emerson continues to deliver solid results.”

For the nine months ended June 30, 2008, net sales were $18.1 billion, an increase of 12 percent over the same period last year. Earnings per share from continuing operations for the first nine months of the fiscal year were $2.23, an increase of 19 percent over the prior year period.

Balance Sheet / Cash Flow:

For the third quarter, operating cash flow was $827 million and capital expenditures were $155 million resulting in free cash flow (operating cash flow less capital expenditures) of $672 million, well above net earnings for the quarter. Operating cash flow for the nine months ended in June was $2.0 billion, up 13 percent, primarily driven by higher earnings. Through the first nine months of fiscal 2008, the Company has paid $708 million in dividends and repurchased $727 million of stock, representing over 70 percent return of operating cash flow to shareholders year-to-date.

“Generating cash continues to be fundamental to our long term strategy,” Farr said. “I believe all shareholders can be proud to invest in a company that is

well positioned to create opportunity and deliver value, whether through investment in technology, growth in our global position, strategic acquisitions, or by consistently returning cash to shareholders. Following a strong nine months of cash flow generation, we are now targeting $3.3 billion of operating cash flow for the year, up approximately 8 percent over the prior year.”

Operating Highlights:

Process Management continued to demonstrate strong momentum as sales increased 18 percent and margin for the segment expanded 170 basis points for the third quarter. Underlying sales were up 13 percent, favorable currency translation added 6 percent and a divestiture, net of an acquisition subtracted 1 percent. Global demand continued to be strong, with underlying growth of 12 percent in the United States, 5 percent in Europe, 21 percent in Asia, 14 percent in Middle East/Africa, and 28 percent in Latin America. Orders grew at a double-digit pace throughout the quarter driven by strength in the energy sectors, strong global positioning and market leading technologies. The margin expanded to 20.0 percent driven by leverage on higher volume and reduced litigation expense versus the prior year quarter. The Company continues to accelerate its investment in next-generation technologies as well as in the infrastructure necessary to expand the global reach of its solutions and services business as it moves towards 2010.

Industrial Automation reported sales growth of 16 percent for the quarter, which included 8 percent underlying sales growth and a positive 8 percent impact from currency. Sales growth was led by strength in the power generating alternator, industrial equipment and fluid automation businesses. Underlying sales growth increased 11 percent in the United States and 6 percent internationally. Earnings increased 15 percent benefiting from higher sales volume and foreign currency translation.

Network Power sales increased 26 percent in the quarter. Underlying sales were up 10 percent, Embedded Computing and other acquisitions contributed approximately 12 percent and favorable currency translation added 4 percent. Growth in the quarter was balanced geographically, with underlying sales in the United States up 10 percent and international up 11 percent. Earnings increased 19 percent versus the prior year period. The margin contracted 70 basis points, reflecting dilution from acquisitions of approximately 150 basis points. The core profitability was improved through global restructuring and aggressive new product efforts.

Climate Technologies reported sales growth in the quarter of 4 percent, which included underlying sales growth of 1 percent and a favorable 3 percent from currency. Strength in Asia was partially offset by weakness in the United States and Europe. The margin for this segment declined to 15.5 percent reflecting continued significant material pressure and higher restructuring cost. Pricing actions are being taken to recover the accelerated material inflation over the next six months.

Appliance and Tools sales declined by 1 percent in the quarter. Reported sales included negative 1 percent underlying sales growth, a 1 percent favorable impact from currency and a negative 1 percent impact from a divestiture. Weakness in the consumer-related businesses continued to dampen overall segment growth. The segment margin declined 50 basis points to 13.8 percent, driven by a $9 million charge related to the appliance control business as the Company evaluates the potential sale of this business. Benefits from cost reductions were offset by volume deleverage, and pricing actions did cover significant material inflation.

Full Year Earnings Outlook:

Based on strong results for the first three quarters of fiscal 2008 and continued solid order trends, Emerson now expects full year earnings per share from continuing operations in the range of $3.05 to $3.10. This range equates to

earnings per share growth of 15 to 17 percent. Previously provided earnings per share from continuing operations guidance was $3.00 to $3.10. Reported sales are still expected to be approximately $25 billion, an increase of 11 to 13 percent over fiscal year 2007 sales of $22.1 billion, excluding discontinued operations. The Company also expects return on total capital (ROTC) of 21 percent for fiscal year 2008.

Upcoming Investor Events

On Tuesday, August 5, 2008, at 2:00 p.m. EDT (1:00 p.m. CDT), Emerson senior management will discuss the third quarter fiscal 2008 results during an investor conference call. All interested parties may listen to the live conference call via the Internet by going to the Investor Relations area of Emerson’s website at www.emerson.com/financial and completing a brief registration form. A replay of the conference call will be available for the next three months at the same location on the website.

Details of upcoming events will be posted as they occur in the Investor Relations Calendar of Events on the corporate website.

Forward-Looking and Cautionary Statements

Statements in this release that are not strictly historical may be “forward-looking” statements, which involve risks and uncertainties, and Emerson undertakes no obligation to update any such statements to reflect later developments. These risks and uncertainties include economic and currency conditions, market demand, pricing, and competitive and technological factors, among others, as set forth in the Company’s most recent Form 10-K filed with the SEC.

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TABLE 1

EMERSON AND SUBSIDIARIES

CONSOLIDATED OPERATING RESULTS

(Dollars in millions, except per share amounts, unaudited)

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EMERSON AND SUBSIDIARIES

CONSOLIDATED OPERATING RESULTS

(Dollars in millions, except per share amounts, unaudited)

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EMERSON AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

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EMERSON AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

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EMERSON AND SUBSIDIARIES

SEGMENT SALES AND EARNINGS

(Dollars in millions, unaudited)

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EMERSON AND SUBSIDIARIES

SEGMENT SALES AND EARNINGS

(Dollars in millions, unaudited)

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Reconciliations of Non-GAAP Financial Measures

The following reconciles Non-GAAP measures with the most directly comparable GAAP measures (dollars in millions):

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