MIAMI--(BUSINESS WIRE)--Jan. 7, 2003--Watsco, Inc. (NYSE:WSO) announced today that its Board of Directors increased the regular quarterly cash dividend by 33% to 4 cents per share from 3 cents per share on both its Common Stock and Class B Common Stock.

"Over the last four years, Watsco generated over $180 million in operating cash flow which has enabled the company to reduce debt, repurchase shares of common stock and continue its 29 year track record of paying cash dividends," stated Albert H. Nahmad, Chairman and Chief Executive Officer. "Given our strong cash flow, we will continue to utilize dividends as another means of providing value to Watsco's shareholders."

The Board has declared cash dividends to shareholders of record as of January 15, 2003, payable on January 31, 2003.

Watsco, Inc. is the nation's largest independent distributor of air conditioning, heating and refrigeration equipment and related products in the distribution segment of the HVAC/R industry, currently operating 284 locations and serving over 35,000 contractor customers in 30 states. The Company is actively pursuing opportunities for further growth throughout the country. Additional information about Watsco may be found on the Internet at http://www.watsco.com.

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