EXHIBIT 13

PORTIONS OF MACDERMID'S 1999 ANNUAL REPORT TO STOCKHOLDERS.

Except for the pages and information expressly incorporated by
reference, the financial and other information included in this Exhibit
13 is provided solely for the information of the Securities and Exchange
Commission and is not deemed "filed."

MacDermid Corporate Philosophy

Our Business

     MacDermid Incorporated is in the international business of researching,
developing, acquiring, manufacturing, marketing, and servicing, for optimum
profit to us and our customers, specialty chemicals and systems for the
chemical treatment, surface preparation and finishing of metals, plastics
and other materials in accordance with accepted ecological and social
considerations.

Our Customers

     We will create an industry image that automatically causes people in
the industries we serve to think first of MacDermid.
     We will justify their action by first thinking of the customers'
needs --- what's right for them makes it right for MacDermid --- by
supplying a total system including processes, know-how and services that
assist in meeting all their needs.

Our People

     We continue to believe in the supreme worth of the individual and
the dignity of his or her work for the benefit of all.  We will provide
the opportunity for our people to fulfill satisfactorily their own
personal objectives and ambitions and reward them in proportion to
their contribution toward achieving the Corporate objectives.
     We will continue to be a place of opportunity where people "have
the guts to fail."  We will encourage the entrepreneurs and innovators.
We will continually challenge the goals, objectives, organization and all
the operating and procedural aspects of our business and modify them when
needed.










<PAGE>


     Our progress and your progress, our Company's long-term advantage and
your long-term advantage, lie in our human resources.  Other advantages
that come about from technological improvements, the opening of new markets,
lower costs, etc., all prove to be relatively short run.  So, basically, it
is the initiative, the will and the motivation that people bring to their
work on which we rely for our survival and growth.
     We will continue to try to attract new people who have creative and
probing minds; people who will at times be disturbing--questioning policy
and procedures.  If we are wise, we will welcome it, resolve it, put it to
work or forget it.
     We will continue to expand with the best possible talent available and
continue to train them, and ourselves, so that we each increase our ability
to contribute to the Company's progress.

     We will each strive to exemplify the MacDermid Spirit of teamwork and
cooperation throughout the organization which has been instrumental to our
past and present growth as a corporation.

What we can expect from you

     First and foremost, we expect of you a fundamental honesty--honesty
with yourself, with your Company and with all those with whom you interact,
whether they be associates within our organization, our customers or society
in general.  Character and strength have always been born of honesty and a
willingness to face up to the truth of each situation as it arises.
     Second, we expect and insist on hard work.  An easy life, marked by the
absence of difficulty, builds neither character nor happiness.  We believe
that self-realization of the individual is founded on accomplishment, which
implies a willingness to make the sacrifices necessary to get the job done
the way it should be done.
     Third, we expect you to accept responsibility.  Every assignment you
will have carries with it a responsibility for accomplishment.  Commit
yourself to achievement which you consider beyond the scope of your
talents and then program your effort to translate it into a reality.
     Fourth, we expect of you a loyalty--loyalty to yourself, your family,
your associates, your organization and our customers.  We have always worked
together as an organization and your own personal achievements will be
measured in terms of the contribution you make to our joint effort.
     Fifth, we expect you to demonstrate good judgment.  Judgment is
essentially an ability to appraise facts.  Factual knowledge must come
before good judgment.  This means you must continually educate yourself
on our Company, our products and our industry.  In this way, you will
have the material on which a sound appraisal of good judgment is based.
     This is what we expect of you, and being in an extremely competitive
environment, we have a real urgency in this expectancy.






<PAGE>


What you can expect from us

     One, you can expect from us the fairest treatment of which we are
capable--fair in respect to matters of compensation, fair in respect to
working conditions and fair in respect to personnel policies.
     Two, you can expect from us, as a Company, complete honesty in whatever
we do.  Your assignments will never compromise the principles of honesty and
common decency which we also expect you, as an individual, to uphold.
     Three, you can expect that we will provide assignments which will
represent challenges to you--assignments which will enable you to grow
toward your professional and personal objectives.
     Four, you can expect that we will offer opportunities for advancement.
Our desire to grow from within.
     Five, you can expect that we will be a demanding organization--demanding
of your time, your talents and the best which you as an individual have to
offer.  In this way our company will grow and you will grow with it.
     Perhaps all this can best be summarized in these words form an unknown
author:
     "Create mental pictures of your goals, then work to make those pictures
become realities.
     Exercise you God-given power to choose your own direction and influence
your own destiny and try to decide wisely and well.
     Have the daring to open doors to new experiences and to step boldly
forth to explore strange horizons.
     Be unafraid of new ideas, new theories and new philosophies.
     Have the curiosity to experiment...to test and try new ways of living
and thinking.
     Recognize that the only ceiling life has is the one you give it and
come to realize that you are surrounded by infinite possibilities for
growth and achievement.
     Keep your heart young and your expectations high and never allow your
dreams to die."





















<PAGE>

MacDermid Incorporated 1999 Annual Report

MacDermid:  Shareholder Principles

OUR VISION IS TO BUILD ONE OF THE WORLD'S GREATEST INDUSTRIAL COMPANIES

1.  We believe that the excitement inherent in the culture of ultra high
performance will differentiate us from our competitors, who, while fine
companies in their own right, simply will find it impossible to keep up with
the fighting Clan MacDermid.

2. OUR FORM IS CORPORATE, OUR ATTITUDE IS PARTNERSHIP

Unlike many public companies, our employees and Directors own close to 50% of
the shares, so, we obviously think as owners. We hope that you consider your
investment in MacDermid as being a part owner of a business, much as you would
if you owned a small business in partnership with your close friend or family.
You would not be concerned about the evaluation of that small business weekly
or monthly. Many employees, including your CEO, have the vast majority of our
net worth in MacDermid stock. We intend to be very long term holders, thinking
in generational terms. We desire to partner with like-minded individuals and
institutions. We will not respond to short term pressures from the market.

3. WE FOCUS TO BUILD INTRINSIC VALUE, PER SHARE

We define intrinsic value as the present value of free cash flow, measured per
share. Cash flow will be invested in growth opportunities. We will build in
significant margin for error in investment assumptions. We have no interest in
top line growth for growth's sake.  Per share cash flow is what counts.  Our
goal is to increase per share intrinsic value by 25% per year.  We believe in
setting stretch targets even though sometimes we may fall short of our goals.

4. PERSONAL AND CORPORATE RESPONSIBILITY

MacDermid will demonstrate the highest standards of personal and corporate
ethics and responsibility, with special emphasis on our environment. We take
seriously our leadership commitment to the communities in which we do business.















<PAGE>


5. CARE OF OUR PEOPLE IS A TOP PRIORITY

We know to build one of the world's greatest industrial companies requires an
unusual partnership with the people charged with making the vision a reality.
We are guided by the MacDermid philosophy, including our clear statement of
commitment to our people, and our expectations of their commitment to
MacDermid. We maintain policies that encourage long, productive service. We
avoid short term policies like layoffs and restructuring simply to make the
current quarter or year numbers. That's not to say that we will not have
reductions in staffing based on performance, or if we feel the long term
health of the business requires us to do so. But even then we will do so
with great reluctance. Our people are our most important asset. We treat
them as such by investing heavily in training and education and
management development.

6. LONG TERM INVESTMENR HORIZON

We will aggressively fund sound internal growth opportunities mostly in
research and market development regardless of short term impact. We will
fund these opportunities when the time is right, not necessarily when it is
convenient. Our internal investment opportunities normally offer an
exceptional return, but often require multi-year horizons. We will
avoid the stop - start method of investing, which is typical of a
short term mentality.

7. LOW COST OPERATING STRUCTURE

We know that our ability to invest aggressively requires us to have a cost
structure lower than our competitors. Investing AND lowering our current costs
constantly is a core principle of our company.

8. HIGH OPERATING MARGINS

Growth opportunities will be passed through a margin filter prior to
investment.

9. LOW CAPITAL EXPENDITURES

We invest shareholder funds in high return assets after a healthy margin for
error. Bricks and mortar have no attraction if they will not produce
a high return.

10. CAPITAL STRUCTURE

Cost of capital is an important consideration. Our ability to generate
relatively high amounts of cash allows us to carry significant debt while still
maintaining a healthy margin for error.  We will issue common stock only when
we receive at least as much in intrinsic value as we give.





<PAGE>


11.DIVIDENDS

Our current dividend is a result of history. Increasing our dividend is not a
high priority.  We believe we can better serve shareholders by using
internally generated funds to grow the business or purchase shares.

12. ACCOUNTING

We will be candid in our reporting to you.  We will tell you the business
facts that we would want to know if the positions were reversed, while
safeguarding information which would aid our competitors.

13. REPORTING

We will be communicating with you in several ways. Through our annual report,
we will try to give all shareholders as much value - defining information as
possible. At our annual meeting we will spend as much time as necessary to
provide information as possible and answer questions.  The forum section of our
web site, (macdermid.com) provides shareholders the opportunity to submit
questions directly to the CEO.  We will answer questions honestly and as
promptly as practicable.  In all of our communications, we try to make sure
that no shareholder gets an edge.  Our goal is to have all of our shareholders
updated at the same time.

14. FAIR VALUE

To the extent possible, we would like each MacDermid shareholder to record a
gain or loss in market value that is proportional to the gain or loss in per-
share intrinsic value.  Obviously we cannot control MacDermid's share price,
but by our policies and communications, over time, we believe we are likely to
attract long term investors who seek to profit strictly from the progress of
the company.




















<PAGE>


<TABLE>

(Three horizontal bar graphs are provided here, net sales, earning
per share and return on equity.  Each graph depicts one facet of
results of operations for the fiscal years 1995 through 1999.)

                                  GRAPH VALUES

(In thousands, except share and per share amounts)

<CAPTION>
                  1994         1995         1996       1997       1998
<S>               <C>          <C>          <C>        <C>        <C>
Net Sales         $182,100     $235,891     $293,720   $314,058   $382,645

Earnings
Per
Share              $0.39        $0.50        $0.85      $1.20      $1.43

Return on
Equity             18.3%        22.1%        30.2%      32.9%      29.0%

</TABLE>

Message to Shareholders

Dear Shareholders,

We are pleased to report our eighth consecutive year of record earnings and
earnings per share and the fifth year for revenues. We earned $1.43 per share,
a 19% increase over last year's $1.20. Revenues were up 22% to $383 million.
Net earnings were up 19% to $36 million. Net after-tax cash flow (net earnings
+ depreciation + amortization - capital expenditures) was a record $1.79 per
share.  Our goal remains to create one of the world's greatest industrial
companies, which we define, in part, as growing earnings per share 25%
compounded over 10 years.  Since 1994, that growth rate has been 43%.

Following last year's 41% earnings per share growth, we planned fiscal 1999 as
a year of consolidation.  But given the volatile global economic environment,
we had to work harder than ever.  The best word to describe the overall market
last year was awful.  The electronics market was weak.  Asia bumped along the
bottom.  Our graphic arts sector experienced lower activity.  Against this
background, our teams in Europe, industrial products, equipment, and our US-
based shared services produced excellent results.








<PAGE>


In December, we closed the Canning acquisition, our largest to date,
increasing our revenues to over $500 million.  Importantly, with the Canning
acquisition came the addition of capable, enthusiastic people to the MacDermid
Clan.  Combining the Canning team with our industrial products team creates a
world leader in plating additives and added two new specialty niche
businesses, offshore drilling lubricants and fuel oil additives.  Due to the
efforts of the combined team, we are ahead of schedule in integrating this
acquisition. As a result, the transaction was accretive in the fourth quarter,
a pleasant surprise.

The metal finishing market is important to us. Our consolidation strategy was
accelerated by Canning and by increasing our stake in Galvanevet. As a result
we now enjoy significantly strengthened positions in the US, UK, Germany,
Italy and Asia. As a global leader in the metal finishing business we have
scale and thus are better able to offer unsurpassed service to our customers.

In February, we announced the acquisition of Polyfibron Technologies Inc., a
leader in the graphic arts industry, with projected revenues of $250 million.
We await government approval. As of this writing, we remain optimistic,
although there remains some risk this acquisition will not close.

With regard to acquisitions, while our primary focus is to strengthen our
existing businesses, as was the case with all recent acquisitions,
we will consider using excess cash flow to invest in corollary businesses we
understand.  Rest assured, we recognize the challenges of integrating an
acquisition and have worked hard to develop an aptitude in this important
area.  Each potential acquisition is examined thoroughly by our top management
team.  Once acquired, we try to bring a clarity and excitement to the
management of acquired companies.  Together we work to generate cost savings
and a more aggressive effort to grow the top line. We find customers welcome
MacDermid as the acquirer due to our industry commitment and our long term
investment horizon. Importantly our recent acquisitions resulted from
exclusive negotiations.  We were chosen as the preferred partner as a result,
we believe, of our reputation for integrity and fair dealing.

Internal growth remains our primary strategy and we are excited about a number
of initiatives.  In electronics, ViaTek, our new process for producing double
sided boards, continues to progress.  Our industrial products team introduced a
new process for painting airframes.  In graphic arts, Twin Lock, our
revolutionary new technology for mounting printing plates, received the
prestigious Flexographic Technical Innovation Award recognizing the
"significant commercial application of recent innovative technology."  We have
investment programs in each of our businesses that can materially increase
their underlying growth and profitability








<PAGE>


Our culture of constant cost improvement, and our focus on cash flow allow us
the flexibility of pursuing the dual strategy of internal growth and
acquisitions all with one intention - to increase intrinsic per share value.

During the year, our corporate management was strengthened with the addition
of R. Nelson (Oz) Griebel who joined us as President and Chief Operating
Officer and Stephen Largan as Vice President of Finance.  Jay LoVetere, my
long standing partner, has left his executive management role but continues to
consult on the ViaTek program.


We have experienced management running all of our business areas. The
presidents of each of our business areas have over 20 years experience in
our business.  They think and act as long-term owners.  At corporate, our
focus is maintaining the culture, establishing strategy, allocating
resources, and setting performance targets.

We believe our entrepreneurial environment, that rewards initiative and
intelligent risk-taking, is crucial to attracting and retaining talented and
motivated individuals.  We encourage people to take calculated risks knowing
that projects often fail.  We spend a lot of time maintaining this culture. We
set high standards. We tie our compensation practices to those standards.  Our
bonus, profit sharing, and stock ownership plans offer Clan members the
opportunity of significant personal wealth.  We operate with one expectation-
grow the cash flow of our business over the long term.  Life at MacDermid, is
really fun, but not easy.

At last year's Annual Meeting, we introduced our Shareholder Principles which,
along with the MacDermid Philosophy, we refer to as the MacDermid Magna Carta.
They are printed on the inside cover and first page of this report.  You can
expect us to act consistently with them.

While fiscal 1999 produced record per share results, even more importantly, we
improved our strategic position as a dynamic leader in our markets.  Even
though the external environment remains challenging, we are confident we can
continue to deliver.  Our goal is creating one of the world's greatest
industrial companies.

To our customers, we greatfully appreciate your business which we do not take
for granted.  We are very committed to improving the quality of our products
and service to you.  To the Clan MacDermid, thank you for your determination
to give our customers the finest service and to push to another record.  To
our shareholder partners, take comfort that more than a quarter of the
outstanding shares are owned by your employees either directly, through
options, or stock plans.  Rest assured we think as owners.  You have our
sincere thanks for your continued confidence.

Daniel H. Leever
Chairman and Chief Executive Officer



<PAGE>

<TABLE>
MacDermid, Incorporated Financial Highlights
<CAPTION>
(In thousands, except share and per share amounts.)

                                            1999          1998    % Change
                                     ======================================
<S>                                     <C>            <C>           <C>
Net Sales                               $382,648       $314,058       22
Net Earnings                            $ 36,283       $ 30,488       19
Return on Average Equity                  29.3%          32.9%         -
Average Shares Outstanding              25,427,288     25,483,844      -
Diluted Earnings Per Common Share          $1.43          $1.20       19
Free Cash Flow                          $ 33,972       $ 28,478       19
</TABLE>


Founded in 1922 and headquartered in Waterbury, Connecticut, MacDermid,
Incorporated (NYSE:MRD) is a leading worldwide manufacturer of specialty
chemical processes for the metal and plastic finishing, electronics and
graphic arts industries with operating facilities in 20 countries.  The
Corporation employs nearly 1,900 worldwide, many of whom are shareholders.
Our vision is to build one of the world's greatest industrial companies.

     For additional information visit our World Wide Web site -
www.macdermid.com.



























<PAGE>
<TABLE>
                            FIVE YEAR SELECTED FINANCIAL DATA
(In thousands, except share and per share amounts)
<CAPTION>
OPERATING RESULTS        1999       1998       1997       1996        1995
------------------------------------------------------------------------------
<S>                    <C>        <C>        <C>         <C>         <C>
Net Sales              $382,648   $314,058   $293,720    $235,891    $182,100

Income from
Continuing Operations  $ 36,283   $ 30,797   $ 23,846    $ 13,795    $ 11,142

Net Earnings Available
  For Common
  Shareholders (before
  accounting
  change) <F1>         $ 36,283   $ 30,488   $ 22,010    $ 13,195     $ 11,142
 Diluted Earnings Per
  Common Share <F1><F2>   $1.43      $1.20      $0.85       $0.50        $0.39

FINANCIAL POSITION AT YEAR END
-----------------------------------------------------------------------------
Working Capital        $ 63,248   $ 50,814   $ 46,883    $ 59,714     $ 34,711
 Current Ratio              1.5        1.6        1.7         2.0          1.7
Capital Expenditures   $  5,442   $  8,342   $  6,914    $  4,303     $  3,990
Total Assets           $506,279   $300,260   $260,978    $264,756     $123,305
Long-term Debt
 (Includes Short-
 term Portion)         $258,668   $116,425   $ 82,981    $112,254     $ 22,642
  Percent of Total
   Capitalization (excluding
   preferred stock)        64.6       52.5       50.9        63.0         29.7

Redeemable Preferred Stock  --        --       32,436      30,600          --

OTHER DATA
------------------------------------------------------------------------------
Return On Sales
  (%)<F1>                   9.5        9.7        7.5         5.6          6.1
 Return On Average
  Equity (%)<F1>           29.3       32.9       30.2        22.1         18.3












<PAGE>

Cash provided by
Operations             $ 53,540   $ 35,335   $ 37,437   $  17,493     $ 19,854

Cash provided by
(used in) investing
activities            $(171,016)  $(32,807)  $ (5,406)  $(107,773)    $(9,740)

Cash provided by
(used in) financing
activities             $129,851   $ (5,000)  $(33,969)  $  91,568     $(9,322)

EBITA<F3>              $ 80,157   $ 66,451   $ 55,579   $  38,758     $ 26,516

SHARE DATA
------------------------------------------------------------------------------
Common
Shareholders' Equity   $142,039   $105,545   $ 80,058    $ 65,817     $ 53,654
Book Value
  Per Common Share <F2>   $5.65      $4.21      $3.26       $2.62        $2.17
Cash Dividends Per
 Common Share <F2>        $0.08      $0.07    $0.0667     $0.0667      $0.0667

Common Shares
 Outstanding <F2>
 Diluted
 Average During Year   25,427,288 25,483,844 25,912,677  26,383,844 28,372,599
 Outstanding
 At Year-End           25,145,343 25,095,906 24,561,459  25,148,079 24,682,797
Stock Price <F2>
 High                    42 3/8      37        13           8 1/32     4 15/16
 Low                     23 3/8      11 19/32  7 5/32       4 10/16    2 21/32
 Year End                33 15/16    28 3/4   11 19/32      7 5/16     4 25/32


<FN>
<F1> Before cumulative effect of accounting change (the implementation of SFAS
No. 112, Employers Accounting for Postretirement Benefits) which resulted in
one-time after tax charges of $371 ($0.01/common share) in 1995

<F2> Share and per share data have been restated to reflect the effects of
     3-for-1 stock splits effective, February 6, 1998 and November 15, 1996.

<F3> Represents earnings from operations before interest, taxes on
     earnings, depreciation and amortizations.  EBITDA is not intended to
     represent cash flow from operations as defined by generally accepted
     accounting principles.  It should not be used as an alternative to net
     income as an indicator of operating performance or to cash flows as a
     measure of liquidity.

</TABLE>




<PAGE>

                    MANAGEMENT'S DISCUSSION & ANALYSIS OF
                 FINANCIAL CONDITION & RESULTS OF OPERATIONS

(In thousands, except share and per share amounts)


SALES & OPERATING PROFITS OVERVIEW

Fiscal 1999 was the fifth consecutive record year for net sales.  MacDermid,
Incorporated (the Corporation) worldwide net sales were $382,648, a 22%
increase in fiscal 1999 over the previous year.  The Corporation's commitment
towards strengthening its competitive position in technology and market share
and through cost awareness initiatives was evident in fiscal 1999.  New
accounts were gained in every geographic area which more than offset declines
due to a weak electronics market and to a lesser extent the economic effect of
the Asian crisis and the related currency effects from a stronger dollar.
Viatek, a new double sided circuit board process, has experienced excellent
commercial acceptance.  Continuing growth from more efficient, environmentally
friendly processes have driven net sales to another all time high.  Our latest
acquisition, W Canning plc, was effective from December and added an
incremental four months of sales.  Overall net sales would have been up a
further 1% for the year without the negative effect of the stronger dollar on
translated sales.

Fiscal 1999 net earnings of $36,283 or $1.43 per share increased 19% as
compared to fiscal 1998 net earnings of $30,488 or $1.20 per common share.
Growth in net earnings per common share resulted from expenses which increased
at a lesser rate than sales growth and from tax savings as explained later
under Income Taxes and in note #5.  Net earnings per common share would have
been $1.44, a 20% increase over last year without the negative effect of
currency translation.  Fiscal 1999 was the eighth consecutive record year for
earnings per share.

SALES
1999 VS I998

Overall, net sales increased 22% in fiscal 1999.  Excluding the impact of the
Canning acquisition, in North America net sales were up 7.5% in fiscal 1999
over fiscal 1998, principally due to increased equipment business.  The
electronics business experienced a weakening economic climate resulting in
lower sales.  This was offset by modestly higher sales in the industrial
finishes and plating businesses, leaving proprietary sales flat year-to-year.
Overseas sales were up 7.5% as well, despite a further devaluation of foreign
currencies, as the economic situation in Asia was reflected in a stronger
dollar.  Net sales overseas increased 10.4% in local currencies.  Both newer,
environmentally friendly products and new accounts continue to fuel European
and Asian growth.







<PAGE>


1998 VS 1997
In North America net sales were up 7% in fiscal 1998 over fiscal 1997,
principally due to increased business resulting from a strong economic
climate.  Additionally, certain newer proprietary product lines, which are
more efficient and environmentally friendly, have experienced growing
acceptance.  Overseas sales were also up 7%.  Sales in local currencies
increased 17%, similar to previous years, but the strength of the dollar
reduced reported sales in dollar terms.  Both newer products and new accounts
helped to propel overseas growth, negating any Asian crisis impact to the
Corporation.

COSTS AND EXPENSES
1999 VS 1998

Cost of sales as a percentage of sales increased roughly 4% as changes in
product mix - increased sales in lower margin equipment and lower margins
realized for the four months of the acquired Canning business - had the most
significant impact.  A further impact was price pressure in an electronics
product line.  Other than these factors margins were similar to previous years
as cost awareness programs and overhead efficiencies continually remain in
focus.

Selling, technical and administrative expenses declined approximately 1%
as a percentage of sales for fiscal 1999 from fiscal 1998.  Actual costs,
excluding additional costs from acquisitions, rose 1% as increases for selling
and research were somewhat offset by administrative savings and from currency
translation affects.  Interest expense increased 77% over 1998 as additional
borrowings to finance he purchase of W Canning plc was incurred in 1999.
Since the borrowings were only in effect the last four months of 1999 interest
expense for the coming year is likely to be 50% greater than the 1999 level
 .
1998 VS 1997

Cost of sales decreased as a percentage of sales.  Steady improvement from
assimilating past acquisitions have continued to enhance margins, as well as
ongoing cost awareness programs and related overhead efficiencies and the
proprietary growth of higher margin newer products which are more
efficient and environmentally friendly.

Selling, technical and administrative expenses declined as a percentage of
sales.  Actual costs only increased 3% as a result of the Corporation's cost
awareness philosophy, which allows for additional costs only as necessary to
support sales growth and for research programs.  Interest expense increased 7%
over 1997, while the preferred dividend requirement was eliminated, resulting
in a net positive impact on earning available to common shareholders.





<PAGE>
INCOME TAXES

The overall effective income tax rate decreased to 32.9% in fiscal 1999 from
36.0% in fiscal 1998 and 38.4% in fiscal 1997.  The decrease in the effective
rate for 1999 is a result of continued tax minimization strategies on a
worldwide basis, results of pending tax audits and a favorable earnings mix.
The decrease in the effective rate for 1998 was a result  of the
implementation of tax minimization strategies on a worldwide basis.

ACQUISITIONS

During fiscal 1999 the Corporation closed a cash tender offer whereby it
acquired approximately 95% of the outstanding shares of W Canning plc.  The
Corporation acquired the remaining shares through a statutory compulsory
procedure completed February 5,1999.  This business significantly enhances the
Corporation's industrial products presence worldwide and includes new product
offerings for offshore fluids, sealants and adhesives and fuel and water
additives businesses primarily in North America and Europe.  The total
purchase price of approximately $160,000, including closing costs, was
accounted for as a purchase transaction and included inventory, fixed assets,
goodwill and other intangibles. The goodwill (approximately $85,000) is being
amortized over 40 years while the other identifiable intangibles
(approximately $36,000) are being amortized over periods ranging between 6 and
40 years.  Additional purchase liabilities were recorded for planned
eliminations of duplicate staffing and facilities which are anticipated to be
largely completed within six months of this balance sheet date.  If the amounts
realized are either greater or lesser than the estimated balances provided it
will result in an appropriate reduction or increase to goodwill.  The
additional liabilities recorded, approximately $8,275, include $2,000 for
environmental costs (explained more fully elsewhere in this report, see
"environmental activities"), $4,200 for facility reorganization and $2,075 for
employee redundancy costs.  The facility closures will occur in Germany (1
site), the United Kingdom (2 sites) and the United States (5 sites) where
duplicate manufacturing, warehouse and administrative efforts exist.  Provision
has been made for leases and taxes of approximately $2,800, asset disposals of
$800 and estimated expenses of $600 for disposition of properties.  The
Corporation has established a provision for severance costs for approximately
112 employees, who range from entry level staff to senior management, primarily
at the locations above.  The acquisition was financed through bank borrowings
from NationsBank N.A., a subsidiary of BankAmerica Corporation, as
administrative agent and a lender under the combined US Dollar and Pound
Sterling six-year term loans and revolving loan agreement.  Consolidated
operating results for fiscal 1999 include the results of the W Canning plc
business from December 2,1998.

In addition to the transaction described above, the assets of two separate
small industrial products companies were acquired under purchase accounting
and there was a separate investment made in a joint venture using equity
accounting.  Collectively, these other investments were not material to the
financial position or results of operations of the Corporation.




<PAGE>

During fiscal 1998 there were several minor acquisitions which collectively
Are not material to the financial position or results of operations of the
Corporation.  The most significant were the Board Fabrication Division of
National Starch and Chemical Company resulting in electronics expansion in
North America and the Twin Lock business resulting in printing expansion in
Europe.  Combined the acquisitions were less than 10% of the Corporation's
consolidated total assets and pretax earnings before the acquisitions.  The
acquisitions are being accounted for under the purchase method of accounting.

On May 3, 1999 a subsidiary of the Corporation increased its interest in
Galvanevet S.P.A., an Italian specialty chemical company, by an additional
60%, to a total 90% investment.  This transaction included: (a) a $7,936 cash
payment and (b) $7,500 that is deferred for a year.  The Corporation intends
to purchase the remaining 10% interest within the next year with a final
payment of $2,659 bringing the total purchase price to $25,370.

NEW ACCOUNTING STANDARDS

The FASB recently issued: Statement of Financial Accounting Standards
No. 133, Accounting for Derivative Instruments and Hedging Activities which
replaces existing pronouncements and practices with a single, integrated,
accounting framework for derivatives and hedging activities.

The Corporation is currently evaluating the impact of this standard which is
not expected to have a material effect on the financial position or results
of operations upon adoption when the reporting requirements become effective
beginning with fiscal 2001.

LIQUIDITY & CAPITAL RESOURCES

Cash flows from operations are used to fund dividend payments ($0.08 per
common share for fiscal 1999) to shareholders, working capital requirements
of the Corporation and capital projects.  The Corporation has paid cash
dividends continuously since 1948.  From time to time the Corporation utilizes
additional outside sources to fund overall needs, including major capital
projects for new and upgraded research and technical, manufacturing and
administrative facilities and for business acquisitions.

During fiscal 1999 cash flows provided by operations, $53,540, were 52%
above the prior year, principally resulting from increased earnings before
depreciation and amortization.  In certain years, the Corporation has embarked
on programs which have required significant amounts of funds in excess of
those available from cash flows from operations.  During the third quarter of
fiscal 1999, the Corporation purchased W Canning plc for approximately
$160,000 (including closing costs).  This purchase is presently financed
through bank borrowing under six-year term loans and a revolving credit
agreement with NationsBank.






<PAGE>

During fiscal 1998 a previous revolving credit facility with Chase Bank was
utilized to effect the redemption ahead of schedule of all of the shares of
preferred stock, including dividends in kind, issued as part of a previous
acquisition.  In addition, the revolving credit facility was utilized to
exercise an early buy-out of the performance premium relating to the same
acquisition.

New opportunities for business acquisitions, which become available from time
to time, are evaluated individually as they arise based upon MacDermid's
criteria for technological improvement and innovation, potential for earnings
growth and compatibility with existing distribution channels.  Management
intends to pursue those opportunities which have strong potential to enhance
shareholder value.

One such opportunity is the pending merger with Polyfibron Technologies, Inc.
(Polyfibron) which was first announced on February 18, 1999 when a definitive
agreement of merger was executed.  The agreement is subject to shareholder, as
well as other regulatory approvals.  The Corporation will consummate the
merger by issuing 7.7 million shares of its common stock and assuming
approximately $150,000 of Polyfibron debt.  The deal is presently expected to
close at some time during the second quarter of fiscal year 2000.  Polyfibron
has a worldwide presence in the graphic arts industry with annual revenues of
approximately $250,000 and the merger is expected to immediately position the
Corporation as a worldwide graphic arts leader.

New capital spending during fiscal 1999 of approximately $5,442 as compared
with $8,342 in fiscal 1998 and $6,914 in fiscal 1997, included new, as
well as upgraded, manufacturing facilities worldwide and replacement of
technical equipment.  For fiscal 2000, planned new capital projects total
approximately $15,000.

The Board of Directors has, from time to time, authorized the purchase of
issued and outstanding shares of the Corporation's common stock for its
treasury.  On July 22,1998 the Board of Directors authorized the purchase of
up to an additional 1,000,000 shares of the Corporation's common stock, then,
on February 17,1999 the Board of Directors reduced this authorization to
250,000.  Pursuant to this, and previous authorizations, MacDermid acquired
98,234 shares during fiscal 1999 and 330,024 shares during fiscal 1998 in
privately negotiated purchases.  Treasury shares may be used for transfer or
sale to employee benefit plans, business acquisitions or for other Corporate
purposes.  The outstanding authorization to purchase up to 234,120 shares, if
exercised at the NYSE closing price on March 31, 1999, would cost
approximately $7,945.

The Corporation's financial position remains strong and, other than the
satisfaction of debt obligations, there are no long-range commitments which
would have a significant impact upon results of operations, financial
condition or liquidity.  At March 31, 1999 the Corporation had domestic and
foreign short-term uncommitted credit lines with banks approximating $55,000
in addition to a domestic $75,000 committed revolving credit line.
Management believes that additional borrowing could be obtained if needed.


<PAGE>

<TABLE>
     The principal sources and uses of cash in fiscal years 1999, 1998
and 1997 were as follows:
<CAPTION>
                                     1999            1998           1997
                                  ------------------------------------------
<S>                               <C>              <C>            <C>
Cash provided by:
  Operations                      $ 53,540         $ 35,335       $ 37,437
  Proceeds from dispositions of
    fixed assets and certain
    business                           101              665          1,508
  Option exercises                     162            1,690            958
  Net increase in borrowings       135,208            2,258             -
                                  -----------------------------------------
                                  $189,011         $ 39,948       $ 39,903
                                  =========================================
Cash used for:
  Capital expenditures            $  5,442         $  8,342       $  6,914
  Business acquisitions            165,414           25,130             -
  Purchase of treasury shares        3,508            7,196          8,970
  Dividend payments                  2,011            1,752          1,641
  Net decrease in borrowings           -                 -          24,316
  Other - net                          699              509            365
                                  -----------------------------------------
                                  $177,074         $ 42,929       $ 42,206
                                  -----------------------------------------
Net decrease (increase)
  in cash balances                $ 11,937         $ (2,981)      $ (2,303)
                                  =========================================


</TABLE>



YEAR 2000 CONVERSION

Introduction.  Computer programs which recognize only two digits, rather than
four digits, to define the applicable year will be at risk for possible
miscalculations, classification errors or system failures.  This risk is often
referred to as the "Year 2000" issue ('Y2K issue"). The Corporation views the
impact of the Y2K issue as a critical business issue.  The Corporation has
implemented a plan for evaluating and minimizing the risks associated with the
Y2K issue and has been addressing these Y2K issues, both on a corporate level
and at each relevant subsidiary, by identifying specific issues and
implementing corrective action in each specific case while instituting a series
of management processes that coordinate and manage this overall process across
business boundaries.





<PAGE>

The process includes corporate oversight with periodic reports to our
directors.  The Corporation's overall approach has been to subdivide the
program into three distinct areas: Information Systems, Suppliers and
Customers, and Manufacturing and Facilities.

Information Systems.  All worldwide computer systems have been inventoried.
The U.S. network systems and personal computer systems are currently being
tested, and on the basis of the testing done to date, the Corporation has no
reason to believe that those systems will not be Y2K compliant in all material
respects.  The software package that controls the U.S. supply chain
(purchasing, manufacturing, order processing, billing and shipping) has been
verified by the ITAA*2000 Certification Program to be presently compliant.
The Corporation has received representations from the suppliers of the U.S.
human resource and payroll systems regarding their Y2K compliance, and its
internal personnel are in the process of testing those representations.  The
mission critical business systems in use by the Corporation's principal
foreign subsidiaries in England (Canning), Italy (Galvanevet), and Taiwan
(MacDermid Taiwan) have been tested by internal personnel, and on the basis of
that testing, the Corporation has no reason to believe those systems will not
be Y2K compliant in all material respects.  In the U.S., the Corporation's
information systems were taken off line and tested for compliance.  In Europe
and Asia, components of each system were individually tested.  The
Corporation's corporate information technology personnel are responsible for
monitoring and evaluating the Y2K procedures and remedial actions taken by its
subsidiaries. The Corporation expects that evaluation of its mission critical
business systems throughout the world will be completed by September 30,1999.

The Corporation has developed contingency plans for its business
systems in connection with its ISO 9002 certification.  The Corporation's
principal backup is a manual paper system that it believes would allow
its inventory, logistics, billing, manufacturing, scheduling and support
systems to function in all material respects for at least 60 days, if
necessary.  The Corporation estimates there would be approximately
between 200 to 300 key suppliers and a similar number of key customers whose
transactions with it would have to processed manually should that prove
necessary.  In addition, the Corporation has contracted in the U.S.
with a disaster recovery service to provide computer systems to it in the
case of a local disaster affecting its facilities.















<PAGE>


Suppliers and Customers.  The Corporation has identified the material
suppliers to each of its facilities and has contacted each supplier who
supplies more than $10 per year of materials, or who is the only supplier of a
particular material, in order to ascertain the supplier's Y2K readiness.
Approximately 90% of the suppliers contacted have indicated Y2K compliance,
either through individual interviews, in the case of mission critical
suppliers, or through written answers to questionnaires.  The Corporation
hopes to complete the confirmation process by July 1, 1999.  For any supplier
found not to be Y2K compliant, the Corporation is in the process of
identifying an alternate suppliers

The design of company manufactured equipment that is operation at customer
locations has been reviewed for date controls.  On the basis of
that review, there is no reason to believe that equipment will be adversely
affected in any material respect by the Y2K issue.  No major portion of the
Corporation's business is dependent upon a single customer or a few customers,
the loss of which would have a materially adverse effect on its business.

Manufacturing and Facilities.  The Corporation's core manufacturing processes
generally are simple, non-automated batch blending operations that are not
materially dependent on computer technology in order to function adequately.
Certain non-material support processes have computer systems that are
presently being evaluated and tested and are expected to be updated in a
timely manner.  None of those support systems is expected to be able to cause
a material disruption to the Corporation's business should a Y2K issue arise
that now is unanticipated.

All facilities have been reviewed and inventoried for Y2K issues.  Some
facilities have systems which use date functions for which upgrades have been
made available through present suppliers.  Telephone and voice mail systems at
facilities in the U.S. are believed to be materially compliant.  Security,
fire, heating, cooling and related systems in the U.S. are expected to be
compliant in all material respects by September 30,1999.  If utility providers
(including electricity and telecommunication suppliers) do not sufficiently
resolve their own Y2K issues, however, there may be a material adverse effect
on the Corporation's operations.  The Corporation has no reason to believe that
any utility on which it relies in the U.S. or Europe will experience a Y2K-
related disruption that will have a material adverse effect on its business.

Reasonably likely worst-case Y2K scenario: The most reasonably likely worst-
case Year 2000 scenario would involve a failure of the Corporation's mission
critical computer systems together with the contemporaneous failure of one or
more of its suppliers.  With respect to a Corporation systems failure, the
Corporation would implement its contingency plan as noted above.  With respect
to supplier failure, the Corporation is single sourced as to very few
materials.  As a result, alternate suppliers are generally available.  The
Corporation is conducting ongoing planning and testing in order reduce the
need for, and the incremental cost of, those contingency arrangements.


<PAGE>

Costs. The Corporation's costs associated with the Y2K compliance have been
immaterial and have been expensed to the ongoing information systems
operations as incurred. The cost of Y2K remediation continues to be absorbed
within the total costs for the general operation of the information systems
which are expected to continue at the historical levels of approximately
$2,000 annually.  Based on the present assessment of its systems and those of
its suppliers and customers, the Corporation expects that the cost of
addressing the Y2K issues will not have a material adverse impact on its
financial position, results of operations or cash flows during the year ending
March 31, 2000 or thereafter.  If, however, the Corporation or its suppliers
and customers are unable to resolve such issues in a timely manner, the
Corporation's financial condition and results of operations could be adversely
affected.

ENVIRONMENTAL ACTIVITIES

The Corporation continues its commitment to an active program of environmental
responsibility through its Environmental Initiative 2000 program, research and
development of alternative, environmentally safer products and installation of
equipment to reduce or eliminate emissions. The Corporation sponsors community
clean-up programs and promotes community awareness of environmental issues.
An environmental consultant retained by the Corporation conducts periodic
audits and submits appropriate recommendations to the Corporation.

The Corporation continuously conducts research to formulate products which are
environmentally friendly and which provide superior operating characteristics
in customer applications and many companies have come to it for assistance in
meeting their environmental needs.  Environmental expenditures that relate to
current operations are expensed; long-term betterments are capitalized.  The
Expenditure by the Corporation for these various programs is estimated to be
approximately a million dollars per year.

The Corporation has been named as a potentially responsible party (PRP) by the
Environmental Protection Agency in connection with two waste sites.  There are
many other companies involved at each of these sites and the Corporation's
participation is minor.  The Corporation has reserved $200 as its best
estimate of liabilities in connection with site clean-up based upon the extent
of its involvement, the number of PRPs and estimates of the total costs of the
site clean-up that reflect the results of phase I and II environmental
investigations and remediation estimates produced by remediation contractors.
Though it is difficult to predict the final costs of site
remediation, management believes that the recorded liabilities are reasonable
estimates of probable liability and that future cash outlays are unlikely to
be material to financial condition, results of operations or cash flows.

As a result of the December 1998 acquisition of W Canning plc, the
Corporation has acquired two sites which are believed to require environmental
remediation activities.  The Corporation has available to it certain
indemnifications from the previous owners of the sites, including a set-off
against the final installment of the purchase price owed by Canning.  However,
the Corporation's best estimate of the remedial costs for the sites, based
upon phase I and phase II environmental investigations and remediation

<PAGE>


estimates produced by remediation contractors, indicates that the
Corporation's gross liability may exceed the collectible indemnification by
approximately $2,000.  As a result, the Corporation has recorded a reserve in
that amount. The liabilities pertaining to the Canning sites are expected to
be incurred within the next three years, and the Corporation expects to
recognize contemporaneously its recovery from its indemnification sources.

On January 30,1997, the Corporation was served with a subpoena from a federal
grand jury in Connecticut requesting certain documents.  The Corporation was
subsequently informed that it is a subject of the grand jury's investigation.
The subpoena requested information relating to an accidental spill from the
Corporation's Huntingdon Avenue, Waterbury, Connecticut facility that occurred
in November of 1994, together with other information related to operations and
compliance at the Huntingdon Avenue facility.  The corporation has retained
outside law firms to assist the Corporation in complying with the subpoena.
The Corporation is cooperating with the government's investigation.  Since
this matter is currently in very early stages, it is impossible to determine
what the ultimate outcome will be and difficult to quantify the extent of an
exposure to liability.  As such, no assurance can be given that the
Corporation will not be found to have liability.  It is the Corporation's
policy to accrue liabilities of this regard when it is both probable a
liability has been incurred and the cost is reasonably estimable in accordance
with Statement of Financial Accounting Standards No. 5, "Accounting for
contingencies."



OUTLOOK: ISSUES AND RISKS

This report and other Corporation reports and statements describe many of the
positive factors affecting the Corporation's future business prospects.
Readers should also be aware of factors which could have a negative impact on
those prospects.  These include political, economic or other conditions such
as currency exchange rates, recessionary or expansive trends, taxes and
regulations and laws affecting the business; competitive products,
advertising, promotional and pricing activity, the degree of acceptance
of new product introductions in the marketplace and the difficulty of
forecasting sales at various times in various markets.

The Corporation operates throughout the world in areas generally considered
stable.  Sales are mainly to companies whose outputs become components in
consumer and industrial products having wide application and demand and no one
customer accounts for a material proportion of sales.  Management believes
that inflation, generally, has had little overall impact upon the
Corporation's operations and reported earnings.  While there may be temporary
disruptions of economic stability, management believes that their long-term
effects will not be significant to the Corporation.






<PAGE>
<TABLE>
                 CONSOLIDATED STATEMENTS OF EARNINGS
 (In thousands except share and
per share amounts)                          Year Ended March 31
                                    ------------------------------------
<CAPTION>
                                      1999          1998         1997
                                    ------------------------------------
<S>                                 <C>           <C>          <C>
Net sales                           $382,648      $314,058     $293,720
Cost of Sales                        192,961       152,189      144,281
                                    ------------------------------------
    Gross profit                     189,687       161,869      149,439

Selling, technical and
 administrative expenses             125,736       106,264      102,728
                                    ------------------------------------
    Operating profit                  63,951        55,605       46,711

Other income (expense):
    Interest income                    2,221           655          666
    Interest expense                 (13,721)       (7,758)      (7,277)
    Miscellaneous, net                 1,612          (396)      (1,383)
                                    ------------------------------------
                                      (9,888)       (7,499)      (7,994)
                                    ------------------------------------
Earnings before income taxes          54,063        48,106       38,717
Income taxes (note 5)                 17,780        17,309       14,871
                                    ------------------------------------
Net Earnings                          36,283        30,797       23,846
Preferred dividends                       -           (309)      (1,836)
                                    ------------------------------------
Net earnings available for
     common shareholders            $ 36,283      $ 30,488     $ 22,010
                                    ====================================
Net earnings per common
 share (note 1):
       Basic                           $1.44         $1.22        $0.89
                                    ====================================
       Diluted                         $1.43         $1.20        $0.85
                                    ====================================
Weighted average number of common
 shares outstanding (note 1):
       Basic                        25,136,712    24,976,931   24,735,191
                                    =====================================
       Diluted                      25,427,288    25,483,844   25,912,677
                                    =====================================
<FN>
       See accompanying notes to consolidated financial statements.
</TABLE>



<PAGE>

<TABLE>
                 CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
 (In thousands)
                                            Year Ended March 31
                                    ------------------------------------
<CAPTION>
                                      1999          1998         1997
                                    ------------------------------------
<S>                                 <C>           <C>          <C>
Net earnings available for
 common shareholders                 $36,283       $30,488      $22,010
Other comprehensive income:
 Cumulative foreign currency
  translation                            493        (3,234)        (960)
 Available-for-sale securities
   unrealized loss-net of taxes         (174)            -            -
                                    ------------------------------------
Comprehensive income                 $36,602       $27,254      $21,050


</TABLE>

































<PAGE>


<TABLE>
                     CONSOLIDATED BALANCE SHEETS

ASSETS

(In thousands, except share and per                        March 31
share amounts)                                     ---------------------
<CAPTION>
                                                     1999         1998
                                                   ---------------------
<S>                                                <C>          <C>
Current assets:
    Cash and equivalents                           $ 15,486     $  3,549
    Available-for-sale-securities                       968        4,729
    Accounts receivable, less allowance for
     doubtful receivables of $6,411 and $3,598      108,619       72,675
    Inventories (note 2)                             56,049       49,639
    Prepaid expenses                                  3,182        2,255
    Deferred income taxes (note 5)                    5,070        3,970
                                                   ---------------------
                                                    189,374      136,817
        Total current assets                       ---------------------

Property, plant and equipment, at cost:
    Land and improvements                             6,623        3,798
    Buildings and improvements                       38,373       33,655
    Machinery, equipment and fixtures                64,209       50,340
                                                   ---------------------
                                                    109,205       87,793
    Less accumulated depreciation and amortization   49,966       44,847
                                                   ---------------------
    Net property, plant and equipment                59,239       42,946
                                                   ---------------------
Goodwill, net of accumulated amortization of
    $14,604 and $9,495                              168,991       87,856
Patents, trademarks and other intangibles, net of
    accumulated amortization of $6,021 and $3,999    53,849       15,692
Deferred income taxes (note 5)                        3,295          177
Other assets, net                                    31,531       16,772
                                                   ---------------------
                                                   $506,279     $300,260
                                                   =====================
</TABLE>









<PAGE>
<TABLE>
                       LIABILITIES & SHAREHOLDERS' EQUITY

(In thousands except share and
 per share amounts)                                      March 31
                                                   ---------------------
<CAPTION>
                                                     1999        1998
                                                   ---------------------
<S>                                                <C>          <C>
Current liabilities:
    Notes payable (note 3)                         $  3,700     $  9,962
    Current installments of long-term
     obligations (note 7)                            27,658       12,442
    Accounts payable                                 43,523       24,603
    Dividends payable                                   503          502
    Accrued compensation                              8,974       10,103
    Accrued expenses, other                          30,195       22,681
    Income taxes (note 5)                            11,572        5,710
                                                   ---------------------
        Total current liabilities                   126,126       86,003
                                                   ---------------------
Long-term obligations (note 7)                      231,009      103,983
Accrued postretirement benefits,
  Less Current Portion (note 4)                       6,459        4,291
Deferred income taxes (note 5)                          581          345
Minority interest in subsidiary                          65           93
Shareholders' equity (note 8):
  Common stock.  Authorized 75,000,000 shares;
   issued 39,413,159 shares in 1999 and 39,265,488
   shares in 1998 at stated value of $1.00 per
   share                                             39,413       39,265
  Additional paid-in capital                          5,263            -
  Retained earnings                                 158,315      124,043
Accumulated other comprehensive income
  Equity adjustment from foreign currency
   translation                                       (2,667)      (3,160)
  Equity adjustment from securities
   holding loss                                        (174)           -
  Less cost of 14,267,816 and 14,169,582 common
   shares in treasury                               (58,111)     (54,603)
                                                   ---------------------
        Total shareholders' equity                  142,039      105,545
                                                   ---------------------
Contingencies and commitments (notes 1, 9 and 10)

                                                   $506,279     $300,260
                                                   =====================
<FN>
       See accompanying notes to consolidated financial statements.
</TABLE>



<PAGE>
<TABLE>
                    CONSOLIDATED STATEMENTS OF CASH FLOWS

(In thousands)                                       Year Ended March 31
                                                 ---------------------------
<CAPTION>
                                                   1998      1997      1996
                                                 ---------------------------
<S>                                             <C>       <C>       <C>
Cash flows from operating activities:
Net earnings available to
 common shareholders                            $ 36,283  $ 30,488  $ 22,010
  Adjustments to reconcile net earnings to net
   cash provided by operating activities:
    Depreciation                                   7,089     5,832     5,463
    Amortization of goodwill and other
     intangible assets                             7,505     5,410     4,787
    Provision for bad debts                        1,383       817       547
    Deferred income taxes                            190     2,004      (184)
  Changes in assets and liabilities net of
   effects from acquisitions and dispositions:
    Decrease (increase) in receivables            (2,792)  (11,689)    2,373
    Decrease (increase) in inventories             1,839    (8,434)   (2,955)
    Decrease (increase) in prepaid expenses         (939)      (85)      669
    Increase (decrease) in accounts payable        7,749     4,071     1,624
    Increase (decrease) in accrued expenses       (9,916)   10,442     4,563
    Increase (decrease) in income tax
     liabilities                                   2,449      (690)      768
    Other                                          2,700    (2,831)   (2,228)
                                                 ---------------------------
      Net cash flows provided by operating
       activities                                 53,540    35,335    37,437
                                                 ---------------------------
Cash flows from investing activities:
  Capital expenditures                            (5,442)   (8,342)   (6,914)
  Proceeds from disposition of fixed assets          101       665       871
  Purchase/sale of available-for-sale
    securities                                      (261)        -         -
  Acquisitions of businesses
    (disposition in 1997)                       (165,414)  (25,130)      637
                                                 ---------------------------
      Net cash flows used in investing
       activities                               (171,016)  (32,807)   (5,406)
                                                 ---------------------------
Cash flows from financing activities:
  Short-term (repayments) borrowings -net         (5,847)    1,443     4,459
  Long-term  borrowings                          317,355    53,622     2,000
  Long-term repayments                          (176,300)  (20,062)  (30,775)
  Preferred stock redemption                           -   (32,745)       -
  Exercise of stock options                          162     1,690       958
  Acquisition of treasury stock (note 8)          (3,508)   (7,196)   (8,970)
  Dividends paid                                  (2,011)   (1,752)   (1,641)
                                                 ---------------------------
      Net cash flows provided by (used in)
       financing activities                      129,851    (5,000)  (33,969)
                                                 ---------------------------
Effect of exchange rate changes on cash
 and equivalents                                    (438)    (509)      (365)
                                                 ----------------------------
Net increase (decrease) in
 cash and cash equivalents                        11,937    (2,981)   (2,303)
Cash and cash equivalents at beginning of year     3,549     6,530     8,833
                                                ----------------------------
Cash and cash equivalents at end of year        $ 15,486  $  3,549  $  6,530
                                                ============================
Cash paid for interest                          $ 13,454  $  7,551  $  7,106
                                                ============================
Cash paid for income taxes                      $ 11,101  $ 11,552  $ 15,391
                                                 ============================

           See accompanying notes to consolidated financial statements.
</TABLE>





































<PAGE>
<TABLE>

          CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY

(In thousands, except share data)
Shareholders' Equity (note 8)

<CAPTION>
                                                Accum-
                                                ulated
                              Addit-            Other              Total
                              ional             Compre-            Share-
                     Common   Paid in  Retained hensive  Treasury  holders'
                      Stock   Capital  Earnings  Income    Stock    Equity
                     ------------------------------------------------------
<S>                  <C>      <C>      <C>      <C>       <C>       <C>
Balance at
 March 31, 1996        4,200    3,456   95,564    1,034   (38,437)   65,817

Stock options             59    1,595        -        -         -     1,654
Stock awards               8      670        -        -         -       678
Net earnings               -        -   22,010        -         -    22,010
Cash dividends             -        -   (1,641)       -         -    (1,641)
Tax benefit (note 5)       -      444        -        -         -       444
Three for one split    8,533   (5,206)  (3,327)       -         -         0
Change in subsidiary
 fiscal year end           -        -    1,026        -         -     1,026
Currency translation       -        -        -     (960)        -      (960)
Shares acquired            -        -        -        -    (8,970)   (8,970)
                      ------  -------- -------   -------  --------  --------

Balance at
 March 31, 1997       12,800      959  113,632       74   (47,407)   80,058
                      ------  -------- -------   -------  --------  --------

Stock options            240    1,999        -        -         -     2,239
Stock awards              48    1,273        -        -         -     1,321
Net earnings               -        -   30,488        -         -    30,488
Cash dividends             -        -   (1,752)       -         -    (1,752)
Tax benefit (note 5)       -    3,621        -        -         -     3,621
Three for one split   26,177   (7,852) (18,325)       -         -         0
Currency translation       -        -        -   (3,234)        -    (3,234)
Shares acquired            -        -        -        -    (7,196)   (7,196)
                      ------  --------  -------  -------  --------  --------

Balance at
 March 31, 1998       39,265        0  124,043   (3,160)  (54,603)  105,545
                      ------  -------- -------   -------  --------  --------







Stock options             90      341        -        -         -       431
Stock awards              58    1,343        -        -         -     1,401
Net earnings               -        -   36,283        -         -    36,283
Cash dividends             -        -   (2,011)       -         -    (2,011)
Tax benefit (note 5)       -    3,579        -        -         -     3,579
Currency translation       -        -        -      493                 493
Securities
 holding loss              -        -        -     (174)        -      (174)
Shares acquired            -        -        -        -    (3,508)   (3,508)
                      ------  --------  -------  -------  --------  --------
Balance at
 March 31, 1999       39,413    5,263  158,315   (2,841)  (58,111)  142,039
                      ------  -------- -------   -------  --------  --------
                      ------  -------- -------   -------  --------  --------

<FN>
           See accompanying notes to consolidated financial statements.
</TABLE>


         NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(In thousands, except share and per share amounts)

1.  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
(a) Principles of Consolidation.  The accompanying consolidated
financial statements include accounts of the parent corporation and
all of its domestic and foreign subsidiaries.  Certain foreign
subsidiaries were in previous years, for practical purposes, included
on a calendar year basis.  For those subsidiaries the fiscal year end was
changed to coincide with the parent corporation, beginning with
fiscal year 1997.  The results of the quarter ended March 31, 1996,
earnings of $1,026 on revenues of $12,820, were credited directly
to retained earnings to effect this changeover.  All significant
intercompany accounts and transactions have been eliminated in consolidation.

(b) Use of Estimates.  The preparation of financial statements in conformity
with generally accepted accounting principles requires management to make
estimates and assumptions that affect the reported amounts of assets and
liabilities and disclosure of contingent assets and liabilities at the date
of the financial statements and the reported amounts of revenues and expenses
during the reporting period.  Actual results could differ from those
estimates.

(c) Reclassifications.  Certain amounts in the 1998 consolidated balance sheet
and five year selected data have been restated to conform with the 1999
presentation.







<PAGE>

(d) Cash and Cash Equivalents.  For the purpose of the consolidated
statements of cash flows, the Corporation considers all highly liquid debt
instruments purchased with an initial maturity of three months or less to be
cash equivalents.

(e) Inventories.  Inventories are stated at the lower of cost
(average moving cost) or replacement market.

(f) Property, Plant and Equipment.  Property, plant and equipment
are stated at cost.  Depreciation and amortization of property,
plant and equipment are provided over the estimated useful lives of
the respective assets, principally on the straight-line basis.
Expenditures for maintenance and repairs are charged directly to
expense; renewals and betterments, which significantly extend the
useful lives, in general are capitalized.  Costs and accumulated
depreciation and amortization on assets retired or disposed of are
removed from the accounts and the gains or losses resulting
therefrom, if any, are credited or charged to earnings.

(g) Intangible Assets. Various intangible assets are amortized on a straight
line basis over their estimated useful lives as determined by an appropriate
valuation.  The present amortization periods range between 15 and 40 years for
patents and trademarks and between 5 and 30 years for other separately
identified intangible assets.  Specifically, goodwill is amortized on a
straight line basis over its estimated period of benefit; for smaller
businesses generally no longer than 15 years, for divisions of larger
corporations generally 25 years and for long established companies generally
40 years.  The present goodwill amortization periods range between 5 and 40
years.  Accumulated amortization of goodwill was $14,604 and $9,495 at March
31,1999 and 1998, respectively.  As required by Statement of Financial
Accounting Standards No. 121, Accounting for the Impairment of Long-Lived
Assets and Long-Lived Assets to Be Disposed Of (SFAS121) the Corporation
evaluates the carrying value of intangible assets at each balance sheet date
to determine if impairment exists based upon estimated undiscounted future
cash flows.  The impairment, if any, is measured by the difference between
carrying value and estimated fair value and charged to expense in the period
identified.  The remaining amortization periods are periodically evaluated and
would be revised if considered necessary.

(h) Employee Benefits.  The Corporation sponsors a variety of
employee benefit programs, most of which are non-contributory.












<PAGE>

  Retirement.  Pension, profit sharing and other retirement plans
generally are non-contributory and cover substantially all employees.
Domestically, the Corporation funds a defined benefit pension
plan and, overseas, maintains a defined contribution plan.
The projected unit credit actuarial method is used for financial
reporting purposes.  In addition, the Corporation contributes to profit
sharing and employee stock ownership plans which provide retirement
benefits based upon amounts credited to employee accounts within
the plans.  The Corporation's funding policy for qualified plans
is consistent with federal or other regulations and customarily equals
the amount deducted for income tax purposes.  Foreign subsidiaries
contribute to plans which may be administered privately or by government
agencies in accordance with local regulations.

  Postretirement.  The Corporation currently has accrued postretirement
health care benefits for most U.S. employees.  The postretirement health
care plan is unfunded.

  Postemployment.  The Corporation currently accrues for postemployment
disability benefits to employees meeting specified service requirements.
The postemployment benefits plan is unfunded.

 (i) Comprehensive Income. Statement of Financial Accounting
Standards No. 130, Reporting Comprehensive Income (SFAS130) establishes
standards for reporting and display of comprehensive income in the financial
statements.  In fiscal 1999 the Corporation adopted SFAS130 with a separate
financial statement, consolidated Statement of Comprehensive Income, which
identifies the components of comprehensive income separately.  The accumulated
currency translation adjustment for foreign operations and adjustment for fair
value on holding available- for-sale securities are shown separately on the
Consolidated Balance Sheet. See also notes #1 (j) and #1 (k).

(j) Fair Value of Financial Instruments.  Statement of Financial
Accounting Standards No. 107, Disclosures about Fair Value of Financial
Instruments (SFAS107) requires that reporting entities provide,
to the extent practicable, the fair value of financial instruments,
both assets and liabilities.  The carrying amounts for the Corporation's
financial instruments approximate fair value because of the short maturity of
those instruments and due to the interest rate at year end approximating that
for similar instruments.

   Interest rate swap agreements are employed by the Corporation
to optimize borrowing costs by reducing exposure of
possible future changes in interest rates.  Net receipts or payments on
the swap are accrued and recognized as adjustments to interest expense.
The estimated fair value of these financial instruments at March 31, 1999
is $289 based on the quoted market price from the bank holding the
instruments.





<PAGE>

Statement of Financial Accounting Standards No. 115, Accounting for Certain
Investments in Debt and Equity Securities (SFAS 115) requires that reporting
entities show changes in fair value of available-for-sale securities held.
Accordingly, the Corporation has shown the appropriate carrying amounts and
adjustment thereto in the financial statements.  The adjustment resulted in an
after-tax decrease in equity of $174 for fiscal 1999.

(k) Foreign Operations.  The balance sheet accounts of foreign
subsidiaries are translated into U.S. dollars at year-end rates of
exchange while revenue and expense accounts are translated at
weighted average rates in effect during the periods.  Translation of
the financial statements resulted in an increase in equity of $493
in 1999 and a decrease in equity of $3,234 in 1998 and $960 in 1997.
Gains and losses on foreign currency transactions are included in the
consolidated statements of earnings, resulting in a gain of $251 in 1999
and a loss of $39 and $60 in 1998 and 1997, respectively.

(l) Revenue Recognition. Sales are recorded when products are shipped to
customers.  Commissions and royalties are recorded when earned.

(m) Research and Development.  Research and development costs, charged
to expenses as incurred, were $12,523 $12,028, and $10,850 in 1999, 1998
and 1997, respectively.

(n) Income Taxes.  The provision for income taxes includes Federal,
foreign, state and local income taxes currently payable and those
deferred because of temporary differences between the financial
statement and tax bases of assets and liabilities.  No provision
for deferred income taxes is made with respect to equity adjustments
from foreign currency translation or to undistributed earnings of
subsidiaries which, in management's opinion, will be permanently
reinvested or repatriated at a minimal tax cost to the Corporation.
Foreign tax credits are recorded as a reduction of the provision for
Federal income taxes in the year realized.



















<PAGE>




(o) Stock-based Plans.  Effective April 1, 1996 the Corporation
adopted the disclosure requirements of Statement of Financial
Accounting Standards No 123, Accounting for Stock Based Compensation
(SFAS123).  As permitted under SFAS 123, the Corporation continues to apply
the recognition provisions of APB25, Accounting for Stock Issued to Employees.
Accordingly, compensation expense is measured as the difference between the
fair value of the shares and the exercise price on the measurement date.  Pro
forma net income and per share amounts are presented in the Employee Stock
Incentive Plans note as if the alternative fair value method of accounting
provided for under SFAS123 had been applied to options granted after March
31,1995

(p) Common Share Data.  Statement of Financial Accounting Standards No. 128,
Earnings Per Share (SFAS 128) requires the presentation of basic
and diluted earnings per share.  Comparative references to earnings per
common share (EPS) and weighted average common shares outstanding have been
restated to reflect the adoption of SFAS128.  EPS is calculated based upon
net earnings available for common shareholders after deduction for preferred
dividends.  The computation of basic EPS is based upon the weighted average
number of common shares outstanding during the period.  Diluted EPS is
computed based upon the weighted average number of common shares outstanding
plus the effect of all dilutive contingently issuable common shares from
stock options and stock awards that were outstanding during the period.

In addition, net earnings per common share, dividend amounts declared
and share market price have been restated to give retroactive effect to
three-for-one stock split as of February 6, 1998 and November 15, 1996.





















<PAGE>
(q) Recent Accounting Standards. The following new accounting standards did
not affect results of operations or financial position but did affect
disclosures: Information required by Statement of Financial Accounting
Standards No. 129, Disclosure of Information About Capital Structure (SFAS129)
can be found on the Consolidated Statements of Changes in Shareholders' Equity
and in notes to the Consolidated Financial Statements #4 and #8.  Information
required by Statement of Financial Accounting Standards No. 131, Disclosures
about Segments of an Enterprise and Related Information (SFAS 131) can be
found in note #6.  Information required by Statement of Financial Accounting
Standards No. 132, Employers' Disclosures About Pensions and Other
Postretirement Benefits (SFAS132) can be found in note #4

In June, 1998, the FASB issued Statement of Financial Accounting Standard No.
133, Accounting for Derivative Instruments and Hedging Activities (SFAS133).
This statement establishes accounting and reporting standards for derivative
instruments and hedging activities and requires reporting entities to
recognize all derivatives as either assets or liabilities in the statement of
financial position and measure those instruments at fair value.  The
Corporation is currently evaluating the impact of this standard which is
effective beginning fiscal 2001 and is not expected to have a material effect
to the financial statements.

(r) Acquisitions. In December 1998 the Corporation closed its cash tender
offer whereby it acquired approximately 95% of the outstanding shares of W
Canning plc.  The Corporation acquired the remaining shares through a
statutory compulsory procedure completed February 5,1999, thereby acquiring
the international specialty chemical company.  Based in Birmingham, England,
the business consists principally of the manufacture, sale and technical
servicing of proprietary products including surface finishing, offshore
fluids, sealants and adhesives and fuel and water additives.  The total
purchase price of approximately $160,000, including closing costs, included
inventory, fixed assets, goodwill (approximately $85,000) and other
intangibles (approximately $36,000) and was accounted for as a purchase
transaction. The goodwill is being amortized over 40 years while the other
separately identifiable intangibles are being amortized over periods ranging
between 6 and 40 years.  The goodwill reflects adjustments necessary to
allocate the purchase price to the fair value of the assets acquired,
liabilities assumed and additional purchase liabilities recorded.  Additional
purchase liabilities were recorded for planned eliminations of duplicate
staffing and facilities which are anticipated to be largely completed within
six months of this balance sheet date.  If the amounts realized are either
greater or lesser than the estimated balances provided it will result in an
appropriate reduction or increase to goodwill.  The additional liabilities
recorded, approximately $8,275, include $2,000 for environmental costs
(explained more fully elsewhere in this report, see "environmental
activities"), $4,200 for facility reorganization and $2,075 for employee
redundancy costs.  The facility closures will occur in Germany (1 site), the
United Kingdom (2 sites) and the United States (5 sites) where duplicate
manufacturing, warehouse and administrative efforts exist.  Provision has been
made for leases and taxes of approximately $2,800, asset disposals of $800 and
estimated expenses of $600 for disposition of properties.  The Corporation has
established a provision for severance costs for approximately 112 employees,
who range from entry level staff to senior management, primarily at the
locations above.


<PAGE>
At March 31,1999, the liabilities of approximately $6,000 for reorganization
and redundancy and $2,000 for environmental remained on the Consolidated
Balance Sheet.  Consolidated operating results for fiscal 1999 include the
results of the W Canning plc business from December 2,1998.

The following table shows the detail of the acquisition reserves balance
included in other accrued liabilities on the Consolidated Balance Sheets.

<TABLE>
(In thousands)

<CAPTION>
                                       Initial                  Balance
           Nature                      Amount        Paid       3/31/99
           ------                      --------------------------------
<S>                                    <C>          <C>         <C>
Facilities:
US (5 sites)                           $3,550       $     0     $3,550
Overseas (3 sites)                        650             0        650

Redundancies
US (75 individuals)                       725            25        700
Overseas (37 individuals)               1,350             0      1,350

Environmental                           2,000             0      2,000
                                       ------       -------     ------
  Total                                $8,275       $    25     $8,250
</TABLE>

The following unaudited pro forma summary of consolidated results is presented
as if the acquisition had occurred on April 1, 1997 after giving effect to
certain pro forma adjustments, including recognition of additional interest
expense on debt to acquire the business, amortization of goodwill and other
intangibles, the effects of purchase price allocations and related tax
effects.

<TABLE>
(In thousands, except per share amounts)
(unaudited)

<CAPTION>
                                         1999          1998
                                       -----------------------
<S>                                    <C>           <C>
Net sales                               $474,980     $437,739
Net earnings                              36,692       31,943
Earnings per common share                  $1.44        $1.25
</TABLE>

The pro forma financial information is presented for informational purposes
only and is not necessarily indicative of the results which would have
occurred if the acquisition had commenced at that date, nor are they
indicative of future results.


<PAGE>


In fiscal 1998 there were several minor acquisitions, the most significant
were; The Board Fabrication Division of National Starch and Chemical Company
and Twin Lock B.V. of the Netherlands.  Collectively, all acquisitions were
less than 10% of the Corporation's consolidated total assets and pretax
earnings before the acquisition and they are not material to the financial
position or results of operations of the Corporation.  The acquired businesses
primarily enhance sales to North American electronics and European printing
customers and have been included in the consolidated operating results since
October 1, 1997.  The acquisitions are being accounted for as purchase
transactions including receivables, inventory, fixed assets, goodwill (being
amortized over 5-25 year periods) and other intangibles.

On May 3, 1999 a subsidiary of the Corporation increased its interest in
Galvanevet S.P.A., an Italian specialty chemical company, by an additional
60%, to a total 90% investment.  This transaction included: (a) a $7,936 cash
payment and (b) $7,500 that is deferred for a year.  The Corporation intends
to purchase the remaining 10% interest within the next year with a final
payment of $2,659 bringing the total purchase price to $25,370.


2.  INVENTORIES

<TABLE>
The major components of inventory at March 31 were as follows:
<CAPTION>
  (In thousands)                         1999           1998
                                       ----------------------

  <S>                                  <C>            <C>
  Finished goods                       $29,405        $27,197
  Raw materials and supplies            26,644         22,442
                                       ----------------------
                                       $56,049        $49,639
                                       ======================

</TABLE>

3.  NOTES PAYABLE

Notes payable at March 31, 1999 consisted of $3,700 of outstanding
borrowings under available lines of credit aggregating approximately
$55,000.  The terms of the lines of credit generally provide for
interest rates at or below the prime rate on the date of borrowing
domestically and, for foreign company borrowings, rates that vary
with base rates in each currency.  The lines of credit can be
withdrawn at any time at the option of the banks.  The weighted
average interest rates on short-term borrowings outstanding were
3.8% and 6.2% at the end of 1999 and 1998, respectively.




<PAGE>

4.  EMPLOYEE BENEFIT & STOCK OPTION PLANS

Pension, Postretirement & Postemployment Benefits
The Corporation has defined benefit pension, defined contribution
profit sharing and employee stock ownership plans for substantially
all its domestic employees.  Aggregate amounts charged to earnings for
these plans were $1,442, $1,684 and $1,566 in 1999, 1998 and 1997,
respectively.

  Pension.  The domestic pension plan provides retirement benefits based
upon years of service and compensation levels.  Plan assets at fair
value consist primarily of listed stocks, bonds and guaranteed
investment contracts, and included 393,255 shares of the
Corporation's common stock having a market value of $13,346 and
$11,306 at March 31, 1999 and 1998, respectively.  As a result of the
acquisition of W Canning plc, the Corporation now also has a retirement and
death benefit plan covering employees located in Great Britain.  As of April
6, 1997, this plan converted from a defined benefit to a defined contribution
basis for pensionable service after that date.  The obligation has been
recognized for past service benefits which continue on the defined benefit
basis.  The Corporation's other foreign subsidiaries maintain benefit plans
that are consistent with statutory practices and are not significant.

   Postretirement benefits.  The Corporation sponsors a defined
benefit postretirement medical and dental plan (unfunded) that
covers all of its domestic full-time employees, hired prior to April 1, 1997,
who retire after age 55 with at least 10 to 20 years of service (depending
upon the date of hire).  Employees retiring after March 31, 1998 are required
to contribute toward the cost of the plan until they attain age 65.  The
Corporation's subsidy level is subject to a cap which increases 3% each year.
Retirees will be required to contribute the plan cost in excess of the cap in
addition to other required contributions.

   The projected benefit obligation for the postretirement plan at
March 31, 1999 comprised 26% retirees, 3% fully eligible active
participants and 71% other active participants.  The annual
increase in cost is 3.0% for postretirement medical benefits (no
assumed rate increase for dental benefits since it is a scheduled
plan) since the Corporation's contributions are at the defined cap.
The medical cost trend rate assumption has no effect on the
amounts reported due to the cap on contributions paid by the
Corporation.

   Postemployment benefits.  The Corporation sponsors a defined
benefit postemployment compensation continuation plan that covers
all of its full time domestic employees.  Employees who have
completed at least six months of service, become permanently
disabled and are unable to return to work are eligible to receive a
benefit under the plan.  The benefit may range from one week to a
maximum of six months of compensation.  The estimated ongoing additional
after-tax annual cost is not material.


<PAGE>

<TABLE>
The following table sets forth the components of the pension and
postretirement benefit plans with respect to the Consolidated Balance
Sheets for the years ended March 31:
(in thousands)
<CAPTION>
                                                                  Post
                                                                Retirement
                             Pension Benefits                    Benefits
                      ------------------------------------   ----------------
                             1999               1998          1999     1998
                             ----               ----          ----     ----
                      Domestic  Foreign  Domestic  Foreign   Domestic Domestic
                      --------  -------  --------  -------   -------- --------
<S>                   <C>       <C>       <C>       <C>      <C>      <C>
Reconciliation of
Projected Benefit
Obligation:
Projected benefit
obligation at
beginning of year     $31,104   $     0   $24,375   N/A      $ 4,218  $ 4,299
Service cost
(benefits earned
during the period)      1,477       211     1,286   N/A           83       64
Interest cost on the
projected benefit
obligation              2,155       836     1,959   N/A          296      292
Liability increase
due to acquisition         94    43,942         0   N/A            0        0
Actuarial (gain)/
loss excluding
assumption change         100       987     2,180   N/A          291     (191)
Actuarial (gain)/
loss due to
assumption change       1,320         0     2,205   N/A            0        0
Benefits paid          (1,024)     (656)     (901)  N/A         (440)    (246)
Translation
difference                  0    (1,556)        0   N/A            0        0
Projected benefit     --------  --------  --------  ----     -------- --------
obligation at end
of year                35,226    43,764    31,104   N/A        4,448    4,218
                      --------  --------  --------  ----     -------- --------
Reconciliation of
Fair Value of
Plan Assets:
Fair value of plan
assets at beginning
of year                36,210         0    23,871   N/A            0        0
Actual return on Plan
assets (net of
expenses)               4,848       865    11,905   N/A            0        0
Acquisition                 0    48,061         0   N/A            0        0
Employer contribution   1,709        90     1,335   N/A          440      246
Plan participants
contribution                0        60         0   N/A            0        0
Benefits paid          (1,024)     (655)     (901)  N/A         (440)    (246)
Translation difference      0    (1,726)        0   N/A            0        0
Fair value of plan    --------  --------  --------  ----     -------- --------
assets at end of year  41,743    46,695    36,210   N/A            0        0
Funded Status         --------  --------  --------  ----     -------- --------
Funded status           6,517     2,931     5,106   N/A       (4,448)  (4,218)
Unrecognized net
actuarial (gain)/loss  (4,793)   (1,052)   (4,709)  N/A          578      286
Unamortized prior
service cost              269         0       233   N/A            0        0
Unrecognized
transition obligation
(asset)/Obligation       (458)        0      (686)  N/A            0        0
                      --------  --------  --------  ----     -------- --------
Accrued benefit cost   $1,535    $1,879    $  (56)  N/A      $(3,870) $(3,932)
                      --------  --------  --------  ----     -------- --------
Weighted Average      --------  --------  --------  ----     -------- --------
Assumptions:
Discount rate           6.75%      6.0%      7.0%   N/A        6.75%     7.0%
Rate of compensation
increase                 5.0%      6.0%      5.0%   N/A         N/A       N/A
Long-term rate of
return on assets         9.0%      8.0%      9.0%   N/A         N/A       N/A
Annual increase in
cost of medical
benefits                 N/A       N/A       N/A    N/A         3.0%     3.0%

</TABLE>

























<PAGE>

<TABLE>
The following table sets forth the components of the pension and
postretirement benefit plans with respect to the Consolidated Statements
of Earnings for the years ended March 31:
(in thousands)
<CAPTION>
                                          Pension Benefits
                      -------------------------------------------------------
                             1999               1998               1997
                             ----               ----               ----
                      Domestic  Foreign  Domestic  Foreign   Domestic Foreign
                      --------  -------  --------  -------   -------- --------
<S>                   <C>       <C>       <C>       <C>      <C>      <C>
Net Periodic
Benefit Expense:
Service cost (benefits
earned during the
period)                $1,477    $  211    $1,286   N/A      $1,092     N/A
Interest cost on the
projected benefit
obligation              2,155       836     1,959   N/A       1,741     N/A
Expected return on
plan assets            (3,256)   (1,080)   (2,145)  N/A      (1,874)    N/A
Amortization of prior
service cost               58         0        50   N/A          50     N/A
Amortization of
transition obligation    (229)     (168)     (229)  N/A        (229)    N/A
Recognized actuarial
(gain)/loss               (87)       15        19   N/A          83     N/A
Net periodic           -------   -------   -------  ---      -------    ---
benefit cost           $  118    $ (186)   $  940   N/A      $  863     N/A
                       -------   -------   -------  ---      -------    ---
                       -------   -------   -------  ---      -------    ---
</TABLE>



















<PAGE>


<TABLE>
The following table sets forth the components of the pension and
postretirement benefit plans with respect to the Consolidated Statements of
Earnings for the years ended March 31:
(in thousands)
<CAPTION>
                                    Post Retirement Benefits
                      -----------------------------------------------
                                   1999        1998         1997
                                   ----        ----         ----
                                 Domestic    Domestic     Domestic
                                 --------    --------     --------
<S>                              <C>         <C>          <C>

Net Periodic Benefit Expense:
Service cost (benefits earned
during the period)                 $ 83         $ 64         $ 56
Interest cost on the projected
benefit obligation                  296          292          302
Expected return on plan assets        0            0            0
Amortization of prior service cost    0            0            0
Amortization of transition
obligation                            0            0            0
Recognized actuarial (gain)/loss      0            0            0
                                   ----         ----         ----
Net periodic benefit cost          $379         $356         $369
                                   ----         ----         ----
                                   ----         ----         ----

</TABLE>






















<PAGE>


EMPLOYEE STOCK INCENTIVE PLANS

1992 Plan:  In 1993, the Corporation adopted a non-qualified
stock option plan, approved by shareholders in July 1992 (the
1992 plan), for the issuance of up to 2,700,000 shares under which
certain employees have been granted options totaling 2,545,565.
Options granted under the 1992 plan generally are exercisable, at
a price equal to two-thirds of the market price at the grant date,
during a four-year period beginning with the grant date.  The
options are exercisable into restricted shares of common stock
which cannot be sold or transferred, except back to the Corporation
at cost, during the four-year period commencing with the
exercise date.

Compensation expense, which is equal to the difference between
the fair market value on the date of an option grant and the
exercise price of shares which may be purchased thereunder, is
amortized over a six-year period.  During 1999, 1998, and 1997,
compensation expense relating to this plan was $317, $526 and
$646, respectively.

  1995 Plan: In 1996, the Corporation adopted a non-qualified
equity incentive plan, approved by the shareholders in July 1995
(the 1995 plan), for the issuance of up to 900,000 shares under
which certain employees have been granted restricted shares
totaling 452,947, having market prices of $4 3/4 to $31 3/8 on the
dates of grant.  All shares of restricted stock issued under the 1995
plan must be held and cannot be sold or transferred, except to
the Corporation for a period of four years from the date of the award.
During 1999, 1998 and 1997, compensation expense relating to this plan
was $1,311, $1,273 and $604, respectively.

Options issued under the Corporation's stock incentive plans and
outstanding at March 31, 1999 have exercise prices ranging from
$1.79 to $21.81, expiring periodically through fiscal 2003, summarized
in the following table as of March 31:
















<PAGE>


<TABLE>
<CAPTION>
                                          Number       Weighted-average
                                          of Options    Exercise Price
                                          ==========   ================
<S>                                      <C>              <C>
Outstanding March 31, 1996               1,856,700        $ 1.97
1997 activity:
  Granted                                        0            -
  Exercised                               (529,332)       $ 1.81
  Forfeited                                      0            -
  Outstanding at March 31, 1997          1,327,368        $ 2.04
  Exercisable at March 31, 1997          1,327,368        $ 2.04

1998 activity:
  Granted                                        0             -
  Exercised                               (787,368)       $ 2.15
  Forfeited                                      0             -
  Outstanding at March 31, 1998            540,000        $ 1.89
  Exercisable at March 31, 1998            540,000        $ 1.89

1999 activity:
  Granted                                   12,065        $21.81
  Exercised                                (90,000)       $ 1.79
  Forfeited                                      0             -
  Outstanding at March 31, 1999            462,065        $ 2.42
  Exercisable at March 31, 1999            462,065        $ 2.42

</TABLE>























<PAGE>

<TABLE>
The following table summarizes information about fixed stock options
outstanding and exercisable at March 31, 1999:

<CAPTION>
       Exercise      Number     Weighted-Average     Weighted-Average
        Prices    Outstanding    Remaining Life        Exercise Price
    ------------- -----------   ----------------     ----------------
    <C>             <C>            <C>                    <C>
    $1.79 - $2.00    450,000        2.1 years              $ 1.90
       $21.81         12,065        3.1 years              $21.81
                     -------        ---------              ------
                     462,065        2.1 years              $ 2.42
</TABLE>


Had the Corporation used the fair value-based method of
accounting for its stock option plans (beginning in 1996) and
charged compensation cost against income, over the six year
period, based on the fair value at the date of grant consistent with
FAS 123, net earnings and net earnings per common share for
1999, 1998 and 1997 would have been reduced to the following pro
forma amounts:

<TABLE>

(In thousands, except per share amounts)
<CAPTION>
                                         1999        1998       1997
                                         ====        ====       ====
    <S>                                  <C>         <C>        <C>
    Net earnings
            As reported                  $36,283     $30,488    $22,010
            Pro forma                    $36,257     $30,439    $21,967

    Net earnings per common share
    Basic
           As reported                   $1.44       $1.22      $0.89
           Pro forma                     $1.44       $1.22      $0.89

    Diluted
           As reported                   $1.43       $1.20      $0.85
           Pro forma                     $1.43       $1.19      $0.85


</TABLE>





<PAGE>
The pro forma information above includes stock options granted
since April 1, 1995.  Effects of applying FAS 123, using the fair
value-based method of accounting, is not representative of the pro
forma effect on earnings in future years because it does not take
into consideration pro forma compensation expense related to
stock options granted prior to 1996.
     The weighted-average grant-date fair value of options, $7.12
for those granted since April 1, 1995, was determined by utilizing the
Black-Scholes option-pricing model and the following key assumptions:
<TABLE>
<CAPTION>
                                   1999        1998      1997
                                   ----        ----      ----
<S>                               <C>          <C>      <C>
       Risk-free interest rate     5.15%        N/A      N/A
       Expected option life        6 years      N/A      N/A
       Expected volatility         46.3%        N/A      N/A
       Dividend yield               0.2%        N/A      N/A
</TABLE>
5.  INCOME TAXES
Earnings before income taxes included foreign earnings of
$26,267, $22,103 and $20,312 for 1999, 1998 and 1997, respectively.
   Income tax expense attributable to income from operations for the
years ended March 31 consisted of:
<TABLE>
<CAPTION>
(In thousands)                     Current      Deferred       Total
                                   ---------------------------------
<S>                                <C>          <C>          <C>
                                                  1999
                                                  ----
  U.S. Federal                     $ 7,494      $   355      $ 7,849
  State and local                    1,346          153        1,499
  Foreign                            8,750         (318)       8,432
                                   ---------------------------------
    Totals                         $17,590      $   190      $17,780
                                   =================================
                                                  1998
                                                  ----
  U.S. Federal                     $ 7,189      $ 1,070      $ 8,259
  State and local                    1,504          475        1,979
  Foreign                            6,612          459        7,071
                                   ---------------------------------
    Totals                         $15,305      $ 2,004      $17,309
                                   =================================
                                                  1997
                                                  ----
  U.S. Federal                     $ 7,738      $  (775)     $ 6,963
  State and local                    1,519         (176)       1,343
  Foreign                            5,798          767        6,565
                                   ---------------------------------
    Totals                         $15,055      $  (184)     $14,871
                                   =================================
</TABLE>


<PAGE>

<TABLE>
   Income tax expense for the years ended March 31, 1999, 1998 and
1997 differed from the amounts computed by applying the U.S. Federal
statutory tax rates to pretax income from operations as a result of
the following:
<CAPTION>
(In thousands)                       1998          1997         1996
                                     ---------------------------------
<S>                                  <C>           <C>         <C>
  U.S. Federal statutory tax rate       35%          35%          35%
                                     =================================
  Taxes computed at U.S.
   statutory rate                    $18,922       $16,837     $13,551
  State income taxes, net of
   Federal  benefit                      974         1,286         873
  Foreign tax rate differential         (663)       (1,029)     (1,251)
No tax benefit for loss on
    disposition of subsidiary             -             -          438
  Other, net                          (1,453)          215       1,260
                                     ---------------------------------
    Actual income taxes              $17,780       $17,309     $14,871
                                     =================================
  Effective tax rate                   32.9%        36.0%        38.4%
                                     =================================
</TABLE>




























<PAGE>

<TABLE>
   The tax effects of temporary differences that give rise to
significant portions of the deferred tax assets and liabilities at
March 31 are:

<CAPTION>
(In thousands)                                       1999        1998
                                                    ------------------
<S>                                                 <C>         <C>
Deferred tax assets:
    Accounts receivable, primarily due to
       allowance for doubtful accounts              $  550      $  660
    Inventories                                      1,321       1,241
    Accrued liabilities                                833         826
    Acquisition accrued liabilities                  3,075           -
    Employee benefits                                4,391       4,249
    Other                                            3,702       1,372
                                                    ------------------
        Total gross deferred tax assets             13,872       8,348

Deferred tax liabilities:
    Plant and equipment, primarily due to
       depreciation                                  1,936       1,870
    Other                                            4,152       2,676
                                                    ------------------
        Total gross deferred tax liabilities        $6,088      $4,546
                                                    ------------------
        Net deferred asset                          $7,784      $3,802
                                                    ==================
</TABLE>

   The Corporation has not recognized a deferred tax liability for
the undistributed earnings of foreign subsidiaries that arose in 1999 and
prior years because the Corporation does not expect to repatriate those
earnings in the foreseeable future.  A deferred tax liability will be
recognized when the Corporation expects that it will recover those
earnings in a taxable transaction, such as through receipt
of dividends, net of foreign tax credits, or sale of the
investment.  At March, 1999, the undistributed earnings of those
subsidiaries were approximately $70,509.  A determination of the deferred
tax liability relating to the undistributed earnings of foreign subsidiaries
is not practicable.
   During fiscal 1999, 1998 and 1997 the lapse of restrictions upon
stock exercised under the stock option and award plans resulted
in a tax benefit of $3,579, $3,621 and $444, respectively, which were
recorded as increases in additional paid-in capital.







<PAGE>

6.  SEGMENT REPORTING

The Corporation operates one business segment which is the development,
manufacture and technical servicing of various types of specialty chemical
processes and related equipment.  These chemicals are used for a broad range
of purposes including, but not limited to, finishing metals and non metallic
surfaces, electro-plating metal surfaces, etching, imaging, metallization,
cleaning, printing plates and offshore fluids.  Worldwide operations are
summarized by geographic region in the following table:

<TABLE>

<CAPTION>
                      United    Other                 Asia
                      States   Americas   European   Pacific   Consolidated
                      -----------------------------------------------------
(In thousands)                                1999
                      -----------------------------------------------------
<S>                   <C>      <C>        <C>        <C>       <C>
Net sales to
unaffiliated
 customers            $199,946  $11,543   $99,472    $71,696   $382,648
Operating profit        37,494    3,526    11,322     11,609     63,951
Identifiable assets    342,482    2,037   115,099     46,661    506,279

                                                 1998
                      -----------------------------------------------------

Net sales to
 unaffiliated
 customers            $169,552  $14,017   $57,562    $72,562   $314,058
Operating profit        30,234    4,602     9,017     11,752     55,605
Identifiable Assets    219,572    1,990    40,137     38,561    300,260

                                                 1997
                      -----------------------------------------------------
Net sales to
 unaffiliated
 customers            $158,868  $12,914   $55,969    $65,969   $293,720
Operating profit        22,840    4,519     8,482     10,870     46,711
Identifiable Assets    191,095    1,888    30,122     37,873    260,978

</TABLE>









<PAGE>
7.  LONG-TERM OBLIGATIONS
<TABLE>
Long-term obligations at March 31 consisted of the following:
<CAPTION>
(In thousands)                             1999            1998
                                          -----------------------
<S>                                       <C>              <C>
Term loan, unsecured, variable interest
 (6.5% at March 31, 1999) due in
 quarterly installments to 2005           $187,000         $ 69,821

Acquisition facility, unsecured,
 variable interest (6.84% at
March 31, 1999) due in
 quarterly installments to 2005           $ 70,619                -

Term loan, unsecured, variable interest
 (4.5% at March 31, 1999) due in
 quarterly installments to 2006                339                -

Debenture, 3.5% interest due in
 quarterly installments to 2004                151               80

Revolving loan, unsecured, variable
 interest due in 2001
   6.19% at March 31, 1998                       -           41,500
   3.94% at March 31, 1998                       -            2,160

Installment loan, unsecured, variable
interest (6.19% at March 31, 1998)               -            2,400

Other, due in varying amounts
 to 2003                                       559              464
                                          -------------------------
Total long-term obligations                258,668          116,425
Less current portion                        27,659           12,442
                                          -------------------------
Long-term portion                         $231,009         $103,983
                                          =========================
</TABLE>

   Minimum future principal payments on long-term obligations
subsequent to March 31, 1999 are as follows:
(In thousands)
               2000                          $ 27,659
               2001                            32,612
               2002                            44,787
               2003                            59,664
               2004                            60,879
               Thereafter                      33,067
                                             --------
                   Total                     $258,668
                                             ========


<PAGE>



The term loan and acquisition facility bear interest at a variable rate which
is based on a ratio of the Corporation's debt to earnings before certain
expenses and was set on March 26,1999 at 1.5% above the London interbank
market rate; U.S. LIBOR which was 5.0% for the U.S. dollar term loan, and U.K.
L1BOR which was 5.34% for the pound sterling acquisition facility.  At March
31,1999 the effective interest rate for the U.S. dollar term loan was 6.5% and
for the pound sterling acquisition facility was 6.84%.  Under these loans, the
most restrictive covenants provide that earnings before interest and taxes as
a ratio to interest expense must be greater than 2.5 to 1; consolidated net
worth must be at least $108,427 and the total debt must not exceed 400% of net
worth.

There is a $75,O00 committed revolving credit line which expires in 2004 with
no amounts outstanding at March 31, 1999.  The Corporation can borrow in
foreign currencies and U.S. dollars on this facility.  Commitment fees under
the revolving credit lines are variable, ranging from 37.5 to 150 basis points
on the unused balance.

The Corporation has entered into interest rate swap agreements for the purpose
of reducing its exposure to possible future changes in interest rates
applicable to the term and revolving loans.  Pursuant to the terms of the
agreements, the notional amounts of pounds sterling 45,000 ($72,531) and
$57,679 are reduced in accordance with applicable schedules until the
expiration dates, December 31, 2001 and June 29, 2001, respectively  The pound
sterling swap compares a fixed rate of 5.418% to the U.K. LIBOR rate every
three months as a basis for payment or receipt of the rate differential and
the U.S. dollar swap compares a fixed rate of 5.63% to the U.S. LIBOR rate
every three months as a basis for payment or receipt of the rate differential,
as applied to the then covered notional amount for each.

8.  SHAREHOLDER'S EQUITY

The Corporation's Restated Certificate of Incorporation provides for 75 million
authorized common shares.

During fiscal 1998 the Board of Directors authorized a there-for-one stock
split.  The shares were distributed on April l, 1998. As a result, $7,852 was
first transferred from additional paid in capital with an excess of $18,325
transferred from retained earnings to the common stock account.

During fiscal 1997, there was also a three-for-one stock split, distributed
on November 15,1996.  As a result, $5,206 and $3,327 were transferred from
additional paid in capital and retained earnings, retectivrly to the common
stock account that year.

Amounts per share and number of common shares were restated to give
retroactive effect to the stock splits.  The stated value remained unchanged
at $1.00 per share.  Common shares outstanding are summarized in the following
table at March 31:


<PAGE>


<TABLE>
<CAPTION>
                                                Shares
                                ---------------------------------------
Common Stock:                       1999           1998         1997
                                ---------------------------------------
<S>                             <C>            <C>          <C>
 Balance - beginning of year      39,265,488     38,401,017   37,801,602
 Shares issued - stock options        90,000        787,368      529,332
 Shares issued - stock awards         57,671         77,103       70,083
                                ----------------------------------------
 Balance - end of year            39,413,159     39,265,488   38,401,017
                                ========================================
</TABLE>

On July 22,1998, the Board of Directors authorized the purchase
of up to 1,000,000 shares of the Corporation's common stock.  On February
17,1999, the Board of Directors reduced this authorization to 250,000, to be
acquired through open market purchases or privately negotiated transactions
from time to time.  Any future repurchases under this authorization will
depend on various factors, including the market price of the shares, the
Corporation's business and financial position and general economic and market
conditions.  Additional shares acquired pursuant to such authorization will be
held in the Corporation's treasury and will be available for the Corporation
to issue without further shareholder action (except as required by applicable
law or the rules of any securities exchange on which the shares are then
listed).  Such shares may be used for various Corporate purposes, including
contributions under existing or future employee benefit plans, the acquisition
of other businesses and the distribution of stock dividends.  Common stock
repurchases of 98,234 shares in 1999, at prices ranging from $32 1/4
to $41 1/8 per share, and 330,024 shares in 1998, at prices ranging
from $15 29/32 to $28 3/4 per share, were completed pursuant to
board authorizations.  At March 31, 1999, there was a balance of
such outstanding authorizations totaling 234,120 shares.

9.  LEASE COMMITMENTS

The Corporation leases certain warehouse space, transportation,
computer and other equipment.  In addition, the Corporation has leased
equipment at customers which are generally subject to sublease agreements.
Contingent rentals are paid for warehouse space on the basis of the monthly
quantities of materials stored and for transportation and other equipment on
the basis of mileage or usage.  Total rental expense amounted to
$6,031, $6,030 and $5,710 in 1999, 1998 and 1997, respectively,
of which $1,296, $1,169 and $1,159, respectively, were
contingent rentals.

Minimum lease commitments under operating leases for the fiscal years
subsequent to March 31, 1999 are as follows:


<PAGE>

<TABLE>
(In thousands)
<CAPTION>
                                      Deduct            Net
               Commitments           Sublease       Commitments
<S>            <C>                   <C>              <C>
  2000         $ 5,560                $2,679           $2,881
  2001           4,124                 2,397            1,727
  2002           3,309                 1,412            1,897
  2003             968                   368              600
  2004             259                   167               92
  Thereafter       290                     -              290
               -------               -------          -------
  Total        $14,510                $7,023           $7,487
               =======               =======          =======

10.  CONTINGENCIES

(a) Environmental
The Corporation has been named as a potentially responsible party (PRP) by the
Environmental Protection Agency in connection with two waste sites.  There are
many other companies involved at each of these sites and the Corporation's
participation is minor.  The Corporation has recorded its best estimate of
liabilities in connection with site clean-up based upon the extent of its
involvement, the number of PRPs and estimates of the total costs of the site
clean-up that reflect the results of phase I and II environmental
investigations and remediation estimates produced by remediation contractors.
Though it is difficult to predict the final costs of site remediation,
management believes that the recorded liabilities are reasonable estimates of
probable liability and that future cash outlays are unlikely to be material to
its consolidated financial position, results of operations or cash flows.  In
respect of the foregoing two sites the Corporation has reserved $200 as its
estimate of liability, for the Corporation, taking the foregoing factors into
consideration.

The Corporation has established an environmental remediation reserve with
respect to its December 1998 acquisition of W. Canning, plc.  A substantial
majority of that reserve is attributable to two U.S. sites of a W. Canning,
plc. U.S. subsidiary that are believed to require environmental remediation
activities.  The reserves established by the Corporation were based upon phase
I and phase II environmental investigations of those sites and remediation
estimates produced by remediation contractors, which estimates indicated that
the reasonable range of the Corporation's gross liability is $2,000 to $11,500.
Based upon the Corporation's experience and the facts known to it, as of the
date of this filing the Corporation expects that its gross liability for those
two Canning sites will not exceed $4,500.  The Corporation believes that its
Canning subsidiary clearly is entitled under Canning's acquisition agreement
relating those sites to withhold a deferred purchase price payment of
approximately $2,300, which will be applied to reduce its net liability for
those sites.  To the extent the Corporation's liabilities exceed $2,300 it may
be entitled to additional indemnification payments from the previous



<PAGE>

two largest shareholders of the prior owner of the two sites.  Such recovery is
substantially uncertain, however, and would likely involve significant
litigation expense.  As a result, the Corporation has recorded a net
liability of $2,000.  The foregoing estimates of potential gross and net
liabilities and recoveries have not been discounted to reflect the time value
of money.  The Corporation expects that the liabilities pertaining to the two
Canning sites will be incurred within the next three years; the Corporation
will recognize the recovery from the purchase price adjustment
contemporaneously with its payment of the underlying expense.

On January 30,1997, the Corporation was served with a subpoena from a federal
grand jury in Connecticut requesting certain documents.  The Corporation was
subsequently informed that it is a subject of the grand jury's investigation.
The subpoena requested information relating to an accidental spill from the
Corporation's Huntingdon Avenue, Waterbury, Connecticut facility that occurred
in November of 1994, together with other information related to operations and
compliance at the Huntingdon Avenue facility.  The Corporation has retained
outside law firms to assist in complying with the subpoena.  The Corporation
is cooperating with the government's investigation.  Since this matter is
currently in very early stages, it is impossible to determine what the
ultimate outcome will be and difficult to quantify the extent of an exposure
to liability.  As such, no assurance can be given that the Corporation will
not be found to have liability.  Accruals in this regard are determined in
accordance with the provisions of Statement of Financial Accounting Standards
No. 5, Accounting for Contingencies (SFAS5) which requires an accrual to be
recorded when it is both probable a liability has been incurred and the cost
is reasonably estimable.

(b) Other
The Corporation is a party to a number of lawsuits and claims in addition to
those discussed above arising out of the ordinary conduct of business.  While
the ultimate results of the proceedings against the Corporation cannot be
predicted with certainty, management does not expect that resolution of these
matters will have a material adverse effect upon its consolidated financial
position, results of operations or cash.  It is the Corporation's policy to
accrue probable liabilities to the extent that such liabilities can reasonably
be estimated.

The Corporation's business operations, consist principally of manufacture and
sale of specialty chemicals, supplies and related equipment to customers
throughout much of the world.  Approximately 60% of the business is
concentrated with manufacturers of printed circuit boards which are used in a
wide variety of end-use applications, including computers, communications and
control equipment, appliances, automobiles and entertainment products.  As is
usual for this business, the Corporation generally does not require collateral
or other security as a condition of sale, choosing, rather, to control credit
risk of trade account financial instruments by credit approval, balance
limitation and monitoring procedures.  Management believes that reserves for
losses, which are established based upon review of account balances and
historical experience, are adequate.


<PAGE>



MANAGEMENT'S STATEMENT OF FINANCIAL RESPONSIBILITY

MacDermid, Incorporated (Logo)
                                  245 Freight Street
                                  Waterbury, CT  06702

To The Shareholders
MacDermid, Incorporated

The financial information in this report, including the audited
consolidated financial statements, has been prepared by
management.  Preparation of consolidated financial
statements and related data involves the use of judgment.
Accounting principles used in preparing consolidated
financial statements are those that are generally accepted
in the United States.
   To safeguard Corporate assets, it is important to have
a sound but dynamic system of internal controls and
procedures that balances benefits and costs.  The
Corporation employs professional financial managers
whose responsibilities include implementing and overseeing
the financial control system, reporting on management's
stewardship of assets entrusted to it by share owners and
performing accurate and proper maintenance of the accounts.
   Management has long recognized its responsibility for
conducting the affairs of the Corporation and its affiliates
in an ethical and socially responsible manner.  MacDermid,
Incorporated is dedicated to the highest standards of integrity.
Integrity is not an occasional requirement, but a continuing commitment.
   KPMG LLP conducts an objective, independent review of management's
fulfillment of its obligations relating to the fairness of reported operating
results and financial condition. Their report for 1999 appears below this
statement.
   The Audit Committee of the Board of Directors, consisting
solely of Directors independent of MacDermid Incorporated, maintains an
ongoing appraisal on behalf of the share owners of the
effectiveness of the independent auditors and the Corporation's
staff of financial and operating management with respect to the
financial and internal controls.


/s/Daniel H. Leever

Daniel H. Leever
Chief Executive Officer







<PAGE>



INDEPENDENT AUDITORS' REPORT

KPMG LLP (Logo)
Certified Public Accountants               City Place II
                                           Hartford, CT  06103-4103


The Board of Directors and Shareholders
MacDermid, Incorporated

We have audited the accompanying consolidated balance sheets
of MacDermid, Incorporated and subsidiaries as of March 31, 1999
and 1998, and the related consolidated statements of earnings, comprehensive
income, cash flows and changes in shareholders' equity for each of the
years in the three-year period ended March 31, 1999.  These
consolidated financial statements are the responsibility of the
Company's management.  Our responsibility is to express an
opinion on these consolidated financial statements based on our audits.
   We conducted our audits in accordance with generally accepted
auditing standards.  Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the
financial statements are free of material misstatement.  An audit
includes examining, on a test basis, evidence supporting the
amounts and disclosures in the financial statements.  An audit also
includes assessing the accounting principles used and significant
estimates made by management, as well as evaluating the overall
financial statement presentation.  We believe that our audits provide
a reasonable basis for our opinion.
   In our opinion, the consolidated financial statements referred to
above present fairly, in all material respects, the financial position of
MacDermid, Incorporated and subsidiaries at March 31, 1999 and 1998
and the results of their operations and their cash flows for each of the
years in the three-year period ended March 31, 1999 in conformity with
generally accepted accounting principles.


/s/KPMG LLP


May 14, 1999











<PAGE>


</TABLE>
<TABLE>
                SELECTED QUARTERLY FINANCIAL DATA
                                (UNAUDITED)
(In thousands, except share and per share amounts)

                        SELECTED QUARTERLY RESULTS
<CAPTION>

                                         1999 by Quarters
                           ----------------------------------------------
                            June    September  December  March    Total
                           ----------------------------------------------
<S>                        <C>      <C>        <C>      <C>      <C>
Net sales                  $81,070  $85,858    $96,716  $119,004 $382,648
Gross profit                40,897   41,205     48,009    59,576  189,687
Net earnings                 8,093    8,653      9,334    10,203   36,283
Earnings
  per common share           $0.32    $0.34      $0.37    $0.40     $1.43

                                         1998 by Quarters
                           ----------------------------------------------
                            June    September  December  March    Total
                           ----------------------------------------------

Net sales                  $74,720  $75,003    $83,808  $80,527  $314,058
Gross profit                39,376   39,025     41,354   42,114   161,869
Net earnings                 7,252    7,351      7,640    8,245    30,488
Earnings
  per common share           $0.29    $0.29      $0.30    $0.32     $1.20

<FN>

</TABLE>




















<PAGE>


<TABLE>
                              MARKET RANGE TRADING RECORD
<CAPTION>
                           Fiscal 1999                    Fiscal 1998
                         ------------------             ------------------
                          High       Low                 High       Low
QUARTER                  ------------------             ------------------
<S>                      <C>         <C>                <C>          <C>
June                     42 3/8      28                 15 19/32    11 19/32
September                37 3/4      23 3/8             34          15 11/32
December                 39 1/8      30 5/16            29 31/32    20 11/16
March                    41 1/4      32 3/4             37          23 21/64

Closing price March 31       33 15/16                       28 3/4
</TABLE>

<TABLE>
                                   DIVIDEND RECORD
<CAPTION>
                      Fiscal 1999                     Fiscal 1998
               ---------------------------     ---------------------------
               Record   Payable    Amount      Record   Payable    Amount
QUARTER         Date     Date     Declared      Date     Date     Declared
               ---------------------------     ---------------------------
<S>            <C>      <C>         <C>        <C>       <C>        <C>
June            6/15/98  7/1/98     $0.02       6/13/97   7/1/97    $0.0167
September       9/15/98 10/1/98     $0.02       9/15/97  10/1/97    $0.0167
December       12/15/98  1/4/99     $0.02      12/15/97   1/2/98    $0.0167
March           3/15/99  4/1/99     $0.02       3/16/98   4/1/98    $0.02


</TABLE>
























<PAGE>

                           CORPORATE INFORMATION
DIRECTORS:

Daniel H. Leever, Chairman of the Board and Chief Executive Officer
R. Nelson Griebel, President and Chief Operating Officer
Harold Leever, Chairman Emeritus
Donald G. Ogilvie, Executive Vice President,
   American Bankers Association
James C. Smith, Chairman of the Board and Chief Executive
   Officer, Webster Financial Corporation
Thomas W. Smith, General Partner of Prescott Investors

CORPORATE OFFICERS:

Daniel H. Leever, Chairman of the Board and Chief Executive Officer
R. Nelson Griebel, President and Chief Operating Officer
Stephen Largan, Vice President, Finance
Gregory M. Bolingbroke, Controller
John L. Cordani, Secretary

CORPORATE HEADQUARTERS:

245 Freight Street
Waterbury, Connecticut 06702
(203) 575-5700

AUDITORS:

KPMG LLP

REGISTRAR OF STOCK AND TRANSFER AGENT:

Harris Trust Company of New York


SEC FORM 10-K:

The Annual Report and the SEC Form 10-K report are
available at the Corporation's website (www.macdermid.comm)
and also without charge by written request to:
   Corporate Secretary
   MacDermid, Incorporated
   245 Freight Street
   Waterbury, CT  06702





<PAGE>

DIVIDEND REINVESTMENT PLAN:

A systematic investment service is available to all MacDermid
shareholders.  The service permits investment of MacDermid,
Incorporated dividends and voluntary cash payments in additional
shares of MacDermid stock.

Please direct any inquiries to:
    Harris Trust Company of New York
    c/o Harris Trust and Saving Bank
    Dividend Reinvestment Department
    P.O. Box A3309
    Chicago, IL  60690

SHAREHOLDERS' QUESTIONS:

Shareholders with questions concerning non-receipt of dividend
checks, transfer requirements, registration and address changes,
or who need a duplicate 1099 statement, should write to:

    Harris Trust Company of New York
    c/o Harris Trust and Savings Bank
    111 West Monroe, P.O. Box 755
    Chicago, IL  60690

MARKET & DIVIDEND INFORMATION:

The common shares of MacDermid, Incorporated are traded on
the New York Stock Exchange (Symbol:  MRD).  Price and shares
traded are listed in principal daily newspapers and are
supplied by NYSE.  Approximate number of Holders as of
May 31, 1999 - 800. CUSIP-554273 102.

ANNUAL MEETING:

The Annual Meeting of Shareholders will be held on Wednesday,
July 21, 1999 at 3:00 p.m., at Naugatuck Valley Community-Technical College,
Fine Arts Center, 750 Chase Parkway, Waterbury, CT.

Shareholders please note that an employee information session will be held at
the annual shareholders meeting site beginning at 1:00 p.m., just prior to the
start of the shareholders meeting on Wednesday July 21, 1999.  All
shareholders are cordially invited to attend this information session as well.