2.  RELATED PARTY TRANSACTIONS

Transactions between us and Masco prior to the Separation, with the exception of purchase transactions, are reflected  in our Consolidated Statements of Cash Flows as a financing activity in “Net transfer from Former Parent.”  Subsequent to the Separation, any transactions with Masco are no longer considered related party and are reflected in our Consolidated Statements of Operations and included in the operating cash flow section of our Consolidated Statements of Cash Flows.

In addition, we lease certain operating facilities from certain related parties, primarily former owners (and in certain cases, current management personnel) of companies acquired.  These related party leases are immaterial to our Consolidated Statements of Operations.