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SECURITIES AND EXCHANGE COMMISSION
Washington, D.C., 20549

FORM 10-K

ANNUAL REPORT PURSUANT TO SECTION 13 OR 15 (d)
OF THE SECURITIES EXCHANGE ACT OF 1934

For the fiscal year ended August 31, 2002
Commission File Number:1-9852

CHASE CORPORATION
(Exact name of registrant as specified in its charter)

Securities registered pursuant to section 12(b) of the Act:
Common Stock, $.10 par value                                            American Stock Exchange
(Title of class)                                                               (Name of each exchange on which registered)

Securities registered pursuant to section 12(g) of the Act:
Common Stock, $.10 par value
(Title of class)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months, (or for such shorter period that the registrant was required to file such reports,  and (2) has been subject to such filing requirements for the past 90 days. 

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (229.405 of this chapter) is not contained herein, and will not be contained, to the best of registrant's knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K.  [x]

As of October 31, 2002, the Company had outstanding 4,047,317 shares of common stock, $.10 par value, which is its only class of common stock; and the aggregate market value of the voting stock held by non-affiliates of the registrant was $37,154,000.

DOCUMENT INCORPORATED BY REFERENCE

The registrant's definitive proxy statement (the "Definitive Proxy Statement") to be filed in connection with the Annual Meeting of Shareholders to be held on January 28, 2003, is incorporated by this reference into items 10-13 hereof.

Item 1.     Business.
General Development and Industry Segment.

     Chase Corporation (the "Company") is a multi-divisional advanced manufacturing company providing industrial products to a wide variety of industries including wire and cable, construction and electronics.  During fiscal 1991, the Company implemented a strategy of maximizing the core businesses while seeking future opportunities through selective acquisitions.  During 1992, a facility that manufactures tape and related products in Webster, Massachusetts became operational.  In April 1992, the Company acquired certain tape product lines and associated assets for cash from the Stewart Group, Ltd.   This division, Chase Canada, maintains manufacturing operations in Winnipeg, Manitoba, Canada.  Effective May 25, 1994, the Company purchased the electrical cable insulation tape product lines and certain associated assets from  Haartz Mason, Inc. and these products were folded into the Chase & Sons division.  On June 5, 1995, the Company formed a joint venture with The Stewart Group, Ltd. which was called The Stewart Group, Inc.    The original investment was increased on February 1, 1996 and at that time the Company owned 42% of the venture.  On May 16, 1997 the majority of the assets related to the original business were sold to Owens Corning.  The venture continues to operate two manufacturing facilities selling polymers and specialty coatings primarily to the  telecommunication industry.  On June 29, 1995, certain assets of Fluid Polymers, Inc. of Las Vegas, Nevada were acquired and then relocated to the Royston facility. On August 7, 1996 the Company announced that it had purchased a 20% interest in DC Scientific and then purchased a controlling interest on January 16, 1997.  On January 27, 1999 the Company acquired the remaining interest of DC Scientific Inc. and changed the name to Sunburst Electronic Manufacturing Solutions Inc., (Sunburst EMS).  The Company expanded its electronic manufacturing holding on May 26, 1999 with the acquisition of  RWA, Inc. Melrose, MA.  and acquired the assets of  NETCO Automation, Inc. effective February 2000 which have since been folded into RWA, Inc. during fiscal 2002.  Northeast Quality Products, Co. Inc., Newburyport, MA a specialty printer producing custom pressure sensitive labels, was acquired July 29, 1999.  Effective November 1, 2001 substantially all of the assets of Tapecoat, a division of  T.C. Manufacturing Co., Inc., was purchased for cash and 40,000 shares of Chase common stock.  Tapecoat is a manufacturer of protective coatings within several markets.

     As of October 31, 2002 the Company employed approximately 352 people.

Products and Markets.

     The Company's principal products are protective coatings and tape products that are sold by Company salespeople and manufacturers' representatives.  These products consist of:  (i) insulating and conducting materials for the manufacture of electrical and telephone wire and cable, electrical splicing, and terminating and repair tapes which are marketed to wire and cable manufacturers and public utilities; (ii) protective pipe coating tapes and other  protectants for valves, regulators, casings, joints, metals, concrete, and wood that are sold to oil companies, gas utilities, and pipeline companies; (iii) protectants for highway bridge deck metal supported surfaces sold to municipal transportation authorities; (iv) moisture protective coatings that are sold to the electronics industry; and (v) in addition, the Company's electronic manufacturing service group, Sunburst EMS and RWA, Inc. provide circuit board assembly services to electronic goods manufacturers.  There are no material seasonal aspects to the Company's business and the Company has introduced no new products or segments requiring an investment of a material amount of the Company's assets.

Backlog, Customers and Competition.

     As of October 31, 2002, the backlog of orders believed to be firm was about $7,179,000, of which $5,056,000 was related to our electronic contract-manufacturing group.  This compared with a total of $9,721,000 as of October 31, 2001 with $8,299,000 associated with electronic manufacturing.  The backlog is not seasonal.  During fiscal 2002, no customer accounted for more than 10% of sales.  In fiscal years 2001 and 2000 one customer accounted for approximately 14% and 12%, respectively, of total sales.  No material portion of the Company's business is subject to renegotiation or termination of profits or contracts at the election of the government.

     There are other companies that manufacture or sell products and services similar to those made and sold by the Company.  Many of those companies are larger and have greater financial resources than the Company.   Competition is principally based on technical performance, service reliability, quality and price.

Raw Materials.

     The Company obtains raw materials from a wide variety of suppliers with alternative sources of all essential materials available within reasonable lead times.

Patents, Trademarks, Licenses, Franchises and Concessions.

     Other than HumiSeal, a trademark for moisture protective coatings sold to the electronics industry, Chase BLH2OCK, a trademark for water blocking compound sold to the wire and cable industry, and Rosphalt50, a trademark for an asphalt additive used predominantly on bridge decks for waterproofing protection, there are no material trademarks, licenses, franchises, or concessions.  The Company holds various patents, but believes that at this time they are not material to the success of the business.

Working Capital and Research and Development.

     There are no special practices followed by the Company relating to working capital.  Approximately $781,000, $612,000 and $620,000 was spent for Company-sponsored research and development during the fiscal years 2002, 2001 and 2000, respectively.

Financial Information about Foreign and Domestic Operations and Export Sales.

     Export sales from continuing domestic operations to unaffiliated third parties were $4,504,000, $5,941,000 and $4,936,000, for the years ended August 31, 2002, 2001 and 2000, respectively.  The change in export sales was due to the general decline of the global economy and a new license and royalty arrangement with a manufacturer in the Far East which would cause a reduction in sales but increase royalty income.  The Company does not anticipate any material change to export sales during fiscal 2003.  The Company's products are sold worldwide with no foreign geographic area accounting for more than 10% of revenues.   The Company's Canadian operations accounted for 3.4% of consolidated sales and 1.3% of its assets.

     The Company has very limited currency exposure since all invoices, except those from the Canadian operation to Canadian customers, are denominated in US dollars.  The Company maintains minimal cash balances in Canada and, other than the currency conversion effects on the fixed assets in Canada, which are deferred and recorded directly in equity per FAS52, and reported in the Statement of Changes in Equity per FAS130, there are no significant assets held in foreign currencies.   The Company does not engage in hedging activities.  Foreign currency transaction gains or losses have not been material.

Item 1A.  Executive Officers of the Registrant.

     The following table sets forth information concerning the Company's Executive officers.  Each officer is selected by the Company's Board of Directors and holds office until his successor is elected and qualified.

ITEM 2.  Properties.

     During 1998 the Company purchased a building containing about 5,200 square feet located in Bridgewater, Massachusetts to which it relocated its principle executive office.  The Company also rents a modern one-story building of approximately 5,000 square feet in Woodside, New York, which is used by the conformal coatings division.

     Chase & Sons, a division, engaged in the manufacture and sale of electrical protective coatings and tape products uses offices and plants owned by the Company that are located on seven acres in Randolph, Massachusetts and consist of a three-story building containing about 10,500 square feet and ten one-story buildings, aggregating about 67,000 square feet.  This division also owns a facility in Webster, Massachusetts.  The plant of about 25,000 square feet, manufactures tape and related products for the electronic and telecommunication industries.

     The Canadian division of the Company is engaged in the process of laminating and slitting film, foils and papers primarily for the wire and cable industry.  This division leases about 18,000 square feet of manufacturing space in Winnipeg, Manitoba, Canada.

     The Royston and Fluid Polymers divisions use offices and a plant, owned by the Company that is located on three acres in Pittsburgh, Pennsylvania.  The facilities consist of thirteen buildings, three of which are used for offices, one of which is rented as a residence and the rest of which are used as manufacturing and warehouse facilities.  These facilities, excluding the residence, contain about 44,000 square feet and are used in the manufacture and sale of protective coatings and tape products.

     A subsidiary of the Company, Northeast Quality Products Co., Inc., is a specialty printer producing custom pressure-sensitive labels and leases about 15,000 square foot of space in Newburyport, Massachusetts.

     Sunburst EMS and RWA, Inc. provide electronic manufacturing services.  During fiscal 2002, Sunburst EMS acquired the 35,700 square feet facility located in West Bridgewater, Massachusetts that it had previously leased.  RWA rents about 21,000 square feet in Melrose, Massachusetts.  During the fourth quarter, the NETCO Automation operation was consolidated predominately with RWA, Inc.  

    The asset purchase of Tapecoat, a manufacturer of protective coatings, was completed effective November 1, 2001.  The buildings are located in Evanston, Illinois and consist of about 100,000 square feet.  The property was included as a part of the asset purchase.  

     The above facilities range in age from new to about 100 years, are generally in good condition and, in the opinion of management, adequate and suitable for present operations.  The Company also owns equipment and machinery that is in good repair and, in the opinion of management, adequate and suitable for present operations.  The Company could significantly add to its capacity by increasing shift operations.  Availability of machine hours through additional shifts would provide expansion of current product volume without significant additional capital investment.

Item 3.  Legal Proceedings.

     In 2002, the Company was named as a defendant in two consolidated personal injury lawsuits in Jefferson County and Jackson County, Mississippi and in a single case in Brazoria County, Texas, all of which allege asbestos exposure.  The two lawsuits in Mississippi name approximately 3,000 plaintiffs total and each lawsuit names approximately 400 defendants.  It is not clear from the complaints in any of these cases whether there is any basis for the claims against the Company.  Nor is it clear at this time whether the plaintiffs intend to pursue actively their claims against the Company.  No discovery from the Company has been sought yet.  The Company's insurer has assumed defense of these claims subject to reservation of its rights as to coverage for any underlying liability assessed.

Item 4.  Submission of Matters to a Vote of Security Holders.

     There were no matters submitted to a vote of the Company's security holders during the fourth quarter of the Company's last fiscal year.

PART II

Item 5.  Market for the Registrant's Common Equity and Related Stockholder Matters.

     The Company's common stock is traded on the American Stock Exchange (Symbol  CCF).  The approximate number of shareholders of common stock on October 31, 2002 was 1795.

     The quarterly high and low sales prices for the Company's common stock over the last two years were as follows:

Item 6.  Selected Financial Data.

            *Single annual payments declared and paid subsequent to fiscal year end.

          (1) Includes a non-recurring gain related to the sale of certain assets by The Stewart Group, Inc. joint venture.

Item 7.  Management's Discussion and Analysis of Financial Condition and Results of Operations.

Overview

     During fiscal 1999, the Company acquired the remaining interest in its subsidiary, Sunburst Electronics Manufacturing Services and also completed its acquisition of  RWA, Inc.  Effective February 1, 2000, the Company acquired the assets of  NETCO Automation, Inc and most of this business was folded into RWA, Inc. during the fourth quarter of fiscal 2002.  The companies participate within the electronic manufacturing services industry.  To align the requirements of the Financial Accounting Standards with the Company's operational and organizational structure, the Company now has two reportable segments, the Specialized Manufacturing segment which produces protective coatings and trade products and the Electronic Manufacturing Services segment which provides assembly and turnkey contract manufacturing services to the electronics industry. 

    Effective November 1, 2001, the company purchased the assets of the Tapecoat Division of TC Manufacturing, Inc.  Tapecoat's sales included in fiscal 2002 were approximately $7 million.

Results of Operations.

     Total revenues for fiscal 2002 decreased $1.14 million to $69.3 million, a decline of 1.6% compared to the prior year.   Revenues were adversely impacted by both price erosion from competitive pressure and the continued weakness in the telecommunications and electronics markets served by both the Company's Specialized Manufacturing and Electronic Manufacturing Services segments.  Fiscal 2002 Specialized Manufacturing revenues increased over the previous year as the segment benefited from $7.04 million in additional sales over the final ten months of the fiscal year that resulted from the asset purchase of The Tapecoat Division of TC Manufacturing, Inc.  In addition, increased sales for products used in certain construction and housing markets supported the Specialized Manufacturing segment.

    Fiscal 2001 revenues increased $2.0 million to $70.5 million, an increase of 2.9% over fiscal 2000.  Net revenues for the first half of fiscal 2001 increased by 16% and fiscal 2001 second half revenues declined 7.38% when compared to comparable periods in fiscal 2000.  During the second half of the year, the weak economy had negative impacts especially within the Company's telecommunications and electronic markets.   However, the Company's diversity enabled it to generate growth opportunities within certain construction and other manufacturing markets.

    The dollar value of cost of products was lower in fiscal 2002 when compared to fiscal 2001.  The decrease in fiscal 2002 was related to the decline in volume for the Company's Electronic Manufacturing Services segment.  The increase in the dollar value of cost of products in fiscal 2001 when compared with fiscal 2000 resulted from increased volume in the Company's Electronic Manufacturing Services segment, combined with some selling price erosion related to competitive pressure in certain markets served by the Company's Specialized Manufacturing segment.

    As a percent of sales, cost of products increased to 71.9% in 2002 when compared to 70.9% and 70.1% during 2001 and 2000 respectively.  The increase this year, as a percent of sales, relates primarily to insufficient fixed manufacturing cost coverage in the Company's Electronic Manufacturing Services segment.

    The fiscal 2001 increase as a percentage of sales was the result of increased overall volume in conjunction with a higher percentage of revenues derived from the Company's Electronic Manufacturing Services segment.  The raw material cost, as a percentage of sales, is typically higher in this market segment than the Company's more traditional Specialized Manufacturing segment.

    Selling and administrative expenses increased $1.275 million to $13.4 million during fiscal 2002 compared to fiscal 2001.  Expenses in 2001 increased $.263 million over fiscal 2000.  As a percent of sales, expenses increased to 19.5% when compared to 17.3% and 17.4% during 2001 and 2000 respectively.  The increase in expenses resulted was the result of the Tapecoat asset purchase concluded on November 1, 2001.  As a percentage of sales, there was no material change in expenses when comparing fiscal 2000 to fiscal 2001.  The Company will continue to be focused on expense reduction while maintaining and improving the quality of its products and services to the marketplace.

    Interest expense decreased to $517,000 in fiscal 2002 as compared to $799,000 in fiscal 2001.  The decrease is related to the reduction in interest rates.  Interest expense decreased to $799,000 in fiscal 2001 as compared to $910,000 during fiscal 2000.   The decrease correlated to both the repayment of debt incurred for fiscal 1999 and 2000 acquisitions, as well as, a reduction in interest rates.  The Company expects to benefit from favorable borrowing rates from its financial institutions.

    Fiscal 2002 earnings were primarily affected by the poor economic climate, which has been particularly severe in the manufacturing sector.  Weak customer demand for the Company's products and services related to the telecommunications and electronics markets, combined with price erosion from competitive pressure negatively impacted the earnings of both of the Company's reporting segments.  Fortunately, the asset purchase of Tapecoat and a strong construction market lessened the decline in earnings from fiscal 2001.

    Fiscal 2001 earnings benefited from growth in construction markets and improvements in certain areas of electronic manufacturing services, which offset weakness in telecommunications related product lines and services.  Sales and profitability from the Company's traditional Specialized Manufacturing group remained solid although somewhat affected by price erosion from competitive pressure.

    The effective tax rates for fiscal 2002 when compared to the prior two years are lower.   In all three years the Company received the benefit of solid export sales through the Chase Export Corporation subsidiary.  Also, effective January 1999, the Company acquired 100% ownership of Sunburst EMS that enabled consolidating of historical losses for income tax purposes.

    The equity in earnings of unconsolidated joint ventures over the past few years is from the Company's 42% ownership position in The Stewart Group Inc., Toronto, Canada.

Liquidity and Sources of Capital

   Cash flow generated from operations was $9,084,000 in 2002 as compared to $7,229,000 and $4,520,000 during 2001 and 2000 respectively.  Improved working capital management accounted for the increase in fiscal 2002 cash flow from operations.  As compared to the prior two years, receivable and inventory increases during fiscal 2000 were the result of acquisitions which had a negative impact on cash flow from operations during that year.

    The ratio of current assets to current liabilities was 1.8 at the end of fiscal 2002 as compared to 1.8 and 1.7 for 2001 and 2000, respectively.

     The unused available long-term credit amounted to $3,430,000 at August 31, 2002 as compared to $4,260,000 at the previous year-end.  Additionally, the Company has short-term credit lines with its Sunburst EMS subsidiary and its Canadian division.  The unused available short-term credit amounted to $680,000 at August 31, 2002 as compared to $432,000 available on August 31, 2001.

    Current financial resources and anticipated funds from operations are expected to be adequate to meet requirements for funds in the year ahead.

Recent Accounting Pronouncements

    In July 2001, the Financial Accounting Standards Board (FASB) issued FASB Statements Nos.141 and 142 (FAS 141 and FAS 142), Business Combinations and Goodwill and Other Intangible Assets.  FAS 141 replaces APB 16 and eliminates pooling-of-interests accounting prospectively.  It also provides guidance on purchase accounting related to the recognition of intangible assets and accounting for negative goodwill.  FAS 142 changes the accounting for goodwill from an amortization method to an impairment-only approach.  Under  FAS 142, goodwill will be tested annually and whenever events or circumstances occur indicating that goodwill might be impaired.

    FAS 141 and FAS 142 are effective for all business combinations completed after June 30, 2001.  Upon adoption of FAS 142, amortization of goodwill recorded for business combinations consummated prior to July 1, 2001 will cease, and intangible assets acquired prior to July 1, 2001 that do not meet the criteria for recognition under  FAS 141 will be reclassified to goodwill.  Companies are required to adopt FAS 142 for fiscal years beginning after December 15, 2001, but early adoption is permitted.  The Company adopted  FAS 142 on September 1, 2001, the beginning of fiscal 2002.  In connection with the adoption of FAS 142, the Company was required to perform a transitional goodwill impairment assessment.  The Company tests impairment of its goodwill by comparing carrying values to discounted estimated future cash flows for each operating segment.  As of February 28, 2002, the Company performed a transitional goodwill impairment assessment and no impairment to goodwill was indicated.  The Company performed its annual goodwill impairment assessment, as of June 30, 2002, and no impairment to its goodwill was indicated.  Amortization of Goodwill was $666,745 and $660,074  for the fiscal years 2001 and 2000 respectively.

Forward-Looking Information

     From time to time, the company may publish, verbally or in written form, forward-looking statements relating to such matters as anticipated financial performance, business prospects, technological developments, new products, research and development activities and similar matters.  In fact, this Form 10-K (or any other periodic reporting documents required by the 1934 Act) may contain forward-looking statements reflecting the current views of the Company concerning potential future events or developments.  The Private Securities Litigation Reform Act of 1995 (the "Act") provides a "safe harbor" for forward-looking statements.  In order to comply with the terms of the "safe harbor," the Company cautions investors that any forward-looking statements made by the Company are not guarantees of future performance and that a variety of factors could cause the Company's actual results and experience to differ materially from the anticipated results or other expectations expressed in the Company's forward-looking statements.  The risks and uncertainties which may affect the operations, performance, development and results of the Company's business include, but are not limited to, the following:  uncertainties relating to economic conditions; uncertainties relating to government and regulatory policies; uncertainties relating to customer plans and commitments; the pricing and availability of equipment, materials and inventories; technological developments; performance issues with key suppliers and subcontractors; worldwide political stability and economic growth; regulatory uncertainties; delays in testing of new products; rapid technology changes and the highly competitive environment in which the Company operates.   Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date the statement was made.

Impact of Inflation

     Inflation has not had a significant long-term impact on earnings.  In the event of significant inflation, the Company's efforts to recover cost increases would be hampered as a result of the competitive nature of its products.

Item 8.  Financial Statements and Supplementary Data.

     Financial statements and supplementary financial information required to be filed hereunder may be located through the List of Financial Statements and Schedules attached to this report.

Item 9.  Changes in and Disagreement with Accountants on Accounting and Financial Disclosures.

     Not applicable.

PART III

Item 10.  Directors and Executive Officers of the Registrant.

     Information with respect to the names, ages, positions with the Company, terms of office, periods of service, business experience, and other directorships of the Company's Directors and Executive Officers is incorporated herein by reference to Item 1A of the report and to the Definitive Proxy Statement (under the caption "Election of Directors").

Item 11.  Executive Compensation.

     The information required in Item 11 is contained in the Definitive Proxy Statement (under the caption "Executive Compensation").   Such information is incorporated herein by reference.

Item 12.  Security Ownership of Certain Beneficial Owners and Management.

     Information regarding the ownership of the Company's common stock by certain beneficial owners and by management is incorporated herein by reference to the Definitive Proxy Statement (under the captions "Principal Holders of Voting Securities" and "Election of Director's".

Item 13.  Certain Relationships and Related Transactions.

     Information regarding certain relationships and related transactions with the Company's Directors and Executive Officers is incorporated herein by reference to the Definitive Proxy Statement under the captions "Election of Directors" and "Remuneration of Directors and Executive Officers."

PART IV

Item 14.  Controls and Procedures.

    Within the 90-day period prior to the date of this report, Chase Corporation carried out an evaluation, under the supervision and with the participation of the Company's management, including its Chief Executive Officer and Chief Financial Officer, of the effectiveness of the design and operation of Chase Corporation's disclosure controls and procedures pursuant to Exchange Act Rule 13a-14.  Based upon that evaluation, the Chief Executive Officer and Chief Financial Officer concluded that Chase Corporation's disclosure controls and procedures are effective to timely alert them to material information relating to the Company (including its consolidated subsidiaries) required to be included in Chase Corporation's Exchange Act filings.

Item 15.  Exhibits, Financial Statements, Schedules and Reports on Form 8-K.

     See the List of Financial Statements and Schedules included in this report for a list of the financial statements and schedules included with this report and see the Exhibit index included in this report for a list of the exhibits required to be filed with this report.

Signatures

     Pursuant to the requirements of Section 13 or 15 (d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

     Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

CHIEF EXECUTIVE OFFICER CERTIFICATION

I, Peter R. Chase, President and Chief Executive Officer of Chase Corporation, certify that:

1. I have reviewed this Annual Report on Form 10-K of Chase Corporation (the "Registrant");

2. Based on my knowledge, this Annual Report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this Annual Report;

3. Based on my knowledge, the financial statements, and other financial information included in this Annual Report, fairly present in all material respects the financial condition, results of operations and cash flows of the Registrant as of, and for, the periods presented in this Annual Report;

4. The Registrant's other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-14 and 15d-14) for the Registrant and have; 

    5.  The Registrant's other certifying officers and I have disclosed, based on our most recent evaluation, to the Registrant's auditors and the audit committee of Registrant's board of directors (or persons performing the equivalent functions):    

    6.  The registrant's other certifying officers and I have indicated in this annual report whether there were significant changes in internal controls or in other factors that could significantly affect internal controls subsequent to the date of our most recent evaluation, including any corrective actions with regard to significant deficiencies and material weaknesses.

Date:  __________

____________________________

CHIEF FINANCIAL OFFICER CERTIFICATION

I, Everett Chadwick, Treasurer and Chief Financial Officer of Chase Corporation, certify that:

1. I have reviewed this Annual Report on Form 10-K of Chase Corporation (the "Registrant");

2. Based on my knowledge, this Annual Report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this Annual Report;

3. Based on my knowledge, the financial statements, and other financial information included in this Annual Report, fairly present in all material respects the financial condition, results of operations and cash flows of the Registrant as of, and for, the periods presented in this Annual Report;

4. The Registrant's other certifying officers and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-14 and 15d-14) for the Registrant and have;   

    5.  The Registrant's other certifying officers and I have disclosed, based on our most recent evaluation, to the Registrant's auditors and the audit committee of Registrant's board of directors (or persons performing the equivalent functions):    

     6. The registrant's other certifying officers and I have indicated in this annual report whether there were significant changes in internal controls or in other factors that could significantly affect internal controls subsequent to the date of our most recent evaluation, including any corrective actions with regard to significant deficiencies and material weaknesses.

Date:  _________________

________________________

EXHIBIT INDEX

3.1  Articles of Organization (incorporated by reference from Exhibit 3 to the Company's annual report on Form 10-K for the fiscal year ended August 31, 1988)

3.2  By-Laws (incorporated by reference from Exhibit 3 to the Company's annual report on Form 10-K for the fiscal year ended August 31, 1988)

3.3  Amendment to By-Laws (adding Article IV, Section 7) (incorporated by reference from Exhibit 3.3 to the Company's annual report on Form 10-K for the fiscal year ended August 31, 1990)

10.1  Split Dollar Insurance Agreement dated December 2, 1983 by and between the Company and Edward L. Chase (incorporated by reference from Exhibit 10.1 to the Company's annual report on Form 10-K for the fiscal year ended August 31, 1990)

10.2  Split Dollar Insurance Agreement dated December 2, 1983 by and between the Company an Francis M. Chase (incorporated by reference from Exhibit 10.2 to the Company's annual report on Form 10-K for the fiscal year ended August 31, 1990)

10.11  Purchase and Sale Agreement dated October 26, 1990 by and between the Company and Avon Custom Mixing Service, Inc. (incorporated by reference from Exhibit 2.1 to the Company's Current Report on Form 8-K dated October 26, 1990)

10.17  Amendment dated April 30, 1992 to Split Dollar Insurance Agreement dated December 2, 1983 by and between the Company and Edward L. Chase (incorporated by reference from Exhibit 10.17 to the Company's annual report on Form 10-K for the fiscal year ended August 31, 1992)

10.18  Amendment dated April 30, 1992 to Split Dollar Insurance Agreement dated November 10, 1987 by and between the Company and Edward L. Chase and Claire Chase (incorporated by reference from Exhibit 10.18 to the Company's annual report on Form 10-K for the fiscal year ended August 31, 1992.

10.20  Amendment dated August 31, 1992 to Split Dollar Insurance Agreement dated December 2, 1983 by and between the Company and Francis M. Chase (incorporated by reference from Exhibit 10.20 to the Company's annual report on Form 10-K for the fiscal year ended August 31, 1992.

10.21  Amendment dated August 31, 1992 to Split Dollar Insurance Agreement dated November 10, 1987 by and between the Company and Francis M. Chase and Barbara Chase (incorporated by reference from Exhibit 10.21 to the Company's annual report on Form 10-K for the fiscal year ended August 31, 1992)

10.25  Endorsement Split-Dollar Agreement dated June 8, 1995 by and between the Company and Edward L. Chase and Claire Chase.

10.26  Amendment to and Confirmation of Split Dollar Insurance Agreement dated June 8, 1995 by and between the Company and Edward L. Chase and Claire Chase.

10.27  Stock Purchase Agreement effective May 25, 1999 by and between the Company and  RWA, Inc., (incorporated by reference from Exhibit 2.1 to the Company's current report on Form 8K dated June 8, 1999 and amended on August 12, 1999 to include financials).

10.28 Asset purchase agreement effective November 1, 2001 by and between the Company and  TC Manufacturing Co., Inc., (incorporated by reference from Exhibit 2.1 to the Company's current report on Form 8K dated November 27, 2001.

22     Subsidiaries of the Company

List of Financial Statements and Schedules

CHASE CORPORATION AND SUBSIDIARIES

BRIDGEWATER, MASSACHUSETTS

CONSOLIDATED FINANCIAL STATEMENTS AND INDEPENDENT AUDITORS' REPORT

AUGUST 31, 2002 AND 2001

INDEPENDENT AUDITORS' REPORT

     We have audited the consolidated balance sheets of Chase Corporation and subsidiaries as of August 31, 2002 and 2001, and the related consolidated statements of operations, shareholders' equity and cash flows for each year in the three year period ended August 31, 2002 and the Schedule II, Valuation and Qualifying Accounts and Reserves.  These financial statements are the responsibility of the Company's management.  Our responsibility is to express an opinion on these financial statements based on our audits.

     We conducted our audits in accordance with auditing standards generally accepted in the United States of America.  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 financial statements referred to above present fairly, in all material respects, the consolidated financial position of Chase Corporation and subsidiaries at August 31, 2002 and 2001, and the consolidated results of their operations and cash flows for each year in the three year period ended August 31, 2002, in conformity with accounting principles generally accepted in the United States of America.

/s/ LIVINGSTON & HAYNES, P.C.

Wellesley, Massachusetts

November 25, 2002

CHASE CORPORATION AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

AUGUST 31, 2002 AND 2001

ASSETS

See accompanying notes to the consolidated financial statements.

LIABILITIES AND SHAREHOLDERS' EQUITY   

CHASE CORPORATION AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS 

FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2002

See accompanying notes to the consolidated financial statements.

CHASE CORPORATION

CONSOLIDATED STATEMENTS OF SHAREHOLDERS' EQUITY

FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2002

See accompanying notes to the consolidated financial statements.

CHASE CORPORATION

CONSOLIDATED STATEMENTS OF CASH FLOWS

FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2002

See Note M for supplemental cash flow data.

See accompanying notes to the consolidated financial statements.

CHASE CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2002

NOTE A - ACCOUNTING POLICIES

     The principal accounting policies of Chase Corporation ("the Company") and its subsidiaries are as follows:

Basis of Presentation

     The financial statements include the accounts of the Company and its wholly-owned subsidiaries.  Investments in unconsolidated companies which are at least 20% owned are carried at cost plus equity in undistributed earnings since acquisition.  All significant intercompany transactions and balances have been eliminated in consolidation.  The Company uses the U.S. dollar as the functional currency for financial reporting.

Products and Markets

     The Company's principal products are protective coatings and tape products that are sold in national and international markets.   These products consist of:  (i) insulating and conducting materials for the manufacture of electrical and telephone wire and cable, and electrical splicing, terminating and repair tapes which are marketed to wire and cable manufacturers and public utilities; (ii) protective pipe coating tapes and other protectants for valves, regulators, casings, joints, metals, concrete, and wood that are sold to oil companies, gas utilities and pipeline companies; (iii) protectants for highway bridge deck metal supported surfaces which are sold to municipal transportation authorities; (iv) moisture protective coatings that are sold to the electronics industry.  The Company's electronics manufacturing services group provides assembly and contract manufacturing services to the electronics industry.

Use of Estimates

     The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America 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.

Revenue Recognition

    Sales are recognized when goods are shipped by common carrier against a customer purchase order.  Commissions are recognized based on commission statements received from the manufacturers represented.

Cash

     For the purpose of the statement of cash flows, the Company considers all highly liquid debt instruments purchased with a maturity of three months or less to be cash equivalents.

CHASE CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2002

NOTE A - ACCOUNTING POLICIES (Continued)

Inventories

     Inventories are stated at first-in, first-out cost, which is not in excess of market.

Investment in Minority Interests

     The Company makes investments in closely held companies.  These investments are recorded on the equity method reflecting the Company's original investment and a proportional interest in the net operations of these companies since no public quotations exist for these investments.  The carrying values of these investments are periodically reviewed based upon estimated market values.

Property, Plant and Equipment

     These assets are reflected at cost.   Provisions for depreciation of property, plant and equipment were computed by both straight-line and accelerated methods.

     Expenditures for maintenance repairs and minor renewals have been charged to expense as incurred.  Betterments and major renewals have been capitalized.  Upon retirement or other disposition of assets, related allowances for depreciation and amortization have been eliminated from the accounts and any resulting profit or loss reflected in consolidated net income.  The annual provisions for depreciation have been computed principally in accordance with the following range of rates:

                                                 Buildings                                             4%  to   7%

                                                 Machinery and equipment                  10% to 20%

Excess of Cost Over Net Assets of Acquired Businesses

     The Company adopted  FAS 142 on September 1, 2001, the beginning of fiscal 2002.  In connection with the adoption of FAS 142, the Company was required to perform a transitional goodwill impairment assessment.  The Company tests impairment of its goodwill by comparing carrying values to discounted estimated future cash flows for each operating segment.  As of February 28, 2002, the Company performed a transitional goodwill impairment assessment and no impairment to goodwill was indicated.  The Company performed its annual goodwill impairment assessment, as of June 30, 2002, and no impairment to its goodwill was indicated.  Amortization of Goodwill was $666,745 and $660,074  for the fiscal years 2001 and 2000, respectively.

Patents and Agreements

     The Company capitalizes costs related to patent applications and technology agreements.  The costs of these assets are amortized using the straight-line method over the lesser of the useful life of the asset or its statutory life.  Capitalized costs are periodically reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable.

CHASE CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2002

NOTE A - ACCOUNTING POLICIES (Continued)

Pension Plan

     The projected unit credit method is utilized for measuring net periodic pension cost over the employee's service life.

Stock-Based Compensation

     The Company has elected to follow Accounting Principles Board Opinion No. 25, "Accounting for Stock Issued to Employees" (APB 25) and related interpretations in accounting for its stock-based compensation plans, rather than the alternative fair value accounting provided for under Financial Accounting Standards Board Statement:  No. 123, "Accounting for Stock-Based Compensation".  Grants of restricted stock are recorded as compensation expense over the vesting period at the fair market value of the stock at the date of grant.   No compensation expense is recorded for options granted in which the exercise price equals or exceeds the market price of the underlying stock on the date of grant.

Deferred Compensation

     The net present value of the estimated payments to be made under agreements for deferred compensation is accrued over the period of active employment from the time of the agreement to the anticipated date of retirement.

Translation of Foreign Currency

     The financial position and results of operations of the Company's Canadian division are measured using the Canadian dollar as the functional currency.  Revenues and expenses of the division have been translated at average exchange rates.  Assets and liabilities have been translated at the year-end exchange rate.  Translation gains and losses are being deferred as a separate component of shareholders' equity, unless there is a sale or liquidation of the underlying foreign investments. The Company has no present plans for the sale or liquidation of its foreign investment.  Aggregate foreign currency transaction, gains and losses, are included in determining net income.  The amounts of gains and losses were immaterial in 2002, 2001 and 2000.

Income Taxes

     The Company has adopted the method of accounting for income taxes of SFAS No. 109.  This method compares the tax basis and financial reporting basis of the Company's assets and liabilities and recognizes the related tax benefits and liabilities under enacted tax law.  Assets arising from future tax benefits are recognized when it is more likely than not that the Company will have sufficient future taxable income or has had sufficient taxable income in the available  carryback period to allow realization of the tax asset.  A valuation allowance is provided for potential limitations on the realization of future benefits.

CHASE CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2002

NOTE A - ACCOUNTING POLICIES (Continued)

Income Per Share of Common Stock

     Income per share is computed based upon the weighted average number of shares outstanding, after giving effect to the number of shares purchased for Treasury and the dilutive effect of stock options determined on the treasury method.  

NOTE B - NOTE RECEIVABLE - RELATED PARTIES

     The Company has a note receivable from Avon Custom Mixing Service, Inc., the purchaser of its Avon Custom Mixing Division, secured by the assets of the purchaser.  Subsequent to August 31, 2001, the note was fully paid.

NOTE C - CASH SURRENDER VALUE OF LIFE INSURANCE

     The Company recognizes cash surrender value in life insurance policies, net of loans secured by the policies, with Security Life of Denver, the Manufacturers' Life Insurance Company, Sun Life Assurance Company of Canada, Metropolitan Life Insurance and other carriers of $914,292; $1,776,454; $657,831; $924,871 and $185,719, respectively.  Subject to periodic review, the Company intends to maintain these policies through the lives or retirement of the insureds.

NOTE D - LONG-TERM DEBT

     Long-term debt consists of the following at August 31, 2002 and 2001:

CHASE CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2002

NOTE D - LONG-TERM DEBT (Continued)

     The Company has long-term unsecured credit available up to a maximum amount of $6,000,000 at the bank's base lending rate or, at the option of the Company, at the effective London Interbank Offered Rate (LIBOR) or "Eurodollar rate" for ninety days plus 1.5 percent.  The unused available long-term credit amounted to $3,430,000 at August 31, 2002.  The facility is included in scheduled  principal payments at its maturity although it is intended that it will continue to be renewed.

    Scheduled principal payments on long-term debt for the next five years are:

NOTE E - NOTES PAYABLE TO BANK

     The Company has a short-term credit facility at one half percent over prime with a Canadian bank secured by a letter of credit. 

     The Company's Sunburst EMS subsidiary has a revolving line of credit secured by its assets at the bank's base lending rate or, at the option of the Company, at the effective London Interbank Offered Rate (LIBOR) or "Eurodollar rate" for ninety days plus 1.5 percent. 

     The weighted average interest rate on short-term borrowings was 3.319% and 5.45% at August 31, 2002 and 2001, respectively.

NOTE F - INCOME TAXES

     A reconciliation of federal income taxes computed at applicable rates of income from continuing operations before income taxes to the amounts provided in the consolidated financial statements is as follows:

CHASE CORPORATION AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)

FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2002

NOTE F - INCOME TAXES (Continued)

NOTE G - OPERATING LEASES

    The following is a schedule for the next five years of future minimum rental payments required under operating leases that have initial or remaining noncancellable lease terms in excess of one year as of August 31, 2002:

CHASE CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2002

NOTE G - OPERATING LEASES (Continued)

     Total rental expense for all operating leases amounted to $550,778, $440,762 and $572,623 for the years ended August 31, 2002, 2001 and 2000, respectively.

NOTE H - SELECTED QUARTERLY FINANCIAL DATA (UNAUDITED)

     Selected unaudited quarterly financial data for 2002, 2001 and 2000, is as follows:

CHASE CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2002

NOTE I - EXPORT SALES AND FOREIGN OPERATIONS

     Export sales from continuing domestic operations to unaffiliated third parties were $4,504,000, $5,941,000 and $4,936,000 for the years ended August 31, 2002, 2001 and 2000, respectively.  The Company's products are sold world-wide with no foreign geographic area accounting for more than 10% of revenues from continuing operations.  The Company's Canadian operations accounted for 3.4% of consolidated sales and 1.3% of assets.

     During fiscal 2002, no one customer accounted for sales in excess of 10%.  In fiscal 2001 and 2000 one customer accounted for approximately 14% and 12%, respectively, of total sales.

NOTE J - RESEARCH AND DEVELOPMENT EXPENSE

     Research and development expense amounted to approximately $781,000, $612,000, and $620,000 for the years ended August 31, 2002, 2001 and 2000, respectively.

NOTE K - BENEFITS

     401 (K) PLAN

     The Company has a deferred compensation plan adopted pursuant to Section 401 (k) of the Internal Revenue Code of 1986.  Any qualified employee who has attained age 21 and has been employed by the Company for at least six months may contribute a portion of their salary to the plan and the Company will match 50% of such contribution up to an amount equal to three percent of such employee's yearly salary.  The Company's contribution expense was $190,000, $188,000 and $169,000 for the years ended August 31, 2002, 2001 and 2000, respectively.

     Non-Qualified Deferred Savings Plan

     The Company has a non-qualified deferred savings plan covering directors and selected employees.  Participants may elect to defer a portion of their compensation for future payment.  The plan is funded by trusteed assets that are restricted to the payment of deferred compensation or satisfaction of the Company's general creditors.  The Company's liability under the plan was $863,000 at August 31, 2002.

     Pension Plan

     The Company has non-contributory defined benefit pension plans covering substantially all employees excluding subsidiaries.  Net periodic pension cost was $428,000, $449,696, and $289,343 for the years ended August 31, 2002, 2001 and 2000, respectively.  The Company has a funded, qualified plan and an unfunded supplemental retirement plan designed to maintain benefits for all employees at the plan formula level.  The plans provide for pension benefits determined by a participant's years of service and final average compensation.  The qualified plan assets consist of separate pooled investment accounts with a trust company.

CHASE CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2001

NOTE K - BENEFITS (Continued)

CHASE CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2002

NOTE K - BENEFITS (Continued)

     The net transition assets amount is being amortized at a level rate over 15 years.  The actuarial calculations were based on assumptions of a weighted average discount rate of 8% and a future rate of increase in compensation levels of 5%.  The expected rate of return on plan assets is 10%.   Prior service cost arose from the amendment of the plan's benefit schedules to comply with the Tax Reform Act of 1986 (TRA) and adoption of the unfunded supplemental pension plan.

     Deferred Compensation

     Life insurance is provided under a split dollar life insurance agreement whereby the Company will recover the premiums paid from the proceeds of the policies.  The Company recognizes an offset to expense for the growth in the cash surrender value of the policies.

     Stock Option Plans

     1995 Stock Option Plan - Effective July 18, 1995, the Company adopted, and the stockholders subsequently approved, a stock award plan and an incentive plan which permit the issuance of options and restricted stock to selected employees and independent directors of the Company.  The plans reserve 600,000 shares of Common Stock for grant.

     Under the terms of the 1995 stock option plan, options granted may be either nonqualified or incentive stock options and the exercise price may not be less than the fair market value of a share at the date of grant.   The board of directors approved issuance of 450,000 options.  The options vest ratably over ten years.   In addition, the board of directors granted 250,000 (at $3.375, based upon the market value at July 18, 1995) shares of restricted Common Stock to the Company's CEO, Mr. Peter Chase.  Compensation expense of approximately $98,000 per year is being recognized over nine years.  Other than the restrictions which limit the sale and transfer of these shares, Mr. Chase is entitled to all rights of a shareholder.  The grants vest at the end of nine years.  If Mr. Chase is not providing services to the Company prior to vesting, the shares revert to the Company.

    2001 Senior Management Stock Plan and the 2001 Non-Employee Director Stock Option Plan -  Effective October 9, 2002, the Company adopted, and the stockholders subsequently approved, the 2001 Senior Management Stock Plan and the 2001 Non-Employee Director Stock Option Plan.  The plans reserved 750,000 and 90,000 shares of Common Stock of the Company for grants related to the Senior Management Stock Plan and Non-Employee Director Stock Option Plan respectively.

    Under the terms of the Senior Management Stock Plan, options may be granted in the form of incentive stock options, non-qualified stock options and restricted stock.  Options granted under the Non-Employee Director Stock Option Plan will be issued as non-qualified stock options.

CHASE CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2002

NOTE K - BENEFITS (Continued)

                  Stock Option Plans (Continued)

                  Options at August 31, 2002:

                 Stock option plan activity was as follows:

CHASE CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2002

NOTE K - BENEFITS (Continued)

     Proforma Disclosures - The Company accounts for stock options issued to directors, officers and employees under Accounting Principles Board Opinion No. 25 (see Note A).  The proforma net income and earnings per share, based upon a Black-Scholes pricing model, using a volatility of 132.79%, a risk-free interest rate of 3.0%, a dividend yield of 3% and an expected life of 5 years, had Financial Accounting Standards Board Statement No. 123 been applied, are as follows:

NOTE L - SEGMENT DATA

     Chase Corporation operates in two business segments, a specialized manufacturing segment consisting of protective coatings and tapes and an electronic manufacturing services segment.  Specialized manufacturing products include insulating and conducting materials for wire and cable manufacturers, protective coatings for pipeline applications and moisture protective coatings for electronics and printing services.  Electronic manufacturing services include printed circuit board and electro-mechanical assembly services for the electronics industry.

CHASE CORPORATION AND SUBSIDIARIES
NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (CONTINUED)
FOR EACH YEAR IN THE THREE YEAR PERIOD ENDED AUGUST 31, 2002

NOTE M - SUPPLEMENTAL CASH FLOW DATA

                  Cash paid during the year for:

NOTE N - INVESTMENT IN MINORITY INTERESTS

     The Company formed, in fiscal 1995,  a joint venture, The Stewart Group, Inc., with The Stewart Group, Ltd. of Canada, to produce various products for the fiber optic cable market.  Chase Corporation owns a 42% interest in the joint venture at August 31, 2002.

NOTE O - ACQUISITIONS

     Effective January 27, 1999, Chase Corporation acquired the outstanding shares of D.C. Scientific, Inc., that it did not previously own.   In connection with the acquisition, D.C. Scientific, Inc. changed its name to Sunburst Electronic Manufacturing Solutions, Inc.

     Effective April 30, 1999, the Company acquired RWA, Inc., an electronic manufacturing services company.  The Company purchased the stock of RWA, Inc. for cash of $5,000,000 and a note for $2,700,000, discounted at 7.5%.   Contingent amounts at the time of purchase have been settled by an agreement to pay an additional $200,000 which were paid in 2002. 

     Effective August 1, 1999, the Company acquired Northeast Quality Products, Inc. (NEQP), a printer of high quality pressure sensitive materials.

     Effective November 1, 2001, the Company acquired the assets and operations of Tapecoat, a division of TC Manufacturing Co., Inc. of Evanston, Illinois, a provider of protective coatings for the transportation, marine and geo-synthetics industries and for underground oil, gas and water pipelines.

   All acquisitions were accounted for as purchase transactions and the operations of the acquired entity or assets are included in consolidated operations from the effective date.

NOTE P - EARNINGS PER SHARE

NOTE Q - CONTINGENCIES

Legal

    In 2002, the Company was named as a defendant in two consolidated personal injury lawsuits in Jefferson County and Jackson County, Mississippi and in a single case in Brazoria County, Texas, all of which allege asbestos exposure.  The two lawsuits in Mississippi name approximately 3,000 plaintiffs total and each lawsuit names approximately 400 defendants.  It is not clear from the complaints in any of these cases whether there is any basis for the claims against the Company.  Nor is it clear at this time whether the plaintiffs intend to pursue actively their claims against the Company.  No discovery from the Company has been sought yet.  The Company's insurer has assumed defense of these claims subject to reservation of its rights as to coverage for any underlying liability assessed.  Although the Company cannot predict the outcome of these claims, management believes it will not have any material financial impact on the Company.

SCHEDULE II - VALUATION AND QUALIFYING ACCOUNTS AND RESERVES

CHASE CORPORATION AND SUBSIDIARIES

(3)  $146,458 reserve acquired with purchase of RWA, Inc. $57,860 adjustment to insurance adjustment receivable recorded as prepaid insurance and $25,000 reserve acquired with majority interest in Sunburst EMS.