Sherman, city, seat of Grayson County, northeastern Texas, in the Red River valley; incorporated 1895. Situated in a farm region producing grain and livestock, it has industries manufacturing electronic equipment, medical supplies, processed food, agricultural machinery, and textiles. Austin College (1849) is here, and Lake Texoma is nearby. The community, founded in 1846, is named for General Sidney Sherman, a hero of the Texas Revolution (1835-36). The city grew after the coming of the railroad in 1872. Population 30,413 (1980); 31,601 (1990); 35,082 (2000).