Walgreen Company
Industry: Retail (Drugs)

Walgreen Co. is the nation's largest drugstore chain with fiscal 2003 sales of $32.5 billion. The company operates 4,313 stores in 44 states and Puerto Rico, including 361 in California, and plans to open 450 new stores in fiscal 2004. The company also operates Walgreens Health Initiatives, which provides pharmacy benefits management, mail service prescriptions and other clinical services.

Business Summary
Walgreen Company's primary business is the operation of retail drugstores. The Company is a drugstore chain in the United States with stores located in 44 states and Puerto Rico. During the fiscal year ended August 31, 2004 (fiscal 2004), the Company opened 436 stores. In fiscal 2004, Walgreen had 4,579 stores and three mail service facilities. To support store expansion, the Company opened four distribution centers in the past three years, the most recent in Moreno Valley, California, in fiscal 2004. In November 2003, Walgreen's pharmacy benefit manager (PBM) introduced Advantage90, a 90-day retail prescription option to mandatory mail programs.

Financial Summary
Walgreen Company is principally engaged in the retail drugstore business. As of 8/03, WAG operated 4,224 retail drugstores and three mail service facilities in 44 states & Puerto Rico. For the FY ended 8/31/05, net sales rose 13% to $42.2B. Net income rose 16% to $1.56B. Revenues reflect higher comparable store and prescription sales and new store openings. Net income also reflects higher generic drug utilization and better purchasing terms.