Walgreen Co. December Sales Increase 14.4. Percent

January 3, 2007

DEERFIELD, Ill., January 3, 2007 – Walgreen Co. had December sales of $5,129,350,000, an increase of 14.4 percent from $4,483,083,000 for the same month in 2005. Sales in comparable stores (those open at least a year) rose 7.9 percent.

December pharmacy sales increased 15.6 percent, while comparable pharmacy sales increased 9.6 percent. Total prescriptions filled at comparable stores increased 4.8 percent. Pharmacy sales accounted for 56.8 percent of total sales for the month.

Comparable store front-end sales increased 5.8 percent during December.

Calendar and holiday shifts accounted for a negative impact of 2.7 percentage points on comparable pharmacy sales. Patients fill more prescriptions on weekdays compared to weekends, and this year's December had one additional Sunday and one fewer Thursday compared to December 2005.

Calendar year-to-date sales were $49,863,311,000, an increase of 14.3 percent from $43,633,824,000 in 2005.

Fiscal year 2007 sales for the four months were $17,837,842,000, up 16.0 percent from $15,383,482,000. Comparable store sales for the fiscal year to date increased 9.2 percent.

Walgreens opened seven stores during December, including four relocations, and acquired one store. At Dec. 31, the company operated 5,584 drugstores in 47 states and Puerto Rico, versus 5,080 a year ago.

Please note: Monthly sales numbers are preliminary and unaudited. Comparable stores are defined as those locations open for at least 12 consecutive months without closure for seven or more consecutive days and without a major remodel or a natural disaster in the past 12 months. Relocated and acquired stores are not included as comparable stores for the first 12 months after the relocation or acquisition.