2. INDIANA UNIVERSITY FALL 2002

3. WHO? WHAT? WHEN? WHERE? WHY?

4. WHO... LISA EHLERS - DISTRICT MANAGER BRIAN GARISH - STORE MANAGER DAWN HARLOW - STORE MANAGER

5. WHAT... WE’RE HERE TO TALK ABOUT...

6. WHY... WE WANT TO SELL YOU ON RETAILING, MORE SPECIFICALLY…

7. CHAIN DRUG INDUSTRY 3 BILLION PRESCRIPTIONS FILLED IN THE UNITED STATES IN 2001 TOP 4 CHAINS DO 82 BILLION IN ANNUAL SALES 14,000 STORES… 46% INCREASE IN PRESCRIPTIONS IN NEXT 4 YEARS

8. The Boomer Wave is Rolling to Shore… 0 10 20 30 40 50 Under 2525-3445-5465+ Population in Millions, by Age Range 35-4455-64

9. Customer Count Is UP!

10. Slow Down Growth? You’ve Got to Be Kidding!

11. Net Store Growth, Last 2 Years 0 Top 5 Drug Chains 365 200 400 600 800 -200 -400

12. Slow Down Growth? You’ve Got to Be Kidding! Net Store Growth, Last 2 Years 0 Walgreens 699 - 334 200 400 600 800 -200 -400 Next 4 Drug Chains

13. 27 Consecutive Record Years… Sales (in Billions) 75 8085909501 0 5 10 25 20 15 0 200 400 1,000 800 600 Recession Years Earnings (in Millions) FY01 Sales Up 16.1% FY01 Earnings Up 15.3%

14. WHERE DOES WALGREENS RANK RANKED #1 IN THE FOOD DRUG INDUSTRY IN FORTUNE’S MOST ADMIRED COMPANIES IN AMERICA RANKED #2 IN THE USE OF CORPORATE ASSETS RANKED #3 IN EMPLOYEE TALENT RANKED #2 IN QUALITY IN MANAGEMENT

15. WHERE DOES WALGREENS RANK 28.7 BILLION IN SALES 3,883 TOTAL STORES 12% PHARMACY MARKET SHARE IN US 78 TH ON FORTUNE 500 RANKING NATION’S LARGEST DRUG STORE CHAIN & 11 TH LARGEST RETAILER SERVE 3 MILLION CUSTOMERS PER DAY

16. Pharmacy Sales… Daily Average Per Store WalgreensRite-AidEckerdCVS $7,400 $9,500 $8,900 $13,500

17. Front-End Sales… Daily Average Per Store WalgreensRite-AidEckerdCVS $4,500 $5,000 $5,100 $9,100

18. Performance Snapshot… 9798990001 Sales 9798990001 Earnings 9798990001 Shareholders Equity 9798990001 Stock Price

19. 27 Consecutive Record Years… Sales (in Billions) 75 8085909501 0 5 10 25 20 15 0 200 400 1,000 800 600 Earnings (in Millions Earnings (in Millions) FY01 Sales Up 16.1% FY01 Earnings Up 15.3%

21. WHEN & WHERE... WEDNESDAY OCTOBER 23 RD KELLEY SCHOOL OF BUSINESS 2 INTERVIEW SCHEDULES