Full Description

Walgreen Co. (Walgreens), incorporated in 1909, is engaged in retail drugstore business. As of August 31, 2009, the Company operated 7,496 locations in 50 states, the District of Columbia, Puerto Rico and Guam. During the fiscal year ended August 30, 2009 (fiscal 2009), the Company opened or acquired 691 locations. Total locations do not include 337 convenient care clinics operated by Take Care Health Systems, Inc. within the Company’s drugstores.

The Company’s drugstores are engaged in the retail sale of prescription and non-prescription drugs and general merchandise. General merchandise includes, among other things, household items, personal care, convenience foods, beauty care, photofinishing, candy, and seasonal items. Walgreens offers customers the choice to have prescriptions filled at the drugstore counter, as well as through the mail, by telephone and through the Internet.

Prescription sales constitute a large portion of the Company’s business. During fiscal 2009, prescriptions accounted for 65.3% of sales. During fiscal 2009, third party sales, where reimbursement is received from managed care organizations, government and private insurance, were 95.4% of prescription sales. Overall, Walgreens filled approximately 651 million prescriptions during fiscal 2009.