Percentage
Increase / (Decrease) in Dollar Amounts from Prior
Year |
Basis
Point Increase / (Decrease) in Percentage of Net Sales from Prior
Year |
||||||||||||
2004 |
2003 |
2003
- 2004 |
2003
- 2004 |
||||||||||
Net
Sales |
100.00 |
% |
100.00 |
% |
18 |
% |
N/A |
||||||
Gross
Margin |
33.73 |
|
31.15 |
|
28 |
|
258
|
||||||
Expenses: |
|||||||||||||
Selling,
General and Administrative |
20.74 |
|
18.09 |
|
36 |
|
265
|
||||||
Store
Opening Costs |
0.34 |
|
0.42 |
|
(4 |
) |
(8 |
) | |||||
Depreciation |
2.47 |
|
2.52 |
|
16 |
|
(5 |
) | |||||
Interest |
0.48 |
|
0.58 |
|
(2 |
) |
(10 |
) | |||||
Total
Expenses |
24.03 |
|
21.61 |
|
32 |
|
242
|
||||||
Pre-Tax
Earnings |
9.70 |
|
9.54 |
|
20 |
|
16
|
||||||
Income
Tax Provision |
3.73 |
|
3.61 |
|
22 |
|
12
|
||||||
Earnings
from Continuing Operations |
5.97 |
|
5.93 |
|
19 |
|
4
|
||||||
Earnings
from Discontinued Operations, Net of Tax |
0.00 |
|
0.05 |
|
(100 |
) |
(5 |
) | |||||
Net
Earnings |
5.97 |
% |
5.98 |
% |
18 |
% |
(1 |
) | |||||
|
|||||||||||||
2003 |
2002 |
2002
- 2003 |
2002
- 2003 |
||||||||||
Net
Sales |
100.00 |
% |
100.00 |
% |
18 |
% |
N/A |
||||||
Gross
Margin |
31.15 |
|
30.44 |
|
21 |
|
71
|
||||||
Expenses: |
|||||||||||||
Selling,
General and Administrative |
18.09 |
|
17.71 |
|
21 |
|
38
|
||||||
Store
Opening Costs |
0.42 |
|
0.49 |
|
(1 |
) |
(7 |
) | |||||
Depreciation |
2.52 |
|
2.46 |
|
21 |
|
6
|
||||||
Interest |
0.58 |
|
0.70 |
|
(1 |
) |
(12 |
) | |||||
Total
Expenses |
21.61 |
|
21.36 |
|
19 |
|
25
|
||||||
Pre-Tax
Earnings |
9.54 |
|
9.08 |
|
24 |
|
46
|
||||||
Income
Tax Provision |
3.61 |
|
3.42 |
|
25 |
|
19
|
||||||
Earnings
from Continuing Operations |
5.93 |
|
5.66 |
|
24 |
|
27
|
||||||
Earnings
from Discontinued Operations, Net of Tax |
0.05 |
|
0.05 |
|
25 |
|
0
|
||||||
Net
Earnings |
5.98 |
% |
5.71 |
% |
24 |
% |
27
|
Other
Metrics |
2004 |
2003 |
2002 |
|||||||
Comparable
Store Sales Increases 1 |
6.6 |
% |
6.7 |
% |
5.8 |
% | ||||
Average
Ticket 2 |
$ |
63.43 |
$ |
59.21 |
$ |
56.80 |
||||
Number
of Stores (end of year) |
1,087
|
952 |
828 |
|||||||
Sales
Floor Square Feet (in millions, end of year) |
123.7 |
108.8 |
94.7 |
|||||||
Average
Store Size Square Feet (in thousands) |
114 |
114 |
114 |
|||||||
Return
on Beginning Assets 3 |
11.6 |
% |
11.6 |
% |
11.0 |
% | ||||
Return
on Beginning Shareholders' Equity 4 |
21.3 |
% |
22.4 |
% |
22.6 |
% |
Percentage
Increase / (Decrease) in Dollar Amounts from Prior
Year | ||||||||||||||||
(In
Millions) |
2004 |
2003 |
2002 |
2003
- 2004 |
2002
- 2003 |
|||||||||||
Net
cash provided by operating activities from continuing
operations |
$ |
3,033 |
$ |
2,942 |
$ |
2,654 |
3 |
% |
11 |
% | ||||||
Net
cash used in investing activities from continuing
operations |
(2,257 |
) |
(2,497 |
) |
(2,477 |
) |
(10 |
) |
1 |
| ||||||
Net
cash used in financing activities from continuing
operations |
(1,047 |
) |
(17 |
) |
(64 |
) |
NM |
(73 |
) | |||||||
Net
cash provided by discontinued operations |
-
|
112
|
16
|
NM |
NM |
|||||||||||
Net
(decrease) increase in cash and cash equivalents |
(271 |
) |
540
|
129
|
(150 |
) |
319 |
| ||||||||
Cash
and cash equivalents, beginning of year |
913
|
373
|
244
|
145 |
|
53 |
| |||||||||
Cash
and cash equivalents, end of year |
$ |
642 |
$ |
913 |
$ |
373 |
(30 |
%) |
145 |
% | ||||||
NM:
Not meaningful |
Current
Debt Ratings |
S&P |
Moody’s |
Fitch |
Commercial
Paper |
A1 |
P1 |
F1 |
Senior
Debt |
A+ |
A2 |
A |
Outlook |
Stable |
Positive |
Positive |
Payments
Due by Period |
||||||||||||||||
Contractual
Obligations |
Less
than |
1-3 |
4-5 |
After
5 |
||||||||||||
(In
Millions) |
Total |
1
year |
years |
years |
years |
|||||||||||
Long-term
Debt (principal and interest amounts,
net of discount) |
$ |
5,605 |
$ |
769 |
$ |
295 |
$ |
219 |
$ |
4,322 |
||||||
Capital
Lease Obligations |
688 |
60 |
118 |
117 |
393 |
|||||||||||
Operating
Leases |
3,843 |
249 |
493 |
487 |
2,614 |
|||||||||||
Purchase
Obligations 1 |
450 |
377 |
56 |
8 |
9 |
|||||||||||
Subtotal
- Contractual Obligations |
$ |
10,586 |
$ |
1,455 |
$ |
962 |
$ |
831 |
$ |
7,338 |
Amount
of Commitment Expiration by Period |
||||||||||||||||
Commercial
Commitments |
Less
than |
1-3 |
4-5 |
After
5 |
||||||||||||
(In
Millions) |
Total |
1
year |
years |
years |
years |
|||||||||||
Letters
of Credit 2 |
$ |
304 |
$ |
293 |
$ |
11 |
$ |
- |
$ |
- |
||||||
Total
Contractual Obligations and Commercial
Commitments |
$ |
10,890 |
$ |
1,748 |
$ |
973 |
$ |
831 |
$ |
7,338 |
Long-Term
Debt Maturities by Fiscal Year |
|||||||
January
28, 2005 |
|||||||
|
|
||||||
(Dollars
in Millions) |
Fixed
Rate |
Average
Interest Rate |
|||||
2005 |
$ |
608 |
7.32 |
% | |||
2006 |
7
|
7.70 |
% | ||||
2007 |
61
|
6.89 |
% | ||||
2008 |
6
|
7.39 |
% | ||||
2009 |
1
|
7.52 |
% | ||||
Thereafter |
3,025
|
4.49 |
% | ||||
Total |
$ |
3,708 |
|||||
Fair
Value |
$ |
3,974 |
Long-Term
Debt Maturities by Fiscal Year |
|||||||
January
30, 2004 |
|||||||
(Dollars
in Millions) |
Fixed
Rate |
Average
Interest Rate |
|||||
2004 |
$ |
54 |
7.98 |
% | |||
2005 |
608
|
7.32 |
% | ||||
2006 |
8
|
7.70 |
% | ||||
2007 |
61
|
6.89 |
% | ||||
2008 |
6
|
7.39 |
% | ||||
Thereafter |
3,036
|
4.49 |
% | ||||
Total |
$ |
3,773 |
|||||
Fair
Value |
$ |
3,985 |
Lowe's
Companies, Inc. |
|||||||||||||||||||
Consolidated
Statements of Earnings |
|||||||||||||||||||
|
January
30,
2004 |
January
31, 2003 |
|||||||||||||||||
(In
Millions, Except Per Share and Percentage Data) Years Ended
On |
January
28,
2005
|
%
Sales |
As
Restated (Note 2 |
) |
%
Sales |
As
Restated (Note 2 |
) |
%
Sales |
|||||||||||
Net
sales |
$ |
36,464 |
100.00 |
% |
$ |
30,838 |
100.00 |
% |
$ |
26,112 |
100.00 |
% | |||||||
Cost
of sales |
24,165
|
66.27 |
21,231
|
68.85 |
18,164
|
69.56 |
|||||||||||||
Gross
margin |
12,299
|
33.73 |
9,607
|
31.15 |
7,948
|
30.44 |
|||||||||||||
Expenses: |
|||||||||||||||||||
Selling,
general and administrative (Note 7) |
7,562
|
20.74 |
5,578
|
18.09 |
4,625
|
17.71 |
|||||||||||||
Store
opening costs (Note 1) |
123
|
0.34 |
128
|
0.42 |
129
|
0.49 |
|||||||||||||
Depreciation |
902
|
2.47 |
777
|
2.52 |
640
|
2.46 |
|||||||||||||
Interest
(Note 17) |
176
|
0.48 |
180
|
0.58 |
182
|
0.70 |
|||||||||||||
Total
expenses |
8,763
|
24.03 |
6,663
|
21.61 |
5,576
|
21.36 |
|||||||||||||
Pre-tax
earnings |
3,536
|
9.70 |
2,944
|
9.54 |
2,372
|
9.08 |
|||||||||||||
Income
tax provision (Note 15) |
1,360
|
3.73 |
1,115
|
3.61 |
893
|
3.42 |
|||||||||||||
Earnings
from continuing operations |
2,176
|
5.97 |
1,829
|
5.93 |
1,479
|
5.66 |
|||||||||||||
Earnings
from discontinued operations, net of tax (Note 3) |
-
|
0.00 |
15
|
0.05 |
12
|
0.05 |
|||||||||||||
Net
earnings |
$ |
2,176 |
5.97 |
% |
$ |
1,844 |
5.98 |
% |
$ |
1,491 |
5.71 |
% | |||||||
Basic
earnings per share (Note 11) |
|||||||||||||||||||
Continuing
operations |
$ |
2.80 |
$ |
2.33 |
$ |
1.89 |
|||||||||||||
Discontinued
operations |
-
|
0.02
|
0.02
|
||||||||||||||||
Basic
earnings per share |
$ |
2.80 |
$ |
2.35 |
$ |
1.91 |
|||||||||||||
Diluted
earnings per share (Note 11) |
|||||||||||||||||||
Continuing
operations |
$ |
2.71 |
$ |
2.26 |
$ |
1.84 |
|||||||||||||
Discontinued
operations |
-
|
0.02
|
0.02
|
||||||||||||||||
Diluted
earnings per share |
$ |
2.71 |
$ |
2.28 |
$ |
1.86 |
|||||||||||||
Cash
dividends per share |
$ |
0.15 |
$ |
0.11 |
$ |
0.09 |
|||||||||||||
Lowe's Companies, Inc. | |||||||||||
Consolidated Balance Sheets | |||||||||||
January
30,
2004 |
|||||||||||
(In Millions, Except Par Value and Percentage
Data) |
January
28,
2005 |
%
Total |
As
Restated
(Note
2 |
) |
%
Total |
||||||
Assets |
|||||||||||
Current
assets: |
|||||||||||
Cash
and cash equivalents (Note 1) |
$ |
642 |
3.0 |
% |
$ |
913 |
4.9 |
% | |||
Short-term
investments (Note 4) |
171
|
0.8 |
711
|
3.8 |
|||||||
Accounts
receivable - net (Notes 1 and 5) |
9
|
-
|
146
|
0.8 |
|||||||
Merchandise
inventory (Note 1) |
5,982
|
28.2 |
4,584
|
24.4 |
|||||||
Deferred
income taxes (Note 15) |
95
|
0.5 |
62
|
0.3 |
|||||||
Other
assets |
75
|
0.4 |
106
|
0.6 |
|||||||
Total
current assets |
6,974
|
32.9 |
6,522
|
34.8 |
|||||||
Property,
less accumulated depreciation (Notes 6 and 7) |
13,911
|
65.6 |
11,819
|
63.0 |
|||||||
Long-term
investments (Note 4) |
146
|
0.7 |
169
|
0.9 |
|||||||
Other
assets (Note 7) |
178
|
0.8 |
241
|
1.3 |
|||||||
Total
assets |
$ |
21,209 |
100.0 |
% | $ |
18,751 |
100.0 |
% | |||
Liabilities
and Shareholders' Equity |
|||||||||||
Current
liabilities: |
|||||||||||
Current
maturities of long-term debt (Note 9) |
630
|
3.0 |
% |
77
|
0.4 |
% | |||||
Accounts
payable |
2,687
|
12.7 |
2,212
|
11.8 |
|||||||
Accrued
salaries and wages |
386
|
1.8 |
335
|
1.8 |
|||||||
Other
current liabilities (Note 7) |
2,016
|
9.5 |
1,576
|
8.4 |
|||||||
Total
current liabilities |
5,719
|
27.0 |
4,200
|
22.4 |
|||||||
Long-term
debt, excluding current maturities (Notes 9, 10 and 13) |
3,060
|
14.4 |
3,678
|
19.6 |
|||||||
Deferred
income taxes (Note 15) |
736
|
3.5 |
594
|
3.2 |
|||||||
Other
long-term liabilities |
159
|
0.7 |
63
|
0.3 |
|||||||
Total
liabilities |
9,674
|
45.6 |
8,535
|
45.5 |
|||||||
Shareholders'
equity (Note 12): |
|||||||||||
Preferred
stock - $5 par value, none issued |
-
|
-
|
-
|
-
|
|||||||
Common
stock - $.50 par value; |
|||||||||||
Shares
Issued and Outstanding |
|||||||||||
January
28, 2005 |
774 | ||||||||||
January
30, 2004 |
787 |
387
|
1.8 |
394
|
2.1 |
||||||
Capital
in excess of par |
1,514
|
7.1 |
2,247
|
12.0 |
|||||||
Retained
earnings |
9,634
|
45.5 |
7,574
|
40.4 |
|||||||
Accumulated
other comprehensive income |
-
|
-
|
1
|
-
|
|||||||
Total
shareholders' equity |
11,535
|
54.4 |
10,216
|
54.5 |
|||||||
Total
liabilities and shareholders' equity |
$ |
21,209 |
100.0 |
% | $ |
18,751 |
100.0 |
% | |||
Lowe's
Companies, Inc. |
|||||||||||||||||||
Consolidated
Statements of Shareholders' Equity |
|||||||||||||||||||
Accumulated |
|||||||||||||||||||
Capital
in |
Other |
Total
|
|||||||||||||||||
|
Common
Stock |
Excess
of |
Retained |
Comprehensive |
Shareholders' |
||||||||||||||
(In
Millions) |
|
|
Shares |
Amount
|
Par
Value |
Earnings |
Income |
Equity |
|||||||||||
Balance
February 1, 2002, As Restated (Note 2) |
775.7
|
$ |
388 |
$ |
1,803 |
$ |
4,392 |
$ |
1 |
$ |
6,584 |
||||||||
Comprehensive
Income: |
|||||||||||||||||||
Net
Earnings, As Restated (Note 2) |
1,491
|
||||||||||||||||||
Total
Comprehensive Income, As Restated (Note 2) |
1,491
|
||||||||||||||||||
Tax
Effect of Non-qualified Stock Options Exercised |
29
|
29
|
|||||||||||||||||
Cash
Dividends |
(66 |
) |
(66 |
) | |||||||||||||||
Employee
Stock Options Exercised (Note 12) |
2.9
|
1
|
64
|
65
|
|||||||||||||||
Stock
Issued to ESOP (Notes 14 and 17) |
1.9
|
1
|
78
|
79
|
|||||||||||||||
Employee
Stock Purchase Plan (Note 12) |
1.4
|
1
|
49
|
50
|
|||||||||||||||
Balance
January 31, 2003, As Restated (Note 2) |
781.9
|
$ |
391 |
$ |
2,023 |
$ |
5,817 |
$ |
1 |
$ |
8,232 |
||||||||
Comprehensive
Income: |
|||||||||||||||||||
Net
Earnings, As Restated (Note 2) |
1,844
|
||||||||||||||||||
Total
Comprehensive Income, As Restated (Note 2) |
1,844
|
||||||||||||||||||
Tax
Effect of Non-qualified Stock Options Exercised |
27
|
27
|
|||||||||||||||||
Cash
Dividends |
(87 |
) |
(87 |
) | |||||||||||||||
Stock
Compensation Expense, As Restated (Notes 1, 2 and 12) |
51
|
51
|
|||||||||||||||||
Employee
Stock Options Exercised (Note 12) |
4.0
|
2
|
95
|
97
|
|||||||||||||||
Employee
Stock Purchase Plan (Note 12) |
1.4
|
1
|
51
|
52
|
|||||||||||||||
Balance
January 30, 2004, As Restated (Note 2) |
787.3
|
$ |
394 |
$ |
2,247 |
$ |
7,574 |
$ |
1 |
$ |
10,216 |
||||||||
Comprehensive
Income: |
|||||||||||||||||||
Net
Earnings |
2,176
|
||||||||||||||||||
Net
Unrealized Investment Losses |
(1 |
) |
|||||||||||||||||
Total
Comprehensive Income |
2,175
|
||||||||||||||||||
Tax
Effect of Non-qualified Stock Options Exercised |
33
|
33
|
|||||||||||||||||
Cash
Dividends |
(116 |
) |
(116 |
) | |||||||||||||||
Stock
Compensation Expense (Notes 1 and 12) |
70
|
70
|
|||||||||||||||||
Repurchase
of Common Stock (Note 12) |
(18.4 |
) |
(9 |
) |
(991 |
) |
(1,000 |
) | |||||||||||
Conversion
of Debt to Common Stock |
0.2
|
6
|
6
|
||||||||||||||||
Employee
Stock Options Exercised (Note 12) |
3.4
|
1
|
89
|
90
|
|||||||||||||||
Employee
Stock Purchase Plan (Note 12) |
1.3
|
1
|
60
|
61
|
|||||||||||||||
Balance
January 28, 2005 |
773.8
|
$ |
387 |
$ |
1,514 |
$ |
9,634 |
$ |
- |
$ |
11,535 |
Lowe's
Companies, Inc. |
||||||||||
Consolidated
Statements of Cash Flows |
||||||||||
|
||||||||||
|
||||||||||
January
30, 2004 |
January
31, 2003 |
|||||||||
(In
Millions)
Years
Ended On |
January
28, 2005 |
As
Restated
(Note
2) |
As
Restated
(Note
2) |
|||||||
Cash
Flows From Operating Activities: |
||||||||||
Net
earnings |
$ |
2,176 |
$ |
1,844 |
$ |
1,491 |
||||
Earnings
from discontinued operations, net of tax |
-
|
(15 |
) |
(12 |
) | |||||
Earnings
from continuing operations |
2,176
|
1,829
|
1,479
|
|||||||
Adjustments
to reconcile earnings from continuing operations to net cash provided by
operating activities: |
||||||||||
Depreciation
and amortization |
920
|
800
|
659
|
|||||||
Deferred
income taxes |
109
|
157
|
221
|
|||||||
Loss
on disposition/writedown of fixed and other assets |
21
|
31
|
18
|
|||||||
Stock-based
compensation expense |
70
|
51
|
-
|
|||||||
Tax
effect of stock options exercised |
33
|
31
|
29
|
|||||||
Changes
in operating assets and liabilities: |
||||||||||
Accounts
receivable - net |
125
|
(16 |
) |
(9 |
) | |||||
Merchandise
inventory |
(1,389 |
) |
(648 |
) |
(357 |
) | ||||
Other
operating assets |
31
|
(10 |
) |
(9 |
) | |||||
Accounts
payable |
475
|
421
|
202
|
|||||||
Other
operating liabilities |
462
|
296
|
421
|
|||||||
Net
cash provided by operating activities from continuing
operations |
3,033
|
2,942
|
2,654
|
|||||||
Cash
flows from investing activities: |
||||||||||
Decrease
(Increase) in short-term investments |
690
|
86
|
(128 |
) | ||||||
Purchases
of long-term investments |
(156 |
) |
(381 |
) |
(24 |
) | ||||
Proceeds
from sale/maturity of long-term investments |
28
|
193
|
-
|
|||||||
Increase
in other long-term assets |
(14 |
) |
(95 |
) |
(33 |
) | ||||
Fixed
assets acquired |
(2,927 |
) |
(2,345 |
) |
(2,336 |
) | ||||
Proceeds
from the sale of fixed and other long-term assets |
122
|
45
|
44
|
|||||||
Net
cash used in investing activities from continuing
operations |
(2,257 |
) |
(2,497 |
) |
(2,477 |
) | ||||
Cash
flows from financing activities: |
||||||||||
Net
decrease in short-term borrowings |
-
|
(50 |
) |
(50 |
) | |||||
Repayment
of long-term debt |
(82 |
) |
(29 |
) |
(63 |
) | ||||
Proceeds
from employee stock purchase plan |
61
|
52
|
50
|
|||||||
Proceeds
from stock options exercised |
90
|
97
|
65
|
|||||||
Cash
dividend payments |
(116 |
) |
(87 |
) |
(66 |
) | ||||
Repurchase
of common stock |
(1,000 |
) |
-
|
-
|
||||||
Net
cash used in financing activities from continuing
operations |
(1,047 |
) |
(17 |
) |
(64 |
) | ||||
Net
cash provided by discontinued operations |
-
|
112
|
16
|
|||||||
Net
(decrease) increase in cash and cash equivalents |
(271 |
) |
540
|
129
|
||||||
Cash
and cash equivalents, beginning of year |
913
|
373
|
244
|
|||||||
Cash
and cash equivalents, end of year |
$ |
642 |
$ |
913 |
$ |
373 |
(In Millions, Except Per Share Data) |
2004 |
2003
As
Restated (Note 2) |
2002
As
Restated (Note 2) |
|||||||
Net
earnings as reported |
$ |
2,176 |
$ |
1,844 |
$ |
1,491 |
||||
Add:
Stock-based compensation expense included
in net earnings, net of related tax
effects |
43 |
32 |
- |
|||||||
Deduct:
Total stock-based compensation expense determined under the
fair-value-based method for all awards, net of related tax
effects |
(85 |
) |
(93 |
) |
(85 |
) | ||||
Pro
forma net income |
$ |
2,134 |
$ |
1,783 |
$ |
1,406 |
||||
Earnings
per share: |
||||||||||
Basic
- as reported |
$ |
2.80 |
$ |
2.35 |
$ |
1.91 |
||||
Basic
- pro forma |
$ |
2.75 |
$ |
2.26 |
$ |
1.81 |
||||
Diluted
- as reported |
$ |
2.71 |
$ |
2.28 |
$ |
1.86 |
||||
Diluted
- pro forma |
$ |
2.66 |
$ |
2.20 |
$ |
1.75 |
2004 |
2003 |
2002 |
||||||||
Weighted
average fair value per option |
$ |
16.56 |
$ |
17.64 |
$ |
19.22 |
||||
Assumptions
used: |
||||||||||
Weighted
average expected volatility |
38.3 |
% |
44.0 |
% |
43.7 |
% | ||||
Weighted
average expected dividend yield |
0.22 |
% |
0.26 |
% |
0.27 |
% | ||||
Weighted
average risk-free interest rate |
2.39 |
% |
2.89 |
% |
4.35 |
% | ||||
Weighted
average expected life, in years |
3.3 |
5.5 |
4.0-7.0 |
Consolidated
Balance Sheet | |||||||||
January
30, 2004 |
January
30, 2004 | ||||||||
(In
Millions) |
As
Previously Reported* |
Adjustments |
As
Restated | ||||||
Deferred
income taxes |
$ |
59 |
$ |
3 |
$ |
62 | |||
Total
current assets |
6,519
|
3
|
6,522
| ||||||
Property,
less accumulated depreciation |
11,945
|
(126 |
) |
11,819
| |||||
Total
assets |
$ |
18,874 |
$ |
(123 |
) |
$ |
18,751 | ||
Deferred
income taxes |
657
|
(63 |
) |
594
| |||||
Other
long-term liabilities |
30
|
33
|
63
| ||||||
Total
liabilities |
8,565
|
(30 |
) |
8,535
| |||||
Capital
in excess of par |
2,237
|
10
|
2,247
| ||||||
Retained
earnings |
7,677
|
(103 |
) |
7,574
| |||||
Total
shareholders' equity |
10,309
|
(93 |
) |
10,216
| |||||
Total
liabilities and shareholders' equity |
$ |
18,874 |
$ |
(123 |
) |
$ |
18,751 |
Consolidated
Statement of Earnings | |||||||||
January
30, 2004 |
January
30, 2004 | ||||||||
Year
Ended On
(In
Millions, Except Per Share Data) |
As
Previously Reported |
Adjustments |
As
Restated | ||||||
Expenses: |
|||||||||
Selling,
general and administrative |
$ |
5,543 |
$ |
35 |
$ |
5,578 | |||
Depreciation |
758
|
19
|
777
| ||||||
Total
expenses |
6,609
|
54
|
6,663
| ||||||
Pre-tax
earnings |
2,998
|
(54 |
) |
2,944
| |||||
Income
tax provision |
1,136
|
(21 |
) |
1,115
| |||||
Earnings
from continuing operations |
1,862
|
(33 |
) |
1,829
| |||||
Net
earnings |
$ |
1,877 |
$ |
(33 |
) |
$ |
1,844 | ||
Basic
earnings per share (Notes 1 and 11) |
|||||||||
Continuing
operations |
$ |
2.37 |
$ |
(0.04 |
) |
$ |
2.33 | ||
Discontinued
operations |
0.02
|
-
|
0.02
| ||||||
Basic
earnings per share |
$ |
2.39 |
$ |
(0.04 |
) |
$ |
2.35 | ||
Diluted
earnings per share (Notes 1 and 11) |
|||||||||
Continuing
operations |
$ |
2.30 |
$ |
(0.04 |
) |
$ |
2.26 | ||
Discontinued
operations |
0.02
|
-
|
0.02
| ||||||
Diluted
earnings per share |
$ |
2.32 |
$ |
(0.04 |
) |
$ |
2.28 |
Consolidated
Statement of Earnings | |||||||||
January
31, 2003 |
January
31, 2003 | ||||||||
Year
Ended On
(In
Millions, Except Per Share Data) |
As
Previously Reported |
Adjustments |
As
Restated | ||||||
Expenses: |
|||||||||
Selling,
general and administrative |
$ |
4,676 |
$ |
(51 |
) |
$ |
4,625 | ||
Depreciation |
622
|
18
|
640
| ||||||
Total
expenses |
5,609
|
(33 |
) |
5,576
| |||||
Pre-tax
earnings |
2,339
|
33
|
2,372
| ||||||
Income
tax provision |
880
|
13
|
893
| ||||||
Earnings
from continuing operations |
1,459
|
20
|
1,479
| ||||||
Net
earnings |
$ |
1,471 |
$ |
20 |
$ |
1,491 | |||
Basic
earnings per share (Notes 1 and 11) |
|||||||||
Continuing
operations |
$ |
1.87 |
$ |
0.02 |
$ |
1.89 | |||
Discontinued
operations |
0.02
|
-
|
0.02
| ||||||
Basic
earnings per share |
$ |
1.89 |
$ |
0.02 |
$ |
1.91 | |||
Diluted
earnings per share (Notes 1 and 11) |
|||||||||
Continuing
operations |
$ |
1.81 |
$ |
0.03 |
$ |
1.84 | |||
Discontinued
operations |
0.02
|
-
|
0.02
| ||||||
Diluted
earnings per share |
$ |
1.83 |
$ |
0.03 |
$ |
1.86 |
Consolidated
Statement of Shareholders' Equity | |||||||||
February
1, 2002 |
February
1, 2002 | ||||||||
(In
Millions) |
As
previously reported |
Adjustments |
As
Restated | ||||||
Retained
earnings |
$ |
4,482 |
$ |
(90 |
) |
$ |
4,392 |
Years
Ended On | ||||||
(In
Millions) |
January
30, 2004 |
January
31, 2003 | ||||
Net
sales from discontinued operations |
$ |
425 |
$ |
379 | ||
Pre-tax
earnings from discontinued operations |
20 |
20 | ||||
Gain
on sale of Contractor Yards |
5 |
- | ||||
Income
tax provision |
10 |
8 | ||||
Earnings
from discontinued operations, net of tax |
$ |
15 |
$ |
12 |
January
28, 2005 |
January
30, 2004 | |||||||||||||||||||||||
Type |
Amortized |
Gross
Unrealized |
Gross
Unrealized |
Fair |
Amortized |
Gross
Unrealized |
Gross
Unrealized |
Fair | ||||||||||||||||
(In
Millions) |
Cost |
Gains |
Losses |
Value |
Cost |
Gains |
Losses |
Value | ||||||||||||||||
Municipal
Obligations |
$ |
162 |
$ |
- |
$ |
- |
$ |
162 |
$ |
626 |
$ |
- |
$ |
- |
$ |
626 | ||||||||
Money
Market Preferred Stock |
9 |
- |
- |
9 |
78 |
- |
- |
78 | ||||||||||||||||
Corporate
Notes |
- |
- |
- |
- |
7 |
- |
- |
7 | ||||||||||||||||
Classified
as Short-Term |
171 |
- |
- |
171 |
711 |
- |
- |
711 | ||||||||||||||||
Municipal
Obligations |
97 |
- |
(1 |
) |
96 |
92 |
- |
- |
92 | |||||||||||||||
Corporate
Notes |
19 |
- |
- |
19 |
32 |
- |
- |
32 | ||||||||||||||||
Agency
Bonds |
- |
- |
- |
- |
23 |
- |
- |
23 | ||||||||||||||||
Asset-Backed
Obligations |
16 |
- |
- |
16 |
16 |
- |
- |
16 | ||||||||||||||||
Mutual
Funds |
14 |
1 |
- |
15 |
5 |
1 |
- |
6 | ||||||||||||||||
Classified
as Long-Term |
146 |
1 |
(1 |
) |
146 |
168 |
1 |
- |
169 | |||||||||||||||
Total |
$ |
317 |
$ |
1 |
$ |
(1 |
) |
$ |
317 |
$ |
879 |
$ |
1 |
$ |
- |
$ |
880 |
(In
Millions) |
Estimated
depreciable lives (in years) |
January
28,
2005 |
January
30,
2004 |
|||||||
Cost: |
||||||||||
Land |
N/A |
$ |
4,197 |
$ |
3,635 |
|||||
Buildings |
7-40 |
7,007 |
5,950 |
|||||||
Equipment |
3-10 |
5,405 |
4,355 |
|||||||
Leasehold
Improvements* |
7-30 |
1,401 |
1,133 |
|||||||
Total
Cost |
18,010 |
15,073 |
||||||||
Accumulated
Depreciation and Amortization |
(4,099 |
) |
(3,254 |
) | ||||||
Net
Property |
$ |
13,911 |
$ |
11,819 |
Store
Closing Liability |
||||
(In
Millions) |
||||
Balance
at February 1, 2002 |
$ |
17 |
||
Accrual
for store closing costs |
9 |
|||
Lease
payments, net of sublease income |
(10 |
) | ||
Balance
at January 31, 2003 |
$ |
16 |
||
Accrual
for store closing costs |
12 |
|||
Lease
payments, net of sublease income |
(9 |
) | ||
Balance
at January 30, 2004 |
$ |
19 |
||
Accrual
for store closing costs |
16 |
|||
Lease
payments, net of sublease income |
(11 |
) | ||
Balance
at January 28, 2005 |
$ |
24 |
Fiscal
Year |
||||||||||||
Debt Category |
of
Final |
January
28, |
January
30, | |||||||||
(In Millions) |
Interest
Rates |
Maturity |
2005 |
2004 | ||||||||
Secured
Debt:1 |
||||||||||||
Mortgage
Notes |
6.82
to 8.25 |
% |
2028 |
$ |
37 |
$ |
45 | |||||
Unsecured
Debt: |
||||||||||||
Debentures |
6.50
to 6.88 |
% |
2029 |
693 |
692 | |||||||
Notes |
7.50
to 8.25 |
% |
2010 |
997 |
996 | |||||||
Medium-Term
Notes - Series A |
7.35
to 8.20 |
% |
2023 |
27 |
74 | |||||||
Medium-Term
Notes - Series B2 |
6.70
to 7.61 |
% |
2037 |
267 |
267 | |||||||
Senior
Notes |
6.38 |
% |
2005 |
100 |
100 | |||||||
Convertible
Notes |
0.86
to 2.50 |
% |
2021 |
1,146 |
1,136 | |||||||
Capital
Leases |
2029 |
423 |
445 | |||||||||
Total
Long-Term Debt |
3,690 |
3,755 | ||||||||||
Less
Current Maturities |
630 |
77 | ||||||||||
Long-Term
Debt, Excluding Current Maturities |
$ |
3,060 |
$ |
3,678 |
January
28, 2005 |
January
30, 2004 | |||||||||||
Carrying |
Fair |
Carrying |
Fair | |||||||||
(In
Millions) |
Amount |
Value |
Amount |
Value | ||||||||
Liabilities: |
||||||||||||
Long-Term
Debt
(Excluding
Capital Leases) |
$ |
3,267 |
$ |
3,974 |
$ |
3,310 |
$ |
3,985 |
(In
Millions, Except Per Share Data) |
2004 |
2003 |
2002 | ||||||
Basic
Earnings per Share: |
|||||||||
Earnings
from Continuing Operations |
$ |
2,176 |
$ |
1,829 |
$ |
1,479 | |||
Earnings
from Discontinued Operations, Net of Tax |
-
|
15 |
12 | ||||||
Net
Earnings |
$ |
2,176 |
$ |
1,844 |
$ |
1,491 | |||
Weighted
Average Shares Outstanding |
777
|
785 |
779 | ||||||
Basic
Earnings per Share: Continuing Operations |
$ |
2.80 |
$ |
2.33 |
$ |
1.89 | |||
Basic
Earnings per Share: Discontinued Operations |
-
|
0.02 |
0.02 | ||||||
Basic
Earnings per Share |
$ |
2.80 |
$ |
2.35 |
$ |
1.91 | |||
Diluted
Earnings per Share: |
|||||||||
Net
Earnings |
$ |
2,176 |
$ |
1,844 |
$ |
1,491 | |||
Net
Earnings Adjustment for Interest on Convertible Debt, Net of
Tax |
14
|
14 |
14 | ||||||
Net
Earnings, as Adjusted |
$ |
2,190 |
$ |
1,858 |
$ |
1,505 | |||
Weighted
Average Shares Outstanding |
777
|
785 |
779 | ||||||
Dilutive
Effect of Stock Options |
5 |
4 |
4 | ||||||
Dilutive
Effect of Convertible Debt |
26 |
27 |
27 | ||||||
Weighted
Average Shares, as Adjusted |
808
|
816 |
810 | ||||||
Diluted
Earnings per Share: Continuing Operations |
$ |
2.71 |
$ |
2.26 |
$ |
1.84 | |||
Diluted
Earnings per Share: Discontinued Operations |
-
|
0.02 |
0.02 | ||||||
Diluted
Earnings per Share |
$ |
2.71 |
$ |
2.28 |
$ |
1.86 |
Key
Employee Stock Option Plans |
Shares
(In
Thousands) |
Weighted-Average
Exercise Price Per Share | ||||
Outstanding
at February 1, 2002 |
19,141 |
$ |
28.77 | |||
Granted |
5,537 |
43.65 | ||||
Canceled
or Expired |
(1,085 |
) |
34.28 | |||
Exercised |
(2,942 |
) |
22.20 | |||
Outstanding
at January 31, 2003 |
20,651 |
$ |
33.37 | |||
Granted |
4,318 |
40.39 | ||||
Canceled
or Expired |
(1,129 |
) |
39.66 | |||
Exercised |
(3,745 |
) |
26.20 | |||
Outstanding
at January 30, 2004 |
20,095 |
$ |
35.68 | |||
Granted |
2,959 |
56.11 | ||||
Canceled
or Expired |
(759 |
) |
44.88 | |||
Exercised |
(3,077 |
) |
30.18 | |||
Outstanding
at January 28, 2005 |
19,218 |
$ |
39.56 | |||
Exercisable
at January 28, 2005 |
8,795 |
$ |
30.93 | |||
Exercisable
at January 30, 2004 |
7,525 |
$ |
27.58 | |||
Exercisable
at January 31, 2003 |
7,770 |
$ |
23.75 |
Outstanding |
Exercisable | ||||||||||||||
Range
of Exercise Prices |
Options
(In
Thousands) |
Weighted-Average
Remaining Term |
Weighted-
Average Exercise Price |
Options
(In
Thousands) |
Weighted-Average
Exercise Price | ||||||||||
$5.18
- $7.52 |
48 |
0.8 |
$ |
5.85 |
48 |
$ |
5.85 | ||||||||
8.70
- 12.60 |
14 |
2.3 |
10.79 |
14 |
10.79 | ||||||||||
13.19
- 19.44 |
173 |
2.6 |
14.95 |
173 |
14.95 | ||||||||||
21.34
- 31.16 |
5,508 |
2.4 |
25.41 |
5,505 |
25.41 | ||||||||||
35.12
- 52.06 |
10,958 |
4.4 |
43.31 |
3,055 |
42.27 | ||||||||||
$53.57
- $58.93 |
2,517 |
6.1 |
56.67 |
- |
- | ||||||||||
Totals |
19,218 |
4.0 |
$ |
39.56 |
8,795 |
$ |
30.93 |
Directors'
Stock Option Plans |
Shares
(In
Thousands) |
Weighted-Average
Exercise Price Per Share | ||||
Outstanding
at February 1, 2002 |
100 |
$ |
28.92 | |||
Granted |
40 |
47.16 | ||||
Exercised |
(4 |
) |
25.85 | |||
Outstanding
at January 31, 2003 |
136 |
$ |
34.38 | |||
Granted
|
36 |
42.26 | ||||
Exercised |
(25 |
) |
28.74 | |||
Canceled
or Expired |
(12 |
) |
43.03 | |||
Outstanding
at January 30, 2004 |
135 |
$ |
36.77 | |||
Granted
|
40 |
53.57 | ||||
Exercised |
(10 |
) |
27.62 | |||
Canceled
or Expired |
(8 |
) |
42.83 | |||
Outstanding
at January 28, 2005 |
157 |
$ |
41.28 | |||
Exercisable
at January 28, 2005 |
89 |
$ |
34.96 | |||
Exercisable
at January 30, 2004 |
71 |
$ |
31.28 | |||
Exercisable
at January 31, 2003 |
59 |
$ |
27.06 |
Outstanding |
Exercisable |
|||||||||||||||
Range
of Exercise Prices |
Options
(In
Thousands) |
Weighted-Average
Remaining Term |
Weighted-
Average Exercise Price |
Options
(In
Thousands) |
Weighted-Average
Exercise Price |
|||||||||||
$22.88
- $25.84 |
32 |
1.8 |
$ |
24.36 |
32 |
$ |
24.36 |
|||||||||
$35.91
- $53.57 |
125 |
5.0 |
45.60 |
57 |
40.87 |
|||||||||||
Totals |
157 |
4.3 |
$ |
41.28 |
89 |
$ |
34.96 |
(In
Millions) |
Operating
Leases |
Capital
Leases |
|||||||||||||
Fiscal
Year |
Real
Estate |
Equipment |
Real
Estate |
Equipment |
Total | ||||||||||
2005 |
$ |
248 |
$ |
1 |
$ |
59 |
$ |
1 |
$ |
309 | |||||
2006 |
246 |
1 |
58 |
1 |
306 | ||||||||||
2007 |
245 |
1 |
59 |
- |
305 | ||||||||||
2008 |
244 |
- |
59 |
-
|
303 | ||||||||||
2009 |
243 |
- |
58 |
- |
301 | ||||||||||
Later
Years |
2,614 |
- |
393 |
- |
3,007 | ||||||||||
Total
Minimum Lease Payments |
$ |
3,840 |
$ |
3 |
$ |
686 |
$ |
2 |
$ |
4,531 | |||||
Total
Minimum Capital Lease Payments |
$ |
688 |
|||||||||||||
Less
Amount Representing Interest |
265 |
||||||||||||||
Present
Value of Minimum Lease Payments |
423 |
||||||||||||||
Less
Current Maturities |
22 |
||||||||||||||
Present
Value of Minimum Lease Payments, Less Current
Maturities |
$ |
401 |
2004 |
2003 |
2002 |
||||||||
Statutory
Federal Income Tax Rate |
35.0 |
% |
35.0 |
% |
35.0 |
% | ||||
State
Income Taxes- Net of Federal Tax Benefit |
3.5 |
3.1 |
3.3 |
|||||||
Stock-Based
Compensation Expense |
0.2 |
0.2 |
0.0 |
|||||||
Other,
Net |
(0.2 |
) |
(0.4 |
) |
(0.7 |
) | ||||
Effective
Tax Rate |
38.5 |
% |
37.9 |
% |
37.6 |
% | ||||
Components
of Income Tax Provision for Continuing Operations |
||||||||||
(In
Millions) |
2004 |
|
2003 |
|
2002 |
|||||
Current |
||||||||||
Federal |
$ |
1,077 |
$ |
834 |
$ |
590 |
||||
State |
174 |
124 |
82 |
|||||||
Total
Current |
1,251 |
958 |
672 |
|||||||
Deferred |
||||||||||
Federal |
86 |
143 |
183 |
|||||||
State |
23 |
14 |
38 |
|||||||
Total
Deferred |
109 |
157 |
221 |
|||||||
Total
Income Tax Provision |
$ |
1,360 |
$ |
1,115 |
$ |
893 |
January
28, 2005 |
January
30, 2004 |
||||||||||||||||||
(In
Millions) |
Assets |
Liabilities |
Total |
Assets |
Liabilities |
Total |
|||||||||||||
Excess
Property and Store Closing Costs |
$ |
19 |
$ |
- |
$ |
19 |
$ |
22 |
$ |
- |
$ |
22 |
|||||||
Self-Insurance |
37 |
- |
37 |
31 |
- |
31 |
|||||||||||||
Depreciation |
- |
(776 |
) |
(776 |
) |
- |
(625 |
) |
(625 |
) | |||||||||
Rent |
26 |
- |
26 |
13 |
- |
13 |
|||||||||||||
Vacation
Accrual |
7 |
- |
7 |
5 |
- |
5 |
|||||||||||||
Allowance
for Sales Returns |
43 |
- |
43 |
32 |
- |
32 |
|||||||||||||
Stock-Based
Compensation Expense |
28 |
- |
28 |
2 |
- |
2 |
|||||||||||||
Other,
Net |
19 |
(44 |
) |
(25 |
) |
17 |
(29 |
) |
(12 |
) | |||||||||
Total |
$ |
179 |
$ |
(820 |
) |
$ |
(641 |
) |
$ |
122 |
$ |
(654 |
) |
$ |
(532 |
) |
(In
Millions) |
2004 |
2003 |
2002 |
|||||||
Long-Term
Debt |
$ |
159 |
$ |
162 |
$ |
163 |
||||
Mortgage
Interest |
3 |
4 |
5
|
|||||||
Capitalized
Leases |
38 |
39 |
40 |
|||||||
Short-Term
Debt |
- |
- |
1 |
|||||||
Amortization
of Original Issue Discount and
Loan Costs |
20 |
19 |
19 |
|||||||
Interest
Income |
(16 |
) |
(18 |
) |
(21 |
) | ||||
Interest
Capitalized |
(28 |
) |
(26 |
) |
(25 |
) | ||||
Net
Interest Expense |
$ |
176 |
$ |
180 |
$ |
182 |
(In
Millions) |
2004 |
2003 |
2002 | ||||||
Cash
Paid for Interest (Net
of Amount Capitalized) |
$ |
174 |
$ |
179 |
$ |
186 | |||
Cash
Paid for Income Taxes |
$ |
1,192 |
$ |
926 |
$ |
695 |
Noncash
Fixed Asset Acquisitions, Including
Assets Acquired Under Capital Lease |
$ |
133 |
$ |
102 |
$ |
39 | |||
Common
Stock Issued to ESOP |
- |
- |
79 | ||||||
Notes
Received in Exchange for Sale of Real Estate |
$ |
- |
$ |
- |
$ |
4 |
Lowe's
Companies, Inc. |
|||||||||||||||
Selected
Financial Data (Unaudited) |
|||||||||||||||
2004 |
2003 |
2002 |
2001 |
2000 | |||||||||||
(In
Millions, Except Per Share Data) |
|
|
|
As
Restated
1,4 |
|
|
As
Restated
1,4 |
|
|
As
Restated
2,4 |
|
|
As
Restated
2 | ||
Selected
Statements of Earnings Data: |
|||||||||||||||
Net
Sales |
$ |
36,464 |
$ |
30,838 |
$ |
26,112 |
$ |
21,714 |
$ |
18,368 | |||||
Gross
Margin |
12,299 |
9,607 |
7,948 |
6,287 |
5,208 | ||||||||||
Earnings
from Continuing Operations |
2,176 |
1,829 |
1,479 |
969 |
784 | ||||||||||
Earnings
from Discontinued Operations, Net of Tax |
-
|
15 |
12 |
13 |
14 | ||||||||||
Net
Earnings |
2,176 |
1,844 |
1,491 |
982 |
798 | ||||||||||
Basic
Earnings Per Share - Continuing Operations |
2.80 |
2.33 |
1.89 |
1.25 |
1.03 | ||||||||||
Basic
Earnings Per Share - Discontinued Operations |
-
|
0.02 |
0.02 |
0.02 |
0.02 | ||||||||||
Basic
Earnings Per Share |
2.80 |
2.35 |
1.91 |
1.27 |
1.05 | ||||||||||
Diluted
Earnings Per Share - Continuing Operations |
2.71 |
2.26 |
1.84 |
1.21 |
1.02 | ||||||||||
Diluted
Earnings Per Share - Discontinued Operations |
-
|
0.02 |
0.02 |
0.02 |
0.02 | ||||||||||
Diluted
Earnings Per Share |
2.71 |
2.28 |
1.86 |
1.23 |
1.04 | ||||||||||
Dividends
Per Share |
$ |
0.15 |
$ |
0.11 |
$ |
0.09 |
$ |
0.08 |
$ |
0.07 | |||||
Selected
Balance Sheet
Data: |
|||||||||||||||
Total
Assets 3 |
$ |
21,209 |
$ |
18,751 |
$ |
15,843 |
$ |
13,546 |
$ |
11,287 | |||||
Long-Term
Debt, Excluding Current Maturities |
$ |
3,060 |
$ |
3,678 |
$ |
3,736 |
$ |
3,734 |
$ |
2,698 |
Lowe's Companies, Inc. | ||||||||||||||||||||||||
Selected Financial Data (Unaudited) | ||||||||||||||||||||||||
First |
Second |
Third |
||||||||||||||||||||||
Selected
Quarterly Data
(In Millions, Except Per Share
Data) |
As
Previously Reported 1 |
|
As
Restated
2 |
|
As
Previously Reported 1 |
|
As
Restated
2 |
|
As
Previously Reported 1 |
|
As
Restated
2 |
|
|
Fourth | ||||||||||
2004 |
||||||||||||||||||||||||
Net
Sales |
$ |
8,681 |
$ |
8,681 |
$ |
10,169 |
$ |
10,169 |
$ |
9,064 |
$ |
9,064 |
$ |
8,550 | ||||||||||
Gross
Margin |
2,870 |
2,870 |
3,389 |
3,389 |
3,051 |
3,051 |
2,989 | |||||||||||||||||
Earnings
from Continuing Operations |
455 |
452 |
704 |
700 |
522 |
516 |
508 | |||||||||||||||||
Earnings
from Discontinued Operations, Net of Tax |
-
|
-
|
-
|
-
|
-
|
-
|
-
| |||||||||||||||||
Net
Earnings |
455 |
452 |
704 |
700 |
522 |
516 |
508 | |||||||||||||||||
Basic
Earnings Per Share - Continuing Operations |
0.58 |
0.57 |
0.91 |
0.90 |
0.68 |
0.67 |
0.66 | |||||||||||||||||
Basic
Earnings Per Share – Discontinued Operations |
- |
- |
- |
- |
- |
- |
- | |||||||||||||||||
Basic
Earnings Per Share |
0.58 |
0.57 |
0.91 |
0.90 |
0.68 |
0.67 |
0.66 | |||||||||||||||||
Diluted
Earnings Per Share - Continuing Operations |
0.56 |
0.56 |
0.88 |
0.87 |
0.65 |
0.64 |
0.64 | |||||||||||||||||
Diluted
Earnings Per Share – Discontinued Operations |
- |
- |
- |
- |
- |
- |
- | |||||||||||||||||
Diluted
Earnings Per Share |
$ |
0.56 |
$ |
0.56 |
$ |
0.88 |
$ |
0.87 |
$ |
0.65 |
$ |
0.64 |
$ |
0.64 | ||||||||||
|
First |
Second |
Third |
Fourth | ||||||||||||||||||||
Selected
Quarterly Data
(In
Millions, Except Per Share Data) |
As
Previously Reported 1 |
|
|
As
Restated
2 |
|
|
As
Previously Reported 1 |
|
|
As
Restated
2 |
|
|
As
Previously Reported 1 |
|
|
As
Restated
2 |
|
|
As
Previously Reported 1 |
|
|
As
Restated
2 | ||
2003 |
||||||||||||||||||||||||
Net
Sales |
$ |
7,118 |
$ |
7,118 |
$ |
8,666 |
$ |
8,666 |
$ |
7,802 |
$ |
7,802 |
$ |
7,252 |
$ |
7,252 | ||||||||
Gross
Margin |
2,219 |
2,219 |
2,626 |
2,626 |
2,441 |
2,441 |
2,321 |
2,321 | ||||||||||||||||
Earnings
from Continuing Operations |
419 |
404 |
594 |
588 |
448 |
442 |
401 |
395 | ||||||||||||||||
Earnings
from Discontinued Operations, Net of Tax |
2 |
2 |
3 |
3 |
4 |
4 |
6 |
6 | ||||||||||||||||
Net
Earnings |
421 |
406 |
597 |
591 |
452 |
446 |
407 |
401 | ||||||||||||||||
Basic
Earnings Per Share - Continuing Operations |
0.54 |
0.52 |
0.76 |
0.75 |
0.56 |
0.56 |
0.51 |
0.50 | ||||||||||||||||
Basic
Earnings Per Share – Discontinued Operations |
- |
- |
- |
- |
0.01 |
0.01 |
0.01 |
0.01 | ||||||||||||||||
Basic
Earnings Per Share |
0.54 |
0.52 |
0.76 |
0.75 |
0.57 |
0.57 |
0.52 |
0.51 | ||||||||||||||||
Diluted
Earnings Per Share - Continuing Operations |
0.52 |
0.50 |
0.74 |
0.73 |
0.55 |
0.55 |
0.49 |
0.48 | ||||||||||||||||
Diluted
Earnings Per Share – Discontinued Operations |
- |
- |
- |
- |
0.01 |
0.01 |
0.01 |
0.01 | ||||||||||||||||
Diluted
Earnings Per Share |
$ |
0.52 |
$ |
0.50 |
$ |
0.74 |
$ |
0.73 |
$ |
0.56 |
$ |
0.56 |
$ |
0.50 |
$ |
0.49 |
Sales
by Product Category |
|||||||||||||||||||
(Dollars
in Millions) |
2004 |
2003 |
2002 |
||||||||||||||||
Product
Category |
Total
Sales |
% |
Total
Sales |
% |
Total
Sales |
% |
|||||||||||||
Appliances
|
$ |
4,078 |
11 |
% |
$ |
3,518 |
11 |
% |
$ |
2,995 |
11 |
% | |||||||
Lumber
|
3,288
|
9 |
|
2,652
|
9 |
|
2,232
|
9 |
| ||||||||||
Seasonal
Living |
2,442
|
7 |
|
2,008
|
7 |
|
1,738
|
7 |
| ||||||||||
Millwork
|
2,439
|
7 |
|
2,043
|
7 |
|
1,724
|
7 |
| ||||||||||
Flooring
|
2,370
|
6 |
|
1,998
|
6 |
|
1,651
|
6 |
| ||||||||||
Paint
|
2,317
|
6 |
|
2,048
|
7 |
|
1,737
|
7 |
| ||||||||||
Nursery
|
2,201
|
6 |
|
1,954
|
6 |
|
1,656
|
6 |
| ||||||||||
Tools
|
2,150
|
6 |
|
1,822
|
6 |
|
1,576
|
6 |
| ||||||||||
Fashion
Plumbing |
2,128
|
6 |
|
1,820
|
6 |
|
1,556
|
6 |
| ||||||||||
Lighting
|
2,089
|
6 |
|
1,857
|
6 |
|
1,586
|
6 |
| ||||||||||
Building
Materials |
2,025
|
6 |
|
1,666
|
5 |
|
1,408
|
5 |
| ||||||||||
Hardware
|
1,980
|
5 |
|
1,667
|
5 |
|
1,417
|
5 |
| ||||||||||
Outdoor
Power Equipment |
1,511
|
4 |
|
1,202
|
4 |
|
983
|
4 |
| ||||||||||
Cabinets
& Countertops |
1,369
|
4 |
|
1,029
|
3 |
|
790
|
3 |
| ||||||||||
Rough
Plumbing |
1,161
|
3 |
|
982
|
3 |
|
847
|
3 |
| ||||||||||
Rough
Electrical |
977
|
3 |
|
791
|
3 |
|
683
|
3 |
| ||||||||||
Walls
/ Windows |
951
|
3 |
|
848
|
3 |
|
707
|
3 |
| ||||||||||
Home
Organization |
793
|
2 |
|
670
|
2 |
|
528
|
2 |
| ||||||||||
Furniture |
163
|
0 |
|
213
|
1 |
|
243
|
1 |
| ||||||||||
Other |
32
|
0 |
|
50
|
0 |
|
55
|
0 |
| ||||||||||
Totals |
$ |
36,464 |
100 |
% |
$ |
30,838 |
100 |
% |
$ |
26,112 |
100 |
% |
Lowe's
Quarterly Stock Price Range and Cash Dividend
Payment* |
|||||||||||||||||||||||||||
Fiscal
2004 |
Fiscal
2003 |
Fiscal
2002 | |||||||||||||||||||||||||
High |
Low |
Dividend |
High |
Low |
Dividend |
High |
Low |
Dividend | |||||||||||||||||||
1st
Quarter |
$ |
58.66 |
$ |
51.70 |
$ |
0.030 |
$ |
46.00 |
$ |
33.37 |
$ |
0.025 |
$ |
47.78 |
$ |
41.35 |
$ |
0.020 | |||||||||
2nd
Quarter |
56.16
|
47.68
|
0.040
|
48.71
|
38.20
|
0.025
|
49.99
|
32.70
|
0.020
| ||||||||||||||||||
3rd
Quarter |
57.75
|
45.90
|
0.040
|
59.95
|
45.54
|
0.030
|
46.00
|
32.50
|
0.020
| ||||||||||||||||||
4th
Quarter |
$ |
60.54 |
$ |
55.05 |
$ |
0.040 |
$ |
60.42 |
$ |
50.75 |
$ |
0.030 |
$ |
43.80 |
$ |
33.86 |
$ |
0.025 |