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UNITED STATESSECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549 ____________________________________________________________

FORM 10-Q ____________________________________________________________

☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934

FOR THE QUARTERLY PERIOD ENDED OCTOBER 26, 2019.

☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934Commission File No. 0-20572

__________________________________________________________

PATTERSON COMPANIES, INC.(Exact Name of Registrant as Specified in Its Charter)

____________________________________________________________

Minnesota 41-0886515(State or Other Jurisdiction ofIncorporation or Organization)

(I.R.S. EmployerIdentification Number)

1031 Mendota Heights RoadSt. Paul Minnesota 55120

(Address of Principal Executive Offices) (Zip Code)

(651) 686-1600(Registrant’s Telephone Number, Including Area Code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class Trading Symbol(s) Name of exchange on which registeredCommon Stock, par value $.01 PDCO NASDAQ Global Select Market

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for suchshorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter)during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See thedefinitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer ☒ Accelerated filer ☐ Non-accelerated filer ☐

Smaller reporting company ☐ Emerging growth company ☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standardsprovided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

As of November 27, 2019, there were 95,720,000 shares of Common Stock of the registrant issued and outstanding.

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PATTERSON COMPANIES, INC.

INDEX

PagePART I - FINANCIAL INFORMATION Item 1- Financial Statements 3 Condensed Consolidated Balance Sheets 3 Condensed Consolidated Statements of Income and Other Comprehensive Income 4 Condensed Consolidated Statements of Changes in Stockholders' Equity 5 Condensed Consolidated Statements of Cash Flows 7 Notes to Condensed Consolidated Financial Statements 8 Item 2 - Management’s Discussion and Analysis of Financial Condition and Results of Operations 23 Item 3 - Quantitative and Qualitative Disclosures about Market Risk 28 Item 4 - Controls and Procedures 28 PART II - OTHER INFORMATION Item 1 - Legal Proceedings 29 Item 2 - Unregistered Sales of Equity Securities and Use of Proceeds 33 Item 6 - Exhibits 34 Signatures 35

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PART I—FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS

PATTERSON COMPANIES, INC.CONDENSED CONSOLIDATED BALANCE SHEETS

(In thousands, except per share amounts)(Unaudited)

October 26,

2019 April 27,

2019ASSETS Current assets:

Cash and cash equivalents $ 129,575 $ 95,646Receivables, net of allowance for doubtful accounts 581,288 582,094Inventory 787,406 761,018Prepaid expenses and other current assets 189,163 165,605

Total current assets 1,687,432 1,604,363Property and equipment, net 308,008 305,790Operating lease right-of-use assets 83,166 —Long-term receivables, net 95,937 113,081Goodwill 816,257 816,226Identifiable intangibles, net 332,575 351,153Other non-current assets 112,082 78,656

Total assets $ 3,435,457 $ 3,269,269LIABILITIES AND STOCKHOLDERS’ EQUITY Current liabilities:

Accounts payable $ 766,485 $ 648,418Accrued payroll expense 61,493 73,665Other accrued liabilities 202,421 129,654Operating lease liabilities 31,028 —Current maturities of long-term debt — 23,975

Total current liabilities 1,061,427 875,712Long-term debt 663,513 725,341Non-current operating lease liabilities 53,932 —Other non-current liabilities 197,961 187,709

Total liabilities 1,976,833 1,788,762Stockholders’ equity:

Common stock, $.01 par value: 600,000 shares authorized; 95,715 and 95,272 shares issued and outstanding 957 953Additional paid-in capital 139,023 131,460Accumulated other comprehensive loss (87,053) (88,269)Retained earnings 1,434,833 1,483,496Unearned ESOP shares (31,929) (50,381)Total Patterson Companies, Inc. stockholders' equity 1,455,831 1,477,259Noncontrolling interests 2,793 3,248

Total stockholders’ equity 1,458,624 1,480,507Total liabilities and stockholders’ equity $ 3,435,457 $ 3,269,269

See accompanying notes

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PATTERSON COMPANIES, INC.CONDENSED CONSOLIDATED STATEMENTS OF INCOME

AND OTHER COMPREHENSIVE INCOME(In thousands, except per share amounts)

(Unaudited)

Three Months Ended Six Months Ended

October 26,

2019 October 27,

2018 October 26,

2019 October 27,

2018Net sales $ 1,418,744 $ 1,404,752 $ 2,747,395 $ 2,741,072Cost of sales 1,117,250 1,109,676 2,155,847 2,162,333Gross profit 301,494 295,076 591,548 578,739Operating expenses 319,640 253,860 593,020 533,009Operating income (loss) (18,146) 41,216 (1,472) 45,730Other income (expense):

Other income, net 269 5,941 32,186 7,194Interest expense (9,046) (9,456) (17,736) (20,677)

Income (loss) before taxes (26,923) 37,701 12,978 32,247Income tax expense 6,426 9,055 16,520 8,110Net income (loss) (33,349) 28,646 (3,542) 24,137Net loss attributable to noncontrolling interests (220) (223) (455) (276)Net income (loss) attributable to Patterson Companies, Inc. $ (33,129) $ 28,869 $ (3,087) $ 24,413Earnings (loss) per share attributable to Patterson Companies, Inc.:

Basic $ (0.35) $ 0.31 $ (0.03) $ 0.26Diluted $ (0.35) $ 0.31 $ (0.03) $ 0.26

Weighted average shares: Basic 94,093 92,683 93,944 92,606Diluted 94,093 93,289 93,944 93,144

Dividends declared per common share $ 0.26 $ 0.26 $ 0.52 $ 0.52Comprehensive income (loss):

Net income (loss) $ (33,349) $ 28,646 $ (3,542) $ 24,137Foreign currency translation gain (loss) 6,614 (3,540) 2,815 (12,860)Cash flow hedges, net of tax 554 552 1,108 1,101

Comprehensive income (loss) $ (26,181) $ 25,658 $ 381 $ 12,378


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PATTERSON COMPANIES, INC.CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY

(In thousands)(Unaudited)

Common Stock Additional

Paid-in Capital

Accumulated Other

Comprehensive Loss

Retained Earnings

Unearned

ESOP Shares

Non-controllingInterests

Total Shares Amount

Balance at April 28, 2018 94,756 $ 948 $ 103,776 $ (74,974) $ 1,497,766 $ (65,726) $ — $ 1,461,790

Foreign currency translation — — — (9,320) — — — (9,320)

Cash flow hedges — — — 549 — — — 549

Net income (loss) — — — — (4,456) — (53) (4,509)

Dividends declared — — — — (24,327) — — (24,327)Common stock issued and relatedtax benefits 90 1 1,676 — — — — 1,677

Stock based compensation — — 3,232 — — — — 3,232

ESOP activity — — — — — 14,004 — 14,004

Increase from asset acquisition — — — — — — 4,000 4,000

Balance at July 28, 2018 94,846 949 108,684 (83,745) 1,468,983 (51,722) 3,947 1,447,096


Cash flow hedges — — — 552 — — — 552

Net income (loss) — — — — 28,869 — (223) 28,646



Balance at October 27, 2018 94,950 950 116,112 (86,733) 1,473,357 (51,722) 3,724 1,455,688

Foreign currency translation — — — 3,184 — — — 3,184

Cash flow hedges — — — 548 — — — 548

Net income (loss) — — — — 31,225 — (171) 31,054



Balance at January 26, 2019 95,164 952 122,861 (83,001) 1,480,054 (51,722) 3,553 1,472,697


Cash flow hedges — — — 639 — — — 639

Net income (loss) — — — — 27,990 — (305) 27,685



ESOP activity — — — — — 1,341 — 1,341

Balance at April 27, 2019 95,272 $ 953 $ 131,460 $ (88,269) $ 1,483,496 $ (50,381) $ 3,248 $ 1,480,507


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PATTERSON COMPANIES, INC.CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS’ EQUITY


Common Stock Additional

Paid-in Capital

Accumulated Other

Comprehensive Loss

Retained Earnings

Unearned

ESOP Shares

Non-controllingInterests

Total Shares Amount

Balance at April 27, 2019 95,272 $ 953 $ 131,460 $ (88,269) $ 1,483,496 $ (50,381) $ 3,248 $ 1,480,507


Cash flow hedges — — — 554 — — — 554

Net income (loss) — — — — 30,042 — (235) 29,807

Dividends declared — — — — (24,856) — — (24,856)Common stock issued and relatedtax benefits 198 2 (5,371) — — — — (5,369)


ESOP activity — — — — — 18,452 — 18,452

Adoption of ASU 2016-02 — — — — 1,447 — — 1,447

Adoption of ASU 2018-02 — — — (2,707) 2,707 — — —Balance at July 27, 2019 95,470 955 132,723 (94,221) 1,492,836 (31,929) 3,013 1,503,377

Foreign currency translation — — — 6,614 — — — 6,614

Cash flow hedges — — — 554 — — — 554

Net income (loss) — — — — (33,129) — (220) (33,349)

Dividends declared — — — — (24,874) — — (24,874)Common stock issued and relatedtax benefits 245 2 731 — — — — 733


Balance at October 26, 2019 95,715 $ 957 $ 139,023 $ (87,053) $ 1,434,833 $ (31,929) $ 2,793 $ 1,458,624


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PATTERSON COMPANIES, INC.CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS


Six Months Ended

October 26,

2019 October 27,

2018Operating activities:

Net income (loss) $ (3,542) $ 24,137Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:

Depreciation 22,695 22,145Amortization 18,580 19,781Investment gain (34,334) —Non-cash employee compensation 19,302 13,926Deferred consideration in securitized receivables (212,307) (165,567)Change in assets and liabilities, net of acquired 174,953 285,792

Net cash provided by (used in) operating activities (14,653) 200,214Investing activities:

Additions to property and equipment (22,851) (22,094)Collection of deferred purchase price receivables 212,307 165,567Other investing activities — 2,875Net cash provided by investing activities 189,456 146,348

Financing activities: Dividends paid (50,504) (49,980)Payments on long-term debt (87,090) (180,321)Payments on revolving credit — (16,000)Other financing activities (4,067) 3,592Net cash used in financing activities (141,661) (242,709)Effect of exchange rate changes on cash 787 (1,322)Net change in cash and cash equivalents 33,929 102,531Cash and cash equivalents at beginning of period 95,646 62,984Cash and cash equivalents at end of period $ 129,575 $ 165,515


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PATTERSON COMPANIES, INC.NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Dollars, except per share amounts, and shares in thousands)(Unaudited)

Note 1. General

Basis of Presentation

In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments necessary to present fairly the financial position ofPatterson Companies, Inc. (referred to herein as "Patterson" or in the first person notations "we," "our," and "us") as of October 26, 2019, and our results of operations and cash flowsfor the periods ended October 26, 2019 and October 27, 2018. Such adjustments are of a normal recurring nature. The results of operations for the three and six months endedOctober 26, 2019 are not necessarily indicative of the results to be expected for any other interim period or for the year ending April 25, 2020. These financial statements should beread in conjunction with the financial statements included in our 2019 Annual Report on Form 10-K filed on June 26, 2019.

The unaudited condensed consolidated financial statements include the assets and liabilities of PDC Funding Company, LLC ("PDC Funding"), PDC Funding Company II, LLC ("PDCFunding II") and PDC Funding Company III, LLC ("PDC Funding III"), which are our wholly owned subsidiaries and separate legal entities formed under Minnesota law. PDC Fundingand PDC Funding II are fully consolidated special purpose entities established to sell customer installment sale contracts to outside financial institutions in the normal course of theirbusiness. PDC Funding III is a fully consolidated special purpose entity established to sell certain receivables to unaffiliated financial institutions. The assets of PDC Funding, PDCFunding II and PDC Funding III would be available first and foremost to satisfy the claims of its creditors. There are no known creditors of PDC Funding, PDC Funding II or PDCFunding III. The unaudited condensed consolidated financial statements also include the assets and liabilities of Technology Partner Innovations, LLC, which is further described inNote 8.

Fiscal Year End

We operate with a 52-53 week accounting convention with our fiscal year ending on the last Saturday in April. The second quarter of fiscal 2020 and 2019 represents the 13 weeksended October 26, 2019 and the 13 weeks ended October 27, 2018, respectively. The six months ended October 26, 2019 and October 27, 2018 each included 26 weeks. Fiscal 2020will include 52 weeks and fiscal 2019 included 52 weeks.

Other Income, Net

Other income, net consisted of the following:


October 26,

2019 October 27,

2018 October 26,

2019 October 27,

2018Gain on investment $ — $ — $ 34,334 $ —Loss on interest rate swap agreements (1,778) — (5,563) —Other 2,047 5,941 3,415 7,194Other income, net $ 269 $ 5,941 $ 32,186 $ 7,194

Comprehensive Income

Comprehensive income is computed as net income including certain other items that are recorded directly to stockholders’ equity. Significant items included in comprehensive incomeare foreign currency translation adjustments and the effective portion of cash flow hedges, net of tax. Foreign currency translation adjustments do not include a provision for income taxbecause earnings from foreign operations are considered to be indefinitely reinvested outside the U.S. The income tax expense related to cash flow hedges was $171 and $173 for thethree months ended October 26, 2019 and October 27, 2018, respectively. The income tax expense related to cash flow hedges was $342 and $357 for the six months endedOctober 26, 2019 and October 27, 2018, respectively.

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Earnings (Loss) Per Share

The following table sets forth the computation of the weighted average shares outstanding used to calculate basic and diluted earnings (loss) per share ("EPS"):


October 26,

2019 October 27,

2018 October 26,

2019 October 27,

2018Denominator for basic EPS – weighted average shares 94,093 92,683 93,944 92,606Effect of dilutive securities – stock options, restricted stock and stock purchaseplans — 606 — 538Denominator for diluted EPS – weighted average shares 94,093 93,289 93,944 93,144

Potentially dilutive securities representing 3,595 and 2,880 shares for the three and six months ended October 26, 2019, respectively, and 1,890 and 1,905 shares for the three and sixmonths ended October 27, 2018, respectively, were excluded from the calculation of diluted EPS because their effects were anti-dilutive using the treasury stock method.

For the three and six months ended October 26, 2019, 707 and 769 incremental shares related to dilutive securities, respectively, were not included in the diluted EPS calculationbecause we reported a loss for these periods. Shares related to dilutive securities have an anti-dilutive impact on EPS when a net loss is reported and therefore are not included in thecalculation.

Revenue Recognition

Revenues are generated from the sale of consumable products, equipment and support, software and support, technical service parts and labor, and other sources. Revenues arerecognized when or as performance obligations are satisfied. Performance obligations are satisfied when the customer obtains control of the goods or services.

Consumable, equipment, software and parts sales are recorded upon delivery, except in those circumstances where terms of the sale are FOB shipping point, in which case sales arerecorded upon shipment. Technical service labor is recognized as it is provided. Revenue derived from equipment and software support is recognized ratably over the period in whichthe support is provided.

In addition to revenues generated from the distribution of consumable products under arrangements (buy/sell agreements) where the full market value of the product is recorded asrevenue, we earn commissions for services provided under agency agreements. The agency agreement contrasts to a buy/sell agreement in that we do not have control over thetransaction, as we do not have the primary responsibility of fulfilling the promise of the good or service and we do not bill or collect from the customer in an agency relationship.Commissions under agency agreements are recorded when the services are provided.

Estimates for returns, damaged goods, rebates, loyalty programs and other revenue allowances are made at the time the revenue is recognized based on the historical experience forsuch items. The receivables that result from the recognition of revenue are reported net of related allowances. We maintain a valuation allowance based upon the expectedcollectability of receivables held. Estimates are used to determine the valuation allowance and are based on several factors, including historical collection data, economic trends andcredit worthiness of customers. Receivables are written off when we determine the amounts to be uncollectible, typically upon customer bankruptcy or non-response to continuouscollection efforts. The portions of receivable amounts that are not expected to be collected during the next twelve months are classified as long-term.

Net sales do not include sales tax as we are considered a pass-through conduit for collecting and remitting sales tax.

Contract Balances

Contract balances represent amounts presented in our condensed consolidated balance sheets when either we have transferred goods or services to the customer or the customerhas paid consideration to us under the contract. These contract balances include accounts receivable, contract assets and contract liabilities.

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Contract asset balances as of October 26, 2019 and April 27, 2019 were $2,050 and $0, respectively. Our contract liabilities primarily relate to advance payments from customers,upfront payments for software and support provided over time, and options that provide a material right to customers, such as our customer loyalty programs. At October 26, 2019 andApril 27, 2019, contract liabilities of $27,589 and $22,004 were reported in other accrued liabilities, respectively. During the six months ended October 26, 2019, we recognized $11,484of the amount previously deferred at April 27, 2019.

Recently Issued Accounting Pronouncements

In February 2016, the FASB issued ASU No. 2016-02, "Leases (Topic 842)," which requires lessees to recognize assets and liabilities on the balance sheet for the rights andobligations created by most leases, as well as requires additional qualitative and quantitative disclosures. We adopted the new guidance in the first quarter of fiscal 2020 on a modifiedretrospective basis through a cumulative-effect adjustment to the beginning retained earnings in the period of adoption. We elected the transition package of practical expedientsprovided within the guidance, which eliminated the requirements to reassess lease identification, lease classification and initial direct costs for leases commenced before the effectivedate. We elected not to separate lease from non-lease components and to exclude short-term leases from our consolidated balance sheets.

The impact of adopting the new lease standard primarily relates to the recognition of a lease right-of-use (“ROU”) asset and current and non-current lease liabilities on the condensedconsolidated balance sheets. ROU assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arisingfrom the lease. Lease ROU assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. As we cannot readilydetermine the rate implicit in most of our leases, we use an incremental borrowing rate determined by country of lease origin based on the anticipated lease term as determined atcommencement date in determining the present value of lease payments.

The new lease standard resulted in the recognition of lease ROU assets and liabilities of $86,046 and $88,333 as of April 28, 2019. In addition, $1,447 of net deferred gains on sale-leaseback transactions that existed as of April 27, 2019 were derecognized from our condensed consolidated balance sheet, with the offsetting impact being an adjustment to retainedearnings as of April 28, 2019. The adoption of the guidance did not have a material impact on our condensed consolidated statements of income and other comprehensive income orcondensed consolidated statements of cash flows as of the adoption date. Under the transition method of adoption, comparative information was not restated, but will continue to bereported under the standards in effect for those periods.

In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments-Credit Losses (Topic 326),” which requires the measurement of all expected credit losses for financial assetsheld at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. We plan to adopt the new guidance in the first quarter of fiscal2021. We are currently evaluating the impact of adopting this pronouncement.

In February 2018, the FASB issued ASU No. 2018-02, "Income Statement-Reporting Comprehensive Income (Topic 220) Reclassification of Certain Tax Effects from AccumulatedOther Comprehensive Income," which will allow a reclassification from accumulated other comprehensive income to retained earnings for the tax effects that are stranded inaccumulated other comprehensive income as a result of tax reform. This standard also requires certain disclosures about stranded tax effects. We adopted ASU No. 2018-02 in thefirst quarter of fiscal 2020 and applied it in the period of adoption. As a result of the adoption, $2,707 was reclassified from accumulated other comprehensive loss to retained earningsin the first quarter of fiscal 2020.

Note 2. Receivables Securitization Program

In the first quarter of fiscal 2019, we entered into a Receivables Purchase Agreement (the “Receivables Purchase Agreement”) with MUFG Bank, Ltd. ("MUFG") (f.k.a. The Bank ofTokyo-Mitsubishi UFJ, Ltd.). Under this agreement, MUFG acts as an agent to facilitate the sale of certain Patterson receivables (the “Receivables”) to certain unaffiliated financialinstitutions (the “Purchasers”). The sale of these receivables is accounted for as a sale of assets under the provisions of ASC 860, Transfers and Servicing. We utilize PDC Funding IIIto facilitate the sale to fulfill requirements within the agreement.

Sales of Receivables occur daily and are settled with the Purchasers on a monthly basis. The proceeds from the sale of these Receivables comprise a combination of cash and adeferred purchase price (“DPP”) receivable. The DPP receivable is ultimately realized by Patterson following the collection of the underlying Receivables sold to the Purchasers. Theamount available under the Receivables Purchase Agreement fluctuates over time based on the total

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amount of eligible Receivables generated during the normal course of business, with maximum availability of $175,000 as of October 26, 2019. As of October 26, 2019, $174,000 ofthe amount available under the Receivables Purchase Agreement was utilized.

We have no retained interests in the transferred Receivables, other than our right to the DPP receivable and collection and administrative service fees. We consider the fees receivedadequate compensation for services rendered, and accordingly have recorded no servicing asset or liability. The DPP receivable is recorded at fair value within the condensedconsolidated balance sheets within prepaid expenses and other current assets. The DPP receivable was $75,561 as of October 26, 2019 and $57,238 as of April 27, 2019. Thedifference between the carrying amount of the Receivables and the sum of the cash and fair value of the DPP receivable received at time of transfer is recognized as a gain or loss onsale of the related Receivables. We recorded a loss on sale of Receivables within operating expenses in the condensed consolidated statements of income and other comprehensiveincome of $2,067 and $3,545 during the three and six months ended October 26, 2019, respectively, and $2,192 and $2,871 during the three and six months ended October 27, 2018,respectively.

Note 3. Leases

We lease certain warehouses, office space, vehicles and equipment. Leases with an initial term of 12 months or less are not recorded on the condensed consolidated balance sheets.We recognize lease expense for these leases on a straight-line basis over the lease term. We do not separate lease and non-lease components, and instead account for each leaseand non-lease component associated with that lease as a single lease component. Some leases include one or more options to renew. The exercise of renewal options is at our solediscretion. Our lease agreements do not contain significant residual value guarantees, restrictions or covenants.

Total lease cost for the three and six months ended October 26, 2019 was $10,504 and $17,964, respectively, which includes variable lease costs and short-term lease costs, whichare immaterial.

The following table presents future maturities of lease liabilities.

Remainder of 2020 $ 18,1202021 29,7362022 22,4912023 12,8592024 5,386After 2024 1,603Total lease payments 90,195Less: imputed interest (5,235)Present value of lease liabilities $ 84,960

The following tables present other supplemental information related to leases.

Six months ended October 26, 2019Cash paid for amounts included in the measurement of operating lease liabilities $ 18,705Lease assets obtained in exchange for new operating lease liabilities $ 14,051

October 26, 2019Weighted-average remaining lease term - operating leases 3.26 yearsWeighted-average discount rate - operating leases 3.64%

Note 4. Customer Financing

As a convenience to our customers, we offer several different financing alternatives, including a third party program and a Patterson-sponsored program. For the third party program,we act as a facilitator between the customer and the third party financing entity with no on-going involvement in the financing transaction. Under the Patterson-sponsored

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program, equipment purchased by creditworthy customers may be financed up to a maximum of $1,000. We generally sell our customers’ financing contracts to outside financialinstitutions in the normal course of our business. These financing arrangements are accounted for as a sale of assets under the provisions of ASC 860, Transfers and Servicing. Wecurrently have two arrangements under which we sell these contracts.

First, we operate under an agreement to sell a portion of our equipment finance contracts to commercial paper conduits with MUFG serving as the agent. We utilize PDC Funding tofulfill a requirement of participating in the commercial paper conduit. We receive the proceeds of the contracts upon sale to MUFG. At least 9.5% of the proceeds are held by theconduit as security against eventual performance of the portfolio. This percentage can be greater and is based upon certain ratios defined in the agreement with MUFG. The capacityunder the agreement with MUFG at October 26, 2019 was $525,000.

Second, we maintain an agreement with Fifth Third Bank ("Fifth Third") whereby Fifth Third purchases customers’ financing contracts. PDC Funding II sells its financing contracts toFifth Third. We receive the proceeds of the contracts upon sale to Fifth Third. At least 11.0% of the proceeds are held by the conduit as security against eventual performance of theportfolio. This percentage can be greater and is based upon certain ratios defined in the agreement with Fifth Third. The capacity under the agreement with Fifth Third at October 26,2019 was $100,000.

We service the financing contracts under both arrangements, for which we are paid a servicing fee. The servicing fees we receive are considered adequate compensation for servicesrendered. Accordingly, no servicing asset or liability has been recorded.

The portion of the purchase price for the receivables held by the conduits is deemed a DPP receivable, which is paid to the applicable special purpose entity as payments on thecustomers’ financing contracts are collected by Patterson from customers. The difference between the carrying amount of the receivables sold under these programs and the sum ofthe cash and fair value of the DPP receivable received at time of transfer is recognized as a gain on sale of the related receivables and recorded in net sales in the condensedconsolidated statements of income and other comprehensive income. Expenses incurred related to customer financing activities are recorded in operating expenses in our condensedconsolidated statements of income and other comprehensive income.

During the three months ended October 26, 2019 and October 27, 2018, we sold $35,321 and $40,713 of contracts under these arrangements, respectively. During the six monthsended October 26, 2019 and October 27, 2018, we sold $101,624 and $88,023 of contracts under these arrangements, respectively. In net sales in the condensed consolidatedstatements of income and other comprehensive income, we recorded a gain of $3,550 and $2,734 during the three months ended October 26, 2019 and October 27, 2018,respectively, related to these contracts sold. In net sales in the condensed consolidated statements of income and other comprehensive income, we recorded a gain of $10,896 and$5,225 during the six months ended October 26, 2019 and October 27, 2018, respectively, related to these contracts sold.

Included in cash and cash equivalents in the condensed consolidated balance sheets are $35,947 and $34,016 as of October 26, 2019 and April 27, 2019, respectively, whichrepresent cash collected from previously sold customer financing contracts that have not yet been settled. Included in current receivables in the condensed consolidated balancesheets are $52,042 and $48,559 as of October 26, 2019 and April 27, 2019, respectively, of finance contracts we have not yet sold. A total of $519,760 of finance contracts receivablesold under the arrangements was outstanding at October 26, 2019. The DPP receivable under the arrangements was $102,083 and $121,657 as of October 26, 2019 and April 27,2019, respectively. Since the internal financing program began in 1994, bad debt write-offs have amounted to less than 1% of the loans originated.

The arrangements require us to maintain a minimum current ratio and maximum leverage ratio. We were in compliance with those covenants at October 26, 2019.

Note 5. Derivative Financial Instruments

We are a party to certain offsetting and identical interest rate cap agreements entered into to fulfill certain covenants of the equipment finance contract sale agreements. The interestrate cap agreements also provide a credit enhancement feature for the financing contracts sold by PDC Funding and PDC Funding II to the commercial paper conduit.

The interest rate cap agreements are canceled and new agreements are entered into periodically to maintain consistency with the dollar maximum of the sale agreements and thematurity of the underlying financing contracts.

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As of October 26, 2019, PDC Funding had purchased an interest rate cap from a bank with a notional amount of $525,000 and a maturity date of July 2027. We sold an identicalinterest rate cap to the same bank. As of October 26, 2019, PDC Funding II had purchased an interest rate cap from a bank with a notional amount of $100,000 and a maturity date ofNovember 2026. We sold an identical interest rate cap to the same bank.

These interest rate cap agreements do not qualify for hedge accounting treatment and, accordingly, we record the fair value of the agreements as an asset or liability and the changeas income or expense during the period in which the change occurs.

In January 2014, we entered into a forward interest rate swap agreement with a notional amount of $250,000 and accounted for it as a cash flow hedge, in order to hedge interest ratefluctuations in anticipation of refinancing the 5.17% senior notes due March 25, 2015. These notes were repaid on March 25, 2015 and replaced with new $250,000 3.48% senior notesdue March 24, 2025. A cash payment of $29,003 was made in March 2015 to settle the interest rate swap. This amount is recorded in other comprehensive income (loss), net of tax,and is recognized as interest expense over the life of the related debt.

We utilize forward interest rate swap agreements to hedge against interest rate fluctuations that impact the amount of net sales we record related to our customer financing contracts.These interest rate swap agreements do not qualify for hedge accounting treatment and, accordingly, we record the fair value of the agreements as an asset or liability and the changeas income or expense during the period in which the change occurs.

As of April 27, 2019, the remaining notional amount for these interest rate swap agreements was $553,719, with the latest maturity date in fiscal 2026. During the six months endedOctober 26, 2019, we entered into forward interest rate swap agreements with a notional amount of $94,096. As of October 26, 2019, the remaining notional amount for all outstandinginterest rate swap agreements was $520,060, with the latest maturity date in fiscal 2027.

Net cash payments of $615 were made during the six months ended October 26, 2019 to settle a portion of our liabilities related to these interest rate swap agreements. Thesepayments are reflected as cash outflows in the consolidated statements of cash flows within net cash provided by (used in) operating activities.

The following presents the fair value of derivative instruments included in the condensed consolidated balance sheets:

Derivative type Classification October 26, 2019 April 27, 2019Assets:

Interest rate contracts Other non-current assets $ 196 $ 380Liabilities:

Interest rate contracts Other accrued liabilities 2,943 1,034Interest rate contracts Other non-current liabilities 5,107 2,160

Total liability derivatives $ 8,050 $ 3,194

The following tables present the pre-tax effect of derivative instruments on the condensed consolidated statements of income:

Amount of Gain (Loss) Reclassified from Accumulated Other Comprehensive Loss into Income

(Effective Portion) Three Months Ended Six Months Ended

Derivatives in cash flow hedging relationships Income statement location October 26, 2019 October 27, 2018 October 26, 2019 October 27, 2018Interest rate contracts Interest expense $ (725) $ (725) $ (1,450) $ (1,458)

Amount of Gain (Loss) Recognized in Income on Derivatives Three Months Ended Six Months EndedDerivatives not designated as hedginginstruments Income statement location

October 26, 2019

October 27, 2018

October 26, 2019

October 27, 2018

Interest rate contracts Other income, net $ (1,778) $ — $ (5,563) $ —

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There were no gains or losses recognized in other comprehensive income (loss) on cash flow hedging derivatives during the three and six months ended October 26, 2019 orOctober 27, 2018.

We recorded no ineffectiveness during the three and six month periods ended October 26, 2019 and October 27, 2018. As of October 26, 2019, the estimated pre-tax portion ofaccumulated other comprehensive loss that is expected to be reclassified into earnings over the next twelve months is $9,689, which will be recorded as an increase to interestexpense. This amount includes the non-cash charge related to the cancellation of debt described further in Note 12.

Note 6. Fair Value Measurements

Fair value is the price at which an asset could be exchanged in a current transaction between knowledgeable, willing parties. The fair value hierarchy of measurements is categorizedinto one of three levels based on the lowest level of significant input used:

Level 1 - Quoted prices in active markets for identical assets and liabilities at the measurement date.

Level 2 - Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical orsimilar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data.

Level 3 - Unobservable inputs for which there is little or no market data available. These inputs reflect management’s assumptions of what market participants would use inpricing the asset or liability.

Our hierarchy for assets and liabilities measured at fair value on a recurring basis is as follows:

October 26, 2019 Total Level 1 Level 2 Level 3Assets:

Cash equivalents $ 22,865 $ 22,865 $ — $ —DPP receivable - receivables securitization program 75,561 — — 75,561DPP receivable - customer financing 102,083 — — 102,083Derivative instruments 196 — 196 —

Total assets $ 200,705 $ 22,865 $ 196 $ 177,644Liabilities:

Derivative instruments $ 8,050 $ — $ 8,050 $ —

April 27, 2019 Total Level 1 Level 2 Level 3Assets:

Cash equivalents $ 19,529 $ 19,529 $ — $ —DPP receivable - receivables securitization program 57,238 — — 57,238DPP receivable - customer financing 121,657 — — 121,657Derivative instruments 380 — 380 —

Total assets $ 198,804 $ 19,529 $ 380 $ 178,895Liabilities:

Derivative instruments $ 3,194 $ — $ 3,194 $ —

Cash equivalents – We value cash equivalents at their current market rates. The carrying value of cash equivalents approximates fair value and maturities are less than three months.

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DPP receivable - receivables securitization program – We value this DPP receivable based on a discounted cash flow analysis using unobservable inputs, which include the estimatedtiming of payments and the credit quality of the underlying creditor. Significant changes in any of the significant unobservable inputs in isolation would not result in a materially differentfair value estimate. The interrelationship between these inputs is insignificant.

DPP receivable - customer financing – We value this DPP receivable based on a discounted cash flow analysis using unobservable inputs, which include a forward yield curve, theestimated timing of payments and the credit quality of the underlying creditor. Significant changes in any of the significant unobservable inputs in isolation would not result in amaterially different fair value estimate. The interrelationship between these inputs is insignificant.

Derivative instruments – Our derivative instruments consist of interest rate cap agreements and interest rate swaps. These instruments are valued using inputs such as interest ratesand credit spreads.

Certain assets are measured at fair value on a non-recurring basis. These assets are not measured at fair value on an ongoing basis, but are subject to fair value adjustments undercertain circumstances. We adjust the carrying value of our non-marketable equity securities to fair value when observable transactions of identical or similar securities occur, or due toan impairment.

During the six months ended October 26, 2019, we recorded a pre-tax gain of $34,334 related to one of our investments in other income, net in our condensed consolidated statementsof income and other comprehensive income. This gain was based on the selling price of preferred stock in this investment that is similar to the preferred stock we own, and wasadjusted for differences in liquidation preferences. As of October 26, 2019 and April 27, 2019, this investment had a carrying value of $51,628 and $17,294, respectively. There wereno fair value adjustments to such assets during the six months ended October 27, 2018.

Our debt is not measured at fair value in the condensed consolidated balance sheets. The estimated fair value of our debt as of October 26, 2019 and April 27, 2019 was $692,309 and$758,121, respectively, as compared to a carrying value of $663,513 and $749,316 at October 26, 2019 and April 27, 2019, respectively. The fair value of debt was measured using adiscounted cash flow analysis based on expected market based yields (i.e., Level 2 inputs).

The carrying amounts of receivables, net of allowances, accounts payable, and certain accrued and other current liabilities approximated fair value at October 26, 2019 and April 27,2019.

Note 7. Income Taxes

For the three months ended October 26, 2019, income tax expense was $6,426 on a loss before taxes of $26,923. For the six months ended October 26, 2019, income tax expensewas $16,520 on income before taxes of $12,978, for an effective income tax rate of 127.3%. Income tax expense in both periods was adversely impacted by the $58,300 pre-taxexpense recorded in the three months ended October 26, 2019 related to the probable settlement of litigation with the U.S. Attorney's Office for the Western District of Virginia, asthese costs and expenses are not fully deductible. See Note 11 for additional information.

The effective income tax rate for the three and six months ended October 27, 2018 was 24.0% and 25.1%, respectively.

Note 8. Technology Partner Innovations, LLC

In the first quarter of fiscal 2019, we entered into an agreement with Cure Partners to form Technology Partner Innovations, LLC (TPI), which is launching a new cloud-based practicemanagement software, NaVetor. Patterson and Cure Partners each contributed net assets of $4,000 to form TPI. We have determined that TPI is a variable interest entity, and weconsolidate the results of operations of TPI as we have concluded that we are the primary beneficiary of TPI. During the three months ended October 26, 2019 and October 27, 2018,net loss attributable to the noncontrolling interest was $220 and $223, respectively. During the six months ended October 26, 2019 and October 27, 2018, net loss attributable to thenoncontrolling interest was $455 and $276, respectively. Noncontrolling interests on the condensed consolidated balance sheets at October 26, 2019 were $2,793.

Note 9. Segment and Geographic Data

We present three reportable segments: Dental, Animal Health and Corporate. Dental and Animal Health are strategic business units that offer similar products and services to differentcustomer bases. Dental provides a virtually complete range of consumable dental products, equipment and software, turnkey digital solutions and value-added services to

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dentists, dental laboratories, institutions, and other healthcare professionals throughout North America. Animal Health is a leading, full-line distributor in North America and the U.K. ofanimal health products, services and technologies to both the production-animal and companion-pet markets. Our Corporate segment is comprised of general and administrativeexpenses, including home office support costs in areas such as information technology, finance, legal, human resources and facilities. In addition, customer financing and othermiscellaneous sales are reported within Corporate results. Corporate assets consist primarily of cash and cash equivalents, accounts receivable, property and equipment and long-term receivables. We evaluate segment performance based on operating income. The costs to operate the fulfillment centers are allocated to the operating units based on the through-put of the unit.

The following tables present information about our reportable segments:


October 26,

2019 October 27,

2018 October 26,

2019 October 27,

2018Consolidated net sales

United States $ 1,183,047 $ 1,173,623 $ 2,273,762 $ 2,270,087United Kingdom 153,404 150,452 302,818 304,357Canada 82,293 80,677 170,815 166,628

Total $ 1,418,744 $ 1,404,752 $ 2,747,395 $ 2,741,072Dental net sales

United States $ 513,141 $ 495,457 $ 957,783 $ 949,030Canada 51,462 47,059 107,956 99,550

Total $ 564,603 $ 542,516 $ 1,065,739 $ 1,048,580Animal Health net sales

United States $ 663,953 $ 671,338 $ 1,300,050 $ 1,309,187United Kingdom 153,404 150,452 302,818 304,357Canada 30,831 33,618 62,859 67,078

Total $ 848,188 $ 855,408 $ 1,665,727 $ 1,680,622Corporate net sales

United States $ 5,953 $ 6,828 $ 15,929 $ 11,870Total $ 5,953 $ 6,828 $ 15,929 $ 11,870

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October 26,

2019 October 27,

2018 October 26,

2019 October 27,

2018Consolidated net sales

Consumable $ 1,128,171 $ 1,138,251 $ 2,224,188 $ 2,247,648Equipment and software 202,605 182,120 341,842 329,018Value-added services and other 87,968 84,381 181,365 164,406

Total $ 1,418,744 $ 1,404,752 $ 2,747,395 $ 2,741,072Dental net sales

Consumable $ 303,123 $ 303,806 $ 605,134 $ 608,045Equipment and software 188,192 167,686 313,876 302,643Value-added services and other 73,288 71,024 146,729 137,892

Total $ 564,603 $ 542,516 $ 1,065,739 $ 1,048,580Animal Health net sales

Consumable $ 825,048 $ 834,445 $ 1,619,054 $ 1,639,603Equipment and software 14,413 14,434 27,966 26,375Value-added services and other 8,727 6,529 18,707 14,644

Total $ 848,188 $ 855,408 $ 1,665,727 $ 1,680,622Corporate net sales

Value-added services and other $ 5,953 $ 6,828 $ 15,929 $ 11,870Total $ 5,953 $ 6,828 $ 15,929 $ 11,870


October 26,

2019 October 27,

2018 October 26,

2019 October 27,

2018Operating income (loss)

Dental $ 52,632 $ 41,594 $ 86,636 $ 77,467Animal Health 18,174 22,031 37,798 41,063Corporate (88,952) (22,409) (125,906) (72,800)

Consolidated operating income $ (18,146) $ 41,216 $ (1,472) $ 45,730

October 26,

2019 April 27,

2019Total assets

Dental $ 714,914 $ 641,721Animal Health 2,255,741 2,156,723Corporate 464,802 470,825

Total assets $ 3,435,457 $ 3,269,269

Note 10. Accumulated Other Comprehensive Loss ("AOCL")

The following table summarizes the changes in AOCL as of October 26, 2019:

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Cash Flow

Hedges

CurrencyTranslationAdjustment Total

AOCL at April 27, 2019 $ (10,830) $ (77,439) $ (88,269)Other comprehensive loss before reclassifications — 2,815 2,815Amounts reclassified from AOCL (1,599) — (1,599)AOCL at October 26, 2019 $ (12,429) $ (74,624) $ (87,053)

The amounts reclassified from AOCL during the six months ended October 26, 2019 include gains and losses on cash flow hedges, net of taxes of $342. The impact to the condensedconsolidated statements of income and other comprehensive income was an increase to interest expense of $1,450 for the six months ended October 26, 2019. In addition, due to theadoption of ASU No. 2018-02, $2,707 was reclassified from accumulated other comprehensive loss to retained earnings in the first quarter of fiscal 2020. See Note 1 for additionalinformation.

Note 11. Legal Proceedings

From time to time, we become involved in lawsuits, administrative proceedings, government subpoenas, and government investigations (which may, in some cases, involve ourentering into settlement agreements or consent decrees), relating to antitrust, commercial, environmental, product liability, intellectual property, regulatory, employment discrimination,securities, and other matters, including matters arising out of the ordinary course of business. The results of any legal proceedings cannot be predicted with certainty because suchmatters are inherently uncertain. Significant damages or penalties may be sought in some matters, and some matters may require years to resolve.

We accrue for these matters when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. Unless otherwise noted, with respect tothe specific legal proceedings and claims described below, the amount or range or possible losses is not reasonably estimable. Adverse outcomes in some or all of these matters mayresult in significant monetary damages or injunctive relief against us that could adversely affect our ability to conduct our business. There also exists the possibility of a materialadverse effect on our financial statements for the period in which the effect of an unfavorable outcome becomes probable and reasonably estimable.

In September 2015, we were served with a summons and complaint in an action commenced in the U.S. District Court for the Eastern District of New York, entitled SourceOne Dental,Inc. v. Patterson Companies, Inc., Henry Schein, Inc. and Benco Dental Supply Company, Civil Action No. 15-CV-05440-JMA-GRB. SourceOne, as plaintiff, alleges that, through itswebsite, it markets and sells dental supplies and equipment to dentists. SourceOne alleges in the complaint, among other things, that we, along with the defendants Henry Schein andBenco, conspired to eliminate plaintiff as a competitor and to exclude them from the market for the marketing, distribution and sale of dental supplies and equipment in the U.S. andthat defendants unlawfully agreed with one another to boycott dentists, manufacturers, and state dental associations that deal with, or considered dealing with, plaintiff. Plaintiff assertsthe following claims: (i) unreasonable restraint of trade in violation of state and federal antitrust laws; (ii) tortious interference with prospective business relations; (iii) civil conspiracy;and (iv) aiding and abetting the other defendants’ ongoing tortious and anticompetitive conduct. Plaintiff seeks equitable relief, compensatory and treble damages, jointly and severally,punitive damages, interest, and reasonable costs and expenses, including attorneys’ fees and expert fees. In June 2017, Henry Schein settled with SourceOne and was dismissedfrom this litigation with prejudice. On August 15, 2019, we announced that we had settled with SourceOne. We incurred expenses of approximately $17,666 during the first quarter offiscal 2020 in our Corporate segment to account for the settlement of this matter.

Beginning in January 2016, purported antitrust class action complaints were filed against defendants Henry Schein, Inc., Benco Dental Supply Company and Patterson Companies,Inc. Although there were factual and legal variations among these complaints, each alleged that defendants conspired to foreclose and exclude competitors by boycottingmanufacturers, state dental associations, and others that deal with defendants’ competitors. On February 9, 2016, the U.S. District Court for the Eastern District of New York ordered allof these actions, and all other actions filed thereafter asserting substantially similar claims against defendants, consolidated for pre-trial purposes. On February 26, 2016, aconsolidated class action complaint was filed by Arnell Prato, D.D.S., P.L.L.C., d/b/a Down to Earth Dental, Evolution Dental Sciences, LLC, Howard M. May, DDS, P.C., CaseyNelson, D.D.S., Jim Peck, D.D.S., Bernard W. Kurek, D.M.D., Larchmont Dental Associates, P.C., and Keith Schwartz, D.M.D., P.A. (collectively, “putative class representatives”) in theU.S. District Court for the Eastern District of New York, entitled In re Dental Supplies Antitrust Litigation, Civil Action No. 1:16-CV-00696-BMC-GRB. Subject to certain exclusions, theputative class representatives seek to represent all private dental practices and laboratories who purchased dental supplies or equipment in the U.S. directly from any of

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the defendants, during the period beginning August 31, 2008 until March 31, 2016. In the consolidated class action complaint, putative class representatives allege a nationwideagreement among Henry Schein, Benco, Patterson and non-party Burkhart Dental Supply Company, Inc. not to compete on price. The consolidated class action complaint asserts asingle count under Section 1 of the Sherman Act, and seeks equitable relief, compensatory and treble damages, jointly and severally, interest, and reasonable costs and expenses,including attorneys’ fees and expert fees. On September 28, 2018, the parties executed a settlement agreement that proposes, subject to court approval, a full and final settlement ofthe lawsuit on a class-wide basis. Subject to certain exceptions, the settlement class consists of all persons or entities that purchased dental products directly from Henry Schein,Patterson, Benco and Burkhart, or any combination thereof, during the period August 31, 2008 through and including March 31, 2016. Under the terms of the settlement, we paid$28,263 into escrow upon preliminary court approval. Such funds are to be released to the settlement fund administrator upon final court approval of the settlement, which was grantedat the fairness hearing held on June 24, 2019. We recorded a pre-tax reserve of $28,263 in our first quarter 2019 results in our Corporate segment to account for the settlement of thismatter. On July 16, 2019, objector William Roe filed a notice of appeal of the final order, contesting the amount of attorneys’ fees awarded to class counsel out of the settlement fund.On October 24, 2019, the U.S. District Court approved a settlement between the objector and the plaintiffs that served to resolve the objection.

On August 31, 2012, Archer and White Sales, Inc. (“Archer”) filed a complaint against Henry Schein, Inc. as well as Danaher Corporation and its subsidiaries Instrumentarium Dental,Inc., Dental Equipment, LLC, Kavo Dental Technologies, LLC and Dental Imaging Technologies Corporation (collectively, the “Danaher Defendants”) in the U.S. District Court for theEastern District of Texas, Civil Action No. 2:12-CV-00572-JRG, styled as an antitrust action under Section 1 of the Sherman Act, and the Texas Free Enterprise Antitrust Act. Archeralleges a conspiracy between Henry Schein, an unnamed company and the Danaher Defendants to terminate or limit Archer’s distribution rights. On August 1, 2017, Archer filed anamended complaint, adding Patterson Companies, Inc. and Benco Dental Supply Company as defendants, and alleging that Henry Schein, Patterson, Benco and non-defendantBurkhart Dental Supply Company, Inc. conspired to pressure and agreed to enlist their common suppliers, including the Danaher Defendants, to join a price-fixing conspiracy andboycott by reducing the distribution territory of, and eventually terminating, Archer. Archer seeks injunctive relief, and damages in an amount to be proved at trial, to be trebled withinterest and costs, including attorneys’ fees, jointly and severally. On June 25, 2018, the U.S. Supreme Court granted certiorari to review an arbitration issue raised by the DanaherDefendants, thereby continuing the case stay implemented in March 2018. On October 29, 2018, the Supreme Court heard oral arguments. On January 8, 2019, the Supreme Courtissued its published decision vacating the judgment of the U.S. Court of Appeals for the Fifth Circuit and remanded the case to the Fifth Circuit for further proceedings on a secondarbitration issue consistent with the Supreme Court’s opinion. The Fifth Circuit heard oral arguments on May 1, 2019. On August 14, 2019, the Fifth Circuit affirmed the District Court’sfinding that the arbitration provision does not apply to this litigation. Trial is scheduled to begin on February 3, 2020. We are vigorously defending ourselves in this litigation. We do notanticipate that this matter will have a material adverse effect on our financial statements.

On August 17, 2017, IQ Dental Supply, Inc. (“IQ Dental”) filed a complaint in the U.S District Court for the Eastern District of New York, entitled IQ Dental Supply, Inc. v. Henry Schein,Inc., Patterson Companies, Inc. and Benco Dental Supply Company, Case No. 2:17-cv-4834. Plaintiff alleges that it is a distributor of dental supplies and equipment, and sells dentalproducts through an online dental distribution platform operated by SourceOne Dental, Inc. IQ Dental alleges, among other things, that defendants conspired to suppress competitionfrom IQ Dental and SourceOne for the marketing, distribution and sale of dental supplies and equipment in the United States, and that defendants unlawfully agreed with one anotherto boycott dentists, manufacturers and state dental associations that deal with, or considered dealing with, plaintiff and SourceOne. Plaintiff claims that this alleged conduct constitutesunreasonable restraint of trade in violation of Section 1 of the Sherman Act, New York’s Donnelly Act and the New Jersey Antitrust Act, and also makes pendant state law claims fortortious interference with prospective business relations, civil conspiracy and aiding and abetting. Plaintiff seeks injunctive relief, compensatory, treble and punitive damages, jointly andseverally, and reasonable costs and expenses, including attorneys’ fees and expert fees. On December 21, 2017, the District Court granted defendants motion to dismiss the complaintwith prejudice. Plaintiff appealed the District Court’s order. On May 10, 2019, the U.S. Court of Appeals for the Second Circuit affirmed dismissal of IQ Dental's claims that it wasinjured by an alleged boycott of SourceOne but reversed the District Court on dismissal of IQ Dental's direct boycott claims. The case was remanded to the District Court to proceed inaccordance with that opinion. On June 29, 2019, the Second Circuit denied IQ Dental’s petition for rehearing or rehearing en banc. Proceedings in the District Court are ongoing. Weare vigorously defending ourselves in this litigation. We do not anticipate that this matter will have a material adverse effect on our financial statements.

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On February 12, 2018, the Federal Trade Commission (“FTC”) issued an administrative complaint entitled In the Matter of Benco Dental Supply Co., Henry Schein, Inc., and PattersonCompanies, Inc. Docket No. 9379. The administrative complaint alleges “reason to believe” that Patterson and the other respondents violated Section 5 of the FTC Act, 15 U.S.C. § 45by conspiring to refuse to offer discounted prices or otherwise negotiate with buying groups seeking to obtain supply agreements on behalf of groups of solo practitioners or smallgroup dental practices. The administrative complaint seeks injunctive relief against Patterson, including an order to cease and desist from the conduct alleged in the complaint and aprohibition from conspiring or agreeing with any competitor or any person to refuse to provide discounts to or compete for the business of any customer. No money damages aresought. The hearing in front of an Administrative Law Judge of the FTC (the “ALJ”) in Washington, D.C. began on October 16, 2018. The factual record closed on February 21, 2019and post-trial briefing ended on June 6, 2019. On October 16, 2019, the ALJ announced his initial decision, recommending that Patterson and Benco violated FTC Act Section 5 in2013 by conspiring to refuse to provide discounts to, or otherwise serve, buying groups representing dental practitioners. Following this initial decision, the Bureau of Competition (the“Bureau”) reached out to Patterson and offered to settle the matter, and on October 18, 2019, the parties agreed to a settlement. As a result of the settlement, Patterson and theBureau agreed not to appeal the initial decision of the ALJ and Patterson agreed to abide by the terms of the ALJ’s proposed remedial order, which did not impose any monetary fineon the company or require an outside monitor. While we disagreed with the ALJ’s findings, and believed we had meritorious grounds to appeal the initial decision, we determined that,for business reasons including avoiding further cost and burden, a settlement was in our best interest.

On March 28, 2018, Plymouth County Retirement System (“Plymouth”) filed a federal securities class action complaint against Patterson Companies, Inc. and its former CEO Scott P.Anderson and former CFO Ann B. Gugino in the U.S. District Court for the District of Minnesota in a case captioned Plymouth County Retirement System v. Patterson Companies, Inc.,Scott P. Anderson and Ann B. Gugino, Case No. 0:18-CV-00871 MJD/SER. On November 9, 2018, the complaint was amended to add former CEO James W. Wiltz and former CFOR. Stephen Armstrong as individual defendants. Under the amended complaint, on behalf of all persons or entities that purchased or otherwise acquired Patterson’s common stockbetween June 26, 2013 and February 28, 2018, Plymouth alleges that Patterson violated federal securities laws by failing to disclose that Patterson’s revenue and earnings were“artificially inflated by Defendants’ illicit, anti-competitive scheme with its purported competitors, Benco and Schein, to prevent the formation of buying groups that would allow itscustomers who were office-based practitioners to take advantage of pricing arrangements identical or comparable to those enjoyed by large-group customers.” In its class actioncomplaint, Plymouth asserts one count against Patterson for violating Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder and a second,related count against the individual defendants for violating Section 20(a) of the Exchange Act. Plymouth seeks compensatory damages, pre- and post-judgment interest andreasonable attorneys’ fees and experts’ witness fees and costs. On August 30, 2018, Gwinnett County Public Employees Retirement System and Plymouth County RetirementSystem, Pembroke Pines Pension Fund for Firefighters and Police Officers, Central Laborers Pension Fund were appointed lead plaintiffs. On January 18, 2019, Patterson and theindividual defendants filed a motion to dismiss the amended complaint. On July 25, 2019, the U.S Magistrate Judge issued a report and recommendation that the motion to dismiss begranted in part and denied in part. The report and recommendation, among other things, recommends the dismissal of all claims against individuals defendants Ann B. Gugino, R.Stephen Armstrong and James W. Wiltz. On September 10, 2019, the District Court adopted the Magistrate Judge's report and recommendation. While the outcome of litigation isinherently uncertain, we believe that the class action complaint is without merit, and we are vigorously defending ourselves in this litigation. We do not anticipate that this matter willhave a material adverse effect on our financial statements. Patterson has also received, and responded to, requests under Minnesota Business Corporation Act § 302A.461 to inspectcorporate books and records relating to the issues raised in the securities class action and the antitrust matters discussed above.

During the first quarter of fiscal 2019, the U.S. Attorney’s Office for the Western District of Virginia (“USAO-WDVA”) informed us that our subsidiary, Animal Health International, Inc.,had been designated a target of a criminal investigation. The investigation originally related to Animal Health International’s sales of prescription animal health products to certainpersons and/or locations not licensed to receive them in Virginia and Tennessee in violation of federal law. After being contacted by the USAO-WDVA, Patterson retained outside legalcounsel and began an internal investigation. Since that time, we produced documents both responsive to grand jury subpoenas and voluntarily. In December 2018, as a result of ourinternal investigation, we voluntarily advised the USAO-WDVA that some of Animal Health International’s shipments of prescription animal health products were made from awarehouse rather than a pharmacy to end-user customers in the states of Virginia and Tennessee. Thereafter, as part of our internal investigation, we conducted a comprehensivereview of Animal Health International’s distribution and licensing practices across all 50 U.S. states. That review identified compliance issues in additional states, which we voluntarilydisclosed to the USAO-WDVA in April 2019. Our Board of Directors established a special investigation committee to oversee and conduct the investigation, to review our licensing,dispensing, distribution and related sales practices company-wide,

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and to report on its findings to the Board and to the USAO-WDVA. As a result of the internal investigation, we modified our licensing, dispensing, distribution and related salesprocesses company-wide. We recently reached an agreement in principle with the USAO-WDVA which we understand will resolve the federal government’s criminal investigation intoAnimal Health International and other non-compliant licensing, dispensing, distribution and related sales processes disclosed during the investigation. The agreement in principle issubject to negotiation of final terms, approval by all necessary parties, execution of definitive documents and court approval. Under the terms of the agreement in principle, AnimalHealth International will pay a total criminal fine and forfeiture of $52,800 and Animal Health International will plead guilty to a one-count information charging it with a strict-liabilitymisdemeanor offense under the Federal Food, Drug and Cosmetic Act in connection with its failure to comply with federal law relating to the sales of prescription animal healthproducts. In addition, Animal Health International and Patterson will enter into a non-prosecution agreement for other non-compliant licensing, dispensing, distribution and related salesprocesses disclosed during the investigation and will commit to undertake additional compliance program enhancements and may include other terms that are the subject of ongoingnegotiations. Upon reaching this agreement in principle, we recorded a reserve of $58,300 in our Corporate segment for the three and six months ended October 26, 2019 to accountfor the anticipated settlement of this matter and certain related costs and expenses. This matter may continue to divert management’s attention and cause us to suffer reputationalharm. We also may be subject to other fines or penalties, equitable remedies (including but not limited to the suspension, revocation or non-renewal of licenses) and litigation. Theoccurrence of any of these events could adversely affect our business, financial condition and results of operations.

On August 28, 2018, Kirsten Johnsen filed a stockholder derivative complaint against Patterson Companies, Inc., as a nominal defendant, and the following former and current officersand directors of Patterson: Scott Anderson, Ann Gugino, James Wiltz, John Buck, Jody Feragen, Ellen Rudnick, Les Vinney, Neil Schrimsher, Sarena Lin, Harold Slavkin, Alex Blancoand Mark Walchirk as individual defendants in Hennepin County District Court in a case captioned Kirsten Johnsen v. Scott P. Anderson et al., Case No. 27-CV-18-14315. Derivativelyon behalf of Patterson, plaintiff alleges that Patterson “suppressed price competition and maintained supracompetitive prices for dental supplies and equipment by entering intoagreements with Henry Schein and Benco to: (i) fix margins for dental supplies and equipment; and (ii) block the entry and expansion of lower-margin, lower-priced, rival dentaldistributors through threatened and actual group boycotts.” Plaintiff further alleges that the individual defendants failed to disclose Patterson’s alleged “price-fixing scheme” to thepublic and purportedly “caused Patterson to repurchase over $412,800 worth of its own stock at artificially inflated prices.” In the derivative complaint, plaintiff asserts three countsagainst the individual defendants for: (i) breach of fiduciary duty; (ii) waste of corporate assets; and (iii) unjust enrichment. Plaintiff seeks compensatory damages, equitable andinjunctive relief as permitted by law, costs, disbursements and reasonable attorneys’ fees, accountants’ fees and experts’ fees, costs and expenses, and an order awarding restitutionfrom the individual defendants and directing Patterson “to take all necessary actions to reform and improve its corporate governance and internal procedures.” On February 19, 2019,the Hennepin County District Court ordered this litigation stayed pending resolution of the below-described case brought by Sally Pemberton. On September 10, 2019, the HonorablePatrick J. Schiltz dismissed Pemberton without prejudice because the plaintiff failed to make a pre-suit demand on Patterson’s Board of Directors. On November 5, 2019, thedefendants in Johnsen moved to dismiss such action based on plaintiff’s failure to make a pre-suit demand or otherwise properly plead demand futility. While the outcome of litigation isinherently uncertain, we believe that the derivative complaint is without merit, and we intend to vigorously defend ourselves in this litigation. We do not anticipate that this matter willhave a material adverse effect on our financial statements.

On October 1, 2018, Sally Pemberton filed a stockholder derivative complaint against Patterson Companies, Inc., as a nominal defendant, and the following former and current officersand directors of Patterson: Scott Anderson, Ann Gugino, Mark Walchirk, John Buck, Alex Blanco, Jody Feragen, Sarena Lin, Ellen Rudnick, Neil Schrimsher, Les Vinney, James Wiltz,Paul Guggenheim, David Misiak and Tim Rogan as individual defendants in the U.S. District Court for the District of Minnesota in a case captioned Sally Pemberton v. Scott P.Anderson, et al., Case No. 18-CV-2818 (PJS/HB). Derivatively on behalf of Patterson, plaintiff alleges that Patterson, with Benco and Henry Schein, “engage[d] in a conspiracy inrestraint of trade, whereby the companies agreed to refuse to offer discounted prices or otherwise negotiate with GPOs, agreed to fix margins on dental supplies and equipment,agreed not to poach one another’s customers or sales representatives, and agreed to block the entry and expansion of rival distributors. Plaintiff further alleges that the individualdefendants failed to disclose Patterson’s alleged “antitrust misconduct” to the public and purportedly caused Patterson to repurchase $412,800 of its own stock at prices that wereartificially inflated. In the derivative complaint, plaintiff asserts six counts against the individual defendants for: (i) breach of fiduciary duty; (ii) waste of corporate assets; (iii) unjustenrichment; (iv) violations of Section 14(a) of the Exchange Act; (v) violations of Section 10(b) and Rule 10b-5 of the Exchange Act and (vi) violations of Section 20(a) of the ExchangeAct. Plaintiff seeks compensatory damages with pre-judgment and post-judgment interest, costs, disbursements and reasonable attorneys’ fees, experts’ fees, costs and expenses,and an order awarding restitution from the individual defendants

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and directing Patterson “to take all necessary actions to reform and improve its corporate governance and internal procedures.” On September 10, 2019, the Honorable Patrick J.Schiltz dismissed this action without prejudice because the plaintiff failed to make a pre-suit demand on Patterson’s Board of Directors. On October 31, 2019, Patterson’s Board ofDirectors received a written demand to initiate litigation against its officers and directors based on the claims the plaintiff originally presented in her complaint. The Board is reviewingsuch demand and determining the steps it plans to take to address it. We do not anticipate that this matter will have a material adverse effect on our financial statements.

On October 9, 2018, Nathaniel Kramer filed indirect purchaser litigation against Patterson Companies, Inc., Henry Schein, Inc. and Benco Dental Supply Company in the U.S. DistrictCourt for the District of Northern District of California. The purported class action complaint asserts violations of the California Cartwright Act and the California Unfair Competition Actbased on an alleged agreement between Schein, Benco, and Patterson (and unnamed co-conspirators) not to compete as to price and margins. Plaintiff alleges that the agreementallowed the defendants to charge higher prices to dental practices for dental supplies and that the dental practices passed on all, or part of, the increased prices to the consumers ofdental services. Subject to certain exclusions, the complaint defines the class as all persons residing in California purchasing and/or reimbursing for dental services from Californiadental practices. The complaint seeks a permanent injunction, actual damages to be determined at trial, trebled, reasonable attorneys’ fees and costs, and pre- and post-judgmentinterest. On December 7, 2018, an amended complaint was filed asserting the same claims against the same parties. On June 28, 2019, the District Court granted Defendants’ motionsto dismiss with leave to amend. The parties have stipulated to dismissal of the named plaintiff’s action with prejudice, pursuant to an August 5, 2019 settlement following the namedplaintiff’s decision to abandon its efforts to represent the purported class, and we agreed to pay the individual named plaintiff a de minimis amount.

On January 29, 2019, a purported class action complaint was filed by R. Lawrence Hatchett, M.D. against Patterson Companies, Inc., Henry Schein, Inc., Benco Dental SupplyCompany, and unnamed co-conspirators in the U.S. District Court for the Southern District of Illinois. The complaint alleges that members of the proposed class suffered antitrust injurydue to an unlawful boycott, price-fixing or otherwise anticompetitive conspiracy among Schein, Benco and Patterson. The complaint alleges that the alleged conspiracy overchargedIllinois dental practices, orthodontic practices and dental laboratories on their purchase of dental supplies, which in turn passed on some or all of such overcharges to members of theclass. Subject to certain exclusions, the complaint defines the class as all persons residing in Illinois purchasing and/or reimbursing for dental care provided by independent Illinoisdental practices purchasing dental supplies from the defendants, or purchasing from buying groups purchasing these supplies from the defendants, on or after January 29, 2015. Thecomplaint alleges violations of the Illinois Antitrust Act, 740 Ill. Comp. Stat. §§ 10/3(2), 10/7(2), and seeks a permanent injunction, actual damages to be determined at trial, trebled,reasonable attorneys’ fees and costs, and pre- and post-judgment interest. While the outcome of litigation is inherently uncertain, we believe that the indirect purchaser action is withoutmerit, and we intend to vigorously defend ourselves in this litigation.

In December 2017, the United States Judicial Panel on Multidistrict Litigation consolidated numerous cases filed against an array of defendants by various plaintiffs such as counties,cities, hospitals, Indian tribes and others, alleging claims generally concerning the impacts of widespread opioid abuse. The consolidated multidistrict litigation, captioned In re NationalPrescription Opiate Litigation, MDL No. 2804 (the “MDL”), is pending in the U.S. District Court for the Northern District of Ohio. On July 12, 2018, Bon Secours Health System, Inc., BonSecours- Richmond Community Hospital, Incorporated, Bon Secours DePaul Medical Center, Inc., Bon Secours- Memorial Regional Medical Center, Inc., Bon Secours- St. FrancisMedical Center, Inc., Bon Secours- St. Mary’s Hospital of Richmond, Inc., Bon Secours- Virginia Healthsource, Inc., Chesapeake Hospital Corporation, Mary Immaculate Hospital,Incorporated and Maryview Hospital (collectively, the “MDL Plaintiffs”) filed a complaint in the MDL against 26 manufacturers and wholesale distributors of prescription opiates (the“MDL Defendants”) alleging that the MDL Defendants improperly marketed, sold or distributed prescription opiates. The MDL Plaintiffs’ complaint alleges violations of federal RICOstatutes, violations of the Virginia Consumer Protections Act, negligence, negligence per se, wantonness, recklessness, and gross negligence, fraud and public nuisance. The MDLPlaintiffs seek injunctive relief, the imposition of civil penalties, monetary damages, punitive damages, pre- and post-judgment interest and attorneys’ fees and costs. Neither Pattersonnor any of its subsidiaries were named as MDL Defendants in the original complaint. On March 15, 2019, the MDL Plaintiffs amended and supplemented their complaint to assertviolations of federal RICO statutes against 67 manufacturers and wholesale distributors of prescription opiates (the “Amended MDL Defendants”). Two of Patterson’s subsidiaries,Patterson Logistics Services, Inc. and Patterson Veterinary Supply, Inc., are named as Amended MDL Defendants. The MDL Plaintiffs allege that the Amended MDL Defendants“breached their legal duties under federal law to monitor, detect, investigate, refuse and report suspicious orders of prescription opiates.” While the outcome of litigation is inherently

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uncertain, we believe that the MDL Plaintiffs’ claims against Patterson Logistics Services, Inc. and Patterson Veterinary Supply, Inc. are without merit, and we intend to vigorouslydefend ourselves in this litigation.

Note 12. Subsequent Event

Subsequent to October 26, 2019, we entered into agreements with various lenders, comprised of 2011, 2015 and 2018 institutional purchasers of privately placed debt, to purchaseand cancel $378,750 of their notes at par. To retire such debt, which is currently planned to close on or about December 9, 2019, we intend to draw on our revolving line of credit and acommitted new term loan under our existing Amended Credit Agreement.

As a result of canceling this debt, we will take a pre-tax non-cash charge of approximately $9,000 in the third quarter of fiscal 2020. This pre-tax charge relates to the January 2014forward interest rate swap agreement and deferred financing costs.

ITEM 2. MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995

This Form 10-Q for the period ended October 26, 2019, contains certain forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995. Forward-lookingstatements are information of a non-historical nature and are subject to risks and uncertainties that are beyond Patterson’s ability to control. Forward-looking statements generally canbe identified by words such as “believes,” “expects,” “anticipates,” “foresees,” “forecasts,” “estimates” or other words or phrases of similar import. It is uncertain whether any of theevents anticipated by the forward-looking statements will transpire or occur, or if any of them do, what impact they will have on the results of operations and financial condition ofPatterson or the price of Patterson stock. These forward-looking statements involve certain risks and uncertainties that could cause actual results to differ materially from thoseindicated in such forward-looking statements. Such risks and uncertainties include, without limitation, the cautionary language set forth herein; operations disruptions attributable to ourenterprise resource planning system implementation; our ability to attract or retain qualified sales representatives and service technicians who relate directly with our customers; thereduction, modification, cancellation or delay of purchases of innovative, high-margin equipment; material changes in our purchasing relationships with suppliers; changes in generalmarket and economic conditions; and the other risks and important factors contained and identified in Patterson’s previous filings with the Securities and Exchange Commission, suchas its Quarterly Reports on Form 10-Q and Annual Reports on Form 10-K, any of which could cause actual results to differ materially from the forward-looking statements.

OVERVIEW

Our financial information for the first six months of fiscal 2020 is summarized in this Management’s Discussion and Analysis and the Condensed Consolidated Financial Statementsand related Notes. The following background is provided to readers to assist in the review of our financial information.

We present three reportable segments: Dental, Animal Health and Corporate. Dental and Animal Health are strategic business units that offer similar products and services to differentcustomer bases. Dental provides a virtually complete range of consumable dental products, equipment and software, turnkey digital solutions and value-added services to dentists anddental laboratories throughout North America. Animal Health is a leading, full-line distributor in North America and the U.K. of animal health products, services and technologies to boththe production-animal and companion-pet markets. Our Corporate segment is comprised of general and administrative expenses, including home office support costs in areas such asinformation technology, finance, legal, human resources and facilities. In addition, customer financing and other miscellaneous sales are reported within Corporate results.

Operating margins of the animal health business are considerably lower than the dental business. While operating expenses run at a lower rate in the animal health business whencompared to the dental business, gross margins in the animal health business are substantially lower due generally to the low margins experienced on the sale of pharmaceuticalproducts.

We operate with a 52-53 week accounting convention with our fiscal year ending on the last Saturday in April. The second quarter of fiscal 2020 and 2019 represents the 13 weeksended October 26, 2019 and the 13 weeks ended

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October 27, 2018, respectively. The six months ended October 26, 2019 and October 27, 2018 each included 26 weeks. Fiscal 2020 will include 52 weeks and fiscal 2019 included 52weeks.

We believe there are several important aspects of our business that are useful in analyzing it, including: (1) growth in the various markets in which we operate; (2) internal growth;(3) growth through acquisition; and (4) continued focus on controlling costs and enhancing efficiency. Management defines internal growth as the increase in net sales from period toperiod, adjusting for differences in the number of weeks in fiscal years, excluding the impact of changes in currency exchange rates, and excluding the net sales, for a period of twelvemonths following the transaction date, of businesses we have acquired.

FACTORS AFFECTING OUR RESULTS

Receivables Securitization Program. In the first quarter of fiscal 2019, we entered into a receivables purchase agreement with MUFG Bank, Ltd. ("MUFG"). Under this agreement,MUFG acts as an agent to facilitate the sale of certain Patterson receivables (the “Receivables”) to certain unaffiliated financial institutions (the “Purchasers”).

The proceeds from the sale of these Receivables comprise a combination of cash and a deferred purchase price (“DPP”) receivable. The initial transaction was a sale of $237.6 millionof net receivables. From this sale, we received $171.0 million of cash and a DPP receivable with a fair value of $65.9 million. In addition, we recorded a loss of $0.7 million as a resultof this transaction. The proceeds from the initial sale were primarily used to reduce debt.

The DPP receivable is ultimately realized by Patterson following the collection of the underlying Receivables sold to the Purchasers. The collection of the DPP receivable is recognizedas an increase to net cash provided by investing activities within the condensed consolidated statements of cash flows, with a corresponding reduction to net cash provided byoperating activities within the condensed consolidated statements of cash flows.

Gain on Investment. We recorded a pre-tax gain of $34.3 million related to one of our investments ("Gain on Investment") during the first quarter of fiscal 2020. This gain was basedon the selling price of preferred stock in this investment that is similar to the preferred stock we own, and was adjusted for differences in liquidation preferences.

Fiscal 2020 U.S. Attorney's Office Legal Reserve. We incurred costs and expenses of $58.3 million ("Fiscal 2020 U.S. Attorney's Office Legal Reserve") during the second quarter offiscal 2020 related to the probable settlement of litigation with the U.S. Attorney's Office for the Western District of Virginia. See "Item 1. Legal Proceedings" for additional information.

Fiscal 2020 SourceOne Dental Legal Reserve. We incurred expenses of $17.7 million ("Fiscal 2020 SourceOne Dental Legal Reserve") during the first quarter of fiscal 2020 relatedto the settlement of litigation with SourceOne Dental, Inc. See "Item 1. Legal Proceedings" for additional information.

Fiscal 2019 Legal Reserve. In September 2018, we signed an agreement to settle the litigation entitled In re Dental Supplies Antitrust Litigation. Under the terms of the settlement, wepaid $28.3 million into escrow upon preliminary court approval. Such funds are to be released to the settlement fund administrator upon final court approval of the settlement, whichwas granted at the fairness hearing held on June 24, 2019. We established a pre-tax reserve of $28.3 million ("Fiscal 2019 Legal Reserve") during the first quarter of fiscal 2019 toaccount for the settlement of this matter. See "Item 1. Legal Proceedings" for additional information.

RESULTS OF OPERATIONS

QUARTER ENDED OCTOBER 26, 2019 COMPARED TO QUARTER ENDED OCTOBER 27, 2018

The following table summarizes our results as a percent of net sales:

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Three Months Ended October 26, 2019 October 27, 2018Net sales 100.0 % 100.0 %Cost of sales 78.7 79.0Gross profit 21.3 21.0Operating expenses 22.6 18.1Operating income (loss) (1.3) 2.9Other income (expense) (0.6) (0.2)Income (loss) before taxes (1.9) 2.7Income tax expense 0.5 0.7Net income (loss) (2.4) 2.0Net loss attributable to noncontrolling interests — —Net income (loss) attributable to Patterson Companies, Inc. (2.4)% 2.0 %

Net Sales. Consolidated net sales for the three months ended October 26, 2019 were $1,418.7 million, an increase of 1.0% from $1,404.8 million for the three months endedOctober 27, 2018. Foreign exchange rate changes had an unfavorable impact of 0.6% on current quarter sales. Sales of certain products previously recognized on a gross basis wererecognized on a net basis during the three months ended October 26, 2019, resulting in an estimated 0.3% unfavorable impact to sales.

Dental segment sales for the three months ended October 26, 2019 were $564.6 million, an increase of 4.1% from $542.5 million for the three months ended October 27, 2018. Foreignexchange rate changes had an unfavorable impact of 0.1% on current quarter sales. Current quarter sales of consumables decreased 0.2%, sales of dental equipment and softwareincreased 12.2%, aided by the new innovation and promotional programs in the CAD/CAM and core equipment categories, and sales of value-added services and other increased3.2%.

Animal Health segment sales for the three months ended October 26, 2019 were $848.2 million, a decrease of 0.8% from $855.4 million for the three months ended October 27, 2018.Foreign exchange rate changes had an unfavorable impact of 1.0% on current quarter sales. Sales of certain products previously recognized on a gross basis were recognized on anet basis during the three months ended October 26, 2019, resulting in an estimated 0.5% unfavorable impact to sales.

Gross Profit. The consolidated gross profit margin rate for the three months ended October 26, 2019 increased 30 basis points from the prior year quarter to 21.3%, primarily driven byan increase in the gross profit margin rate in our Dental segment.

Operating Expenses. Consolidated operating expenses for the three months ended October 26, 2019 were $319.6 million, a 25.9% increase from the prior year quarter of $253.9million. We incurred higher operating expenses during the three months ended October 26, 2019 primarily as a result of the Fiscal 2020 U.S. Attorney's Office Legal Reserve. Inaddition, higher personnel costs resulted in higher operating expenses during the three months ended October 26, 2019. The consolidated operating expense ratio of 22.6% increased450 basis points from the prior year quarter, which was also driven by these same factors.

Operating Income (Loss). For the three months ended October 26, 2019, operating loss was $18.1 million, or 1.3% of net sales, as compared to operating income of $41.2 million, or2.9% of net sales for the three months ended October 27, 2018. The decrease in operating income was primarily due to the Fiscal 2020 U.S. Attorney's Office Legal Reserve andhigher personnel costs, partially offset by higher gross margins for the three months ended October 26, 2019.

Dental segment operating income was $52.6 million for the three months ended October 26, 2019, an increase of $11.0 million from the prior year quarter. The increase was primarilydriven by higher net sales and an improved gross margin rate in the current quarter.

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Animal Health segment operating income was $18.2 million for the three months ended October 26, 2019, a decrease of $3.9 million from the prior year quarter. The decrease wasprimarily driven by lower gross margins, which were lower primarily as a result of a $3.0 million charge related to a settlement with a vendor to exit a purchase agreement.

Corporate segment operating loss was $89.0 million for the three months ended October 26, 2019, as compared to a loss of $22.4 million for the three months ended October 27,2018. The change was driven primarily by the Fiscal 2020 U.S. Attorney's Office Legal Reserve and higher personnel costs recorded during the three months ended October 26, 2019.

Other Income (Expense). Net other expense for the three months ended October 26, 2019 was $8.8 million, as compared to $3.5 million for the three months ended October 27,2018. Net other expense was lower during the three months ended October 27, 2018 due to the recognition of a gain related to an investment.

Income Tax Expense. For the three months ended October 26, 2019, income tax expense was $6,426 on a loss before taxes was $26,923. Income tax expense for the three monthsended October 26, 2019 was adversely impacted by the Fiscal 2020 U.S. Attorney's Office Legal Reserve, as these costs and expenses are not fully deductible. The effective incometax rate for the three months ended October 27, 2018 was 24.0%.

Net Income (Loss) Attributable to Patterson Companies Inc. and Earnings (Loss) Per Share. Net income (loss) attributable to Patterson Companies Inc. for the three monthsended October 26, 2019 was $(33.1) million, compared to $28.9 million for the three months ended October 27, 2018. Earnings (loss) per diluted share were $(0.35) in the currentquarter compared to $0.31 in the prior year quarter. Weighted average diluted shares outstanding in the current quarter were 94.1 million, compared to 93.3 million in the prior yearquarter. The current quarter and prior year quarter cash dividend was $0.26 per common share.

SIX MONTHS ENDED OCTOBER 26, 2019 COMPARED TO SIX MONTHS ENDED OCTOBER 27, 2018

The following table summarizes our results as a percent of net sales:

Six Months Ended October 26, 2019 October 27, 2018Net sales 100.0 % 100.0 %Cost of sales 78.5 78.9Gross profit 21.5 21.1Operating expenses 21.6 19.4Operating income (loss) (0.1) 1.7Other income (expense) 0.6 (0.5)Income (loss) before taxes 0.5 1.2Income tax expense 0.6 0.3Net income (loss) (0.1) 0.9Net loss attributable to noncontrolling interests — —Net income (loss) attributable to Patterson Companies, Inc. (0.1)% 0.9 %

Net Sales. Consolidated net sales for the six months ended October 26, 2019 were $2,747.4 million, a 0.2% increase from $2,741.1 million for the six months ended October 27, 2018.Foreign exchange rate changes had an unfavorable impact of 0.7% on current period sales.

Dental segment sales for the six months ended October 26, 2019 were $1,065.7 million, a 1.6% increase from $1,048.6 million for the six months ended October 27, 2018. Foreignexchange rate changes had an unfavorable impact of 0.2% on current period sales. Current period sales of consumables decreased 0.5%, sales of dental equipment and softwareincreased 3.7% to $313.9 million, and sales of other dental services and products increased 6.4% for the six months ended October 26, 2019.

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Animal Health segment sales for the six months ended October 26, 2019 were $1,665.7 million, a (0.9)% decrease from $1,680.6 million for the six months ended October 27, 2018.Foreign exchange rate changes had an unfavorable impact of 1.0% on current period sales. Sales of certain products previously recognized on a gross basis were recognized on a netbasis during the six months ended October 26, 2019, resulting in an estimated 0.5% unfavorable impact to sales.

Gross Profit. The consolidated gross profit margin rate for the six months ended October 26, 2019 increased 40 basis points from the prior year period to 21.5%, driven by an increasein the gross profit margin rates in our Dental and Animal Health segments.

Operating Expenses. Consolidated operating expenses for the six months ended October 26, 2019 were $593.0 million, a 11.3% increase from the prior year period of $533.0 million.We incurred higher operating expenses during the six months ended October 26, 2019 primarily as a result of legal reserve expenses during the six months ended October 26, 2019being $47.7 million higher than those incurred during the six months ended October 27, 2018. Refer to the Factors Affecting our Results section above for additional information. Inaddition, we incurred higher personnel costs during the six months ended October 26, 2019. The consolidated operating expense ratio of 21.6% increased 220 basis points from theprior year period, which was also driven by these same factors.

Operating Income (Loss). For the six months ended October 26, 2019, operating loss was $1.5 million, or 0.1% of net sales, as compared to operating income of $45.7 million, or1.7% of net sales for the six months ended October 27, 2018. The decrease in operating income was primarily due to higher legal reserve expenses and higher personnel costsincurred in the six months ended October 26, 2019, partially offset by higher gross margins.

Dental segment operating income was $86.6 million for the six months ended October 26, 2019, an increase of $9.2 million from the prior year period. The increase was primarilydriven by higher net sales and an improved gross margin rate in the current period.

Animal Health segment operating income was $37.8 million for the six months ended October 26, 2019, a decrease of $3.3 million from the prior year period. The decrease wasprimarily driven by lower gross margins, which were lower primarily as a result of a $3.0 million charge related to a settlement with a vendor to exit a purchase agreement.

Corporate segment operating loss was $125.9 million for the six months ended October 26, 2019, as compared to a loss of $72.8 million for the six months ended October 27, 2018.The change was driven primarily by higher legal reserve expenses and higher personnel costs incurred in the six months ended October 26, 2019.

Other Income (Expense). Net other income for the six months ended October 26, 2019 was $14.5 million, compared to net other expense of $13.5 million for the six months endedOctober 27, 2018. Net other income for the six months ended October 26, 2019 was driven by the Gain on Investment of $34.3 million.

Income Tax Expense. For the six months ended October 26, 2019, income tax expense was $16,520 on income before taxes of $12,978, for an effective income tax rate of 127.3%.Income tax expense for the six months ended October 26, 2019 was adversely impacted by the Fiscal 2020 U.S. Attorney's Office Legal Reserve, as these costs and expenses are notfully deductible. The effective income tax rate for the six months ended October 27, 2018 was 25.1%.

Net Income (Loss) Attributable to Patterson Companies Inc. and Earnings (Loss) Per Share. Net income (loss) attributable to Patterson Companies Inc. for the six months endedOctober 26, 2019 was $(3.1) million, compared to $24.4 million for the six months ended October 27, 2018. Earnings (loss) per diluted share were $(0.03) in the current periodcompared to $0.26 in the prior year period. Weighted average diluted shares outstanding in the current period were 93.9 million, compared to 93.1 million in the prior year period. Thecurrent period and prior year period cash dividend was $0.52 per common share.

LIQUIDITY AND CAPITAL RESOURCES

For the six months ended October 26, 2019, net cash used in operating activities was $14.7 million, compared to net cash provided by operating activities of $200.2 million for the sixmonths ended October 27, 2018. Net cash used in operating activities was negative during the six months ended October 26, 2019 primarily due to the impact of our ReceivablesSecuritization Program.

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For the six months ended October 26, 2019, net cash provided by investing activities was $189.5 million, compared to net cash provided by investing activities of $146.3 million for thesix months ended October 27, 2018. Net cash flows for the six months ended October 26, 2019 were positive primarily due to the collection of $212.3 million of DPP receivables.Capital expenditures were $22.9 million and $22.1 million during the six months ended October 26, 2019 and six months ended October 27, 2018, respectively. We expect to use atotal of approximately $55 million for capital expenditures in fiscal 2020.

Net cash used in financing activities for the six months ended October 26, 2019 was $141.7 million. Uses of cash consisted primarily of $87.1 million for payments on long-term debtand $50.5 million for dividend payments. For the six months ended October 27, 2018, net cash used in financing activities was $242.7 million. Uses of cash consisted primarily of$180.3 million for payments on long-term debt and $50.0 million for dividend payments, and cash proceeds included $16.0 million attributed to draws on our revolving line of credit.

In fiscal 2017, we entered into an amended credit agreement (“Amended Credit Agreement”), consisting of a $295.1 million term loan and a $750 million revolving line of credit. InMarch 2019, we permanently reduced the capacity under the revolving line of credit to $500 million. Interest on borrowings is variable and is determined as a base rate plus a spread.This spread, as well as a commitment fee on the unused portion of the facility, is based on our leverage ratio, as defined in the Amended Credit Agreement. The term loan andrevolving credit facilities were initially set to mature no later than January 2022. During the quarter ended October 26, 2019, we repaid the remaining $81.6 million outstanding underthe unsecured term loan. As of October 26, 2019, no amount was outstanding under the revolving line of credit. As of April 27, 2019, $87.1 million was outstanding under theunsecured term loan at an interest rate of 3.7%, and no amount was outstanding under the revolving line of credit.

We expect funds generated from operations, existing cash balances and credit availability under existing debt facilities will be sufficient to meet our working capital needs and tofinance strategic initiatives over the remainder of fiscal 2020.

RECENTLY ISSUED ACCOUNTING PRONOUNCEMENTS

See Note 1 to the Condensed Consolidated Financial Statements.

SUBSEQUENT EVENT

Subsequent to October 26, 2019, we entered into agreements with various lenders, comprised of 2011, 2015 and 2018 institutional purchasers of privately placed debt, to purchaseand cancel $378.8 million of their notes at par. To retire such debt, which is currently planned to close on or about December 9, 2019, we intend to draw on our revolving line of creditand a committed new term loan under our existing Amended Credit Agreement.

As a result of canceling this debt, we will take a pre-tax non-cash charge of approximately $9.0 million in the third quarter of fiscal 2020. This pre-tax non-cash charge relates to theJanuary 2014 forward interest rate swap agreement and deferred financing costs.

ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

There have been no material changes in our exposure to market risk from that disclosed in Item 7A in our 2019 Annual Report on Form 10-K filed June 26, 2019.

ITEM 4. CONTROLS AND PROCEDURES

Under the supervision and with the participation of our management, including our President and Chief Executive Officer ("CEO") and our Chief Financial Officer ("CFO"), managementevaluated the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rule 13a-15(e) and 15d-15(e) under the Exchange Act) as ofOctober 26, 2019. Based upon their evaluation of these disclosure controls and procedures, the CEO and CFO concluded that the disclosure controls and procedures were effective asof October 26, 2019.

There were no changes in our internal control over financial reporting (as defined in Rule 13a-15(f) and 15d-15(f) under the Exchange Act) that occurred during the quarter endedOctober 26, 2019 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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PART II—OTHER INFORMATION

ITEM 1. LEGAL PROCEEDINGS

From time to time, we become involved in lawsuits, administrative proceedings, government subpoenas, and government investigations (which may, in some cases, involve ourentering into settlement agreements or consent decrees), relating to antitrust, commercial, environmental, product liability, intellectual property, regulatory, employment discrimination,securities, and other matters, including matters arising out of the ordinary course of business. The results of any legal proceedings cannot be predicted with certainty because suchmatters are inherently uncertain. Significant damages or penalties may be sought in some matters, and some matters may require years to resolve.

We accrue for these matters when it is both probable that a liability has been incurred and the amount of the loss can be reasonably estimated. Unless otherwise noted, with respect tothe specific legal proceedings and claims described below, the amount or range or possible losses is not reasonably estimable. Adverse outcomes in some or all of these matters mayresult in significant monetary damages or injunctive relief against us that could adversely affect our ability to conduct our business. There also exists the possibility of a materialadverse effect on our financial statements for the period in which the effect of an unfavorable outcome becomes probable and reasonably estimable.

In September 2015, we were served with a summons and complaint in an action commenced in the U.S. District Court for the Eastern District of New York, entitled SourceOne Dental,Inc. v. Patterson Companies, Inc., Henry Schein, Inc. and Benco Dental Supply Company, Civil Action No. 15-CV-05440-JMA-GRB. SourceOne, as plaintiff, alleges that, through itswebsite, it markets and sells dental supplies and equipment to dentists. SourceOne alleges in the complaint, among other things, that we, along with the defendants Henry Schein andBenco, conspired to eliminate plaintiff as a competitor and to exclude them from the market for the marketing, distribution and sale of dental supplies and equipment in the U.S. andthat defendants unlawfully agreed with one another to boycott dentists, manufacturers, and state dental associations that deal with, or considered dealing with, plaintiff. Plaintiff assertsthe following claims: (i) unreasonable restraint of trade in violation of state and federal antitrust laws; (ii) tortious interference with prospective business relations; (iii) civil conspiracy;and (iv) aiding and abetting the other defendants’ ongoing tortious and anticompetitive conduct. Plaintiff seeks equitable relief, compensatory and treble damages, jointly and severally,punitive damages, interest, and reasonable costs and expenses, including attorneys’ fees and expert fees. In June 2017, Henry Schein settled with SourceOne and was dismissedfrom this litigation with prejudice. On August 15, 2019, we announced that we had settled with SourceOne. We incurred expenses of approximately $17.7 million during the first quarterof fiscal 2020 in our Corporate segment to account for the settlement of this matter.

Beginning in January 2016, purported antitrust class action complaints were filed against defendants Henry Schein, Inc., Benco Dental Supply Company and Patterson Companies,Inc. Although there were factual and legal variations among these complaints, each alleged that defendants conspired to foreclose and exclude competitors by boycottingmanufacturers, state dental associations, and others that deal with defendants’ competitors. On February 9, 2016, the U.S. District Court for the Eastern District of New York ordered allof these actions, and all other actions filed thereafter asserting substantially similar claims against defendants, consolidated for pre-trial purposes. On February 26, 2016, aconsolidated class action complaint was filed by Arnell Prato, D.D.S., P.L.L.C., d/b/a Down to Earth Dental, Evolution Dental Sciences, LLC, Howard M. May, DDS, P.C., CaseyNelson, D.D.S., Jim Peck, D.D.S., Bernard W. Kurek, D.M.D., Larchmont Dental Associates, P.C., and Keith Schwartz, D.M.D., P.A. (collectively, “putative class representatives”) in theU.S. District Court for the Eastern District of New York, entitled In re Dental Supplies Antitrust Litigation, Civil Action No. 1:16-CV-00696-BMC-GRB. Subject to certain exclusions, theputative class representatives seek to represent all private dental practices and laboratories who purchased dental supplies or equipment in the U.S. directly from any of thedefendants, during the period beginning August 31, 2008 until March 31, 2016. In the consolidated class action complaint, putative class representatives allege a nationwide agreementamong Henry Schein, Benco, Patterson and non-party Burkhart Dental Supply Company, Inc. not to compete on price. The consolidated class action complaint asserts a single countunder Section 1 of the Sherman Act, and seeks equitable relief, compensatory and treble damages, jointly and severally, interest, and reasonable costs and expenses, includingattorneys’ fees and expert fees. On September 28, 2018, the parties executed a settlement agreement that proposes, subject to court approval, a full and final settlement of the lawsuiton a class-wide basis. Subject to certain exceptions, the settlement class consists of all persons or entities that purchased dental products directly from Henry Schein, Patterson,Benco and Burkhart, or any combination thereof, during the period August 31, 2008 through and including March 31, 2016. Under the terms of the settlement, we paid $28.3 million intoescrow upon preliminary court approval. Such funds are to be released to the settlement fund administrator upon final court approval of the settlement, which was granted at thefairness hearing held on June 24, 2019. We recorded a pre-tax reserve of $28.3 million in our first quarter 2019 results in our Corporate segment to account for the settlement of thismatter. On July 16, 2019, objector William Roe filed a notice

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of appeal of the final order, contesting the amount of attorneys’ fees awarded to class counsel out of the settlement fund. On October 24, 2019, the U.S. District Court approved asettlement between the objector and the plaintiffs that served to resolve the objection.

On August 31, 2012, Archer and White Sales, Inc. (“Archer”) filed a complaint against Henry Schein, Inc. as well as Danaher Corporation and its subsidiaries Instrumentarium Dental,Inc., Dental Equipment, LLC, Kavo Dental Technologies, LLC and Dental Imaging Technologies Corporation (collectively, the “Danaher Defendants”) in the U.S. District Court for theEastern District of Texas, Civil Action No. 2:12-CV-00572-JRG, styled as an antitrust action under Section 1 of the Sherman Act, and the Texas Free Enterprise Antitrust Act. Archeralleges a conspiracy between Henry Schein, an unnamed company and the Danaher Defendants to terminate or limit Archer’s distribution rights. On August 1, 2017, Archer filed anamended complaint, adding Patterson Companies, Inc. and Benco Dental Supply Company as defendants, and alleging that Henry Schein, Patterson, Benco and non-defendantBurkhart Dental Supply Company, Inc. conspired to pressure and agreed to enlist their common suppliers, including the Danaher Defendants, to join a price-fixing conspiracy andboycott by reducing the distribution territory of, and eventually terminating, Archer. Archer seeks injunctive relief, and damages in an amount to be proved at trial, to be trebled withinterest and costs, including attorneys’ fees, jointly and severally. On June 25, 2018, the U.S. Supreme Court granted certiorari to review an arbitration issue raised by the DanaherDefendants, thereby continuing the case stay implemented in March 2018. On October 29, 2018, the Supreme Court heard oral arguments. On January 8, 2019, the Supreme Courtissued its published decision vacating the judgment of the U.S. Court of Appeals for the Fifth Circuit and remanded the case to the Fifth Circuit for further proceedings on a secondarbitration issue consistent with the Supreme Court’s opinion. The Fifth Circuit heard oral arguments on May 1, 2019. On August 14, 2019, the Fifth Circuit affirmed the District Court’sfinding that the arbitration provision does not apply to this litigation. Trial is scheduled to begin on February 3, 2020. We are vigorously defending ourselves in this litigation. We do notanticipate that this matter will have a material adverse effect on our financial statements.

On August 17, 2017, IQ Dental Supply, Inc. (“IQ Dental”) filed a complaint in the U.S. District Court for the Eastern District of New York, entitled IQ Dental Supply, Inc. v. Henry Schein,Inc., Patterson Companies, Inc. and Benco Dental Supply Company, Case No. 2:17-CV-4834. Plaintiff alleges that it is a distributor of dental supplies and equipment, and sells dentalproducts through an online dental distribution platform operated by SourceOne Dental, Inc. IQ Dental alleges, among other things, that defendants conspired to suppress competitionfrom IQ Dental and SourceOne for the marketing, distribution and sale of dental supplies and equipment in the United States, and that defendants unlawfully agreed with one anotherto boycott dentists, manufacturers and state dental associations that deal with, or considered dealing with, plaintiff and SourceOne. Plaintiff claims that this alleged conduct constitutesunreasonable restraint of trade in violation of Section 1 of the Sherman Act, New York’s Donnelly Act and the New Jersey Antitrust Act, and also makes pendant state law claims fortortious interference with prospective business relations, civil conspiracy and aiding and abetting. Plaintiff seeks injunctive relief, compensatory, treble and punitive damages, jointly andseverally, and reasonable costs and expenses, including attorneys’ fees and expert fees. On December 21, 2017, the District Court granted defendants motion to dismiss the complaintwith prejudice. Plaintiff appealed the District Court’s order. On May 10, 2019, the U.S. Court of Appeals for the Second Circuit affirmed dismissal of IQ Dental's claims that it wasinjured by an alleged boycott of SourceOne, but reversed the District Court on dismissal of IQ Dental's direct boycott claims. The case was remanded to the District Court to proceed inaccordance with that opinion. On June 29, 2019, the Second Circuit denied IQ Dental’s petition for rehearing or rehearing en banc. Proceedings in the District Court are ongoing. Weare vigorously defending ourselves in this litigation. We do not anticipate that this matter will have a material adverse effect on our financial statements.

On February 12, 2018, the Federal Trade Commission (“FTC”) issued an administrative complaint entitled In the Matter of Benco Dental Supply Co., Henry Schein, Inc., and PattersonCompanies, Inc. Docket No. 9379. The administrative complaint alleges “reason to believe” that Patterson and the other respondents violated Section 5 of the FTC Act, 15 U.S.C. § 45by conspiring to refuse to offer discounted prices or otherwise negotiate with buying groups seeking to obtain supply agreements on behalf of groups of solo practitioners or smallgroup dental practices. The administrative complaint seeks injunctive relief against Patterson, including an order to cease and desist from the conduct alleged in the complaint and aprohibition from conspiring or agreeing with any competitor or any person to refuse to provide discounts to or compete for the business of any customer. No money damages aresought. The hearing in front of an Administrative Law Judge of the FTC (the “ALJ”) in Washington, D.C. began on October 16, 2018. The factual record closed on February 21, 2019and post-trial briefing ended on June 6, 2019. On October 16, 2019, the ALJ announced his initial decision, recommending that Patterson and Benco violated FTC Act Section 5 in2013 by conspiring to refuse to provide discounts to, or otherwise serve, buying groups representing dental practitioners. Following this initial decision, the Bureau of Competition (the“Bureau”) reached out to Patterson and offered to settle the matter, and on October 18, 2019, the parties agreed to a settlement. As a result of the settlement, Patterson and theBureau agreed

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not to appeal the initial decision of the ALJ and Patterson agreed to abide by the terms of the ALJ’s proposed remedial order, which did not impose any monetary fine on the companyor require an outside monitor. While we disagreed with the ALJ’s findings, and believed we had meritorious grounds to appeal the initial decision, we determined that, for businessreasons including avoiding further cost and burden, a settlement was in our best interest.

On March 28, 2018, Plymouth County Retirement System (“Plymouth”) filed a federal securities class action complaint against Patterson Companies, Inc. and its former CEO Scott P.Anderson and former CFO Ann B. Gugino in the U.S. District Court for the District of Minnesota in a case captioned Plymouth County Retirement System v. Patterson Companies, Inc.,Scott P. Anderson and Ann B. Gugino, Case No. 0:18-cv-00871 MJD/SER. On November 9, 2018, the complaint was amended to add former CEO James W. Wiltz and former CFO R.Stephen Armstrong as individual defendants. Under the amended complaint, on behalf of all persons or entities that purchased or otherwise acquired Patterson’s common stockbetween June 26, 2013 and February 28, 2018, Plymouth alleges that Patterson violated federal securities laws by failing to disclose that Patterson’s revenue and earnings were“artificially inflated by Defendants’ illicit, anti-competitive scheme with its purported competitors, Benco and Schein, to prevent the formation of buying groups that would allow itscustomers who were office-based practitioners to take advantage of pricing arrangements identical or comparable to those enjoyed by large-group customers.” In its class actioncomplaint, Plymouth asserts one count against Patterson for violating Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder and a second,related count against the individual defendants for violating Section 20(a) of the Exchange Act. Plymouth seeks compensatory damages, pre- and post-judgment interest andreasonable attorneys’ fees and experts’ witness fees and costs. On August 30, 2018, Gwinnett County Public Employees Retirement System and Plymouth County Retirement System,Pembroke Pines Pension Fund for Firefighters and Police Officers, Central Laborers Pension Fund were appointed lead plaintiffs. On January 18, 2019, Patterson and the individualdefendants filed a motion to dismiss the amended complaint. On July 25, 2019, the U.S. Magistrate Judge issued a report and recommendation that the motion to dismiss be granted inpart and denied in part. The report and recommendation, among other things, recommends the dismissal of all claims against individuals defendants Ann B. Gugino, R. StephenArmstrong and James W. Wiltz. On September 10, 2019, the District Court adopted the Magistrate Judge’s report and recommendation. While the outcome of litigation is inherentlyuncertain, we believe that the class action complaint is without merit, and we are vigorously defending ourselves in this litigation. We do not anticipate that this matter will have amaterial adverse effect on our financial statements. Patterson has also received, and responded to, requests under Minnesota Business Corporation Act § 302A.461 to inspectcorporate books and records relating to the issues raised in the securities class action and the antitrust matters discussed above.

During the first quarter of fiscal 2019, the U.S. Attorney’s Office for the Western District of Virginia (“USAO-WDVA”) informed us that our subsidiary, Animal Health International, Inc.,had been designated a target of a criminal investigation. The investigation originally related to Animal Health International’s sales of prescription animal health products to certainpersons and/or locations not licensed to receive them in Virginia and Tennessee in violation of federal law. After being contacted by the USAO-WDVA, Patterson retained outside legalcounsel and began an internal investigation. Since that time, we produced documents both responsive to grand jury subpoenas and voluntarily. In December 2018, as a result of ourinternal investigation, we voluntarily advised the USAO-WDVA that some of Animal Health International’s shipments of prescription animal health products were made from awarehouse rather than a pharmacy to end-user customers in the states of Virginia and Tennessee. Thereafter, as part of our internal investigation, we conducted a comprehensivereview of Animal Health International’s distribution and licensing practices across all 50 U.S. states. That review identified compliance issues in additional states, which we voluntarilydisclosed to the USAO-WDVA in April 2019. Our Board of Directors established a special investigation committee to oversee and conduct the investigation, to review our licensing,dispensing, distribution and related sales practices company-wide, and to report on its findings to the Board and to the USAO-WDVA. As a result of the internal investigation, wemodified our licensing, dispensing, distribution and related sales processes company-wide. We recently reached an agreement in principle with the USAO-WDVA which we understandwill resolve the federal government’s criminal investigation into Animal Health International and other non-compliant licensing, dispensing, distribution and related sales processesdisclosed during the investigation. The agreement in principle is subject to negotiation of final terms, approval by all necessary parties, execution of definitive documents and courtapproval. Under the terms of the agreement in principle, Animal Health International will pay a total criminal fine and forfeiture of $52.8 million and Animal Health International will pleadguilty to a one-count information charging it with a strict-liability misdemeanor offense under the Federal Food, Drug and Cosmetic Act in connection with its failure to comply withfederal law relating to the sales of prescription animal health products. In addition, Animal Health International and Patterson will enter into a non-prosecution agreement for other non-compliant licensing, dispensing, distribution and related sales processes disclosed during the investigation and will commit to undertake additional compliance program enhancementsand may include other terms that are the subject of ongoing negotiations. Upon reaching this agreement in principle, we recorded a reserve of $58.3 million in our Corporate segmentfor the three and six months ended October 26, 2019 to account for the

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anticipated settlement of this matter and certain related costs and expenses. This matter may continue to divert management’s attention and cause us to suffer reputational harm. Wealso may be subject to other fines or penalties, equitable remedies (including but not limited to the suspension, revocation or non-renewal of licenses) and litigation. The occurrence ofany of these events could adversely affect our business, financial condition and results of operations.

On August 28, 2018, Kirsten Johnsen filed a stockholder derivative complaint against Patterson Companies, Inc., as a nominal defendant, and the following former and current officersand directors of Patterson: Scott Anderson, Ann Gugino, James Wiltz, John Buck, Jody Feragen, Ellen Rudnick, Les Vinney, Neil Schrimsher, Sarena Lin, Harold Slavkin, Alex Blancoand Mark Walchirk as individual defendants in Hennepin County District Court in a case captioned Kirsten Johnsen v. Scott P. Anderson et al., Case No. 27-CV-18-14315. Derivativelyon behalf of Patterson, plaintiff alleges that Patterson “suppressed price competition and maintained supracompetitive prices for dental supplies and equipment by entering intoagreements with Henry Schein and Benco to: (i) fix margins for dental supplies and equipment; and (ii) block the entry and expansion of lower-margin, lower-priced, rival dentaldistributors through threatened and actual group boycotts.” Plaintiff further alleges that the individual defendants failed to disclose Patterson’s alleged “price-fixing scheme” to the publicand purportedly “caused Patterson to repurchase over $412.8 million worth of its own stock at artificially inflated prices.” In the derivative complaint, plaintiff asserts three countsagainst the individual defendants for: (i) breach of fiduciary duty; (ii) waste of corporate assets; and (iii) unjust enrichment. Plaintiff seeks compensatory damages, equitable andinjunctive relief as permitted by law, costs, disbursements and reasonable attorneys’ fees, accountants’ fees and experts’ fees, costs and expenses, and an order awarding restitutionfrom the individual defendants and directing Patterson “to take all necessary actions to reform and improve its corporate governance and internal procedures.” On February 19, 2019,the Hennepin County District Court ordered this litigation stayed pending resolution of the below-described case brought by Sally Pemberton. On September 10, 2019, the HonorablePatrick J. Schiltz dismissed Pemberton without prejudice because the plaintiff failed to make a pre-suit demand on Patterson’s Board of Directors. On November 5, 2019, thedefendants in Johnsen moved to dismiss such action based on plaintiff’s failure to make a pre-suit demand or otherwise properly plead demand futility. While the outcome of litigation isinherently uncertain, we believe that the derivative complaint is without merit, and we intend to vigorously defend ourselves in this litigation. We do not anticipate that this matter willhave a material adverse effect on our financial statements.

On October 1, 2018, Sally Pemberton filed a stockholder derivative complaint against Patterson Companies, Inc., as a nominal defendant, and the following former and current officersand directors of Patterson: Scott Anderson, Ann Gugino, Mark Walchirk, John Buck, Alex Blanco, Jody Feragen, Sarena Lin, Ellen Rudnick, Neil Schrimsher, Les Vinney, James Wiltz,Paul Guggenheim, David Misiak and Tim Rogan as individual defendants in the U.S. District Court for the District of Minnesota in a case captioned Sally Pemberton v. Scott P.Anderson, et al., Case No. 18-CV-2818 (PJS/HB). Derivatively on behalf of Patterson, plaintiff alleges that Patterson, with Benco and Henry Schein, “engage[d] in a conspiracy inrestraint of trade, whereby the companies agreed to refuse to offer discounted prices or otherwise negotiate with GPOs, agreed to fix margins on dental supplies and equipment,agreed not to poach one another’s customers or sales representatives, and agreed to block the entry and expansion of rival distributors. Plaintiff further alleges that the individualdefendants failed to disclose Patterson’s alleged “antitrust misconduct” to the public and purportedly caused Patterson to repurchase $412.8 million of its own stock at prices that wereartificially inflated. In the derivative complaint, plaintiff asserts six counts against the individual defendants for: (i) breach of fiduciary duty; (ii) waste of corporate assets; (iii) unjustenrichment; (iv) violations of Section 14(a) of the Exchange Act; (v) violations of Section 10(b) and Rule 10b-5 of the Exchange Act and (vi) violations of Section 20(a) of the ExchangeAct. Plaintiff seeks compensatory damages with pre-judgment and post-judgment interest, costs, disbursements and reasonable attorneys’ fees, experts’ fees, costs and expenses,and an order awarding restitution from the individual defendants and directing Patterson “to take all necessary actions to reform and improve its corporate governance and internalprocedures.” On September 10, 2019, the Honorable Patrick J. Schiltz dismissed this action without prejudice because the plaintiff failed to make a pre-suit demand on Patterson’sBoard of Directors. On October 31, 2019, Patterson’s Board of Directors received a written demand to initiate litigation against its officers and directors based on the claims the plaintifforiginally presented in her complaint. The Board is reviewing such demand and determining the steps it plans to take to address it. We do not anticipate that this matter will have amaterial adverse effect on our financial statements.

On October 9, 2018, Nathaniel Kramer filed indirect purchaser litigation against Patterson Companies, Inc., Henry Schein, Inc. and Benco Dental Supply Company in the U.S. DistrictCourt for the District of Northern District of California. The purported class action complaint asserts violations of the California Cartwright Act and the California Unfair Competition Actbased on an alleged agreement between Schein, Benco, and Patterson (and unnamed co-conspirators) not to compete as to price and margins. Plaintiff alleges that the agreementallowed the defendants to charge higher prices to dental practices for dental supplies and that the dental practices passed on all, or part of, the increased prices

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to the consumers of dental services. Subject to certain exclusions, the complaint defines the class as all persons residing in California purchasing and/or reimbursing for dental servicesfrom California dental practices. The complaint seeks a permanent injunction, actual damages to be determined at trial, trebled, reasonable attorneys’ fees and costs, and pre- andpost-judgment interest. On December 7, 2018, an amended complaint was filed asserting the same claims against the same parties. On June 28, 2019, the District Court grantedDefendants’ motions to dismiss with leave to amend. The parties have stipulated to dismissal of the named plaintiff’s action with prejudice, pursuant to an August 5, 2019 settlementfollowing the named plaintiff’s decision to abandon its efforts to represent the purported class, and we agreed to pay the individual named plaintiff a de minimis amount.

On January 29, 2019, a purported class action complaint was filed by R. Lawrence Hatchett, M.D. against Patterson Companies, Inc., Henry Schein, Inc., Benco Dental SupplyCompany, and unnamed co-conspirators in the U.S. District Court for the Southern District of Illinois. The complaint alleges that members of the proposed class suffered antitrust injurydue to an unlawful boycott, price-fixing or otherwise anticompetitive conspiracy among Schein, Benco and Patterson. The complaint alleges that the alleged conspiracy overchargedIllinois dental practices, orthodontic practices and dental laboratories on their purchase of dental supplies, which in turn passed on some or all of such overcharges to members of theclass. Subject to certain exclusions, the complaint defines the class as all persons residing in Illinois purchasing and/or reimbursing for dental care provided by independent Illinoisdental practices purchasing dental supplies from the defendants, or purchasing from buying groups purchasing these supplies from the defendants, on or after January 29, 2015. Thecomplaint alleges violations of the Illinois Antitrust Act, 740 Ill. Comp. Stat. §§ 10/3(2), 10/7(2), and seeks a permanent injunction, actual damages to be determined at trial, trebled,reasonable attorneys’ fees and costs, and pre- and post-judgment interest. While the outcome of litigation is inherently uncertain, we believe that the indirect purchaser action is withoutmerit, and we intend to vigorously defend ourselves in this litigation.

In December 2017, the United States Judicial Panel on Multidistrict Litigation consolidated numerous cases filed against an array of defendants by various plaintiffs such as counties,cities, hospitals, Indian tribes and others, alleging claims generally concerning the impacts of widespread opioid abuse. The consolidated multidistrict litigation, captioned In re NationalPrescription Opiate Litigation, MDL No. 2804 (the “MDL”), is pending in the U.S. District Court for the Northern District of Ohio. On July 12, 2018, Bon Secours Health System, Inc., BonSecours- Richmond Community Hospital, Incorporated, Bon Secours DePaul Medical Center, Inc., Bon Secours- Memorial Regional Medical Center, Inc., Bon Secours- St. FrancisMedical Center, Inc., Bon Secours- St. Mary’s Hospital of Richmond, Inc., Bon Secours- Virginia Healthsource, Inc., Chesapeake Hospital Corporation, Mary Immaculate Hospital,Incorporated and Maryview Hospital (collectively, the “MDL Plaintiffs”) filed a complaint in the MDL against 26 manufacturers and wholesale distributors of prescription opiates (the“MDL Defendants”) alleging that the MDL Defendants improperly marketed, sold or distributed prescription opiates. The MDL Plaintiffs’ complaint alleges violations of federal RICOstatutes, violations of the Virginia Consumer Protections Act, negligence, negligence per se, wantonness, recklessness, and gross negligence, fraud and public nuisance. The MDLPlaintiffs seek injunctive relief, the imposition of civil penalties, monetary damages, punitive damages, pre- and post-judgment interest and attorneys’ fees and costs. Neither Pattersonnor any of its subsidiaries were named as MDL Defendants in the original complaint. On March 15, 2019, the MDL Plaintiffs amended and supplemented their complaint to assertviolations of federal RICO statutes against 67 manufacturers and wholesale distributors of prescription opiates (the “Amended MDL Defendants”). Two of Patterson’s subsidiaries,Patterson Logistics Services, Inc. and Patterson Veterinary Supply, Inc., are named as Amended MDL Defendants. The MDL Plaintiffs allege that the Amended MDL Defendants“breached their legal duties under federal law to monitor, detect, investigate, refuse and report suspicious orders of prescription opiates.” While the outcome of litigation is inherentlyuncertain, we believe that the MDL Plaintiffs’ claims against Patterson Logistics Services, Inc. and Patterson Veterinary Supply, Inc. are without merit, and we intend to vigorouslydefend ourselves in this litigation.

ITEM 2. UNREGISTERED SALES OF EQUITY SECURITIES AND USE OF PROCEEDS

Purchases of Equity Securities by the Issuer

On March 13, 2018, the Board of Directors authorized a $500 million share repurchase program through March 13, 2021. No shares were repurchased under the stock repurchase planduring the second quarter of fiscal 2020.

In fiscal 2017, we entered into an amended credit agreement (“Amended Credit Agreement”), consisting of a $295.1 million term loan and a $750 million revolving line of credit. InMarch 2019, we permanently reduced the capacity under the revolving line of credit to $500 million.The Amended Credit Agreement permits us to declare and pay dividends, andrepurchase shares, provided that no default or unmatured default exists and that we are in compliance with applicable financial covenants.

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ITEM 6. EXHIBITS

ExhibitNo. Exhibit Description 4.1

Note Purchase Agreement, dated December 8, 2011, by and among Patterson Companies, Inc., Patterson Medical Holdings, Inc., Patterson Medical Supply,Inc., Patterson Dental Holdings, Inc., Patterson Dental Supply, Inc., Webster Veterinary Supply, Inc., Webster Management, LP (incorporated by reference toour Current Report on Form 8-K, filed December 12, 2011 (File No. 000-20572)).

4.2

Note Purchase Agreement, dated March 23, 2015, by and among Patterson Companies, Inc., Patterson Medical Holdings, Inc., Patterson Medical Supply,Inc., Patterson Dental Holdings, Inc., Patterson Dental Supply, Inc., Patterson Veterinary Supply, Inc., and Patterson Management, LP (incorporated byreference to our Current Report on Form 8-K, filed March 25, 2015 (File No. 000-20572)).

4.3

Note Purchase Agreement, dated as of March 29, 2018, among Patterson Companies, Inc., and certain of its named subsidiaries as borrowers, and variousprivate lenders (incorporated by reference to our Current Report on Form 8-K, filed March 29, 2018 (File No. 000-20572)).

10.1

Amendment No. 15 to Third Amended and Restated Receivables Purchase Agreement, dated as of August 9, 2019, by and among PDC Funding Company,LLC, as seller, Patterson Companies, Inc., as servicer, the conduits party thereto, the financial institutions party thereto, the purchaser agents party thereto,and MUFG Bank, Ltd. (f.k.a. The Bank of Tokyo-Mitsubishi UFJ, Ltd.), as agent.

10.2

Amendment No. 12 to Amended and Restated Contract Purchase Agreement, dated as of August 2, 2019, by and among PDC Funding Company II, LLC, asseller, Patterson Companies, Inc., as servicer, and Fifth Third Bank, as purchaser and agent.

10.3

Patterson Companies, Inc. Amended and Restated Employee Stock Purchase Plan (incorporated by reference to Annex A to our Definitive Schedule 14A(Proxy Statement), filed August 2, 2019 (File No. 000-20572)).

31.1

Certification of the Chief Executive Officer pursuant to Rules 13a-14(a) and 15d-14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of2002.

31.2 Certification of the Chief Financial Officer pursuant to Rule 13a-14(a) and 15d-14(a), as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002. 32.1 Certification of the Chief Executive Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. 32.2 Certification of the Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. 101

(Filed Electronically) The following financial information from our Quarterly Report on Form 10-Q for the period ended October 26, 2019, formatted in InlineXBRL (Extensible Business Reporting Language): (i) the condensed consolidated balance sheets, (ii) the condensed consolidated statements of income andother comprehensive income, (iii) the condensed consolidated statements of changes in stockholders’ equity, (iv) the condensed consolidated statements ofcash flows and (v) the notes to the condensed consolidated financial statements.(*)

104

(Filed Electronically) The cover page from our Quarterly Report on Form 10-Q for the period ended October 26, 2019 is formatted in Inline XBRL (ExtensibleBusiness Reporting Language).(*)

(*) The Inline XBRL related information in Exhibits 101 and 104 to this Quarterly Report on Form 10-Q shall not be deemed “filed” for purposes of Section 18 of the Securities ExchangeAct of 1934, as amended, or otherwise subject to liability of that section and shall not be incorporated by reference into any filing or other document pursuant to the Securities Act of1933, as amended, except as shall be expressly set forth by specific reference in such filing or document.

All other items under Part II have been omitted because they are inapplicable or the answers are negative, or were previously reported in the 2019 Annual Report on Form 10-K filedJune 26, 2019.

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

PATTERSON COMPANIES, INC. (Registrant)

Dated: December 5, 2019 By: /s/ Donald J. Zurbay Donald J. Zurbay Chief Financial Officer and Treasurer (Principal Financial Officer and Principal Accounting Officer)

Exhibit 10.1 EXECUTION VERSION AMENDMENT NO. 15 TO THIRD AMENDED AND RESTATED RECEIVABLES PURCHASE AGREEMENT This AMENDMENT NO. 15 TO THIRD AMENDED AND RESTATED RECEIVABLES PURCHASE AGREEMENT (this “Amendment”) is entered into as of the 9th day of August 2019 by and among MUFG Bank, Ltd. (f/k/a The Bank of Tokyo-Mitsubishi UFJ, Ltd.) (“MUFG”), as a Purchaser Agent (in such capacity, the “MUFG Purchaser Agent”), as a Financial Institution and as the Agent (in such capacity, the “Agent”), Victory Receivables Corporation, as a Conduit (the “MUFG Conduit”), PDC Funding Company, LLC, as the Seller (the “Seller”), Patterson Companies, Inc. (“PDCo”), as the Servicer (the “Servicer”), Royal Bank of Canada (“RBC”), as a Purchaser Agent (in such capacity, the “RBC Purchaser Agent”) and as a Financial Institution, and Thunder Bay Funding, LLC, as a Conduit (the “RBC Conduit”). PRELIMINARY STATEMENTS A. MUFG, as a Financial Institution and as a Purchaser Agent, the MUFG Conduit, the Agent, RBC, as a Financial Institution and as a Purchaser Agent, the RBC Conduit, the Seller and the Servicer are parties to that certain Third Amended and Restated Receivables Purchase Agreement, dated as of December 3, 2010 (as amended, modified, restated or otherwise supplemented through the date hereof, the “Purchase Agreement”). B. Concurrently herewith, the parties hereto are entering into that certain Fourteenth Amended and Restated Fee Letter (the “Amended Fee Letter”). C. Each of the parties hereto desires to modify the Purchase Agreement upon the terms hereof. NOW, THEREFORE, in consideration of the mutual agreements herein contained, and for other good and valuable consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto hereby agree as follows: AGREEMENT SECTION 1. Definitions. Capitalized terms used and not otherwise defined herein are used with the meanings set forth, or incorporated by reference, in the Purchase Agreement. SECTION 2. Amendments to the Purchase Agreement. Exhibit I of the Purchase Agreement is hereby amended as follows: (a) The definition of “Liquidity Termination Date” is hereby amended by replacing the date “August 9, 2019” where it appears therein with the date “August 7, 2020”. 733057974 10446458

(b) Clause (ii) of the definition of “Net Portfolio Balance” is hereby amended by deleting the percentage “7.5%” where it appears therein and substituting the percentage “10.0%” therefor. (c) Clause (iii) of the definition of “Net Portfolio Balance” is hereby amended by deleting the percentage “1.5%” where it appears therein and substituting the percentage “0.5%” therefor. (d) Clause (iv) of the definition of “Net Portfolio Balance” is hereby amended by deleting the percentage “2.0%” where it appears therein and substituting the percentage “0.5%” therefor. SECTION 3. Conditions to Effectiveness. The amendments set forth above shall be effective as of the date hereof upon the satisfaction of the following conditions precedent: (a) Execution of Amendment. The Agent shall have received counterparts of this Amendment, duly executed by each of the parties hereto. (b) Execution of Amended Fee Letter. The Agent shall have received counterparts of the Amended Fee Letter, duly executed by each of the parties thereto. (c) Renewal Fee. The Agent shall have received confirmation from each Purchaser Agent that the “Renewal Fee” (as defined in the Amended Fee Letter) payable to such Purchaser Agent under the Amended Fee Letter has been paid in full in accordance with the terms of the Amended Fee Letter. (d) Monthly Report. The Agent shall have a pro forma Monthly Report prepared after giving effect to the transactions contemplated by this Amendment. (e) Representations and Warranties. As of the date hereof, both before and after giving effect to this Amendment, all of the representations and warranties contained in the Purchase Agreement and in each other Transaction Document shall be true and correct as though made on and as of the date hereof. (f) No Amortization Event or Potential Amortization Event. As of the date hereof, both before and after giving effect to this Amendment, no Amortization Event or Potential Amortization Event shall have occurred and be continuing. SECTION 4. Certain Representations and Warranties. Each of the Seller and the Servicer hereby represents and warrants to each of the other parties hereto that: (a) Both before and after giving effect to this Amendment, all of its respective representations and warranties contained in the Purchase Agreement and each other Transaction Document to which it is a party are true and correct as though made on and as of the date hereof. (b) The execution and delivery by it of this Amendment, and the performance of its obligations under this Amendment, the Purchase Agreement (as amended hereby) and the other Transaction Documents to which it is a party are within itscorporate powers and have been duly 733057974 10446458 2

authorized by all necessary corporate action on its part, and this Amendment, the Purchase Agreement (as amended hereby) and the other Transaction Documents to which it is a party are its valid and legally binding obligations, enforceable in accordance with its terms, subject to the effect of bankruptcy, insolvency, reorganization or other similar laws affecting the enforcement of creditors’ rights generally. (c) No Amortization Event or Potential Amortization Event has occurred and is continuing, or would occur as a result of this Amendment or the transactions contemplated hereby. SECTION 5. References to and Effect on the Purchase Agreement and the other Transaction Documents. (a) From and after the effectiveness of this Amendment, each reference in the Purchase Agreement to “this Agreement”, “hereof”, “herein”, “hereunder” or words of like import, and each reference in each of the other Transaction Documents to the “Receivables Purchase Agreement”, “thereunder”, “thereof” or words of like import, in each case referring to the Purchase Agreement, shall mean and be, a reference to the Purchase Agreement, as amended hereby. (b) The Purchase Agreement (except as specifically amended herein) and the other Transaction Documents are hereby ratified and confirmed in all respects by each of the parties hereto and shall remain in full force and effect in accordance with its respective terms. (c) The execution, delivery and effectiveness of this Amendment shall not, except as expressly provided herein, operate as a waiver of or amendment to, any right, power or remedy of the Agent, any Conduit, any Financial Institution or any Purchaser Agent under, nor constitute a waiver of or amendment to, any other provision or condition under, the Purchase Agreement or any other Transaction Document. SECTION 6. Reaffirmation of Performance Undertaking. After giving effect to this Amendment, all of the provisions of the Performance Undertaking shall remain in full force and effect and the Performance Provider hereby ratifies and affirms the Performance Undertaking and acknowledges that the Performance Undertaking has continued and shall continue in full force and effect in accordance with its terms. SECTION 7. Costs and Expenses. Seller shall reimburse Agent, each Purchaser Agent and each Conduit on demand for all costs and out-of-pocket expenses in connection with the preparation, negotiation, arrangement, execution, delivery, enforcement and administration of this Amendment, the transactions contemplated hereby and the other documents to be delivered hereunder or in connection herewith, including reasonable fees and out-of-pocket expenses of legal counsel for any Conduit, any Purchaser Agent and/or Agent with respect thereto. 733057974 10446458 3

SECTION 8. Miscellaneous. (a) GOVERNING LAW. THIS AMENDMENT SHALL BE GOVERNED BY, AND CONSTRUED IN ACCORDANCE WITH, THE LAWS OF THE STATE OF ILLINOIS. (b) JURISDICTION. EACH OF THE SELLER AND THE SERVICER HEREBY IRREVOCABLY SUBMITS TO THE NON-EXCLUSIVE JURISDICTION OF ANY UNITED STATES FEDERAL OR ILLINOIS STATE COURT SITTING IN CHICAGO, ILLINOIS IN ANY ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO THIS AMENDMENT OR ANY DOCUMENT EXECUTED BY SUCH PERSON PURSUANT TO THIS AMENDMENT AND EACH OF THE SELLER AND THE SERVICER HEREBY IRREVOCABLY AGREES THAT ALL CLAIMS IN RESPECT OF SUCH ACTION OR PROCEEDING MAY BE HEARD AND DETERMINED IN ANY SUCH COURT AND IRREVOCABLY WAIVES ANY OBJECTION IT MAY NOW OR HEREAFTER HAVE AS TO THE VENUE OF ANY SUCH SUIT, ACTION OR PROCEEDING BROUGHT IN SUCH A COURT OR THAT SUCH COURT IS AN INCONVENIENT FORUM. (c) WAIVER OF JURY TRIAL. EACH PARTY HERETO HEREBY WAIVES TRIAL BY JURY IN ANY JUDICIAL PROCEEDING INVOLVING, DIRECTLY OR INDIRECTLY, ANY MATTER (WHETHER SOUNDING IN TORT, CONTRACT OR OTHERWISE) IN ANY WAY ARISING OUT OF, RELATED TO, OR CONNECTED WITH THIS AMENDMENT. (d) Transaction Documents. This Amendment is a Transaction Document executed pursuant to the Purchase Agreement and shall be construed, administered and applied in accordance with the terms and provisions thereof. (e) Integration. This Amendment, together with the Purchase Agreement, contains the final and complete integration of all prior expressions by the parties hereto with respect to the subject matter hereof and shall constitute the entire agreement among the parties hereto with respect to the subject matter hereof superseding all prior oral or written understandings. (f) Severability. If any one or more of the agreements, provisions or terms of this Amendment shall for any reason whatsoever be held invalid or unenforceable, then such agreements, provisions or terms shall be deemed severable from the remaining agreements, provisions and terms of this Amendment and shall in no way affect the validity or enforceability of the provisions of this Amendment. (g) Counterparts. This Amendment may be executed in any number of counterparts, and by the different partieshereto on separate counterparts, each of which shall constitute an original, but all together shall constitute one and the same agreement. Delivery of an executed counterpart hereof by facsimile, email or other electronic means shall be deemed to be an original. (h) Headings. The captions and headings of this Amendment are included herein for convenience of reference only and shall not affect the interpretation of this Amendment. [remainder of page intentionally left blank; signature pages follow] 733057974 10446458 4

IN WITNESS WHEREOF, the parties hereto have executed this Amendment by their duly authorized officers as of the date first above written. MUFG BANK, LTD., as the Agent By: Name: Title: MUFG BANK, LTD., as a Financial Institution By: Name: Title: MUFG BANK, LTD., as a Purchaser Agent By: Name: Title: VICTORY RECEIVABLES CORPORATION, as a Conduit By: Name: hÉîáå=gK=`çêêáÖ~å Title: sáÅÉ=mêÉëáÇÉåí 733057974 10446458 S-1 Amendment No. 15 to 3rd A&R RPA

Exhibit 10.2 EXECUTION VERSION (PDC Funding II LLC) TWELFTH AMENDMENT TO THE AMENDED AND RESTATED CONTRACT PURCHASE AGREEMENT This TWELFTH AMENDMENT TO THE AMENDED AND RESTATED CONTRACT PURCHASE AGREEMENT (this “Amendment” is entered into as of August 2, 2019 by and among PDC FUNDING COMPANY II, LLC, a Minnesota limited liability company (the “Seller”), PATTERSON COMPANIES, INC., a Minnesota corporation, as servicer (the “Servicer”) and FIFTH THIRD BANK, an Ohio banking corporation, as purchaser (in such capacity, the “Purchaser”) and as agent (in such capacity, the “Agent”). Capitalized terms used but not otherwise defined herein have the respective meanings assigned thereto in the Contract Purchase Agreement described below. WITNESSETH: WHEREAS, the parties hereto have entered into that certain Amended and Restated Contract Purchase Agreement, dated as of August 12, 2011 (as amended, supplemented or otherwise modified from time to time, the “Contract Purchase Agreement”); WHEREAS, the parties hereto desire to further amend the Contract Purchase Agreement as set forth herein; NOW, THEREFORE, in exchange for good and valuable consideration (the receipt and sufficiency of which are hereby acknowledged and confirmed), the parties hereto agree as follows: AGREEMENT: 1. Amendments to the Contract Purchase Agreement. The Contract Purchase Agreement is hereby amended as shown on the marked pages set forth on Exhibit A hereto. 2. Representations and Warranties. In order to induce the parties hereto to enter into this Amendment, each of the Seller and the Servicer represents and warrants as follows: (a) the representations and warranties made by such Person in the Contract Purchase Agreement and the other Transaction Documents to which it is a party are true and correct as of the date hereof (unless stated to relate solely to an earlier date, in which case such representations or warranties were true and correct as of such earlier date); (b) the execution and delivery by such Person of this Amendment, and the performance of each of its obligations under this Amendment and the Contract Purchase Agreement, as amended hereby, are within each of its organizational powers and have been duly authorized by all necessary organizational action on its part; 733016380 11089703

(c) this Amendment and the Contract Purchase Agreement, as amended hereby, constitute, the legal, valid and binding obligations of such Person enforceable against such Person in accordance with their terms, except as enforceability may be limited by bankruptcy, insolvency, reorganization, or other similar laws affecting the enforcement of creditors’ rights generally and by general principles of equity, regardless of whether such enforceability is considered in a proceeding in equity or at law; and (d) immediately after giving effect to this Amendment, no Amortization Event or Potential Amortization Event has occurred which is continuing. 3. Reference to, and Effect on, the Contract Purchase Agreement. Except as specifically amended hereby, the Contract Purchase Agreement and the other Transaction Documents shall remain in full force and effect and are hereby ratified and confirmed. After this Amendment becomes effective, all references in the Contract Purchase Agreement (or in any other Transaction Document) to “this Agreement”, “hereof”, “herein” or words of similar effect referring to the Contract Purchase Agreement shall be deemed to be references to the Contract Purchase Agreement as amended by this Amendment. This Amendment shall not be deemed, either expressly or impliedly, to waive, amend or supplement any provision of the Contract Purchase Agreement other than as set forth herein. 4. Conditions to Effectiveness. This Amendment shall be effective as of the date first above written upon the Agent’s receipt of: (a) counterparts to this Amendment duly executed by each of the parties hereto; (b) duly executed counterparts of that certain Eighth Amended and Restated Fee Letter, dated as of the date hereof, by and among the Agent, the Purchaser and the Seller; (c) confirmation that the “Upfront Fee” payable pursuant to the above- described Eighth Amended and Restated Fee Letter has been paid in full in accordance with the terms of such Eighth Amended and Restated Fee Letter; and (d) reasonable legal fees due and payable on or prior to the date hereof. 5. Counterparts. This Amendment may be executed in any number of counterparts and by different parties on separate counterparts, each of which when so executed shall be deemed to be an original and all of which when taken together shall constitute but one and the same instrument. Delivery by facsimile or email of an executed signature page of this Amendment shall be effective as delivery of an originally executed counterpart hereof. 6. GOVERNING LAW. THIS AMENDMENT SHALL BE DEEMED TO BE A CONTRACT MADE UNDER AND GOVERNED BYTHE INTERNAL LAWS OF THE STATE OF ILLINOIS. 2 733016380 11089703

7. Headings. The various headings of this Amendment are included for convenience only and shall not affect the meaning or interpretation of this Amendment, the Contract Purchase Agreement or any provision hereof or thereof. 8. Expenses. Without limiting any obligations of the Seller under the Transaction Documents (including without limitation, under Section 10.3 of the Contract Purchase Agreement), the Seller shall pay on demand all out-of-pocket costs and expenses (including reasonable fees and expenses of counsel) incurred by the Agent and the Purchaser with respect to the preparation, negotiation, execution and delivery of this Amendment. [Signature pages follow.] 3 733016380 11089703

Exhibit A (Attached) 733016380 11089703

EXHIBIT A to EleventhTwelfth Amendment, dated as of December 14, 2018August 2, 2019 AMENDED AND RESTATED CONTRACT PURCHASE AGREEMENT dated as of August 12, 2011 among PDC FUNDING COMPANY II, LLC, as Seller, PATTERSON COMPANIES, INC., as Servicer, THE PURCHASERS PARTY HERETO, and FIFTH THIRD BANK, as Agent 733016439 11089703

TABLE OF CONTENTS Page ARTICLE I PURCHASE ARRANGEMENTS 1 Section 1.1 Purchase Facility 1 Section 1.2 Increases; Sale of Asset Portfolio 2 Section 1.3 Decreases 3 Section 1.4 Payment Requirements 3 Section 1.5 Deemed Exchange 3 Section 1.6 RPA Deferred Purchase Price 4 ARTICLE II PAYMENTS AND COLLECTIONS 4 Section 2.1 Payments 4 Section 2.2 Collections Prior to Amortization 4 Section 2.3 Collections Following Amortization 6 Section 2.4 Ratable Payments 7 Section 2.5 Payment Rescission 7 Section 2.6 Maximum Purchases In Respect of the Asset Portfolio 8 Section 2.7 Clean-Up Call; Limitation on Payments 8 Section 2.8 Investment of Collections in Second-Tier Account 8 ARTICLE III [INTENTIONALLY OMITTED.] 9 ARTICLE IV PURCHASER FUNDING 9 Section 4.1 Purchaser Yield FundsFunding 9 Section 4.2 Purchaser Yield Payments 9 Section 4.3 Selection and Continuation of Rate Tranche Periods 9 Section 4.4 Purchaser Discount Rates 10 Section 4.5 Suspension of the LIBO Rate 10 Section 4.6 Extension of Purchase Termination Date 10 Section 4.7 Inability to Determine LIBO Rate 12 ARTICLE V REPRESENTATIONS AND WARRANTIES 1213 Section 5.1 Representations and Warranties of the Seller Parties 1213 ARTICLE VI CONDITIONS OF PURCHASES 1617 Section 6.1 Conditions Precedent to Initial Purchase and Deemed Exchange 1617 Section 6.2 Conditions Precedent to All Purchases 1617 ARTICLE VII COVENANTS 1718 Section 7.1 Affirmative Covenants of The Seller Parties 1718 Section 7.2 Negative Covenants of The Seller Parties 25 Section 7.3 Hedging Agreements 2627 ARTICLE VIII ADMINISTRATION AND COLLECTION 28 733016439 11089703 i

TABLE OF CONTENTS (continued) Page Section 8.1 Designation of Servicer 28 Section 8.2 Duties of Servicer 2829 Section 8.3 Collection Notices 30 Section 8.4 Responsibilities of Seller 3031 Section 8.5 Reports 3031 Section 8.6 Servicing Fees 3031 ARTICLE IX AMORTIZATION EVENTS 31 Section 9.1 Amortization Events 31 Section 9.2 Remedies 33 ARTICLE X INDEMNIFICATION 3334 Section 10.1 Indemnities by The Seller Parties 3334 Section 10.2 Increased Cost and Reduced Return 36 Section 10.3 Other Costs and Expenses 37 Section 10.4 [Reserved.] 3738 Section 10.5 [Reserved.] 3738 Section 10.6 Required Rating 3738 ARTICLE XI AGENT 38 Section 11.1 Authorization and Action 38 Section 11.2 Delegation of Duties 38 Section 11.3 Exculpatory Provisions 3839 Section 11.4 Reliance by Agent 39 Section 11.5 Non-Reliance on Agent and Other Purchasers 39 Section 11.6 Reimbursement and Indemnification 3940 Section 11.7 Agent in its Individual Capacity 3940 Section 11.8 Successor Agent 3940 ARTICLE XII ASSIGNMENTS; PARTICIPATIONS 40 Section 12.1 Assignments 40 Section 12.2 Participations 41 Section 12.3 Federal Reserve 41 ARTICLE XIII [Reserved.] 4142 ARTICLE XIV MISCELLANEOUS 4142 Section 14.1 Waivers and Amendments 4142 Section 14.2 Notices 4243 Section 14.3 Ratable Payments 43 Section 14.4 Protection of Ownership Interests of the Purchasers 43 Section 14.5 Confidentiality 44 Section 14.6 Bankruptcy Petition 44 733016439 11089703 ii

TABLE OF CONTENTS (continued) Page Section 14.7 Limitation of Liability 4445 Section 14.8 CHOICE OF LAW 45 Section 14.9 CONSENT TO JURISDICTION 45 Section 14.10 WAIVER OF JURY TRIAL 45 Section 14.11 Integration; Binding Effect; Survival of Terms 4546 Section 14.12 Counterparts; Severability; Section References 46 Section 14.13 [Reserved] 46 Section 14.14 Characterization 46 Section 14.15 [Reserved.] 4647 Section 14.16 Intercreditor Agreement 47 Section 14.17 Confirmation and Ratification of Terms 47 Section 14.18 Consent 48 733016439 11089703 iii

EXHIBITS Exhibit I - Definitions Exhibit II - Form of Purchase Notice Exhibit III - Places of Business of the Seller Parties; Locations of Records; Federal Employer Identification Number(s) Exhibit IV - Names of Collection Banks; Collection Accounts Exhibit V - Form of Compliance Certificate Exhibit VI - Form of Collection Account Agreement Exhibit VII - Form of Assignment Agreement Exhibit VIII - Credit and Collection Policy Exhibit IX - Form of Contract(s) Exhibit X - Form of Monthly Report Exhibit XI - Form of Performance Undertaking Exhibit XII - Form of Postal Notice SCHEDULES Schedule A - Commitments and Payment Addresses Schedule B - Documents to be delivered to Agent and Each Purchaser on or prior to the Initial Purchase Schedule C - Payment Instructions iv733016439 11089703 iv

Portfolio (each such cash payment, a “Purchase”), on behalf of each Purchaser and from time to time in an aggregate amount not to exceed at such time (i) in the case of each Purchaser, its Commitment and (ii) in the aggregate, the lesser of (A) the Purchase Limit and (B) the aggregate amount of the Commitments. Any amount not paid for the Asset Portfolio hereunder as Cash Purchase Price shall be paid to Seller as the RPA Deferred Purchase Price pursuant to, and only to the extent required by, the priority of payments set forth in Sections 2.2(b) and (c) and otherwise pursuant to the terms of this Agreement (including Section 2.6). (b) Seller may, upon at least 10 Business Days’ prior notice to Agent and each Purchaser, terminate in whole or reduce in part, ratably among the Purchasers, the unused portion of the Purchase Limit; provided that (i) each partial reduction of the Purchase Limit shall be in an amount equal to $5,000,000 or an integral multiple thereof and (ii) the aggregate of the Commitments for all of the Purchasers shall also be terminated in whole or reduced in part, ratably among the Purchasers, by an amount equal to such termination or reduction in the Purchase Limit. Section 1.2 Increases; Sale of Asset Portfolio. (a) (a) Increases. Seller shall provide Agent and each Purchaser with at least two Business Days’ prior notice in a form set forth as Exhibit II hereto of each Purchase (a “Purchase Notice”). Seller shall send such Purchase Notice by telecopier or email specifying (i) the date of such Purchase which, in the case of any Purchase (after the initial Purchase and Deemed Exchange hereunder), must be at least one Business Day after such notice is received by the applicable Purchaser, (ii) each Purchaser’s Pro Rata Share of the aggregate Cash Purchase Price in respect of such Receivables, Related Security and Collections and (iii) the requested Discount Rate and the requested Rate Tranche Period. Each Purchase Notice shall be subject to Section 6.2 hereof and, except as set forth below, shall be irrevocable, shall specify a Cash Purchase Price that is not less than $5,000,000 and in additional increments of $100,000 and, in the case of a Purchase, the requested Discount Rate and Rate Tranche Period and shall be accompanied by a current listing of all Receivables (including any Receivables to be purchased by Seller under the Receivables Sale Agreement on the date of such Purchase specified in such Purchase Notice). On the date of each Purchase, upon satisfaction of the applicable conditions precedent set forth in Article VI and the conditions set forth in this Section 1.2(a), the Purchasers shall deposit to the Facility Account, inimmediately available funds, no later than 1:00 p.m. (Eastern Standard time), an amount equal to such Purchaser’s Pro Rata Share of the aggregate Cash Purchase Price of the Receivables, Related Security and Collections. Each Purchaser’s obligation shall be several, such that the failure of any Purchaser to make available to Seller any funds in connection with any Purchase shall not relieve any other Purchaser of its obligation, if any, hereunder to make funds available on the date of such Purchase, but no Purchaser shall be responsible for the failure of any other Purchaser to make funds available in connection with any Purchase. (b) Sale of Asset Portfolio. In accordance with Sections 1.1(a) and 1.2(a), Seller hereby sells, assigns and transfers to Agent (on behalf of Purchasers), for the related Cash Purchase Price and the RPA Deferred Purchase Price, effective on and as of the date of each Purchase by any Purchaser hereunder, all of its right, title and interest in, to and under all Receivables and the Related Security and Collections relating to such Receivables (other than 2733016439 11089703 2

Portfolio Balance shall at no time be less than the sum of (i) the Aggregate Capital at such time, plus (ii) the Credit Enhancement at such time. If, on any date of determination, the sum of (i) the Aggregate Capital, plus (ii) the Credit Enhancement exceeds the Net Portfolio Balance, in each case at such time, Seller shall pay to the Purchasers within one (1) Business Day an amount to be applied to reduce the Aggregate Capital (allocated ratably based on the ratio of each Purchaser’s Capital at such time to the Aggregate Capital at such time), such that after giving effect to such payment, the Net Portfolio Balance equals or exceeds the sum of (i) the Aggregate Capital, plus (ii) the Credit Enhancement, in each case at such time; provided however, that if on any Settlement Date, the Net Portfolio Balance is less than the sum of (i) the Aggregate Capital, plus (ii) the Credit Enhancement, in each case at such time, the payment in full of the amount required by the previous sentence shall be made prior to any distributions are made pursuant to Section 2.2(b). Section 2.7 Clean-Up Call; Limitation on Payments. (a) (a) Clean Up Call. In addition to Seller’s rights pursuant to Section 1.3, Seller shall have the right (after providing at least 2 Business Days’ written notice to Agent and each Purchaser), at any time following the reduction of the Aggregate Capital to a level that is less than 10.0% of the Purchase Limit as of the date hereof, to repurchase from the Purchasers all, but not less than all, of the Asset Portfolio at such time. The purchase price in respect thereof shall be an amount equal to the Aggregate Unpaids through the date of such repurchase, payable in immediately available funds. Such repurchase shall be without representation, warranty or recourse of any kind by, on the part of, or against any Purchaser or Agent. If, at any time, Servicer is not Seller or an Affiliate of Seller, Seller may waive its repurchase rights under this Section 2.7(a) by providing a written notice of such waiver to Agent and each Purchaser. (b) (b) Purchasers’ and Agent’s Limitation on Payments. Notwithstanding any provision contained in this Agreement or any other Transaction Document to the contrary, none of the Purchasers or Agent shall, and none of them shall be obligated (whether on behalf of a Purchaser or otherwise) to, pay any amount to Seller in respect of any portion of the RPA Deferred Purchase Price, except to the extent that Collections are available for distribution to Seller in accordance with this Agreement. Any amount which Agent or a Purchaser is not obligated to pay pursuant to the operation of the preceding sentence shall not constitute a claim (as defined in §101 of the Federal Bankruptcy Code) against, or corporate obligation of, any Purchaser or Agent, as applicable, for any such insufficiency unless and until such amount becomes available for distribution to Seller pursuant to the terms hereof. Section 2.8 Investment of Collections in Second-Tier Account. All amounts from time to time held in, deposited in or credited to, the Second-Tier Account shall be invested by Servicer (as agent for Agent) in Permitted Investments selected in writing by Servicer. All such investments shall at all times be held by or on behalf of Agent for the benefit of the Purchasers and the Hedge Providers, provided, that neither Agent, any Purchaser nor the Hedge Providers shall be held liable in any way by reason of any loss arising from the investment of amounts on deposit in the Second-Tier Account in Permitted Investments. All income or other gain from investment of monies deposited in or credited to the Second-Tier Account shall be deposited in or credited to the Second-Tier Account immediately upon receipt, and any loss resulting from such investment shall be charged thereto. Any net income from such investments 8733016439 11089703 8

effect for its benefit with respect to the Capital held by such Purchaser prior to its termination as a Purchaser. Section 4.7 Inability to Determine LIBO Rate. (a) (i) In the event, the Agent shall determine (which determination shall be deemed presumptively correct absent manifest error) that (a) the circumstances set forth in Section 4.5(ii) have arisen and such circumstances are unlikely to be temporary; (b) a public statement or publication of information (1) by or on behalf of the administrator of the LIBO Rate; or by the regulatory supervisor for the administrator of the LIBO Rate, the U.S. Federal Reserve System, an insolvency official with jurisdiction over the administrator for the LIBO Rate, a resolution authority with jurisdiction over the administrator for the LIBO Rate or a court or an entity with similar insolvency or resolution authority over the administrator for the LIBO Rate; in each case which states that such administrator has ceased or will cease to provide the LIBO Rate, permanently or indefinitely, provided that, at the time of the statement or publication, there is no successor administrator that will continue to provide the LIBO Rate, (2) by the administrator of the LIBO Rate that it has invoked or will invoke, permanently or indefinitely, its insufficient submissions policy, or (3) by the regulatory supervisor for the administrator of the LIBO Rate or any governmental authority having jurisdiction over the Agent announcing that the LIBO Rate is no longer representative or may no longer be used; (c) the LIBO Rate rate is not published by the administrator of the LIBO Rate for five (5) consecutive Business Days and such failure is not the result of a temporary moratorium, embargo or disruption declared by the administrator of the LIBO Rate or by the regulatory supervisor for the administrator of the LIBO Rate; or (d) a new index rate has become a widely-recognized replacement benchmark rate for the LIBO Rate in newly originated loans denominated in U.S. dollars in the U.S. market; then, the Agent may, in consultation with the Seller amend this Agreement as described below to replace the LIBO Rate with an alternative benchmark rate, and make other related amendments, in each case giving due consideration to any evolving or then existing convention for similar U.S. dollar denominated credit facilities, or any selection, endorsement or recommendation by a relevant governmental body with respect to such facilities (ii) the Agent shall provide notice to the Seller of an amendment of this Agreement to reflect the replacement index, adjusted margins and such other related amendments as may be appropriate, in the sole discretion of theAgent, for the implementation and administration of the replacement index-based rate. Notwithstanding anything to the contrary in this Agreement or the other Transaction Documents (including, without limitation, Section 14.1), such amendment shall become effective without any further action or consent of any other party to this Agreement upon delivery of notice to the Seller; and (iii) for the avoidance of doubt, following the date when a determination is made pursuant to Section 4.7(a)(i) above and until a replacement index has been selected and implemented in accordance with the terms and conditions of Section 4.7(a)(ii) above, all Capital shall accrue interest at, and the Discount Rate shall be, the Alternate Base Rate. (b) Notwithstanding anything to the contrary contained herein, if at any time the replacement index is less than zero, then at such times, such index shall be deemed to be zero for purposes of this Agreement. 12733016439 11089703 12

(w) Accounting. The manner in which such Seller Party accounts for the transactions contemplated by this Agreement and the Receivables Sale Agreement does not jeopardize the true sale analysis. (x) Prior Agreement. As of the date hereof, no Termination Event (as defined in the Prior Agreement) or Unmatured Termination Event (as defined in the Prior Agreement) has occurred and is continuing under the Prior Agreement and no default under any of the “Transaction Documents” (as defined in the Prior Agreement) has occurred and is continuing. (y) Beneficial Ownership Regulation. As of the Twelfth Amendment Date, the Seller is an entity that is organized under the laws of the State of Minnesota and at least 51% of its common stock or analogous equity interests is owned directly or indirectly by a company whose common stock or analogous equity interests are listed on the NASDAQ Global Select Market (as successor to the NASDAQ National Market) and is excluded on that basis from the definition of “Legal Entity Customer” as defined in the Beneficial Ownership Regulation. ARTICLE VI CONDITIONS OF PURCHASES Section 6.1 Conditions Precedent to Initial Purchase and Deemed Exchange. Each of the initial Purchase and the Deemed Exchange under this Agreement are subject to the conditions precedent that (a) Agent shall have received on or before the date of such Purchase those documents listed on Schedule B, (b) each Purchaser shall have received all fees and expenses required to be paid on or prior to such date pursuant to the terms of this Agreement and/or any Fee Letter, (c) Seller shall have marked its books and records with a legend satisfactory to Agent identifying Agent’s interest therein, (d) Agent shall have completed to its satisfaction a due diligence review of each Originator’s and Seller’s billing, collection and reporting systems and other items related to the Receivables and (e) each of the Purchasers shall have received the approval of its credit committee of the transactions contemplated hereby. Section 6.2 Conditions Precedent to All Purchases. Each Purchase (including the initial Purchase and the Deemed Exchange) shall be subject to the further conditions precedent that in the case of each such Purchase: (a) Servicer shall have delivered to Agent and each Purchaser on or prior to the date of such Purchase, in form and substance satisfactory to Agent and each Purchaser all Monthly Reports as and when due under Section 8.5, and upon Agent’s or any Purchaser’s request, Servicer shall have delivered to Agent and each Purchaser at least three (3) days prior to such Purchase an interim Monthly Report showing theamount of Eligible Receivables; (b) the Facility Termination Date shall not have occurred; (c) Agent and each Purchaser shall have received a duly executed Purchase Notice and such other approvals, opinions or documents as Agent or any Purchaser may reasonably request, (d) if required to be in effect pursuant to Section 7.3, the Hedging Agreements shall be in full force and effect and (e) on the date of each such Purchase, the following statements shall be true (and acceptance of the proceeds of such Purchase shall be deemed a representation and warranty by Seller that such statements are then true): 17733016439 11089703 17

terms of, the Receivables Sale Agreement, including, without limitation, the terms relating to the amount and timing of payments to be made to such Originator in respect of the purchase price for such Receivable. (n) Certificate of Beneficial Ownership. Promptly following the occurrence of any change that would result in a change to the status as an excluded “Legal Entity Customer” under the Beneficial Ownership Regulation or upon the Agent’s request therefor notwithstanding the Seller’s status as an excluded “Legal Entity Customer”, the Seller shall execute and deliver to the Agent a Certificate of Beneficial Ownership. Section 7.2 Negative Covenants of The Seller Parties. Until the date on which the Aggregate Unpaids have been indefeasibly paid in full and this Agreement terminates in accordance with its terms, each Seller Party hereby covenants, as to itself, that: (a) Name Change, Offices and Records. Such Seller Party will not change its name, jurisdiction of organization, identity or organizational structure (within the meaning of Sections 9-503 and/or 9-507 of the UCC of all applicable jurisdictions) or relocate its chief executive office, principal place of business or any office where Records are kept unless it shall have: (i) given Agent and each Purchaser at least forty-five (45) days’ prior written notice thereof and (ii) delivered to Agent all financing statements, instruments and other documents requested by Agent and each Purchaser in connection with such change or relocation. (b) Change in Payment Instructions to Obligors. Except as may be required by Agent pursuant to Section 8.2(b), such Seller Party will not add or terminate any bank as a Collection Bank, or make any change in the instructions to Obligors regarding payments to be made to any Lock-Box, P.O. Box or Collection Account, unless Agent and each Purchaser shall have received, at least ten (10) days before the proposed effective date therefor, (i) written notice of such addition, termination or change and (ii) with respect to the addition of a Collection Bank or a Collection Account, P.O. Box or Lock-Box, an executed Collection Account Agreement with respect to the new Collection Account or Lock-Box or P.O. Box; provided, however, that Servicer may make changes in instructions to Obligors regarding payments if such new instructions require such Obligor to make payments to another existing Collection Account. (c) Modifications to Contracts and Credit and Collection Policy. Such Seller Party will not make any change to the Credit and Collection Policy that could adversely affect the collectibility of the Receivables or decrease the credit quality of any newlycreated Receivables. Except as provided in Section 8.2(d), Servicer will not extend, amend or otherwise modify the terms of any Receivable or any Contract related thereto other than in accordance with the Credit and Collection Policy. (d) Sales, Liens. Seller will not sell, assign (by operation of law or otherwise) or otherwise dispose of, or grant any option with respect to, or create or suffer to exist any Adverse Claim upon (including, without limitation, the filing of any financing statement) or with respect to, any Receivable, Related Security or Collections, or upon or with respect to any Contract under which any Receivable arises, or any Lock-Box, P.O. Box or Collection Account, or assign any right to receive income with respect thereto (other than, in each case, the creation of the interests therein in favor of Agent and the Purchasers provided for herein), and Seller will 26733016439 11089703 26

(a) Seller, Servicer, Agent and each Purchaser hereby covenants and agrees that, prior to the date that is one year and one day after the payment in full of all outstanding senior indebtedness of any Purchaser that is a special purpose bankruptcy remote entity, it will not institute against, or join any other Person in instituting against any Purchaser or any such entity any bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings or other similar proceeding under the laws of the United States or any state of the United States. (b) (b) Servicer hereby covenants and agrees that, prior to the date that is one year and one day after the payment in full of all Obligations of Seller, it will not institute against, or join any other Person in instituting against, Seller any bankruptcy, reorganization, arrangement, insolvency or liquidation proceedings or other similar proceeding under the laws of the United States or any state of the United States. Section 14.7 Limitation of Liability. Except with respect to any claim arising out of the willful misconduct or gross negligence of Agent or any Purchaser, no claim may be made by any Seller Party or any other Person against Agent or any Purchaser or their respective Affiliates, directors, officers, employees, attorneys or agents for any special, indirect, consequential or punitive damages in respect of any claim for breach of contract or any other theory of liability arising out of or related to the transactions contemplated by this Agreement, or any act, omission or event occurring in connection therewith; and each Seller Party hereby waives, releases and agrees not to sue upon any claim for any such damages, whether or not accrued and whether or not known or suspected to exist in its favor. Section 14.8 CHOICE OF LAW. THIS AGREEMENT SHALL BE GOVERNED AND CONSTRUED IN ACCORDANCE WITH THE LAWS OF THE STATE OF ILLINOIS. Section 14.9 CONSENT TO JURISDICTION. EACH SELLER PARTY HEREBY IRREVOCABLY SUBMITS TO THE NON-EXCLUSIVE JURISDICTION OF ANY UNITED STATES FEDERAL OR ILLINOIS STATE COURT SITTING IN CHICAGO, ILLINOIS IN ANY ACTION OR PROCEEDING ARISING OUT OF OR RELATING TO THIS AGREEMENT OR ANY DOCUMENT EXECUTED BY SUCH PERSON PURSUANT TO THIS AGREEMENT AND EACH SELLER PARTY HEREBY IRREVOCABLY AGREES THAT ALL CLAIMS IN RESPECT OF SUCH ACTION OR PROCEEDING MAY BE HEARD AND DETERMINED IN ANY SUCH COURT AND IRREVOCABLY WAIVES ANY OBJECTIONIT MAY NOW OR HEREAFTER HAVE AS TO THE VENUE OF ANY SUCH SUIT, ACTION OR PROCEEDING BROUGHT IN SUCH A COURT OR THAT SUCH COURT IS AN INCONVENIENT FORUM. NOTHING HEREIN SHALL LIMIT THE RIGHT OF AGENT OR ANY PURCHASER TO BRING PROCEEDINGS AGAINST ANY SELLER PARTY IN THE COURTS OF ANY OTHER JURISDICTION. ANY JUDICIAL PROCEEDING BY ANY SELLER PARTY AGAINST AGENT OR ANY PURCHASER OR ANY AFFILIATE OF AGENT OR ANY PURCHASER INVOLVING, DIRECTLY OR INDIRECTLY, ANY MATTER IN ANY WAY ARISING OUT OF, RELATED TO, OR CONNECTED WITH THIS AGREEMENT OR ANY DOCUMENT EXECUTED BY SUCH SELLER PARTY PURSUANT TO THIS AGREEMENT SHALL BE BROUGHT ONLY IN A COURT IN CHICAGO, ILLINOIS. 46733016439 11089703 46

WHEREOF, the parties hereto have caused this Agreement to be executed and delivered by their duly authorized officers as of the date hereof. PDC FUNDING COMPANY II, LLC By:________________________________ Name: Karsten R. Williams Title: Vice President and Treasurer Address: PDC Funding Company II, LLC 1031 Mendota Heights Road St. Paul, Minnesota 55120 Attention: Chief Financial Officer Facsimile: (651) 686-8984 PATTERSON COMPANIES, INC., as Servicer By:________________________________ Name: Donald J. Zurbay Title: Chief Financial Officer Address: Patterson Companies, Inc. 1031 Mendota Heights Road St. Paul, Minnesota 55120 Attention: Chief Financial Officer Facsimile: (651) 686-8984 733016439 11089703 S- 1 Amended and Restated Contract Purchase Agreement 733016439 11089703

EXHIBIT I DEFINITIONS As used in this Agreement, the following terms shall have the following meanings (such meanings to be equally applicable to both the singular and plural forms of the terms defined): “2006 ESOP Note” means that certain ESOP Note dated September 11, 2006 payable by the Patterson Companies, Inc. Employee Stock Ownership Trust to the order of Patterson Companies, Inc., a Minnesota corporation, and its permitted successors and assigns (including, without limitation, a debtor in possession on its behalf) and certain of its domestic subsidiaries, in the original principal amount of $105,000,000.00. “3D Cone Receivable” means a Receivable originated by PDSI that arises from the sale or financing (or servicing) of 3D Cone Beam technology. “3D Cone Beam Receivable” means a Receivable originated by PDSI that arises from the sale or financing of 3D Cone Beam technology. “Accrual Period” means each Fiscal Month, provided that the initial Accrual Period hereunder means the period from (and including) the date hereof to (and including) the last day of the Fiscal Month thereafter. “ACH Receipts” means funds received in respect of Automatic Debit Collections. “Acquisition” means any transaction, or any series of related transactions, consummated on or after April 30, 2011, by which PDCo or any of its Subsidiaries (i) acquires any going concern business or all or substantially all of the assets of any Person, or division thereof, whether through purchase of assets, merger or otherwise or (ii) directly or indirectly acquires from one or more Persons (in one transaction or as the most recent transaction in a series of transactions) at least a majority (in number of votes) of the securities of a corporation which have ordinary voting power for the election of directors (other than securities having such power only by reason of the happening of a contingency) or a majority (by percentage or voting power) of the outstanding ownership interests of a partnership or limited liability company of any Person. “Adverse Claim” means a lien, security interest, charge or encumbrance, or other right or claim in, of or on any Person’s assets or properties in favor of any other Person. “Affiliate” means, with respect to any Person, any other Person directly or indirectly controlling, controlled by, or under direct or indirect common control with, such Person or any Subsidiary of such Person. A Person shall be deemed to control another Person if the controlling Person owns 10% or more of any class of voting securities of the controlled Person or possesses, directly or indirectly, the power to direct or cause the direction of the management orpolicies of the controlled Person, whether through ownership of stock, by contract or otherwise. “Agent” has the meaning set forth in the preamble to this Agreement. Exh. I- 1733016439 11089703 Exh. I- 1

“Beneficial Ownership Regulation” means 31 C.F.R. § 1010.230. “Broken Funding Costs” means for any Capital of any Purchaser which: (i) is reduced without compliance by Seller with the notice requirements hereunder or (ii) is otherwise transferred or terminated on the date prior to the date on which it was originally scheduled to end; an amount equal to the excess, if any, of (A) Purchaser Yield that would have accrued during the remainder of the Rate Tranche Periods subsequent to the date of such reduction, assignment, transfer, funding or termination of such Capital if such reduction, assignment, transfer, funding or termination had not occurred, over (B) the income, if any, actually received net of any costs of redeployment of funds during the remainder of such period by the holder of such Capital from investing the portion of such Capital not so allocated. “Business Day” means any day on which banks are not authorized or required to close in New York, New York or Chicago, Illinois and The Depository Trust Company of New York is open for business, and, if the applicable Business Day relates to any computation or payment to be made with respect to the LIBO Rate, any day on which dealings in dollar deposits are carried on in the London interbank market. “Capital” means at any time with respect to the Asset Portfolio and any Purchaser, an amount equal to (A) the amount of Cash Purchase Price paid by such Purchaser to Seller for Purchases pursuant to Sections 1.1 and 1.2, minus (B) the sum of the aggregate amount of Collections and other payments received by Agent or such Purchaser, as applicable, which in each case are applied to reduce such Purchaser’s Capital in accordance with the terms and conditions of this Agreement; provided that such Capital shall be restored (in accordance with Section 2.5) in the amount of any Collections or other payments so received and applied if at any time the distribution of such Collections or payments are rescinded, returned or refunded for any reason. “Cap Strike Rate” means 3.25%, or such other applicable “cap strike rate” approved by Agent and specified as such in the applicable Hedging Agreement in effect at such time. “Cash Purchase Price” means, with respect to any Purchase of any portion of the Asset Portfolio, the amount paid to Seller for such portion of the Asset Portfolio which shall not exceed the least of (i) the amount requested by Seller in the applicable Purchase Notice, (ii) the unused portion of the Purchase Limit on the applicable Purchase date, taking into account any other proposed Purchase requested on the applicable Purchase date and (iii) the excess, if any, of the NetPortfolio Balance (less the Credit Enhancement) on the applicable Purchase date over the aggregate outstanding amount of the Aggregate Capital determined as of the date of the most recent Monthly Report, taking into account any other proposed Purchase requested on the applicable Purchase date. “CEREC Receivable” means a Receivable originated by PDSI that arises from the sale or financing (or servicing) by PDSI of ceramic reconstruction machinery that was manufactured by or on behalf of Sirona Dental Systems, Inc. “Certificate of Beneficial Ownership” means a certification regarding beneficial ownership of the applicant as required by the Beneficial Ownership Regulation. Exh. I- 3733016439 11089703 Exh. I- 3

“P.O. Box” means a locked postal box located in a United States post office to which Obligors remit payments of Receivables. “Postal Notice” means a notice from Patterson Companies, Inc. directing the United States post office where any P.O. Box is located to transfer control of such P.O. Box to Agent, which notice shall be substantially in the form of Exhibit XII. “Potential Amortization Event” means an event which, with the passage of time or the giving of notice, or both, would constitute an Amortization Event. “Prior Agreement” has the meaning set forth in the Preliminary Statements to this Agreement. “Prime Rate” means a rate per annum equal to the prime rate of interest announced from time to time by FTB or its parent (which is not necessarily the lowest rate charged to any customer), changing when and as said prime rate changes. “Principal Collections” means Collections other than Finance Charge Collections. “Proposed Reduction Date” has the meaning set forth in Section 1.3. “Pro Rata Share” means, for each Purchaser, a percentage equal to (i) the Commitment of such Purchaser, divided by (ii) the aggregate amount of all Commitments of all Purchasers. “Purchase” has the meaning set forth in Section 1.1(a). “Purchase Limit” means $100,000,000, as such amount may be modified in accordance with the terms of Section 4.6(b). “Purchase Notice” has the meaning set forth in Section 1.2(a). “Purchase Termination Date” means August 2, 2019,July 31, 2020, as extended by mutual agreement of Seller, Agent and one or more Purchasers. “Purchasers” has the meaning set forth in the preamble in this Agreement. “Purchaser Yield” means for each respective Rate Tranche Period relating to any Capital (or portion thereof) of any of the Purchasers, an amount equal to the product of the applicable Discount Rate for such Capital (or portion thereof) multiplied by the Capital (or portion thereof) of such Purchaser for each day elapsed during such Rate Tranche Period, annualized on a 360 day basis. “Purchasing Purchaser” has the meaning set forth in Section 12.1(b). “Qualified Acquisition” means any acquisition of either or both the capital stock or assets of any Person or Persons (or any portion thereof), or the last to occur of a series of such acquisitions consummated within a period of six consecutive months, if the aggregate amount of indebtedness incurred by the PDCo and its Subsidiaries to finance the purchase price of, or Exh. I-19733016439 11089703 Exh. I-19

“Thompson Note” means that certain Promissory Note dated April 1, 2002 payable by GreatBanc Trust Company, solely in its capacity as trustee of the Thompson Dental Company Employee Stock Ownership Plan and Trust, to the order of Thompson Dental Company, in the original principal amount of $12,611,503.67. “Transaction Documents” means, collectively, this Agreement, the Prior Agreement, each Purchase Notice, the Receivables Sale Agreement, the Performance Undertaking, the Intercreditor Agreement, each Collection Account Agreement, the Hedging Agreements, each Fee Letter, the Subordinated Note (as defined in the Receivables Sale Agreement), the Closing Date Assignment Agreement and all other instruments, documents and agreements executed and delivered in connection herewith or in connection with the Prior Agreement, in each case, as amended, restated, supplemented or otherwise modified from time to time. “Twelfth Amendment Date” means August 2, 2019. “UCC” means the Uniform Commercial Code as from time to time in effect in the specified jurisdiction. “Veterinary Receivable” means a Receivable arising from the sale or financing by Webster of veterinary equipment. “Webster” means Webster Veterinary Supply, Inc., a Minnesota corporation, together with its successors and assigns. All accounting terms defined directly or by incorporation in this Agreement or the Receivables Sale Agreement shall have the defined meanings when used in any certificate or other document delivered pursuant thereto unless otherwise defined therein. For purposes of this Agreement, the Receivables Sale Agreement and all such certificates and other documents, unless the context otherwise requires: (a) accounting terms not specifically defined herein shall be construed in accordance with GAAP; (b) all terms used in Article 9 of the UCC in the State of Illinois, and not specifically defined herein, are used herein as defined in such Article 9; (c) references to any amount as on deposit or outstanding on any particular date means such amount at the close of business on such day; (d) the words “hereof,” “herein” and “hereunder” and words of similar import refer to such agreement (or the certificate or other document in which they are used) as a whole and not to any particular provision of such agreement (or such certificate or document); (e) references to any Section are references to such Section in such agreement (or the certificate or other document in which the reference is made), and references to any paragraph, subsection, clause or other subdivision within any Section or definition refer to such paragraph, subsection, clause or othersubdivision of such Section or definition; (f) the term “including” means “including without limitation”; (g) references to any law, rule, regulation, or directive of any governmental or regulatory authority refer to such law, rule, regulation, or directive, as amended from time to time and include any successor law, rule, regulation, or directive; (h) references to any agreement refer to that agreement as from time to time amended or supplemented or as the terms of such agreement are waived or modified in accordance with its terms; (i) references to any Person include that Person’s successors and assigns; (j) headings are for purposes of reference only and shall not otherwise affect the meaning or interpretation of any provision hereof; (k) unless otherwise provided, in the calculation of time from a specified date Exh. I-24733016439 11089703 Exh. I-24

Exhibit 31.1

Certification of the Chief Executive Officer Pursuant toRule 13a-14(a) or 15d-14(a) under the Securities Exchange Act of 1934, as

adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

I, Mark S. Walchirk, certify that:

1. I have reviewed this quarterly report on Form 10-Q for the period ended October 26, 2019 of Patterson Companies, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of thecircumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results ofoperations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that materialinformation relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which thisreport is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonableassurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accountingprinciples;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosurecontrols and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter ended (theregistrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control overfinancial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the auditcommittee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect theregistrant’s ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: December 5, 2019

/s/ Mark S. WalchirkMark S. WalchirkPresident and Chief Executive Officer

Exhibit 31.2

Certification of the Chief Financial Officer Pursuant toRule 13a-14(a) or 15d-14(a) under the Securities Exchange Act of 1934, as

adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002I, Donald J. Zurbay, certify that:

1. I have reviewed this quarterly report on Form 10-Q for the period ended October 26, 2019 of Patterson Companies, Inc.;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of thecircumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results ofoperations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that materialinformation relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which thisreport is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonableassurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accountingprinciples;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosurecontrols and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter ended (theregistrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control overfinancial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the auditcommittee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect theregistrant’s ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Date: December 5, 2019

/s/ Donald J. ZurbayDonald J. ZurbayChief Financial Officer and Treasurer

Exhibit 32.1

Certification of the Chief Executive Officerpursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906

of the Sarbanes-Oxley Act of 2002In connection with the Quarterly Report of Patterson Companies, Inc., (the “Company”) on Form 10-Q for the quarterly period ended October 26, 2019, as filed with the Securities andExchange Commission on the date hereof (the “Report”), the undersigned officer of the Company certifies, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 ofthe Sarbanes-Oxley Act of 2002, that, to his knowledge:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company and furnished to the Securities andExchange Commission or its staff upon request.

/s/ Mark S. WalchirkMark S. WalchirkPresident and Chief Executive OfficerDecember 5, 2019

Exhibit 32.2

Certification of the Chief Financial Officerpursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906

of the Sarbanes-Oxley Act of 2002In connection with the Quarterly Report of Patterson Companies, Inc., (the “Company”) on Form 10-Q for the quarterly period ended October 26, 2019, as filed with the Securities andExchange Commission on the date hereof (the “Report”), the undersigned officer of the Company certifies, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 ofthe Sarbanes-Oxley Act of 2002, that, to his knowledge:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

A signed original of this written statement required by Section 906 has been provided to the Company and will be retained by the Company and furnished to the Securities andExchange Commission or its staff upon request.

/s/ Donald J. ZurbayDonald J. ZurbayChief Financial Officer and TreasurerDecember 5, 2019

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