AnnualReport

2000

2000

WAL�MARTWAL�MART

DomesticOperationsDrive EarningsGrowth

Retailerof theCentury

Banner Year forInternational ExpansionBanner Year forInternational ExpansionManagement

Q&A:Management

Q&A:

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2000

TABLE OF CONTENTS

On the Cover:The flags of the United States, Mexico and Germanyshow just a few of the places where Everyday LowPrices can now be found.

2. Question & Answer SessionWal-Mart leaders discuss the year’s events and answerthe questions every shareholder wants to ask.

4. Clear Vision, Through Glass David Glass shares his view of the positive role of change.

5. Where the Elite MeetIntroducing a new era of value at SAM’S Club.

6. Wal-Mart’s WorldWal-Mart’s global presence shown in store countsby state and nation.

7. Welcome, Wal-Mart “Clickers”Wal-Mart.com shifts into cyber-speed.

8. Friendly in Any LanguageThe acquisition of ASDA in the United Kingdom is onlya sampling of fiscal year 2000’s international flavors.

12. Celebration of the CenturyDiscount Store News bestows a once-in-a-lifetimehonor upon the Wal-Mart culture.

14. Sam’s Best FriendIt all started with a dog named “Ol’ Roy.” Today,the namesake dog food leads a pack of private-label brands at Wal-Mart.

16. The Gift is in the GivingCommunity involvement and charitable giving set anall-time record.

18. FINANCIALS11-Year SummaryManagement’s Discussion & AnalysisFinancial StatementsCorporate Information

DIRECTORS:John A. Cooper, Jr

Stephen Friedman

Stanley C. Gault

David D. Glass

Roland Hernandez

Dr. Frederick S. Humphries

E. Stanley Kroenke

Elizabeth A. Sanders

H. Lee Scott

Jack C. Shewmaker

Donald G. Soderquist

Dr. Paula Stern

Jose Villarreal

John T. Walton

S. Robson Walton

OFFICERS:S. Robson Walton

Chairman of the Board

H. Lee ScottPresident & CEO

David D. GlassChairman, Executive Committee of the Board

Donald G. SoderquistSenior Vice Chairman

Paul R. CarterExecutive Vice President &President, Wal-Mart Realty

Bob ConnollyExecutive Vice President, Merchandise

Thomas M. CoughlinExecutive Vice President &

President & CEO, Wal-Mart Stores Division

David DibleExecutive Vice President, Specialty Division

Michael DukeExecutive Vice President, Logistics

Thomas GrimmExecutive Vice President &

President & CEO, SAM’S Club

Don HarrisExecutive Vice President, Operations

John B. MenzerExecutive Vice President &

President & CEO, International Division

Coleman PetersonExecutive Vice President, People Division

Thomas M. SchoeweExecutive Vice President & Chief Financial Officer

Robert K. RhoadsSenior Vice President, General Counsel & Secretary

J. J. FitzsimmonsSenior Vice President, Finance & Treasurer

1996 1997

$93.6

7.8%

$104.9

$118.0

1998 1999 2000 1996 1997 1998 1999 2000

1996 1997 1998 1999 2000 1996 1997 1998 1999 2000

Net Sales Earnings Per Share

Return On Assets Return On Shareholders’ Equity

$165.0

$.60$.67

$.78

$.99

$1.21

7.8%7.9%

8.5%

9.6%

19.9%

19.2%

19.8%

22.4%

22.9%

9.8%*

*Reflects ASDA acquisition activities and excludes one-timelitigation charge.

A N N U A L R E P O R T 2 0 0 0

WAL�MARTWAL�MARTFINANCIAL HIGHLIGHTS

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Q Wal-Mart is the largest retailer in the world, with sales of $165

billion last year. With that in mind,how will you continue to growsales and profits into the future?Where will the growth come from?

WALTON: Over the next five years,60 to 70 percent of our growth in salesand earnings will come from thedomestic markets with our Wal-Martstores and Supercenters, and another10–15 percent from SAM’S Club andMcLane. The remaining 20 percent ofthe growth will come from ourplanned growth in the internationalmarkets. This means we have a greatopportunity to drive our growth doingthe things that we do best today in theU.S. market.

Q Wal-Mart stock has been downsince the beginning of the

calendar year. Considering thetremendous growth in sales andearnings last year, what has creat-ed this pressure on the stock?

SODERQUIST: Our sales and earn-ings were up significantly this lastyear, but the market reacts to manymacro-economic pressures, and ourstock, along with that of other retailersand fellow members in the “Dow 30,”is susceptible to those movements.Fortunately, if we continue to perform,we believe that the stock price ulti-mately will track our performance.Over the last three calendar years,Wal-Mart stock has appreciated 70,106 and then 73 percent. This wasclearly an exceptional period of stockgrowth and we commented in each ofthose years that it was probably not

sustainable. However, our objective isto deliver consistent earnings growththat allows the value of our Companyto continue to grow over time.

Q David, you recently announcedyou were stepping down as CEO

to become Chairman of theExecutive Committee. After such a great year, and with greatprospects for the future, whywould you choose to make thismove now?

GLASS: First, let me remind everyonethat I’m not going anywhere; I’ll bearound to give everyone more helpthan they probably would like!Seriously, one of the greatest responsi-bilities of leadership is to ensure theongoing success of an organization,and I believe that my primary duty tomy fellow Associates and shareholdersis to place this Company’s future in thehands of the best possible leaders. Inany relay race there are times whenteammates run in tandem, and some-where in that period the baton ispassed. We have been working togeth-er for some time and this pointappeared right to me to hand thebaton to the next group of leaders andthen run beside them for a while.

Q What is Lee Scott’s backgroundand why does the Company

believe that he is the one to leadthe Company into this new millennium?

GLASS: I first met Lee over 20 yearsago when he was working for a truck-ing firm that serviced Wal-Mart, and

he impressed me so much that wehired him to run our truck fleet. Leeestablished himself as such a tremen-dous leader and innovator in our logistics areas that we asked him tolead our merchandising efforts for theentire buying organization. Over thelast four years he has served asPresident and CEO of the Wal-MartDivision, and most recently, as COOand Vice Chairman of the Company,where he led all of our retail operations worldwide. The one characteristic that may best equip him as a leader is his willingness anddesire to surround himself with pas-sionate and talented people that complement each others’ skills.

Q The International Division iscontinuing to be a growing

piece of the business. What are the prospects for that division, and where are the challenges ofthe future?

SCOTT: The most pleasing news isthat the Wal-Mart culture transcendsinternational boundaries. Customersall over the world want and appreciatevalue, service and broad merchandiseassortments. In less than 10 years, theInternational Division has grown toover 1,000 stores and should exceed$30 billion in sales this year. The excit-ing thing about this division is that it isstill in its infancy. We are serving cus-tomers in nine markets, but there is somuch more opportunity worldwide. Infiscal year 2000, we were very pleasedwith the acquisition of ASDA, whichgave us a major presence in the U.K.;the level of operating performance weexperienced in Canada; and also

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Wal-MartManagementAnswersthe MostFrequentlyAskedShareholderQuestions

Wal-MartManagementAnswersthe MostFrequentlyAskedShareholderQuestions

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improvements we saw in Mexico. We still have a tremendous amount of work to do in some of our new andemerging markets, but the lessons will make us better able to serve ourcustomers in the future.

Q Until Wal-Mart purchasedASDA, you indicated that the

U.K. was not a key priority. Whatchanged your mind, and why didyou make this particular acquisition?

WALTON: ASDA was abusiness we had watchedand admired for years.They had a great manage-ment team, a similar culture,and their philosophy onretailing was almost identi-cal to ours. We didn’t have any immedi-ate plans to go to the U.K., but anothercompany offered to buy ASDA in earlyspring. They were our logical entrypoint into the U.K. and we couldaccomplish the transaction at a pricewhich would produce fair returns toour shareholders. Therefore, we decid-ed it was time for us to go ahead andstep into the market.

Q Is there an update on the statusof the Neighborhood Markets?

SODERQUIST: We ended the yearwith seven Neighborhood Marketstores and we plan to add five to 10more throughout this year. We believethis complements the existingSupercenter strategy and offers extraconvenience. The smaller format alsogives us the flexibility to serve marketswhere we may not have a Supercenterdue to demographic or real estate con-

straints. As with anything we do, customers will ultimately decide if this model serves their needs.

Q Why did you put Wal-Mart.cominto a separate company?

SCOTT: Our opportunity to grow theonline business will be improved bycreating this separate company. Wal-Mart.com will be located inCalifornia, allowing us to attract thebest possible Internet and technology

talent to lead this effort. Under the“dotcom” business, we are establishinga dynamic team that uses the strengthof the Wal-Mart brand, new technolo-gies, our existing store base and current logistics to create a compellingshopping experience for online customers.

Q The U.S. has enjoyed one of thelongest periods of economic

expansion in history. How will Wal-Mart be affected if the economic environment becomesmore difficult?

GLASS: Although there are no cur-rent signs the economy is slowing, acorrection at some point in the futureis possible. Historically, we have pros-pered during such periods, as our cus-tomers become more value conscious.Also, we now have a larger food andpharmacy component to our business,

which will result in less volatility inslower economic environments.

Q Why doesn’t Wal-Mart pay morein dividends to the shareholders?

WALTON: Although we are not neces-sarily a dividend company, we haveincreased our dividend every yearsince 1974, and returned to sharehold-ers over $1 billion in Company profitsthis year. We believe it’s important topay a dividend, but we also think it’sprudent and beneficial for the Company

to reinvest its cash and earn-ings back into its growth. Wehave tremendous opportunitiesto serve new markets with ourStores and Clubs, and newgrowth allows us to support the valuation of our Company.

Q SAM’S Club experienced goodresults this last year. How

can you continue to address thechanging marketplace and remainan industry leader in the ware-house-club business?

SCOTT: SAM’S Club did have a goodyear, with same store sales increases of 6.7% and operating profits of $759million. But we think we can do evenbetter with the warehouse-club business.

We believe we must continue to createexcitement at the Clubs through itemmerchandising, and by providing suchgreat savings and value to people thatthey want to become members andreturn frequently to shop. Our newElite card provides SAM’S Club cus-tomers unmatched buying power innon-traditional service areas, and takes our membership services to anew level. �

Over the next five years,60 to 70 percentof our growth in sales and earnings will

come from our Wal-Mart stores andSupercenters in the domestic markets.

3

David Glass Shows the Way fora New Generation of Leaders

In the entire history of Wal-Mart, wehave had only three CEOs includingthe newly-appointed CEO, Lee Scott.Sam Walton, the Company’s founder,served as CEO until 1988 when DavidGlass assumed the postion. Duringthe 12 years that David held the posi-tion, sales grew from $16 billion to$165 billion.

In this speech to the SAM’S ClubAssociates at the year-beginning meet-ing, David recounts his memories.

This year, I decided to change my role with the Company. I’ve been with Wal-Mart since the mid 1970s and I’veseen a great deal of change along theway. One of my principal responsibili-ties as CEO has been to build the next generation of management sothis Company can rise to the nextlevel of success. And that’s exactlywhat is happening.

Lee Scott, our new President andCEO, will take this Company to thatnext level, along with other talentedleaders like Tom Grimm at SAM’SClub, Tom Coughlin at the Wal-MartDivision and John Menzer internation-ally. And the same goes for our leaders at all levels of the Company.

Simply put, we have a better manage-ment group today in this Companythan we’ve ever had. The managershave momentum, size, resources,experience and good people on theirside, and that’s exciting.

I could have changed roles later andleft soon afterward, but I felt it wastime to start the succession process.Actually, I’m not really going any-where. In fact, I’ll be around to helpeveryone out for just about as long asthey can stand to be helped.

In making changes like this, I can’thelp but reflect on the years that havetranspired. When I came to Wal-Martwe had just finished a year of $340 mil-lion in sales and $12 million in profit.Today, that’s roughly the output of afew SAM’S Clubs, but we were work-ing very hard then to build theCompany. Back then, our competitorswere both bigger and better than wewere. We had to catch up, change,improve and innovate or they wouldsimply run us out of business. Sam ledthis charge.

By the late 1970s, everyone speculat-ed that we couldn’t compete with thebig discounters. No one took us seri-ously, but we worked very hard toimprove. Luckily, there was littleresistance to change in the Companythen and there’s very little today. Westudied our competitors and our strat-egy, and before long, we were betterthan the competition.

The idea we were driving in theCompany was “continuous improve-ment.” These two words describewhat this Company is all about, and

they’ve provided our principal focussince we opened our first store in1962. It took us until 1980 to reach $1 billion in sales. Only 16 years later,we hit $100 billion in sales. That’s howfast this Company has grown.

In 1982, the investment communitysaid we would soon run out of growthopportunities and needed an alternategrowth strategy. We were studying theclub concept at the time, and soon thatalternate growth strategy becameSAM’S Club.

Over time, we developed some of thebest innovations of the wholesale-clubbusiness, including extensive appareland frozen-food lines. But in order tocompete effectively, we also had toimprove continuously. No one wastalking about simply managing theexisting business; we wanted to keepimproving so that we would be betterthan the competition.

When we launched the Supercenterconcept, everyone said it wouldn’twork because we didn’t know any-thing about food. And indeed, our first Supercenter in Washington,Missouri, wasn’t as sharp as the com-petition when it came to food. But we learned from our competitors andmade continuous improvement withinthe Company.

Today, as the Company faces newchallenges and opportunities, theworst thing we can do is to let our-selves think we have “arrived”; for if we do, we’ll let our customers and members down. We have to beable to place a store or club side-by-side with the competition and beatthem every time. That takes continu-ous improvement.

I say all of this just to make this point:If we’re going to reach new heights atWal-Mart, we cannot resist change,and we must dedicate ourselves to thecontinuous improvement of thisCompany. Always. �

“NEVERRESISTCHANGE”

“NEVERRESISTCHANGE”

by David Glass

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5

SAM’S Club is moving into the

new century with a heightened

sense of purpose. That purpose is

to attract and retain members with

an exciting focus on new values

that will build a partnership with

the member.

Among the new values are deli-

cious meat and bakery items,

exciting merchandise and a new

design program for many existing

clubs. But, perhaps the most excit-

ing member benefit is the new

premium value package called the

Elite Membership.

The Elite package offers a

valuable, convenient array of

benefits for SAM’S Club

members — even beyond the

reliable perks of the standard

Advantage and Business

memberships which are cur-

rently enjoyed by more than

38 million card members.

This new service features

other advantages such as

emergency roadside assis-

tance, discounted business

insurance, Internet and

long-distance service, auto

brokerage, coupon

books, member

checks and a phar-

macy card. Also

included in the list

of Elite services is a

special membership rate with

Telebank where members can

benefit from excellent rates on

certifcates of deposit, money-mar-

ket and interest-bearing checking

accounts. And, it provides this

amazing average value of over

$1,700 to the member for an annu-

al membership fee of only $100.

“The SAM’S Club card has become

the most valuable card in our mem-

ber’s wallets – especially with the

new Elite benefits,” says Tom

Grimm, President and Chief

Executive Officer of SAM’S Club.

“Our members trust SAM’S Club

to negotiate the very best benefits

and services available, just as they

count on us for top-quality merchan-

dise at the very best prices,” Grimm

says. “And we’re not going to let

them down.”

The ultimate benefit of this

strategy is that in driving value

to the club’s members, the

Company also drives value to its

shareholders. “We believe that if

we can attract and retain mem-

bers with services and benefits

like these, we will not only drive

our sales, but we will drive the

value all the way to our share-

holders,” Grimm says. �

New Features Drive Membership andShareholder Value

ELITEVALUEELITEVALUENew Features Drive Membership andShareholder Value

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�Fiscal 2000 End-of-Year Store Count

State Discou

nt Stor

es

Superce

nters

SAM’S Clubs

State Discou

nt Stor

es

Superce

nters

SAM’S Clubs

State Discou

nt Stor

es

Superce

nters

SAM’S Clubs

Vermont 4 0 0

Virginia 26 37 10

Washington 24 0 2

West Virginia 8 18 3

Wisconsin 54 4 11

Wyoming 9 0 2

US Total 1801 721 463

Argentina 0 10 3

Brazil 0 9 5

Canada 166 0 0

China 0 5 1

Germany 0 95 0

Korea 0 5 0

Mexico 397* 27 34

Puerto Rico 9 0 6

United Kingdom 0 232 0

INT’L Total 572 383 49

Worldwide

Grand Total 2373 1104 512

* Includes: 36 Aurreras, 68 Bodegas, 51Suburbias, 38 Superamas, and 204 Vips.

�Country Disc

ount S

tores

Superce

nters

SAM’S Clubs

Alabama 43 38 8

Alaska 4 0 3

Arizona 31 5 9

Arkansas 44 33 4

California 113 0 25

Colorado 23 16 12

Connecticut 14 0 3

Delaware 3 1 1

Florida 89 50 35

Georgia 59 35 16

Hawaii 5 0 1

Idaho 9 0 1

Illinois 85 22 26

Indiana 56 24 14

Iowa 36 11 7

Kansas 37 11 5

Kentucky 39 33 5

Louisiana 48 29 10

Maine 17 3 3

Maryland 25 1 11

Massachusetts 32 1 3

Michigan 52 1 21

Minnesota 35 1 9

Mississippi 34 25 4

Missouri 69 43 12

Montana 9 0 1

Nebraska 13 6 3

Nevada 13 0 2

New Hampshire 18 3 4

New Jersey 22 0 6

New Mexico 9 13 3

New York 52 9 18

North Carolina 66 26 16

North Dakota 8 0 2

Ohio 75 11 24

Oklahoma 52 27 6

Oregon 24 0 0

Pennsylvania 49 27 18

Rhode Island 7 0 1

South Carolina 32 25 9

South Dakota 8 0 2

Tennessee 49 38 14

Texas 154 94 53

Utah 14 0 5

Wal-Mart fast-forwarded its onlineretailing plans recently by forming apromising new partnership with therespected Internet venture-capitalfirm, Accel Partners.

The new venture, Wal-Mart.com Inc.,is expected to benefit Wal-Martshareholders by further acceleratingdevelopment of the Company’s onlineretailing model — a model that pro-vides opportunities for even greatersales growth, future profits andshareholder value.

Wal-Mart moved into the Internet in 1996 with the introduction of Wal-Mart On-line, then relaunchedthe site on January 1, 2000. The original Internet business model was designed and operated in-houseat the Company’s Bentonville, Ark.,headquarters, but the new Wal-Mart.com will be based in Palo Alto, Calif., in the middle ofSilicon Valley’s vast information and technology talent pool.

Ultimately, Wal-Mart.com mightchoose to go public. But even if thereis a public offering, Wal-Mart Storeswill retain a majority ownership ofthe new venture, ensuring that the“online store” builds on the Wal-Martbrand and takes full advantage of thetraditional “bricks-and-mortar”stores. Since Wal-Mart Stores, Inc. isthe majority shareholder, the resultsfrom the Internet business will beconsolidated into Wal-Mart’s financials, so Wal-Mart shareholders

will benefit from any increased sales and profits that result fromInternet business.

Wal-Mart.com will even have a sepa-rate management team and board ofdirectors. Board members willinclude Wal-Mart Chairman RobWalton; Wal-Mart President and CEOLee Scott; new Wal-Mart.com CEOJeanne Jackson and Accel ManagingPartner James Breyer.

“This puts Wal-Mart.com rightwhere it needs to be and shouldallow us to further develop our e-com-merce business at both Wal-Mart andInternet speed,” Scott says. “Ourfocus is to grow our market throughthe Internet — not just cannibalizethe existing Wal-Mart customer base.”

Scott says Wal-Mart’s new onlinemodel approaches the Internet as afresh new market with totally differ-ent retailing rules — much like a for-eign country. The formation of thisnew company offers advantages inrecruiting Internet talent; eliminatesdisadvantages that impact Wal-Martcustomers; and levels the Internetplaying field.

Fortunately, the new company wasable to attract a top retail manage-ment talent in Jeanne Jackson, who isthe former CEO of a leading specialtyretailer and also directed that retail-er’s efforts in catalog and Internetbusiness. In her 22-year career,

Jackson has acquired expertise inretail brands while working for sever-al top-name firms. She was evennamed by Fortune as one of the “50Most Powerful Women” in U.S. busi-ness, and byBusiness Weekas one of thenation’s top25 businessmanagers.Jeanne’s expe-rience givesthe Companya great starton building aneven strongerpresence onthe Internet and attracting new cus-tomers to the Wal-Mart brand.

Wall Street’s reaction to the new dot-com venture has been ovewhelm-ingly positive. Merrill Lynch calledthe new partnership “a smart movefor Wal-Mart” and other analysts congratulated the Company for har-nessing the power of the technologymarket to develop Wal-Mart’s onlineretailing program into a world leader.

Accel, the first venture-capital firm toinvest in the Internet, gained wide-spread acclaim for backing UUnet,which grew into one of the world’slargest Internet service providersand a unit of MCI WorldCom. Accelalso backed RealNetworks, the onlineaudio/video company. �

W MJoint-Venture Opens New Frontier for Shareholders

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Jeanne Jackson,Wal-Mart.com CEO

A Banner Year ForInternational

Call it a merger of old chums. A pair of natural allies joined ranks last summer when Wal-Mart acquired theBritish supermarket chain ASDA, itslargest acquisition to date and contin-ued to build a strong base for futurestore operations in Europe and otherinternational markets.

With its own price rollbacks, peoplegreeters, “permanently low prices for-ever” and even “Smiley” faces, ASDAhas cheerfully imitated Wal-Mart’s storeculture for many years. ASDA, based inLeeds, England, was purchased for 6.7billion pounds — or about $10.8 billion— adding 232 stores in England,Scotland and Wales to Wal-Mart’s rap-idly growing international operations.It’s a match made in heaven for Wal-Mart shareholders and the cus-tomers of both stores, leading Mergers& Acquisitions magazine to name thetransaction Cross-Border Deal of theYear for 1999.

“The businesses are so similar that it’salmost spooky,” says Allan Leighton,Chief Executive Officer of ASDA andPresident of Wal-Mart’s operations inthe United Kingdom. “The integrationhas been fantastic. Our people cancome over to the states, or the U.S.Associates can come over to the U.K.and it feels like home. It’s all in the culture.”

Apt Pupils

“We have been students of Wal-Mart,”Leighton says, “but until recently theonly things we could do were to readabout the Company and see things from

the outside. Now, it’s a bit like havingthe key to the chocolate factory. Before,we had to look in the window at thegoods. Now we can go in and have alook around the shop, and we’re takingthe opportunity to reinvent our business.”

One reason for ASDA’s similarity to Wal-Mart — and for its offbeat reputa-tion among British retailers — is its policy of “borrowing shamelessly” ideasand concepts from other companies.From one company, ASDA borrowedthe concept of treating employees astreasured “Colleagues” — much likeWal-Mart’s “Associates.”

“To a large degree ASDA is based onWal-Mart,” says Leighton, who joinedASDA in 1992 and became the com-pany’s CEO in 1996. “We always wantedto have everyday low prices because wefelt we had the sort of economics to doit. But at the same time we wanted toinject some personality into the stores.We started borrowing from Wal-Martwith very simple things. We saw thegreeter idea, rollbacks and the VPI (vol-ume-producing item) idea and we tookthem back to the stores.”

Maverick Brits

ASDA marches slightly out of step withother United Kingdom retailers. “Athome, we’re scoffed at and seen ascrazy mavericks,” Leighton says.“People wonder what we’re doingknocking all our corporate officesdown, and having everyone wear abadge and calling each other by theirfirst names. That’s good, though,because we’re always the underdog and

it makes us determined to prove otherpeople wrong.”

While the culture and pricing strategiesof the two companies are nearly identi-cal, ASDA and Wal-Mart are learningfrom their many differences, primarilythe size and retail mix of the stores.The average Wal-Mart Supercenter is180,000 square feet in size and doesabout 30 percent of its sales in gro-ceries. In sharp contrast, the averageASDA store has only 65,000 square feetand does 60 percent of sales in groceryitems. But although Supercenters arethree times larger, a typical ASDA storedoes as much in sales as the averageSupercenter.

“ASDA’s sales per square foot are thehighest in the Company,” says JohnMenzer, President and CEO of Wal-Mart International. “That’s partlybecause ASDA has a much bigger foodbusiness and because the U.K. has farfewer grocery stores per capita. But it’salso because ASDA works hard to man-age their business and drive salesthrough offering value to their customers.”

Domestic Supercenter operations prom-ise to be Wal-Mart’s primary growthengine over the next five to 10 years.But beyond that window, Wal-Mart’sgrowth potential will be more depend-ent on the international scene. Menzerhopes that 30 percent of Wal-Mart’searnings growth will come from inter-national division profits in the future.For the year ended January 31, 2000,international sales accounted for 14 percent of Wal-Mart’s total sales and

ASDA Purchase Leads Way forWal-Mart’s International Expansion

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8

eight percent of the operating profit,but Menzer envisions both will con-tinue to grow throughout the decade.

ASDA will be an important part of thatgrowth. In 1998, the British retailer had $14 billion in sales, and since theWal-Mart merger, ASDA’s monthlycomparable-store sales have risen 11 percent.

Two-Way Learning

There are plenty of oppor-tunities for the two compa-nies to learn from each

other. ASDA, for example, can teachWal-Mart about its line of high-quality,private-label fashion apparel — a prod-uct line rarely seen in grocery stores.George, ASDA’s private-label apparelbrand, is Europe’s fastest growing lineof apparel, with annual sales of morethan $830 million. At large ASDAstores, the company devotes around 15 percent of the floor space to theclothing line.

ASDA also receives high marks for thequality of its in-store home-mealreplacement departments. The com-pany is now the U.K.’s biggest retailerof Indian food and the world’s largestIndian “takeaway” retailer. And ASDAis lending its expertise in the areas ofsmaller store formats and the fresh-food supply chain.

On the other side of the coin, Wal-Martstores offer ASDA a wealth of neededexperience in general-merchandiseretailing, along with the best store-information systems in theindustry. Wal-Mart systemsare being rolled out through-out ASDA between now andOctober this year, and will bringreal improvements in serviceand in-stock for customers.

ChangingEuropean Retail

ASDA is the third-largestsupermarket chain in theU.K, but that could change withthe Wal-Mart merger. In a bold

move to build market share, ASDApledged last year to continue reducingprices, some by five to 10 percent,through its ongoing rollback program.

The merger with Wal-Mart also hasaccelerated ASDA’s price-rollback plan,with the Company promising to cut10,000 prices in calendar-year 2000.

“The changing retail landscape inEurope has caused all retailers to thinkabout the future,” Leighton says. “Thenet effect is that prices have dropped,certainly in the U.K., and I think thatwill happen in Germany, too, as ourrollback programs really begin to ‘buya home.’ There are a group of competi-tors who take the attitude that ‘this toowill pass,’ and will probably not sur-vive. But there are also some verygood competitors who will take thisopportunity to reinvent themselves andwill come out of it much stronger.”

The Company plans to spend in excessof $100 million over the next five yearsto open 50 stores in the new 25,000-square-foot ASDA “fresh” format,which stresses fresh foods and prepared meals. Two new ASDASupercenters — ala Wal-Mart — alsoare in the works.

Around the Planet

Wal-Mart’s German opera-tions got a big boost fromthe purchase of 74 Interspar

hypermarket stores in fiscal 1999. BySeptember, Wal-Mart had rebranded all95 of its German stores and begunstocking them with a new andrevamped selection of merchandise.Store renovations also began last yearand half of all the German storesshould be renovated by late 2000.

Although German shoppers are hur-ried by local laws that force early storeclosings and forbid Sunday sales,German Wal-Mart stores are settingthe bar for the rest of the Company insales volume. The store in Karlsruhe,for example, is one of the highest volume Wal-Mart stores in the world,though it is open less than 12 hours a day.

Wal-Mart has already made a majorchange in the shopping culture ofGermany simply by opening stores twohours earlier than the 9 a.m. standard.German laws allow shopping to beginat 7 a.m., but most shops in the coun-try wait at least two more hours to open.

Germans seem to enjoy browsing thestores when crowds are smaller.

Though they were initiallyPuerto Rican Associates showWal-Mart’s international energy. (continued on next page)

U.S. and U.K. store managers quicklyturned into exchange students whenASDA became part of the Wal-Martfamily last summer, joining a trans-Atlantic buddy program that’s givenboth sides new retailing ideas andenduring friendships.

“It’s a very interesting experience, really,” says Andy Davies, manager ofan ASDA store in Burnley, England,and one of the first to make theexchange in October, 1999.“Regardless of the location, it seems,our people make the difference.”

The feeling is shared by CollinClaunch, Andy’s “buddy” and managerof the Wal-Mart Supercenter inDenton, Texas.“The ASDA colleaguesare just like us,” Collin says. “They’renot in the banana business, they’re notin the George clothing business.They’re in the people business. That’swhy the acquisition has gone so well.”

By the end of this year, every ASDAstore manager will visit a Wal-MartSupercenter in the states, and therespective U.S. store managers willmake the trip to the United Kingdomto study an ASDA store.

The interest of the media was intenseon both sides of Andy and Collin’sexchange. Collin did interviews with alocal school in England and the BBC.And when Andy came to the states, heactually filmed a documentary for the BBC.

Andy has made the most of thebuddy program by involving all hisstore “colleagues,” who are excitedabout the association with Wal-Mart.“At my store, I’ve got two plaques upwith pictures of the two of us visitingCollin’s store,” Andy says.“Thenwe’ve got a notice board where any-thing that Collin sends me through e-mail or fax is posted, such asweekly store sales and the items thatsold well. It’s almost like having apen pal. We share a lot of informationand we speak once a week.”

“Twice a day now in our store, weactually do a ‘rap’ Collin taught usthat’s very much like the Wal-MartCheer,” Andy says.

Likewise, Collin says the buddy pro-gram has energized his Dentonstore. “My folks think Andy is justneat,” he says. “They might have hadsome apprehension about ASDA, butthey know Andy, so if Andy saysthat’s how it is, that’s fine. ASDA hassuch phenomenal sales per squarefoot that my people are amazed. ”

Outside the stores, Andy and Collinmade sure to share important cul-tural experiences. Collin took Andyto a Dallas Cowboys football game,for example, and Andy reciprocatedwith tickets to a big soccer matchbetween England and Scotland.

Andy came away from the states fas-cinated with some of the productscarried at the Supercenters, espe-cially hot dogs in a can. Inspired, heplans to bring canned Frankfurters tohis ASDA store and promote them ashis personal VPI (volume-producing item).

Collin, on the other hand, was awedby ASDA’s efficient milk-stockingsystem, in which milk racks rolldirectly off the truck and into arecessed refrigerator in the wall,removing the need to hand-stock thejugs on refrigerated shelves. It’s anidea he’d love to steal. �

Andy Davies (L) and Collin Claunch

alarmed to find greeters talking to them whenthey entered the stores, the friendly, smiley-faced Wal-Mart culture has now established afirm foothold.

Lessons Learned

But cultural transitions haven’t always beenthis smooth for Wal-Mart International.

In Argentina, for example, Wal-Mart initially faced chal-lenges in adapting its U.S.-based

retail mix and store layouts to the local cul-ture. From the meat counter to the hardwareand jewelry departments, Wal-Mart had tolearn quickly and work hard to adjust thestores’ offerings to Argentine tastes.

Compounding the challenges, Wal-Mart didn’tanticipate the heavier Argentine customertraffic, which temporarily overwhelmed thestores’ relatively narrow aisles. Today, Wal-Mart has adjusted to all these culturalnuances, and offers Argentine shoppers theproducts they desire in a comfortable environ-ment with wider aisles. Specialized cuts ofmeat have been added to the stores, and thejewelry line has been retooled to emphasizesimple gold and silver, in keeping with thelocal fashion.

“It wasn’t such a good idea to stick so closelyto the domestic Wal-Mart blueprint inArgentina, or in some of the other interna-tional markets we’ve entered, for that matter,”says John Menzer. “In Mexico City we soldtennis balls that wouldn’t bounce right in thehigh altitude. We built large parking lots atsome of our Mexican stores, only to realizethat many of our customers there rode thebus to the store, then trudged across thoselarge parking lots with bags full of merchan-dise. We responded by creating bus shuttlesto drop customers off at the door. These wereall mistakes that were easy to address, butwe’re now working smarter internationally toavoid cultural and regional problems on thefront end.”

Lifting Off in Latin-America

Overall, Wal-Mart’s future in Latin Americalooks bright. In this decade, Wal-Mart plansto capture a greater share of the Argentineretail market, estimated at $69 billion by lead-ing analysts. Currently, Wal-Mart has 10Supercenter stores in Argentina.

Buddies Cross Atlantic For Fresh Ideas

(continued from previous page)

In Mexico, Wal-Mart operatesseven different retail formats.Most of these relate to the

1997 acquisition of a controlling interest inthe leading Mexican retail conglomerate,Cifra, which is now Wal-Mart de México.Wal-Mart operates 397 Cifra outlets inMexico, in addition to 27 Wal-MartSupercenters and 34 SAM’S Club stores.Cifra is the largest retailer by far in Mexico.

Mexico remains an important market forWal-Mart because of its huge potential. As the country continued to recover fromits 1995 economic crisis, Cifra opened 39new units in fiscal 2000. In December, allSupercenters were closed for a day asprices on 6,000 different items were rolledback. Cifra had $6 billion in sales in fiscal2000, a figure that Wal-Mart plans toincrease this year.

Brazil also offers great oppor-tunities, with the fifth largestpopulation in the world, and

with nine Supercenters and five SAM’SClubs already on the ground. The country’srecent economic problems have presented achallenge, but Brazil’s tendency to followU.S. cultural cues has been very encourag-ing for Wal-Mart. This year, the Companyplans to expand its Brazilian presence byopening three more SAM’S Clubs in thecountry, with locations in Parana, Rio deJaneiro and Sao Paulo. The three clubs willcreate 600 new jobs — a tangible symbol ofWal-Mart’s commitment to the country.

Puerto Rico is nicely positionedto host a Wal-Mart growthspurt. With 15 Stores and

Clubs already built on the island, Wal-Martseems prepared to benefit from a continuedeconomic upturn as the country bouncesback from the devastation of 1998’sHurricane Georges. And with the typicalannual income for a Puerto Rican family offour running about $27,000, the island has a strong need for everyday low prices. Wal-Mart will continue to meet those needs.

Canadian Operations Serve as Model

Over the years, naysayershave scoffed at Wal-Mart’sinternational aspirations,

claiming that the Company’s culture andbusiness practices would never translatebeyond U.S. borders. Skeptics even doubtedthat Wal-Mart could succeed in Canada.But, six years in Canada have proven thecritics wrong. Wal-Mart now has 166 dis-count stores in Canada, and the Company’soperations there are considered as a modelfor Wal-Mart’s expansion into other interna-tional markets.

When acquired, the 122-store CanadianWoolco chain was losing millions of dollarsannually, but operations became profitablewithin three years. Today, Canadian opera-tions are among the most profitable in theCompany. The productivity of the storesrivals that of U.S. Wal-Mart stores, and the Company added 17 new stores in fiscal2000. Wal-Mart has also added an interest-ing flair in its Canadian operations, withemphasis on quality fashion apparel such

as the BUM® line, a great product targetedto young, fashion-conscious customers. Inthe most recent development, Wal-Martopened 50 in-store One Source® NutritionCenters in fiscal 2000, providing pharmacycustomers with more than 1,500 naturalhealthcare products.

So far, Wal-Mart has captured more than 35 percent of the Canadian discount-anddepartment-store retail market and hasbecome the largest retailer in Canada, theUnited States and Mexico.

In Asia, meanwhile, Wal-Marthas six Supercenters andSAM’S Clubs in China and

five Supercenters in South Korea. Theunique and developing retail environments

of those countries throw some challenges into the mix,but the potential for Wal-Mart

in Asia is tremendous, considering thatSouth Korea has the highest populationdensity of any country on the planet, andChina has the most people: an amazing 1.2 billion residents. �

In China, a homemade hat promotesthis Associate’s personal “VPI” product.

Selected Wal-Mart International Retail Sales for Fiscal Year 2000

($U.S. Billions)

$5

$10

$15

11

2000In 1999, DiscountStore News hon-ored Wal-MartStores, Inc. as“Retailer of theCentury” with acommemora-tive 200-pageissue of our

magazine. As editor of themagazine I’d like to take a momentto explain why we chose Wal-Martfor this rare honor.

Wal-Mart and Discount Store Newsessentially grew up together. Thefirst issue of DSN was published in1962, the same year that SamWalton opened the first Wal-Martstore in Bentonville, Ark. And asthe decades passed, we had time tolearn what makes this Companytruly special — the secret that hasallowed Wal-Mart to outpace everyother retailer in history.

The difference, we believe, is thespirit that pervades the Company’sculture. It’s obvious to anyone whovisits a Wal-Mart store, districtoffice or company headquarters.It’s a spirit where individuals are

proud of their work — a spiritwhere the Associates know that theCompany is interested in them, andpass that same level of interest onto their individual customers.

To me, this unique environment isamplified by the fact that the organization doesn’t slot anyoneinto a particular job or category.Store managers can be moved toheadquarters or to internationaloperations. Distribution experts cansuddenly find themselves in thefinancial area. And believe it or not,you can even move from humanresources to become President ofWal-Mart Stores, just as TomCoughlin did. Wal-Mart believes in

A Tribute to a CultureA Tribute to a Culture

“ The reason we

chose Wal-Mart as

Retailer of the Century

is that Wal-Mart cares

about the individual,

whether he or she

is an Associate or

a customer.”

Tony Lisanti

By: Tony Lisanti, Editor & Associate Publisher Discount Store News

WAL-MART NAMEDRETAILER OF THE CENTURY

BY DISCOUNT STORE NEWS

WAL-MART NAMEDRETAILER OF THE CENTURY

BY DISCOUNT STORE NEWS

12

al-Mart proudly moved up in Fortune’s list of

the top 10 “America’sMost AdmiredCompanies” in 2000, rising to fifth on the list and being flanked bythe likes of GeneralElectric, Coca-Cola,Microsoft, Dell Computer,Berkshire Hathaway,Southwest Airlines, Intel,Merck and Walt Disney.

The Bentonville, Ark.-basedretailer made its first top-10appearance on Fortune’s MostAdmired list in 1987 and hasbeen included eight times sincethen. In ranking the top 10,Fortune surveyed more than10,000 executives, directors andsecurities analysts, who wereasked to choose the companiesthey admired most, regardless of industry.

Wal-Mart earned its inclusionin the Most Admired List, in

part, with fiscal 2000 revenue of$165 billion and with the 70.4percent annual return thatinvestors received on theCompany’s stock.

Wal-Mart received anothermajor honor last year when theCompany was named by CIOmagazine as a recipient of theCIO-100 award for excellence inthe information systems field. It was the 12th year for the CIO-100 program, and Wal-Mart hasbeen chosen for the honor in 11 of those 12 years.

In other distinctions, theFoundation Center recentlyranked the Wal-Mart Foundationfifth in giving out of all U.S. foun-dations, and Wal-Mart also wasranked first in the 1999 Cone/Roper Report, an annual nationalpublic survey on philanthropyand corporate citizenship.

Wal-Mart also has been recog-nized recently both by HispanicMagazine and Latina Magazineas one of the best 100 companiesto work for in the United Statesfor Hispanics and Latinas. �

the individual and has faith in theirability to learn and succeed.

The reason we chose Wal-Mart asRetailer of the Century wasn’t its size, its profits, or its phenomenalgrowth record (though those thingscertainly don’t hurt.) The reason isthat Wal-Mart cares about the individ-ual, whether he or she is an Associateor a customer.

On my desk I keep a copy of SamWalton’s “Rules for Building aBusiness,” and my favorite is No. 7:“Listen to everyone in your company.Figure out ways to get them talking.The people on the front line — theones who actually talk to the cus-tomers — are the only people whoreally know what’s happening.”

Wal-Mart still has the courage andgood sense to follow these universaloperating principles. Congratulations,Wal-Mart, for both recognizing andcontinuing to implement a great business philosophy. You have myadmiration and respect. �

W�

Children's departmentmannequins are guests atan Associate's impromptu“ tea party.”

13

Private Brands Fill Value Gap With Quality MerchandisePrivate Brands Fill Value Gap With Quality Merchandise

It all began with the Ol’ RoyTM

brand, the private-label dog food named

for Sam Walton’s favorite hunting companion. Introduced to Wal-Mart stores in 1982 as a low-price alternative to the national brands, Ol’ Roy steadily grew to become, pound for pound, the biggest seller of all dog-food brands in the country.

Today, thousands of other private-label Wal-Mart products are trotting along in Ol’ Roy’s tracks, offering value to cost-conscious con-sumers around the world. Wal-Mart’s own line of garden fertilizer, for exam-ple, has become the best-sellingbrand in the country.

“We are a brand-oriented companyfirst,” says Bob Connolly, ExecutiveVice President of merchandising ofWal-Mart Stores, Inc. “We becamethe largest retailer in the world byoffering quality, well-known brandsat everyday low prices. But we alsouse private labels to fill a value orpricing void that, for whatever rea-son, the brands have left behind.The market has really dictatedevery move we’ve made in private-label brands. We don’t create themto improve our profit margins; wecreate them to improve value to cus-tomers, which builds customer loyalty.”

In the end, this loyalty improvesWal-Mart’s sales and profit margins,which also helps investors.

“We want our prices to be accessibleto everyone — not just a selectgroup,” says Connolly. “So part ofour strategy with the private-labelbrands is to offer opening pricepoints — the lowest price availablein the store for a particular type ofitem. The national brands will some-times abandon a traditional openingprice to emphasize higher-end prod-ucts with better profit margins.”

Often, Wal-Mart uses its GreatValue® brand to offer those impor-

tant opening prices. An innovative brand, GreatValue was the first line tointroduce a fat- and sugar-free coffee creamer, and has also led the way in devel-oping convenient and user-friendly packaging, like theeasy-grip bottles used for Great Value juice drinks. Morethan 800 Great Value productsare now offered in the deli,

dairy, dry grocery, meat andproduce departments.

Wal-Mart has applied a similarconcept to the pharmacy andhealth-and-beauty-aids depart-ments with the high-quality

Equate® product line. SeveralEquate items have become top sellers in their categories, includingEquate Ibuprofen and Equate Pain Reliever.

Focus-group studies reveal that cus-tomers actually think of Equate as anational brand. The products are sopopular, in fact, that suppliers getletters from customers asking whythey can’t buy Equate products atother retail chains.

Spring Valley®, Wal-Mart’s private-label vitamin line, is another top-seller in the over-the-counter pharmacy area, already becomingthe largest brand of vitamins sold in the United States. Recently, theproduct line was recognized in anationally known consumer maga-zine for its quality and value.

OL’ ROY’S NEW TRICKSOL’ ROY’S NEW TRICKS

14

Sometimes, the best wayfor Wal-Mart to fill avalue gap is to buy anexisting brand — often aline recently abandonedby a manufacturer. Forexample, in the summerof 1999 Wal-Mart startedselling diapers and toilettissue under the WhiteCloud® label, a formerbrand of Procter &Gamble Co. Wal-Martused the same strategyin the blue-jeans catego-ry by buying the Faded Glory® brand.

“Part of our philosophy on openingprices is that they aren’t always thecheapest prices on a type of item, aswith a cordless phone, for example,”Connolly says. “It, might, instead, bethe best price on the most impor-tant part of the category, such as900-MHz cordless phones.”

This premium-value concept hasbeen the foundation of the Sam’sAmerican Choice® brand. Everyitem in the Sam’s American Choiceline is tested to ensure that it is atleast equal to the national brands.And in many cases, they’rebetter. The percentage ofactual fruit juice in Sam’sAmerican Choice fruitdrinks, for example, is higherthan that of the national brands,and there are more raisins in theSam’s American Choice raisinbran than in any of the nationalbrand cereals. All Sam’s AmericanChoice products are grown, pro-duced and manufactured in theUnited States. In fact, the tea offeredby Sam’s American Choice is theonly tea still grown and produced ata tea plantation in the United States.

Private-label brands are helping Wal-Mart succeed in the extremelycompetitive grocery business,where consumers have learned toaccept — and even expect — “store brands” as a cost-cutting alternative. The private brands areexpected to prove particularly useful at our smaller NeighborhoodMarketSM stores.

One of Wal-Mart’s recent venturesinto private-label branding was thelaunch of a new line of laundrydetergents under the Sam’sAmerican Choicename.

The new detergents can bepurchased in either liquidor powdered form, and aresold at the high end of theopening price point in thedetergent category.

The Company grabbedeven more attention lastyear for introducing its ownline of disposable alkalinebatteries marketed underthe name EverActiveTM.

Wal-Mart also has a popu-lar line of automotive bat-

teries called EverStart®. The prod-uct launch was backed by anaggressive television advertisingcampaign centered on sports pro-gramming. So far, EverStart appearsto be catching on; the batteriesalready are being installed as stan-dard equipment in all Ranger boats.

SAM’S Club also has a line of private-label products sold under the Member’s Mark™ label. Thebrand was created in 1997 andfocuses on providing premium prod-ucts at exceptional values to SAM’SClub members. Items in the lineinclude blue jeans, vitamins, dish-washing detergent and many otherconsumable products.

“One of the long-term benefits ofWal-Mart’s private-label expansionis that it could create strong globalbrands,” Connolly says. Wal-MartGermany, for instance, recentlymoved to crank up its private-label offerings from 32 itemsto about 1,000. Ol’ Roy® isamong the brands alreadysold there, along withSpecial Kitty® cat food andGreat Value® orange juice,iced tea and tissues. �

“We don’t create private-

label brands to improve our

profit margins; we create

them to improve value to

customers, which builds

customer loyalty.”

— Bob Connolly

15

16

zIn Thunder Bay, Ontario, a Wal-Mart store manager shaves his headto raise money for an elementaryschool. In Shenzhen, China,Associates bring gifts and cheerto the elderly during theChinese New Year. And in Little Rock, Arkansas, the Company donates $1.8 million to help ArkansasChildren’s Hospital.

It all happened in fiscal 2000, but it could have been any year in the community-centered heart of Wal-Mart. TheCompany was ranked as the number-one good cor-porate citizen by the 1999Cone/Roper Report. In aneffort to improve the quality of life in all of its store commu-nities, Wal-Mart raised and contributed $163.8 million tocharitable causes in fiscal 2000and participated in a wide rangeof volunteer programs, many ofthem dedicated to helping children.

Eyes on the Future

For example, more than 13,000 kidsgot a helping hand last year fromProject Insight, a program createdby the Associates of the 680 Wal-Mart Vision Centers worldwide.In its seventh year, the programpairs each Vision Center with a localelementary school, orphanage orshelter that serves underprivileged

children. Each child in the programreceives a thorough eye exam and a perfectly fitted pair of glasses

from their friends at Wal-Mart.

“It makes a big difference for thekids,” says Stephanie Morris, alicensed optician with Wal-MartVision Centers. “You feel reallyproud when they walk out with their shiny new glasses.”

Wal-Mart also sponsors a vast net-work of elementary and secondaryschools through its Adopt A Schoolprogram. And in October, 1999, the Company brought Canada into

the program, adding one-year sponsorships for 166

Canadian schools —one school for every

Wal-Mart store in the country.

These stores provide their adopted

schools with merchandise dona-tions, in-store fundraising events and volunteers for special schoolprojects. At some Canadian stores,Associates have even started break-fast clubs to feed students who can’teat at home before they start theschool day.

“Working one-by-one on projects intheir communities, Wal-MartAssociates are probably the largestcharitable fundraising force inCanada,” says Dave Ferguson,President and Chief Executive Officer of Wal-Mart Canada.

Good.Works.Good.Works.From Free Eyeglasses to School Breakfast Programs,

Wal-Mart Cherishes Role as Community Partner

A young girl shows off a new pair of glassesprovided through Operation Insight.

Support for Children’sHospitals

One of Wal-Mart’s favorite causeseach year is the Children’s MiracleNetwork, which raises money for 170 children’s hospitals acrossthe United States. In June, 1999, Wal-Mart donated $29 million toCMN, the largest single contributionever made to the cause. Wal-Mart isthe largest corporate sponsor ofCMN, and has raised more than$160 million for the network duringits 12 years of sponsorship.

Wal-Mart Associates and partnersraised last year’s donation throughlocal fundraisers, often donning funnyhats and wacky costumes to drum upthe contributions. All hats were off,though, to Jane Pack of SAM’S Club6402 in Greensboro, North Carolina,who raised an amazing $10,878 forCMN between March 8 and May 16by kindly asking every club membershe met for a donation to the cause.

Wal-Mart also is a devoted sponsorof the Missing Children’s Network, a cooperative project with the non-profit National Center for Missing

and Exploited Children. Since 1996,the Company has posted boards inevery Wal-Mart and SAM’S Clubsstore with the names and photos ofmissing or abducted children.

With 100 million people shoppingeach week at Wal-Mart stores andSAM’S Clubs, odds are good thatthe posters can help locate many ofthese missing children. Since theformation of the Missing Children’sNetwork, 850 children featured ondisplay boards have been found —more than 30 of them as a directresult of Wal-Mart’s efforts. �

Food Bank Contributions$12,000,000

Volunteerism Always Pays$1,104,900

Teacher of the Year$1,287,500

Environment$1,495,922

Make A Difference Day$2,466,023

Economic Development Grants$3,006,565

Other Donations$4,392,581

Holiday Charitable Contribution$5,100,000

Scholarships$8,018,467

United Way$12,464,896

Local Community Giving$18,648,642

Children’s Miracle Network$29,000,000

Community Matching Grants$64,848,847

Total = $163,834,343

17

Wal-Mart Stores, Inc. – A Clear Vision of Community Involvement in Fiscal Year 2000

© 2000 Wal-Mart Stores, Inc.

With your pennies, dimes and dollars, you said “Thanks” to your

parents and grandparents, husbands and wives, aunts and uncles,

your brothers and sisters... the millions who did nothing less than

bring peace to the world.

With your contributions, the World War II Memorial in

Washington, D.C. will finally become a reality.

And because of you and millions like you, the

selfless sacrifice of these great heroes will

never be forgotten.

Thank you.