Walgreens 2005 Annual Report Download - page 34

David W. Bernauer
Chairman of the Board
and Chief Executive Officer
32 2005 Annual Report
To the Board of Directors and Shareholders of Walgreen Co.:
We have audited the accompanying consolidated balance sheets of Walgreen Co.
and Subsidiaries (the “Company”) as of August 31, 2005 and 2004, and the
related consolidated statements of earnings, shareholders’ equity, and cash
flows for each of the three years in the period ended August 31, 2005. These
financial statements are the responsibility of the Company’s management.
Our responsibility is to express an opinion on these financial statements based
on our audits.
We conducted our audits in accordance with the standards of the Public Company
Accounting Oversight Board (United States). Those standards require that we plan
and perform the audit to obtain reasonable assurance about whether the financial
statements are free of material misstatement. An audit includes examining, on
a test basis, evidence supporting the amounts and disclosures in the financial
statements. An audit also includes assessing the accounting principles used and
significant estimates made by management, as well as evaluating the overall
financial statement presentation. We believe that our audits provide a reasonable
basis for our opinion.
In our opinion, such consolidated financial statements present fairly, in all material
respects, the financial position of Walgreen Co. and Subsidiaries as of August 31,
2005 and 2004, and the results of their operations and their cash flows for each
of the three years in the period ended August 31, 2005, in conformity with
accounting principles generally accepted in the United States of America.
We have also audited, in accordance with the standards of the Public Company
Accounting Oversight Board (United States), the effectiveness of the Company’s
internal control over financial reporting as of August 31, 2005, based on the
criteria established in
Internal Control – Integrated Framework issued by the
Committee of Sponsoring Organizations of the Treadway Commission and our
report dated October 21, 2005 expressed an unqualified opinion on management’s
assessment of the effectiveness of the Company’s internal control over financial
reporting and an unqualified opinion on the effectiveness of the Company’s
internal control over financial reporting.
DELOITTE & TOUCHE LLP
Chicago, Illinois
October 21, 2005
Management’s Report
on Internal Control
Report of Independent Registered
Public Accounting Firm
Our management is responsible for establishing and maintaining adequate internal
control over financial reporting, as such term is defined in Exchange Act Rule
13a-15(f). Under the supervision and with the participation of our management,
including our principal executive officer and principal financial officer, we conducted
an evaluation of the effectiveness of our internal control over financial reporting
based on the framework in Internal Control – Integrated Framework issued by the
Committee of Sponsoring Organizations of the Treadway Commission (COSO).
Based on our evaluation, management concluded that our internal control over
financial reporting was effective as of August 31, 2005. Our management’s
assessment of the effectiveness of our internal control over financial reporting
as of August 31, 2005, has been audited by Deloitte & Touche LLP, an independent
registered public accounting firm, as stated in its report which is included herein.
William M. Rudolphsen
Senior Vice President
and Chief Financial Officer