Walgreens 2014 Annual Report Download - page 39

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Item 1B. Unresolved Staff Comments
There are no unresolved written comments that were received from the SEC Staff 180 days or more before the
end of our fiscal year relating to our periodic or current reports under the Securities Exchange Act of 1934.
Item 2. Properties
The Company’s locations, including drugstores, infusion and respiratory service facilities, specialty pharmacies
and mail service facilities at August 31, 2014 and 2013 are listed below.
2014 2013 2014 2013 2014 2013
Alabama 115 113 Louisiana 154 152 Oklahoma 117 121
Alaska 8 7 Maine 15 15 Oregon 77 80
Arizona 250 258 Maryland 89 80 Pennsylvania 131 138
Arkansas 83 78 Massachusetts 168 185 Rhode Island 26 29
California 646 663 Michigan 232 232 South Carolina 110 119
Colorado 160 172 Minnesota 154 164 South Dakota 14 14
Connecticut 95 125 Mississippi 78 79 Tennessee 254 271
Delaware 65 66 Missouri 219 221 Texas 712 729
District of Columbia 6 5 Montana 14 14 Utah 48 45
Florida 861 881 Nebraska 60 62 Vermont 3 4
Georgia 204 208 Nevada 84 92 Virginia 141 149
Hawaii 19 17 New Hampshire 32 36 Washington 139 140
Idaho 40 42 New Jersey 191 215 West Virginia 17 23
Illinois 610 620 New Mexico 69 68 Wisconsin 228 234
Indiana 201 218 New York 486 527 Wyoming 11 11
Iowa 70 72 North Carolina 263 221 Guam 0 1
Kansas 70 72 North Dakota 1 1 Puerto Rico 120 118
Kentucky 98 103 Ohio 250 272 U.S. Virgin Islands 1 0
TOTAL 8,309 8,582
The Company owned approximately 20% of its retail drugstore locations and leased the remaining locations at
August 31, 2014. The leases are for various terms and periods. See Note 3 to the Company’s Consolidated
Financial Statements in Part II, Item 8 of this Form 10-K. Net retail selling space remained consistent at
89 million square feet at August 31, 2014 and 2013. Approximately 20% of Company stores have been opened or
remodeled during the past five years, including our “Well Experience” store format in over 700 locations,
including a market-wide transformation in the Indianapolis area and new flagship stores in select markets
including Boston, Chicago, Los Angeles, New York City, San Francisco, Washington, D.C., Las Vegas and
Puerto Rico.
As of August 31, 2014:
• The Company’s retail store operations were supported by 19 major distribution centers with a total of
approximately 11 million square feet of space, of which 13 locations are owned. The remaining space
is leased. All distribution centers are served by modern systems for order processing control and rapid
merchandise delivery to stores. In addition, the Company uses public warehouses and third party
wholesalers to handle certain distribution needs. As of August 31, 2014, AmerisourceBergen
distributed substantially all of the Company’s branded and generic pharmaceutical products.
• The Company operated 34 principal office facilities containing approximately three million square feet,
of which 13 locations were owned. The Company operated two mail service facilities containing
approximately 237 thousand square feet, one of which was owned.
• The Company owned 16 strip shopping malls containing approximately 500 thousand square feet.
31