-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, bsZXbIUhYYX5bBFtNVvw79TCcjWZp19HBSaimIhKkB2jlZU2uEkTjeaF3e19/0JH hJCWFjO4zNnAls9754Acvw== 0000060667-94-000023.txt : 19941216 0000060667-94-000023.hdr.sgml : 19941216 ACCESSION NUMBER: 0000060667-94-000023 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 11 CONFORMED PERIOD OF REPORT: 19941031 FILED AS OF DATE: 19941215 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: LOWES COMPANIES INC CENTRAL INDEX KEY: 0000060667 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-LUMBER & OTHER BUILDING MATERIALS DEALERS [5211] IRS NUMBER: 590620505 STATE OF INCORPORATION: NC FISCAL YEAR END: 0131 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 001-07898 FILM NUMBER: 94564830 BUSINESS ADDRESS: STREET 1: PO BOX 1111 CITY: NORTH WILKESBORO STATE: NC ZIP: 28656 BUSINESS PHONE: 9196514000 MAIL ADDRESS: STREET 1: PO BOX 1111 CITY: NORTH WILKESBORO STATE: NC ZIP: 28656 10-Q 1 - 1- UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q / A (Mark One) [X] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended October 31, 1994 OR [ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from to Commission file number 1-7898 LOWE'S COMPANIES, INC. (Exact name of registrant as specified in its charter) NORTH CAROLINA 56-0578072 (State of other jurisdiction of (I.R.S. Employer Identification No.) incorporation or organization) P.O. BOX 1111, NORTH WILKESBORO, N.C. 28656 (Address of principle executive offices) (Zip Code) (919) 651-4000 (registrant's telephone number, including area code) NONE (Former name, former address and former fiscal year, if changed since last report) 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 preceeding 12 months (or for such shorter 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 X NO . Indicate the number of shares outstanding of each issuer's classes of common stock, as of the latest practicable date. Class Outstanding at November 30, 1994 Common Stock, $.50 par value 159,405,322 14 TOTAL PAGES EX-1 2 2 LOWE'S COMPANIES, INC. INDEX PART I Financial Information: Page No. Consolidated Condensed Balance Sheets October 31, 1994 and January 31, 1994. 3 Consolidated Condensed Statements of Current and Retained Earnings three months and nine months ended October 31, 1994 and 1993. 4 Consolidated Condensed Statements of Cash Flows three months and nine months ended October 31, 1994 and 1993. 5 Notes to Consolidated Condensed Financial Statements. 6-7 Management's Discussion and Analysis of Results of Operations and Financial Condition. 8-10 Independent Accountants' Report. 11 PART II Other Information Item 6 (a) - Exhibits. Exhibit Computation of per share earnings 12 Exhibit Financial Data Schedule 13 Item 6 (b) - Reports on Form 8-K. 14 EX-2 3 Consolidated Condensed Balance Sheets Lowe's Companies, Inc. and Subsidiary Companies Dollars in thousands October 31, January 31, 1994 1994 _____________ _____________
Assets Current assets: Cash and cash equivalents $73,772 $73,253 Short-term investments 246,309 35,215 Accounts receivable - net 165926 53,301 Merchandise inventory 1040015 853,707 Other assets 41,494 68,431 ____________ ____________ Total current assets 1567516 1083907 Property, less accumulated depreciation 1223383 1,020,234 Long-term investments 44299 40,408 Other assets 62128 57,099 ____________ ____________ Total assets $2,897,326 $2,201,648 Liabilities and Shareholders' Equity Current liabilities: Current maturities of long-term debt $26,013 $49,547 Short-term notes payable 1917 2,281 Accounts payable 597131 467,278 Employee retirement plans 33196 34,422 Accrued salaries and wages 44650 45,883 Other current liabilities 135305 81,765 ____________ ____________ Total current liabilities 838212 681176 Long-term debt, excluding current maturities 628288 592,333 Deferred income taxes 37121 26,165 Accrued store restructuring costs 14,985 28,305 ____________ ____________ Total liabilities 1518606 1327979 ____________ ____________ Shareholders' equity Common stock - $.50 par value; Issued and Outstanding October 31, 1994 159,377,548 January 31, 1994 147,886,770 79689 73,943 Capital in excess of par 548814 202,962 Retained earnings 753801 596,764 Unearned compensation-restricted stock awards -2486 Unrealized holding losses for available-for-sal -1098 ____________ ____________ Total shareholders' equity 1378720 873669 _____________ _____________ Total liabilities and shareholders' equity $2,897,326 $2,201,648 See accompanying notes to consolidated condensed financial statements.
EX-3 4 Consolidated Condensed Statements of Current and Retained Earnings Lowe's Companies, Inc. and Subsidiary Companies Dollars In Thousands, Except Per Share Data Three months ended Nine months ended October 31, 199 October 31, 1993 October 31, 1 October 31, 1993 Current Earnings Amount Percent Amount Percent Amount Percen Amount Percent ____________________________________________
Net sales 1579005 100.00 $1,158,370 100.00 $4,623,032 100.00 $3,392,173 100.00 Cost of sales 1197859 75.86 882750 76.21 3501618 75.74 2589906 76.35 Gross margin 381146 24.14 275620 23.79 1121414 24.26 802267 23.65 Expenses: Selling, general and administrative 239190 15.15 185178 15.98 685196 14.82 525591 15.49 Store opening costs 10628 0.67 7217 0.62 25366 0.55 16666 0.49 Depreciation 28661 1.82 20223 1.75 78824 1.71 58394 1.72 Employee retirement plans 13265 0.84 10657 0.92 37507 0.81 30092 0.89 Interest 5852 0.37 4834 0.42 21580 0.47 12204 0.36 Total expenses 297596 18.85 228109 19.69 848473 18.36 642947 18.95 Pre-tax earnings 83550 5.29 47511 4.10 272941 5.90 159320 4.70 Income tax provision 29359 1.86 15866 1.37 95646 2.06 53267 1.57 Net earnings $54,191 3.43 $31,645 2.73 $177,295 3.84 $106,053 3.13 ____________________________________________ Shares outstanding (weighted average) 159399 147906 153439 147185 Earnings per common & common equivalent share $0.34 $0.21 $1.16 $0.72 Earnings per common share - assuming full dilution $0.33 $0.21 $1.11 $0.71 ____________________________________________ Retained earnings ____________________________________________ Balance at beginning of period $706,782 $551,396 $596,763 $489,033 Net earnings 54191 31645 177295 106053 Cash dividends -7172 -5911 -20257 -17656 Stock Split 0 -162 0 -462 Balance at end of period $753,801 $576,968 $753,801 $576,968 ____________________________________________ See accompanying notes to consolidated condensed financial statements.
EX-4 5 CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS Lowe's Companies, Inc. and Subsidiary Companies Dollars in Thousands For the nine months ended October 31 ____________________________________ 1994 1993
Cash Flows From Operating Activities: Net Earnings 177295 106053 Adjustments to Reconcile Net Earnings to Net Cash Provided By Operating Activities: Depreciation 78824 58394 Amortization of Original Issue Discount 2399 0 Increase (Decrease) in Deferred Income Taxes 8425 -3821 Loss on Disposition/Writedown of Fixed and Other Assets 3635 8397 Decrease (Increase) in Operating Assets: Accounts Receivable - Net -112625 -21283 Merchandise Inventory -186308 -235056 Other Operating Assets 28895 -1748 Increase (Decrease) in Operating Liabilities: Accounts Payable 129853 56944 Employee Retirement Plans 30503 26214 Accrued Store Restructuring -7281 -10138 Other Operating Liabilities 53968 30118 Net Cash Provided by Operating Activities 207583 14074 Cash Flows from Investing Activities: Decrease (Increase) in Investment Assets: Short-Term Investments -212043 -88310 Purchases of Long-Term Investments -19519 -36456 Proceeds from Sale/Maturity of Long-Term Investments 15304 6103 Other Long-Term Assets -2358 455 Fixed Assets Acquired -257578 -224474 Proceeds from the Sale of Fixed and Other Long-Term Assets 11640 21248 Net Cash Used in Investing Activities -464554 -321434 Cash Flows from Financing Activities: Sources: Long-Term Debt Borrowings 500 281915 Net (Decrease) Increase in Short-Term Borrowings -363 6444 Net Proceeds from Issuance of Common Stock 315814 Stock Options Exercised 961 854 Total Financing Sources 316912 289213 Uses: Repayment of Long-term Debt -39086 -4177 Cash Dividend Payments -20257 -17656 Common Stock Purchased for Retirement -79 Total Financing Uses -59422 -21833 Net Cash Provided by Financing Activities 257490 267380 Net Increase (Decrease) in Cash and Cash Equivalents 519 -39980 Cash and Cash Equivalents, Beginning of Period 73253 48949 Cash and Cash Equivalents, End of Period 73772 8969 See accompanying notes to consolidated condensed financial statements.
EX-5 6 Notes to Consolidated Condensed Financial Statements Note 1:The accompanying Consolidated Condensed Financial Statements (unaudited) have been reviewed by an independent Certified Public Accountant, and in the opinion of management, they contain all adjustments necessary to present fairly the financial position as of October 31, 1994, and the results of operations for the three-month and nine-month periods ended October 31, 1994 and 1993, and the cash flows for the nine- month periods ended October 31, 1994 and 1993. Note 2:The results of operations for the nine-month periods ended October 31, 1994 and 1993 are not necessarily indicative of the results to be expected for the full year. Note 3:Interest and loan expense is net of interest income of $4,481,000 and $1,857,000 for the three-month periods ended October 31, 1994 and 1993, respectively, and $8,058,000 and $3,606,000 for the nine month periods ended October 31, 1994 and 1993, respectively. In addition, interest on construction in progress was capitalized in the amount of $1,268,000 and $1,018,000 for the three-month periods ended October 31, 1994 and 1993, respectively, and $2,869,000 and $2,719,000 for the nine-month periods ended October 31, 1994 and 1993, respectively. Note 4:If the FIFO method of inventory accounting had been used, inventories would have been $74,051,000 higher at October 31, 1994 and $64,541,000 higher at January 31, 1994 Note 5:Stock options exercised consisted of 7,000 and 43,800 shares resulting in proceeds of $45,000 and $268,000 for the three-month periods ended October 31, 1994 and 1993, respectively, and 117,800 and 151,420 shares resulting in proceeds of $961,000 and $854,000 for the nine-month periods ended October 31, 1994 and 1993, respectively. Note 6:Property is shown net of accumulated depreciation of $339,492,000 at October 31, 1994 and $296,788,000 at January 31, 1994. Note 7:Supplemental disclosures of cash flow information: Nine months ended October 31 1994 1993 Cash paid for interest (net of capitalized) $33,667,000 $19,395,000 Cash paid for income taxes 83,136,000 47,247,000 Non-cash investing and financing activities: Common stock issued to ESOP 31,729,000 30,558,000 Fixed assets acquired under capital lease 48,795,000 9,064,000 Common stock issued to executives and directors 2,981,000 Conversion of debt to common stock 217,000 Note 8:On January 31, 1994, the Board of Directors authorized the funding of the Fiscal 1994 ESOP contribution primarily with the issuance of new shares of the Company's common stock. During the first three quarters of Fiscal 1994, the Company issued 922,075 shares with a market value of $31.7 million. -7- Note 9:On January 10, 1994, the Company filed with the Securities and Exchange Commission a shelf registration statement covering $500 million of "unallocated" debt or equity securities. The shelf registration enables the Company to issue common stock, preferred stock, senior unsecured debt securities or subordinated unsecured debt securities from time to time. On June 27, 1994, the Company sold 10,350,000 shares of common stock under the shelf registration discussed above. The Company received proceeds, net of the underwriting discount and other costs, of $315,814,000. The proceeds are being used to finance the Company's large store expansion program and for general corporate purposes. Note 10:During the second quarter, the Company purchased interest rate caps on its interest rate swap agreements. The caps limit the Company's floating interest rate exposure to approximately 75 basis points over the fixed rate received in the agreements. The costs of the caps are amortized over the life of the agreements. Note 11:During the first quarter of Fiscal 1994, $10,000 principal of the Company's 3% Convertible Subordinated Notes were converted into 382 shares of the Company's common stock. During the third quarter, $207,000 principal of the Company's' 3% Convertible Subordinated Notes were converted into 7,921 shares of the Company's common stock. Note 12:Costs associated with the relocation and closing of stores during the three months and nine months ended October 31, 1994, which were recognized through the restructuring charge in Fiscal 1991, totaled $4,990,000 and $15,850,000, respectively. Comparable costs incurred during the three months and nine months ended October 31, 1993 were $5,757,000 and $10,138,000, respectively. Note 13:Unearned Compensation - Restricted Stock Awards of $2,486,000 included in Shareholders' Equity on the balance sheet is the result of stock grants totaling 95,000 shares made to certain executives and directors. The amount will be amortized as earned over periods not exceeding seven years. Note 14:The Company considers its debt and equity securities portfolio, presented herein as both long and short-term investments, to be available for sale under the provisions of Statement of Financial Accounting Standards (SFAS) No. 115. At October 31, 1994, the unrealized holding loss on available-for-sale securities was $1,098,000. Note 15:Earnings per common and common equivalent share is computed based upon the weighted average number of common shares outstanding during the period plus the dilutive effect of common shares contingently issuable from stock options. Earnings per common share - assuming full dilution reflects the potential dilutive effect of dilutive common share equivalents and the Company's 3% Convertible Subordinated Notes issued July 22, 1993. These notes are due July 22, 2003.
EX-6 7 -8- MANAGEMENT'S DISCUSSION AND ANALYSIS OF RESULTS OF OPERATIONS AND FINANCIAL CONDITION
RESULTS OF OPERATIONS Results of operations for the third quarter ended October 31, 1994 continued the strong results of the first and second quarters. Quarterly sales were up 36% to a third quarter record $1.579 billion with comparable store sales up 16%. Net earnings increased 71% to $54.2 million. Earnings per share (fully diluted) were $.33 compared to $.21 in the comparable quarter of last year. The earnings increase is attributable to a managed increase in margins of 38% and the leveraging of expenses that increased only 30% relative to the 36% sales increase. For the nine months ended October 31, 1994, sales were up 36% to $4.623 billion and net earnings up 67% to $177.3 million. Earnings per share (fully diluted) were $1.11 compared to $.71 for the first nine months last year. Sales in the third quarter were enhanced by the addition of 4.6 million square feet of retail selling space at new and existing locations since last year's third quarter. Selling prices of lumber and plywood were higher than in last year's third quarter; however we experienced deflation in most other categories. On average, changing prices accounted for about 3% of the quarter's sales increase. Gross margin was 24.14% of sales for the quarter ended October 31, 1994, versus 23.79% in last year's quarter. For the nine months ended October 31, 1994, gross margin was 24.26%, compared with the prior year's 23.65%. The increase in gross margin percentage in the quarter and nine-month period was primarily the result of favorable changes in our mix. The successful implementation of our Everyday Competitive Pricing strategy is self evident as customers are buying with confidence every day, increasing sales and margin dollars. Selling, general and administrative expenses (SG&A) were $239.2 million for the quarter ended October 31, 1994, a 29% increase over last year's third quarter. We experienced positive leverage however, as SG&A dropped from 15.98% of sales to 15.15% due to the 36% sales increase. For the nine months ended October 31, 1994, SG&A was up 30% but declined as a percentage of sales from 15.49% to 14.82%. The positive leverage came from several factors. The increase in store salaries (excluding those in opening costs) was 32%, due primarily to the staffing requirements for our new and relocated stores. General office expense rose just 14% and advertising rose 18%, both providing positive leverage. The same factors account for the nine- month improvement relative to sales. For the quarter ended October 31, 1994, store opening costs were $10.6 million versus $7.2 million last year, representing costs associated with the opening of 10 stores this year (3 new and 7 relocated) compared to 9 stores in last year's third quarter (4 new and 5 relocated). Store opening costs averaged $530,000 in the third quarter of 1993 and these costs averaged $692,000 per project in 1994. Advertising and staff training expenditures have been increased, as we now have a training coordinator in every new store. For the nine months ended October 31, 1994, store opening costs were $25.4 million versus $16.7 million last year representing costs associated with the opening of 31 stores this year (16 new and 15 relocated) versus 32 stores last year (13 new and 19 relocated). -9- Depreciation was $28.7 million for the quarter ended October 31, 1994, and $78.8 million for the nine months ended October 31, 1994. This is an increase of 42% and 35%, respectively, over the comparable periods last year. The increases are due primarily to fixtures, displays and computer equipment related to our store expansion program. Employee retirement plans expense increased 24% to $13.3 million for the three months ended October 31, 1994, due to a 31% increase in salaries offset by a lower percentage of employees qualifying for the ESOP. For the nine months ended October 31, 1994, employee retirement plans expense was up 25%. Interest expense increased $9.4 million to $21.6 million for the nine months ended October 31, 1994, a 77% increase. This is the result of an increase of $4.6 million in the first quarter, an increase of $3.8 million in the second and an increase of $1.0 million in the third quarter. The increases are primarily due to interest on our convertible notes and other long-term debt. The Company's effective income tax rate was 35.14% for the three months ended October 31, 1994, compared to 33.39% for the comparable three months last year. For the nine months ended October 31, 1994, the effective tax rate was 35.04% compared to 33.43% for the previous year. The current year's higher rates are due to a slight increase in the effective state rate and the effect of fixed dollar tax credits in relation to higher profitability. LIQUIDITY AND CAPITAL RESOURCES The uses of cash in the first nine months have continued to lay the groundwork for successfully implementing our strategic plan. Merchandise inventory has increased $186.3 million, mostly due to the increased merchandise assortments in our new and relocated stores. Real property has increased in line with the Company's strategic plan to continue expansion of sales floor square footage by relocating from older, smaller stores to larger stores and to expand into new markets. The Company's 1994 capital expenditures will range between $575 and $600 million, inclusive of $220 million in operating leases. Over 80% of this planned investment is for our store expansion program. Our 1994 expansion has been financed through the net proceeds from our equity offering, funds from operations, operating leases, and issuance of about $32 million in common stock to our ESOP (see Note 8). On June 27, the Company sold 10.35 million shares of common stock. The proceeds (net of the underwriting discount and other costs) of $315.8 million were added to the general funds of the Company and will be used to finance the store expansion program and for general corporate purposes. The shares were included in a registration statement covering $500 million of "unallocated" equity or debt securities (see Note 9). Additional financings that may be made from time to time over an approximate two-year period will be used for our ongoing expansion program and for general corporate purposes. In addition to these sources, the Company had available at October 31, 1994, agreements for up to $144 million in lines of credit for issuing documentary and standby letters of credit. Another $275 million is available for the purpose of short-term borrowings on a bid basis from various banks. -10- Lowe's ended the third quarter with 326 stores and 16.8 million square feet of retail selling space, a 38% increase over last October's selling space. Our expansion plans for 1994 envision about 50 new stores with half in new markets and half relocations, for approximately 4.4 million square feet of incremental selling space. During the first nine months of Fiscal 1994 we have completed 31 of our projected 50 store projects for the year and added 1.8 million square feet of selling space. We also closed 4 smaller, older stores. Our expansion plans for the fourth quarter include 9 relocations and 10 stores in new markets. By the close of Fiscal 1994 our plans are to have approximately 18.6 million square feet, double our Fiscal 1992 year end square footage. Lowe's expansion plans for Fiscal 1995 and 1996 are to expand our store count from the present base of 326 stores to approximately 400 by January 31, 1997. This a planned growth of about 25% in stores in 27 months. From 1992 through 1995, almost 60% of our new store investment was and will be in existing markets, with therefore, only a portion of the new store sales being incremental. In 1996 and beyond, with relocations at a lower level, about 80% of our new store investment will be in new markets, which is expected to create an additional boost in incremental sales volume.
EX-7 8 -11-
INDEPENDENT ACCOUNTANTS' REPORT The Board of Directors Lowe's Companies, Inc.: We have reviewed the accompanying consolidated condensed balance sheet of Lowe's Companies, Inc. and subsidiary companies as of October 31, 1994, and the related consolidated condensed statements of current and retained earnings for the three-month and nine-month periods ended October 31, 1994 and 1993 and cash flows for the nine month periods ended October 31, 1994 and 1993. These financial statements are the responsibility of the Company's management. We conducted our review in accordance with standards established by the American Institute of Certified Public Accountants. A review of interim financial information consists principally of applying analytical procedures to financial data and of making inquiries of persons responsible for financial and accounting matters. It is substantially less in scope than an audit conducted in accordance with generally accepted auditing standards, the objective of which is the expression of an opinion regarding the financial statements taken as a whole. Accordingly, we do not express such an opinion. Based on our review, we are not aware of any material modifications that should be made to such consolidated condensed financial statements for them to be in conformity with generally accepted accounting principles. We have previously audited, in accordance with generally accepted auditing standards, the consolidated balance sheet of Lowe's Companies, Inc. and subsidiary companies as of January 31, 1994, and the related consolidated statements of current and retained earnings and cash flows for the year then ended (not presented herein); and in our report dated March 9, 1994, we expressed an unqualified opinion on those consolidated financial statements. In our opinion, the information set forth in the accompanying consolidated condensed balance sheet as of January 31, 1994 is fairly stated, in all material respects, in relation to the consolidated balance sheet from which it has been derived. /s/ Deloitte & Touche LLP Charlotte, North Carolina November 10, 1994
EX-8 9 12 Part II OTHER INFORMATION
6 (a) - Exhibits Exhibit 11 - Computation of per share earnings Three Months Ended Nine Months Ended October 31 October 31 1994 1993 1994 1993 Earnings per Common & Common Equivalent Share: Net Earnings $54,191 $31,645 $177,295 $106,053 Weighted Average Shares Outstanding 159,264 147,566 153,306 146,914 Dilutive Effect of Common Stock Equivalents 135 340 133 271 Weighted Average Shares, as Adjusted 159,399 147,906 153,439 147,185 Earnings per Common & Common Equivalent Share $0.34 $0.21 $1.16 $0.72 Earnings per Common Share - Assuming Full Dilution: Net Earnings $54,191 $31,645 $177,295 $106,053 Interest (After Taxes) on Convertible Debt 1,919 1,950 5,744 2,116 Net Earnings, as Adjusted $56,110 $33,595 $183,039 $108,169 Weighted Average Shares Outstanding 159,264 147,566 153,306 146,914 Dilutive Effect of Common Stock Equivalents 136 335 136 332 Shares Added if All Debt Converted 10,995 11,003 10,995 4,111 Weighted Average Shares, as Adjusted 170,395 158,904 164,437 151,357 Earnings per Common Share - Assuming Full Dilution $0.33 $0.21 $1.11 $0.71
EX-9 10 -13- EXHIBIT 27 Financial Data Schedule Fiscal year ended Jan-31-1994 Period end Oct-31-94 Multiplier 1000 Cash and cash items 73772 Marketable securities 246309 Notes and accounts receivable-trade 165926 Allowances for doubtful accounts 0 Inventory 1040015 Total current assets 1567516 Property plant and equipment 1223383 Accumulated depreciation 0 Total assets 2897326 Total current liabilities 838212 Bonds,mortgages and similar debt 628288 Preferred stock-mandatory redemption 0 Preferred stock-no mandatory redemption 0 Common stock 79689 Other stockholders equity 1299031 Total liabilities and stockholders equity 2897326 Net sales of tangible products 4623032 Total revenue 4623032 Costs of tangible goods sold 3501618 Total costs and expenses applicable to sales 3501618 Other costs and expenses 0 Provision for doubtful accounts and notes 0 Interest and amortization of debt discount 21580 Income before tax and other items 272941 Income tax expense 95646 Income/loss continuing operations 177295 Discontinued operations 0 Extraordinary items 0 Cumulative effect-change in accounting principles 0 Net income or loss 177295 Earnings per share primary 1.16 Earnings per share-fully diluted 1.11 EX-10 11 14 Part II - OTHER INFORMATION 6(b) - Reports on Form 8-K There were no reports filed on Form 8-K during the quarter ended October 31, 1994. 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. LOWE'S COMPANIES, INC. \S\ Richard D. Elledge Date December 15, 1994 Richard D. Elledge Vice President and Chief Accounting Officer -----END PRIVACY-ENHANCED MESSAGE-----