26. Interim Financial Results (Unaudited)

	Fiscal Year 2018
	First Quarter(a)			Second Quarter(a)			Third Quarter			Fourth Quarter			Year
Revenues	$	5,436,523		$	5,345,011		$	5,353,170		$	5,394,264		$	21,528,968
Cost of revenues		4,274,580			4,183,338			4,166,447			4,124,498			16,748,863
Selling, general and administrative expenses		1,160,940			1,141,844			1,166,514			1,181,964			4,651,262
Lease termination and impairment charges		4,038			3,113			3,939			47,675			58,765
Goodwill impairment		—			—			—			261,727			261,727
Interest expense		51,000			50,857			50,308			50,603			202,768
Walgreens Boots Alliance merger termination fee		—			(325,000	)		—			—			(325,000	)
Loss (gain) on sale of assets, net		(5,877	)		(14,951	)		205			(5,249	)		(25,872	)

		5,484,681			5,039,201			5,387,413			5,661,218			21,572,513

(Loss) income from continuing operations before income taxes		(48,158	)		305,810			(34,243	)		(266,954	)		(43,545	)
Income tax (benefit) expense		(12,121	)		117,450			(16,061	)		216,719			305,987

Net (loss) income from continuing operations		(36,037	)		188,360			(18,182	)		(483,673	)		(349,532	)
Net (loss) income from discontinued operations, net of tax		(39,312	)		(17,644	)		99,213			1,250,745			1,293,002

Net (loss) income	$	(75,349	)	$	170,716		$	81,031		$	767,072		$	943,470


Basic (loss) income per share(b):
Continuing operations	$	(0.03	)	$	0.18		$	(0.02	)	$	(0.46	)	$	(0.33	)
Discontinued operations	$	(0.04	)	$	(0.02	)	$	0.10		$	1.19		$	1.23

Net basic (loss) income per share	$	(0.07	)	$	0.16		$	0.08		$	0.73		$	0.90


Diluted (loss) income per share(b):
Continuing operations	$	(0.03	)	$	0.18		$	(0.02	)	$	(0.46	)	$	(0.33	)
Discontinued operations	$	(0.04	)	$	(0.02	)	$	0.10		$	1.19		$	1.23

Net diluted (loss) income per share	$	(0.07	)	$	0.16		$	0.08		$	0.73		$	0.90

	Fiscal Year 2017
	First Quarter			Second Quarter			Third Quarter			Fourth Quarter(c)			Year
Revenues	$	5,725,485		$	5,629,559		$	5,669,111		$	5,903,385		$	22,927,540
Cost of revenues		4,496,400			4,387,845			4,424,260			4,554,328			17,862,833
Selling, general and administrative expenses		1,179,775			1,175,430			1,168,646			1,253,144			4,776,995
Lease termination and impairment charges		5,778			7,226			7,199			25,575			45,778
Interest expense		46,668			49,703			50,303			53,391			200,065
Loss (gain) on sale of assets, net		397			(560	)		(225	)		(6,261	)		(6,649	)

		5,729,018			5,619,644			5,650,183			5,880,177			22,879,022

(Loss) income from continuing operations before income taxes		(3,533	)		9,915			18,928			23,208			48,518
Income tax (benefit) expense		(3,021	)		3,879			(4,682	)		48,262			44,438

Net (loss) income from continuing operations		(512	)		6,036			23,610			(25,054	)		4,080
Net (loss) income from discontinued operations, net of tax		(4,076	)		8,737			(8,600	)		3,912			(27	)

Net (loss) income	$	(4,588	)	$	14,773		$	15,010		$	(21,142	)	$	4,053


Basic and diluted (loss) income per share(b):
Continuing operations	$	(0.00	)	$	0.01		$	0.02		$	(0.02	)	$	0.00
Discontinued operations	$	(0.00	)	$	0.00		$	(0.01	)	$	0.00		$	(0.00	)

Net basic and diluted income per share	$	(0.00	)	$	0.01		$	0.01		$	(0.02	)	$	0.00


(a)	The Company's fiscal 2018 first and second quarterly results were recasted to reflect the application of ASC 205-20 as it relates to the Asset Sale to WBA (see Note 4. Asset Sale to WBA).
(b)	Income per share amounts for each quarter may not necessarily total to the yearly income per share due to the weighting of shares outstanding on a quarterly and year-to-date basis.
(c)	The interim financial results for the fourth quarter of fiscal 2017 includes 14 weeks.

During the fourth quarter of 2018, the Company recorded an income tax expense of $324,765 in connection with the revaluation of the Company's deferred tax assets as discussed in Note 8, a goodwill impairment charge of $261,727 as discussed in Note 13 ($191,000 net of the related income tax benefit), and facilities impairment charges of $36,927. Also, during the fourth quarter of fiscal 2018, the Company recorded a LIFO credit of $49,220 due to higher deflation on pharmacy generics as compared to a LIFO credit recognized at prior year end caused by lower deflation on pharmacy generics.

During the fourth quarter of fiscal 2017, the Company recorded facilities impairment charges of $21,068 and a LIFO credit of $28,987 due to lower deflation on pharmacy generics.