Product Market AnalysisStocks: Walgreen Co. (WAG)52 WeeksPrice Information: Hi Lo EPS DPS PriceDate of Purchase: 1-18-06 49 41 1.57 .26 43.91Date sales: 4-19-06 49 41 1.57 .26 44.12 Walgreen Co. engages in the retail sale of prescription and non-prescription drugs and general merchandise through a chain of pharmacy locations in the United States. It is the nation's largest pharmacy chain by sales. General merchandise includes cosmetics, toiletries, household items, food, beverages and photo editing. It also provides services at the pharmacy counter, as well as through mail, telephone and the Internet. As of October 31, 2005, the company operated 5,000 stores in 45 states and Puerto Rico. Additionally, it operated 3 postal service facilities. Walgreen Co. was founded by Charles R. Walgreen, Sr. in 1901. The company is headquartered in Deerfield, Illinois. Walgreen's reported March sales of $4,086,720,000, up 9.2 percent from $3,742,653,000 in the same month in 2005. Sales at comparable stores (those open at least a year) increased 4.3 %. This year's March sales were affected by an unfavorable comparison between Easter March last year and Easter April this year (March 27 last year versus April 16 this year) . To account for the Easter effect, Walgreen will report total and comparable store sales next month for both April and the combined months of March and April. March pharmaceutical sales increased 13.0%, while comparable pharmaceutical sales increased 8.6%. Total prescriptions filled at comparable stores increased 3.4%. Pharmacy sales accounted for 66.3% of total sales for the month. March this year had an extra Friday and a paper month......liable, however, with periods of decline every now and then. The company can never be satisfied because it is constantly challenged by consumer attitudes, climate and high expectations. Since prescription drugs account for more than 60% of sales, there are concerns about pharmaceutical competition, nationwide pharmacist shortages, lower reimbursement rates, and potentially unfavorable legislation. Walgreen's is constantly growing, with more than 5,000 stores in 45 states and Puerto Rico. Sales growth at existing locations is truly impressive and leads the industry in 24-hour and drive-through stores. It has had numerous years of higher dividends and has a strong balance sheet with no debt and generates a lot of cash. Overall, this company is a safe stock to have for years to come. Their history precedes them and has a guaranteed future in the US nation.