Walgreens 2015 Annual Report Download - page 62

In April 2014, the FASB issued ASU 2014-08, Reporting Discontinued Operations and Disclosures of Disposals
of Components of an Entity. This ASU raises the threshold for a disposal to qualify as discontinued operations
and requires new disclosures for individually material disposal transactions that do not meet the definition of a
discontinued operation. Under the new standard, companies report discontinued operations when they have a
disposal that represents a strategic shift that has or will have a major impact on operations or financial results.
This update will be applied prospectively and is effective for annual periods, and interim periods within those
years, beginning after December 15, 2014 (fiscal 2016). Early adoption is permitted provided the disposal was
not previously disclosed. This update will not have a material impact on the Company’s reported results of
operations and financial position. The impact is non-cash in nature and will not affect the Company’s cash
position.
CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS
This report and other documents that we file or furnish with the SEC contain forward-looking statements that
are based on current expectations, estimates, forecasts and projections about our future performance, our
business, our beliefs and our management’s assumptions. In addition, we, or others on our behalf, may make
forward-looking statements in press releases or written statements, on the Company’s website or in our
communications and discussions with investors and analysts in the normal course of business through
meetings, webcasts, phone calls, conference calls and other communications. Some of such forward-looking
statements may be based on certain data and forecasts relating to our business and industry that we have
obtained from internal surveys, market research, publicly available information and industry publications.
Industry publications, surveys and market research generally state that the information they provide has been
obtained from sources believed to be reliable, but that the accuracy and completeness of such information is
not guaranteed. Statements that are not historical facts are forward-looking statements, including, without
limitation, statements regarding our future financial and operating performance, as well as forward-looking
statements concerning the Merger Agreement with Rite Aid and the transactions contemplated thereby and
their possible effects, our integration of Alliance Boots, corporate efficiency initiatives, our commercial
agreement with AmerisourceBergen, the arrangements and transactions contemplated by our framework
agreement with AmerisourceBergen and their possible effects, estimates of the impact of developments on our
earnings, earnings per share and other financial and operating metrics, cough/cold and flu season, prescription
volume, pharmacy sales trends, prescription margins, generic prescription drug inflation, number and location
of new store openings, network participation, vendor, payer and customer relationships and terms, possible
new contracts or contract extensions, competition, economic and business conditions, outcomes of litigation
and regulatory matters, the level of capital expenditures, industry trends, demographic trends, growth
strategies, financial results, cost reduction initiatives, impairment or other charges, acquisition and joint
venture synergies, competitive strengths and changes in legislation or regulations. Words such as “expect,”
“likely,” “outlook,” “forecast,” “preliminary,” “would,” “could,” “should,” “can,” “will,” “project,” “intend,”
“plan,” “goal,” “guidance,” “target,” “continue,” “sustain,” “synergy,” “on track,” “headwind,” “tailwind,”
“believe,” “seek,” “estimate,” “anticipate,” “may,” “possible,” “assume,” variations of such words and similar
expressions are intended to identify such forward-looking statements, which are made pursuant to the safe
harbor provisions of the Private Securities Litigation Reform Act of 1995.
These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties
and assumptions that could cause actual results to vary materially from those indicated, including, but not limited
to, those relating to the impact of private and public third-party payers’ efforts to reduce prescription drug
reimbursements, the impact of generic prescription drug inflation, the timing and magnitude of the impact of
branded to generic drug conversions, our ability to realize anticipated synergies and achieve anticipated financial,
tax and operating results in the amounts and at the times anticipated, supply arrangements including our
commercial agreement with AmerisourceBergen, the arrangements and transactions contemplated by our
framework agreement with AmerisourceBergen and their possible effects, the risks associated with equity
investments in AmerisourceBergen including whether the warrants to invest in AmerisourceBergen will be
exercised and the ramifications thereof, the occurrence of any event, change or other circumstance that could
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