Dollar General 2006 Annual Report Download - page 47

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ITEM 8. FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA
Report of Independent Registered Public Accounting Firm
To the Board of Directors and Shareholders of
Dollar General Corporation
Goodlettsville, Tennessee
We have audited the accompanying consolidated balance sheets of Dollar General
Corporation and subsidiaries as of February 2, 2007 and February 3, 2006, and the related
consolidated statements of income, shareholders’ equity and cash flows for each of the three
years in the period ended February 2, 2007. These financial statements are the responsibility of
the Company’ s management. Our responsibility is to express an opinion on these financial
statements based on our audits.
We conducted our audits in accordance with the standards of the Public Company
Accounting Oversight Board (United States). Those standards require that we plan and perform
the audit to obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence supporting the
amounts and disclosures in the financial statements. An audit also includes assessing the
accounting principles used and significant estimates made by management, as well as evaluating
the overall financial statement presentation. We believe that our audits provide a reasonable
basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in all material
respects, the consolidated financial position of Dollar General Corporation and subsidiaries as of
February 2, 2007 and February 3, 2006, and the consolidated results of their operations and their
cash flows for each of the three years in the period ended February 2, 2007, in conformity with
U.S. generally accepted accounting principles.
As discussed in Note 1 to the consolidated financial statements, the accompanying
consolidated balance sheet as of February 3, 2006 has been restated.
As discussed in Notes 1 and 10 to the consolidated financial statements, effective
February 4, 2006, the Company changed its accounting for stock-based compensation in
connection with the adoption of Statement of Financial Accounting Standards No. 123(R),
“Share-Based Payment.”
We also have audited, in accordance with the standards of the Public Company
Accounting Oversight Board (United States), the effectiveness of Dollar General Corporation
and subsidiaries’ internal control over financial reporting as of February 2, 2007, based on
criteria established in Internal Control – Integrated Framework issued by the Committee of
Sponsoring Organizations of the Treadway Commission and our report dated March 23, 2007
expressed an unqualified opinion thereon.
/s/ Ernst & Young LLP
Nashville, Tennessee
March 23, 2007
45