SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of
1934
Date of Report: December 23, 1997
WALGREEN CO.
(Exact name of registrant as specified in its charter)
Illinois 1-604 36-1924025
(State or other (Commission File Number) (IRS Employer
jurisdiction of Identification No.)
incorporation)
200 Wilmot Road, Deerfield, Illinois 60015
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (847) 940-2500
(Former name or former address, if changed since last report)
Item 5. Other Events.
Walgreen Co. today said it will take a 5-cent per share
charge against its first quarter 1998 earnings to comply with
a new required accounting interpretation announced Nov. 20, 1997.
The Emerging Issues Task Force (EITF), a subcommittee
of the Financial Accounting Standards Board (FASB), requires that
the cost of business process reengineering activities that are
part of a systems development project be expensed as those costs
are incurred. Any unamortized costs that were previously
capitalized must be written off as a cumulative adjustment in the
quarter containing Nov. 20, 1997.
Walgreens will record this cumulative pre-tax charge of
$43 million, or 5 cents per share, against 1998 first quarter
earnings, which will be announced Jan. 5, 1998.
Most of the systems development costs affected by the
accounting change are associated with Intercom Plus, Walgreens
advanced pharmacy computer system. Chainwide rollout of the
system was completed Oct. 31.
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 hereunto duly authorized.
WALGREEN CO.
(Registrant)
By R. L. Polark____________
R. L. Polark
Senior Vice President
(Chief Financial Officer)
Date: December 23, 1997
