AutoZone 1st Quarter Same Store Sales Increase 0.2%; EPS Increases 15.7% to $5.41; Definitive Agreement Reached to Acquire

AutoZone 1st Quarter Same Store Sales Increase 0.2%; EPS Increases 15.7% to
$5.41; Definitive Agreement Reached to Acquire AutoAnything

MEMPHIS, Tenn., Dec. 4, 2012 (GLOBE NEWSWIRE) -- AutoZone, Inc. (NYSE:AZO)
today reported net sales of $2.0 billion for its first quarter (12 weeks)
ended November 17, 2012, an increase of 3.5% from the first quarter of fiscal
2012 (12 weeks). Domestic same store sales, or sales for stores open at least
one year, increased 0.2% for the quarter.

Net income for the quarter increased $12.3 million, or 6.4%, over the same
period last year to $203.5 million, while diluted earnings per share increased
15.7% to $5.41 per share from $4.68 per share in the year-ago quarter.

For the quarter, gross profit, as a percentage of sales, was 51.8% (versus
51.1% for last year's quarter). The improvement in gross margin was primarily
attributable to an improvement in merchandise margins (53 bps) driven by lower
acquisition costs and lower shrink expense. Operating expenses, as a
percentage of sales, were 33.6% (versus 33.4% last year). The increase in
operating expenses, as a percentage of sales, was negatively impacted by
higher store payroll (34 bps), partially offset by lower advertising expense.

Under its share repurchase program, AutoZone repurchased 855 thousand shares
of its common stock for $317 million during the first quarter, at an average
price of $371 per share. At the end of the first quarter, the Company had $788
million remaining under its current share repurchase authorization.Driven by
improved earnings and a declining equity base, return on capital reached 33.0%
at quarter end.

The Company's inventory increased 6.8% over the same period last year, driven
primarily by new store openings.Inventory per store was $537 thousand versus
$524 thousand last year and $525 thousand last quarter.Net inventory, defined
as merchandise inventories less accounts payable, was flat, relative to last
year, on a per store basis, at negative $64 thousand per store.

Additionally, AutoZone announces this morning that it has entered into a
definitive agreement to purchase the assets and select liabilities of
AutoAnything, an online retailer of specialized automotive products.

"I would like to thank our entire organization for the solid performance
delivered this past quarter.We are pleased to report our twenty-fifth
consecutive quarter of double digit earnings per share growth.While this past
quarter's sales results were lower than planned, they were not surprising to
us.Regional sales discrepancies continued to challenge our results, however
we began to see improvements in our more challenged regions late in the
quarter.We believe the initiatives we have in place are correct for
delivering solid financial results, as we remain excited about our
opportunities for the remainder of fiscal 2013.Our financial success will
continue to be driven by the tremendous contributions of our more than 70,000
dedicated AutoZoners, and it is their dedication that will continue to
differentiate us from our competition. Also, we look forward to formally
welcoming the AutoAnything team to AutoZone.The company's culture and
leadership is an outstanding fit with our Company as we look forward to
growing our e-Commerce initiatives for many years to come.I want to reiterate
we remain committed to delivering exceptional, 'WOW!' customer service while
growing through our Retail, Commercial, International, ALLDATA, and e-Commerce
initiatives.We will maintain our disciplined approach to growing operating
earnings and utilizing our capital effectively," said Bill Rhodes, Chairman,
President and Chief Executive Officer.

During the quarter ended November 17, 2012, AutoZone opened 19 new stores, and
closed one store in the U.S., opened 4 new stores in Mexico, and opened our
first store in Brazil.As of November 17, 2012, the Company had 4,703 stores
in 49 states, the District of Columbia and Puerto Rico in the U.S., 325 stores
in Mexico, and one store in Brazil for a total count of 5,029.

AutoZone is the leading retailer, and a leading distributor, of automotive
replacement parts and accessories in the United States. Each store carries an
extensive product line for cars, sport utility vehicles, vans and light
trucks, including new and remanufactured automotive hard parts, maintenance
items, accessories, and non-automotive products. Many stores also have a
commercial sales program that provides commercial credit and prompt delivery
of parts and other products to local, regional and national repair garages,
dealers, service stations, and public sector accounts, including select stores
in Mexico.AutoZone also sells the ALLDATA brand diagnostic and repair
software through www.alldata.com and www.alldatadiy.com. Additionally, we sell
automotive hard parts, maintenance items, accessories, and non-automotive
products through www.autozone.com, and our commercial customers can make
purchases through www.autozonepro.com.AutoZone does not derive revenue from
automotive repair or installation.

AutoZone will host a conference call this morning, Tuesday, December 4, 2012,
beginning at 10:00 a.m. (EST) to discuss its first quarter results.Investors
may listen to the conference call live and review supporting slides on the
AutoZone corporate website, www.autozoneinc.com by clicking "Investor
Relations," "Conference Calls."The call will also be available by dialing
(210) 839-8923.A replay of the call and slides will be available on
AutoZone's website.In addition, a replay of the call will be available by
dialing (203) 369-1211 through Tuesday, December 11, 2012 at 11:59 p.m. (EST).

This release includes certain financial information not derived in accordance
with generally accepted accounting principles ("GAAP").These non-GAAP
measures include return on invested capital, adjusted debt, adjusted debt to
EBITDAR, and cash flow before share repurchases.The Company believes that the
presentation of these non-GAAP measures provides information that is useful to
investors as it indicates more clearly the Company's comparative year-to-year
operating results, but this information should not be considered a substitute
for any measures derived in accordance with GAAP.Management targets the
Company's capital structure in order to maintain its investment grade credit
ratings and manages cash flows available for share repurchase by monitoring
cash flows before share repurchases, as shown on the attached tables.The
Company believes this is important information for the management of its debt
levels and share repurchases.We have included a reconciliation of this
additional information to the most comparable GAAP measures in the
accompanying reconciliation tables.

Certain statements contained in this press release are forward-looking
statements. Forward-looking statements typically use words such as "believe,"
"anticipate," "should," "intend," "plan," "will," "expect," "estimate,"
"project," "positioned," "strategy" and similar expressions. These are based
on assumptions and assessments made by our management in light of experience
and perception of historical trends, current conditions, expected future
developments and other factors that we believe to be appropriate. These
forward-looking statements are subject to a number of risks and uncertainties,
including without limitation: credit market conditions; the impact of
recessionary conditions; competition; product demand; the ability to hire and
retain qualified employees; consumer debt levels; inflation; weather; raw
material costs of our suppliers; energy prices; war and the prospect of war,
including terrorist activity; construction delays; access to available and
feasible financing; and changes in laws or regulations. Certain of these risks
are discussed in more detail in the "Risk Factors" section contained in Item
1A under Part 1 of our Annual Report on Form 10-K for the year ended August
25, 2012, and these Risk Factors should be read carefully. Forward-looking
statements are not guarantees of future performance and actual results;
developments and business decisions may differ from those contemplated by such
forward-looking statements, and events described above and in the "Risk
Factors" could materially and adversely affect our business. Forward-looking
statements speak only as of the date made. Except as required by applicable
law, we undertake no obligation to update publicly any forward-looking
statements, whether as a result of new information, future events or
otherwise. Actual results may materially differ from anticipated results.

AutoZone's 1st Quarter Highlights - Fiscal 2013                            
                                                      
Condensed Consolidated Statements of Operations                            
1st Quarter                                                                
(in thousands, except per share data)                                      
                      GAAP Results                      
                       12 Weeks Ended    12 Weeks Ended
                      November 17, 2012 November 19,    
                                         2011
                                                      
Net sales              $1,991,040      $1,924,341    
Cost of sales          959,174           940,714         
Gross profit           1,031,866        983,627        
Operating, SG&A        668,590           642,693         
expenses
Operating              363,276          340,934        
profit(EBIT)
Interest expense, net  41,104            39,094          
Income before taxes    322,172          301,840        
Income taxes           118,720           110,715         
Net income             $203,452        $191,125      
Net income per share:                                  
Basic                  $5.52           $4.79         
Diluted                $5.41           $4.68         
Weighted average                                       
shares outstanding:
Basic                  36,845            39,865          
Diluted                37,586            40,864          
                                                      
Selected Balance Sheet Information                                         
(in thousands)                                                             
                      November 17, 2012 November 19,    August 25, 2012
                                         2011
                                                      
Cash and cash          $99,864         $96,676       $103,093
equivalents
Merchandise            2,702,103        2,531,210      2,627,983
inventories
Current assets         3,062,291        2,842,673      2,978,946
Property and           2,890,269        2,667,105      2,855,928
equipment, net
Total assets           6,398,039        5,932,580      6,265,639
Accounts payable       3,021,916        2,843,741      2,926,740
Current liabilities*   3,744,492        3,578,966      3,655,592
Total debt*            3,802,705        3,354,317      3,768,183
Stockholders'          (1,591,369)      (1,347,099)    (1,548,025)
(deficit)
Working capital        (682,201)        (736,293)      (676,646)
                                                      
* Current liabilities and total debt both include short-term borrowings
of $0 at November 17, 2012; $35,417 at November 19, 2011 and $49,881 at
August 25, 2012.

                                                      
Adjusted Debt / EBITDAR (Trailing 4 Qtrs)                                   
(in thousands, except adjusted debt to EBITDAR ratio)                       
                                   November 17, 2012   November 19, 2011
Net income                          $942,700          $868,023
Add:Interest                       177,915            172,398
Taxes                      530,618            489,195
EBIT                                1,651,233          1,529,616
                                                      
Add:Depreciation                   213,884            200,565
 Rent expense               232,828            217,603
 Share-based expense        33,932             29,116
EBITDAR                             $2,131,877        $1,976,900
                                                      
Debt                                $3,802,705        $3,354,317
Capital lease obligations           101,144            86,759
Add: rent x 6                      1,396,968          1,305,618
Adjusted debt                       $5,300,817        $4,746,694
                                                      
Adjusted debt to EBITDAR            2.5                2.4

                                                      
Selected Cash Flow Information                         
(in thousands)                                         
                                   12 Weeks Ended      12 Weeks Ended
                                    November 17, 2012   November 19, 2011
                                                      
Depreciation                        $50,700           $48,647
Capital spending                    $80,430           $61,924
                                                      
Cash flow before share repurchases:                    
Decrease in cash and cash           $(3,229)          $(930)
equivalents
Subtract increase in debt           34,448             5,796
Add back share repurchases          317,332            309,765
Cash flow before share repurchases  $279,655          $303,039
and changes in debt
                                                      
                                                      
Other Selected Financial                               
Information
(in thousands, except ROIC)                            
                                   November 17, 2012   November 19, 2011
                                                      
                                                      
Cumulative share repurchases ($     $11,861,574       $10,491,138
since fiscal 1998)
Remaining share authorization ($)   $788,426          $658,862
                                                      
Cumulative share repurchases        131,993            128,298
(shares since fiscal 1998)
                                                      
Shares outstanding, end of quarter  36,473             39,322
                                                      
                                   Trailing 4 Quarters
                                   November 17, 2012   November 19, 2011
Net income                          $942,700          $868,023
Adjustments:                                           
Interest expense                    177,915            172,398
Rent expense                        232,828            217,603
Tax effect*                         (147,867)          (140,572)
After-tax return                    1,205,576          1,117,452
                                                      
Average debt**                      3,599,175          3,211,046
Average stockholders' deficit**     (1,439,769)        (1,115,290)
Add: Rent x 6                       1,396,968          1,305,618
Average capital lease obligations** 98,924             84,662
Pre-tax invested capital            $3,655,298        $3,486,036
                                                      
Return on Invested Capital (ROIC)   33.0%               32.1%
                                                      
* Effective tax rate over trailing four quarters ended November 17, 2012   
is 36.0% and November 19, 2011 is 36.0%.
** All averages are computed based on trailing 5 quarter balances.          

                                                      
AutoZone's 1st Quarter Fiscal 2013                                        
Selected Operating Highlights                                             
                                                      
Store Count & Square Footage                                              
                                                      
                   12 Weeks     12 Weeks
                  Ended        Ended                    
                   November 17, November 19,
                   2012         2011
Domestic stores:                                       
Store count:                                           
Beginning domestic 4,685       4,534                   
stores
Stores opened      19          17                      
Stores closed      1           --                      
Ending domestic    4,703       4,551                   
stores
Relocated stores   --          1                       
                                                      
Stores with
commercial         3,090       2,733                   
programs
                                                      
Square footage (in 30,480       29,424                  
thousands):
                                                      
Mexico stores:                                         
Stores opened     4           2                       
Total stores in    325         281                     
Mexico
                                                      
Brazil stores:                                         
Stores opened     1           --                      
Total stores in    1           --                      
Brazil
                                                      
Total stores       5,029       4,832                   
chainwide
                                                      
Square footage (in 32,866      31,474                  
thousands):
Square footage per 6,535       6,514                   
store
                                                      
Sales Statistics                                                          
($ in thousands,
except sales per
average square                                         
foot and
percentages)
Total Auto Parts   12 Weeks     12 Weeks     Trailing 4   Trailing 4
(Domestic and      Ended        Ended        Quarters     Quarters
Mexico)           November 17, November 19, November 17, November 19,
                   2012         2011         2012         2011
Total auto parts   $1,948,669 $1,884,138 $8,487,090 $8,035,843
sales
% Increase vs.    3.4%         7.4%         5.6%         8.4%
LY
                                                      
Sales per average  $388       $391       $1,722     $1,696
store
Sales per average  $59        $60        $264       $261
square foot
                                                      
Domestic                                               
Commercial
Total domestic     $306,068   $272,780   $1,329,107 1,126,709
commercial sales
% Increase vs. LY 12.2%        22.6%        18.0%        22.7%
                                                      
All Other
(ALLDATA,                                              
E-Commerce and
Brazil)
All other sales    $42,371    $40,203    $183,472   $ 169,809
% Increase vs.    5.4%         9.6%         8.0%         11.3%
LY
                                                      
                   12 Weeks     12 Weeks
                  Ended        Ended                    
                   November 17, November 19,
                   2012         2011
Domestic same      0.2%         4.6%                     
store sales
                                                      
                                                      
Inventory
Statistics (Total                                      
Stores)
                                                      
                   as of        as of
                  November 17, November 19,             
                   2012         2011
Accounts           111.8%       112.3%                   
payable/inventory
                                                      
($ in thousands)                                       
Inventory          $2,702,103 $2,531,210             
Inventory per      $537       $524                   
store
Net inventory (net $(319,813) $(312,531)             
of payables)
Net inventory/    $(64)      $(65)                  
per store
                                                      
                  Trailing 5 Quarters                               
                  November 17, November 19,             
                   2012         2011
Inventory turns    1.6 x       1.6 x                   

CONTACT: Financial: Brian Campbell at (901) 495-7005,
         brian.campbell@autozone.com
        
         Media: Ray Pohlman at (866) 966-3017,
         ray.pohlman@autozone.com

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