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Lowe's Outlines Strong Financial Position, Strategic Investments and Financial Targets at 2012 Analyst and Investor Conference



  Lowe's Outlines Strong Financial Position, Strategic Investments and
  Financial Targets at 2012 Analyst and Investor Conference

              -- Company Reiterates Guidance for Fiscal 2012 --

Business Wire

MOORESVILLE, N.C. -- December 05, 2012

Lowe’s Companies, Inc. (NYSE: LOW) will discuss progress made on its mission
to deliver better customer experiences and provide further details of its
strategy designed to drive long-term sales growth, increase profitability and
enhance shareholder value when the company meets with analysts and investors
today in Mooresville, North Carolina at its conference.

Robert A. Niblock, Lowe’s chairman, president and CEO, said, “As we look at
the home improvement industry, we know consumers’ affinity for their homes
remains strong even as we emerge from the worst housing downturn since the
Great Depression. As a result, we’re focused on transforming Lowe’s to be the
first choice for home improvement by providing better experiences.

“With the infrastructure we have in place and the changes we’re making, we
expect to generate significant cash flow for years to come. We will use that
cash flow to make investments in our core business, in other strategic
opportunities to serve developing home improvement markets, and to return
capital to shareholders,” Niblock concluded.

During the conference, senior Lowe's executives will focus on critical
decisions and progress on key initiatives that position the company for
success, and will update its long-term financial targets. Highlights of the
presentations include:

  * Gregory M. Bridgeford, chief customer officer: “We are building on our
    core strengths with Value Improvement and Product Differentiation. These
    focus areas are expected to deliver comparable store transaction growth,
    higher gross margins and improved inventory productivity. You might think
    of Value Improvement as the inner circle enhancing the core, and Product
    Differentiation as the outer circle driving excitement and flexibility.”
  * Rick D. Damron, chief operating officer: “We will evolve our sales culture
    across all channels to better understand and serve customers’ needs, and
    further leverage our investments in technology. This next phase of our
    transformation is focused on our associates and their relationship with
    customers. It is a shift from a transaction-oriented culture to a
    project-oriented culture with a particular focus on lead conversion and
    average ticket growth.”
  * Robert F. Hull, Jr., CFO: “We are focused on building the experiences
    customers want and are dedicated to finishing our journey. Differentiated
    experiences will lead to brand advocacy and loyalty, which in turn drives
    return on invested capital and shareholder returns.”

Today, Lowe’s also reiterated its prior sales and earnings guidance for the
2012 fiscal year, which was provided in its November 19, 2012 earnings
release.

Lowe’s Business Outlook

Fiscal Year 2012 – a 52-week Year (comparisons to fiscal year 2011 – a 53-week
year; based on U.S. GAAP unless otherwise noted)

  * Total sales are expected to be approximately flat. On a 52 versus 52 week
    basis, total sales are expected to increase approximately 2 percent.
  * The company expects comparable store sales to increase approximately 1
    percent (on a 52 versus 52 week basis).
  * The company expects to open approximately 10 stores in fiscal year 2012.
  * Earnings before interest and taxes as a percentage of sales (operating
    margin) are expected to increase approximately 40 basis points.
  * Depreciation expense is expected to be approximately $1.5 billion.
  * The effective income tax rate is expected to be approximately 37.7%.
  * Diluted earnings per share of approximately $1.64 are expected for the
    fiscal year ending February 1, 2013.

A webcast of this conference is scheduled for today (Wednesday, December 5) at
10:00 am ET. The webcast can be accessed by visiting Lowe’s website at
www.Lowes.com/investor, clicking on Webcasts and then on Lowe’s 2012 Analyst &
Investor Conference Webcast. A replay of the webcast should be available
online by 5:00 pm ET on December 5 and available until the next Analyst and
Investor Conference.

Disclosure Regarding Forward-Looking Statements

This news release includes "forward-looking statements" within the meaning of
the Private Securities Litigation Reform Act of 1995 (the "Act"). Statements
of the company's expectations for sales growth, comparable store sales,
earnings and performance, shareholder value, capital expenditures, cash flows,
store openings, the housing market, the home improvement industry, demand for
services, share repurchases, the Company’s strategic initiatives and any
statement of an assumption underlying any of the foregoing, constitute
"forward-looking statements" under the Act. Although we believe that the
expectations, opinions, projections, and comments reflected in these
forward-looking statements are reasonable, we can give no assurance that such
statements will prove to be correct. A wide variety of potential risks,
uncertainties, and other factors could materially affect our ability to
achieve the results either expressed or implied by our forward-looking
statements including, but not limited to, changes in general economic
conditions, such as continued high rates of unemployment, interest rate and
currency fluctuations, higher fuel and other energy costs, slower growth in
personal income, changes in consumer spending, changes in the rate of housing
turnover, the availability and increasing regulation of consumer credit and of
mortgage financing, inflation or deflation of commodity prices, pending
combination of expiring tax cuts and mandatory reductions in federal spending
at the end of 2012, and other factors which can negatively affect our
customers, as well as our ability to: (i) respond to adverse trends in the
housing industry, such as the psychological effects of lower home prices, and
in the level of repairs, remodeling, and additions to existing homes, as well
as a general reduction in commercial building activity; (ii) secure, develop,
and otherwise implement new technologies and processes designed to enhance our
efficiency and competitiveness; (iii) attract, train, and retain
highly-qualified associates; (iv) manage our business effectively as we adapt
our traditional operating model to meet the changing expectations of our
customers; (v) to maintain, improve, upgrade and protect our critical
information systems; (vi) respond to fluctuations in the prices and
availability of services, supplies, and products; (vii) respond to the growth
and impact of competition; (viii) address changes in existing or new laws or
regulations that affect consumer credit, employment/labor, trade, product
safety, transportation/logistics, energy costs, health care, tax or
environmental issues; and (ix) respond to unanticipated weather conditions
that could adversely affect sales. In addition, we could experience additional
impairment losses if the actual results of our operating stores are not
consistent with the assumptions and judgments we have made in estimating
future cash flows and determining asset fair values. For more information
about these and other risks and uncertainties that we are exposed to, you
should read the "Risk Factors" and "Critical Accounting Policies and
Estimates" included in our Annual Report on Form 10-K to the United States
Securities and Exchange Commission (the “SEC”) and the description of material
changes therein or updated version thereof, if any, included in our Quarterly
Reports on Form 10-Q.

The forward-looking statements contained in this news release are based upon
data available as of the date of this release or other specified date and
speak only as of such date. All subsequent written and oral forward-looking
statements attributable to us or any person acting on our behalf about any of
the matters covered in this release are qualified by these cautionary
statements and the “Risk Factors” included in our Annual Report on Form 10-K
to the SEC and the description of material changes, if any, therein included
in our Quarterly Reports on Form 10-Q. We expressly disclaim any obligation to
update or revise any forward-looking statement, whether as a result of new
information, change in circumstances, future events, or otherwise.

With fiscal year 2011 sales of $50.2 billion, Lowe’s Companies, Inc. is a
FORTUNE^® 100 company that serves approximately 15 million customers a week at
more than 1,745 home improvement stores in the United States, Canada and
Mexico. Founded in 1946 and based in Mooresville, N.C., Lowe’s is the
second-largest home improvement retailer in the world. For more information,
visit Lowes.com.

Contact:

Lowe’s Companies, Inc.
Shareholders’/Analysts’:
Tiffany Mason, 704-758-2033
Inquiries: Media Inquiries:
Chris Ahearn, 704-758-2304
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