Breaking News

Adidas to Start EU1.5B Shareholder Return Program
Tweet TWEET

The Jean Coutu Group: First Quarter of Fiscal Year 2014 Results

The Jean Coutu Group: First Quarter of Fiscal Year 2014 Results 
LONGUEUIL, QUEBEC -- (Marketwired) -- 07/09/13 -- The Jean Coutu
Group (PJC) Inc. (the "Corporation" or the "Jean Coutu
Group")(TSX:PJC.A) reported its financial results today for the
quarter ended June 1, 2013. 
SUMMARY OF RESULTS 
(Unaudited, in millions of Canadian dollars, except per share
amounts) 


 
                                                    Q1 - 2014      Q1 - 2013
----------------------------------------------------------------------------
                                                            $              $
Revenues                                                681.6          681.5
Operating income before amortization ("OIBA")            81.8           79.4
Gains related to the investment in Rite Aid              54.4          348.0
Net profit                                              108.6          397.3
  Per share                                              0.51           1.81
Net profit before gains related to the                                      
 investment in Rite Aid and change in fair                                  
 value of other financial assets (1)                     54.2           51.6
  Per share                                              0.26           0.24
----------------------------------------------------------------------------
(1)  See the "Non-IFRS financial measure" section. 

 
HIGHLIGHTS  


 
--  Operating income before amortization ("OIBA") increased by 3.0% for the
    first quarter of fiscal year 2014, despite the deflationary impact on
    pharmacy sales of a strong generic drugs penetration.
    
 
--  Repurchase of 3,344,100 Class "A" subordinate voting shares at an
    average price of $16.71 per share for a total consideration of $55.9
    million during the first quarter of fiscal year 2014.
    
 
--  Gain on disposal of investment in Rite Aid totalling $54.4 million
    following the sale of 72,500,000 common shares during the first quarter
    of fiscal year 2014. The Corporation sold an additional 40,500,000
    common shares of Rite Aid in June 2013, for a net proceed of $116.0
    million (US$ 110.8 million). An additional $55.7 million gain will be
    recorded in the consolidated statement of income during the second
    quarter of fiscal year 2014.

 
Financial results 
"We are satisfied with the results recorded in the first quarter.
Operating income showed solid growth in spite of the deflationary
impact of generic drugs on pharmacy sales" said Francois J. Coutu,
President and Chief Executive Officer. "The pharmacies affiliated to
our network still show the best performance of the industry. We will
therefore continue to implement effectively our business plan to
pursue our growth over the coming quarters and maintain our
leadership." 
Revenues 
Revenues consist mainly of sales and other revenues derived from
franchising activities. Merchandise sales to PJC franchisees made
mostly through our distribution centres account for the greater part
of our revenues. 
Revenues amounted to $681.6 million during the quarter ended June 1,
2013, compared with $681.5 million in the quarter ended June 2, 2012.
This slight increase is attributable to overall market growth and the
expansion of the PJC network of franchised stores, despite the
deflationary impact on revenues of the significant volume increase in
prescriptions of generic drugs as well as the price reductions of
generic drugs. 
OIBA 
OIBA increased by $2.4 million to $81.8 million for the quarter ended
June 1, 2013 compared with $79.4 million for the quarter ended June
2, 2012. This increase is mainly attributable to a strong operational
performance of the generic drugs segment as well as of the
franchising activities. OIBA as a percentage of revenues ended the
first quarter of fiscal year 2014 at 12.0% compared with 11.7% for
the same quarter of the previous fiscal year. 
Pro Doc 
Gross sales of Pro Doc drugs, net of intersegment eliminations,
amounted to $45.7 million during the quarter ended June 1, 2013,
compared with $37.8 million for the quarter ended June 2, 2012. Pro
Doc's contribution to the consolidated OIBA amounted to $17.4 million
during the quarter ended June 1, 2013, compared with $15.2 million
for the quarter ended June 2, 2012. Pro Doc's contribution to the
consolidated OIBA as a percentage of gross sales, net of intersegment
eliminations, ended the first quarter of fiscal year 2014 at 38.1%
compared with 40.2% for the same period of the previous fiscal year. 
Gains related to the investment in Rite Aid 
During the quarter ended June 1, 2013, the Corporation sold
72,500,000 of its 178,401,162 common shares of Rite Aid Corporation
(" Rite Aid ") after filing of a notice in accordance with the
provisions of Rule 144 under the U.S. Securities Act of 1933. Those
shares were sold at an average price of US$2.20 per share for a net
proceed of $162.1 million (US$158.5 million). Consequently, a gain of
$54.4 million (including a cumulated currency translation effect of
$4.6 million) was reclassified from the condensed consolidated
statement of comprehensive income to the condensed consolidated
statement of income. 
On June 26, 2013, The Jean Coutu Group filed an amended notice with
the U.S. Securities and Exchange Commission indicating its intent to
dispose of up to 40,500,000 additional common shares of its
105,901,162 common shares of Rite Aid and the sale of these shares
has been completed the same day. These shares were sold at an average
price of US $2.75 per share for a net proceed of $116.0 million (US
$110.8 million). Consequently, a gain of $55.7 million (including a
cumulated currency translation adjustment of $5.3 million) will be
reclassified from the condensed consolidated statement of
comprehensive income to the condensed consolidated statement of
income of the Corporation during the second quarter of the 2014
fiscal year. The sale of these shares brings the Corporation's
interest in Rite Aid's outstanding common shares down to 7.2%. 
Net profit 
Net profit amounted to $108.6 million ($0.51 per share) during the
quarter ended June 1, 2013 compared with $397.3 million ($1.81 per
share) for the quarter ended June 2, 2012. The decrease in net profit
is mainly attributable to the $348.0 million gains related to the
investment in Rite Aid recognized during the first quarter of fiscal
year 2013 compared with a gain of $54.4 million recognized during the
first quarter of fiscal year 2014. Net profit before gains related to
the investment in Rite Aid and change in fair value of other
financial assets amounted to $54.2 million ($0.26 per share) for the
first quarter of fiscal year 2014 compared with $51.6 million ($0.24
per share) for the first quarter of previous fiscal year. 
Information on the PJC network of franchised stores 
The Corporation carries on the franchising activity under the banners
of PJC Jean Coutu, PJC Clinique, PJC Jean Coutu Sante and PJC Jean
Coutu Sante Beaute, operates two distribution centres and coordinates
several other services for the benefit of its franchisees. 
On a same-store basis, the PJC network's retail sales grew by 0.6%,
pharmacy sales were stable and front-end sales increased by 1.5%
during the quarter ended June 1, 2013, compared with the
corresponding period last year. Sales of non-prescription drugs,
which represented 8.8% of total retail sales, increased by 3.6%
whereas these sales had increased by 0.6% for the corresponding
period of fiscal year 2013. 
Generic drugs reached 66.0% of drugs prescriptions during the first
quarter of fiscal year 2014 compared with 58.8% for the comparable
period of the previous fiscal year. The increase in the number of
generic drugs prescriptions with lower selling prices than brand name
drugs had a deflationary impact on the pharmacy's retail sales. For
the first quarter of fiscal year 2014 the introduction of new generic
drugs reduced pharmacy's retail sales growth by 3.3% and price
reductions of generic drugs reduced the growth of those sales by
1.1%. 


 
Network performance (1) (unaudited)                Q1 - 2014      Q1 - 2013 
----------------------------------------------------------------------------
Retail sales (in millions of dollars)              $ 1,010.2      $   998.3 
----------------------------------------------------------------------------
Retail sales growth (in percentage)                                         
Total stores                                                                
  Total                                                  1.2%           4.3%
  Pharmacy                                               0.6%           5.1%
  Front-end                                              2.0%           3.3%
Same store                                                                  
  Total                                                  0.6%           3.4%
  Pharmacy                                                 -%           4.0%
  Front-end                                              1.5%           2.5%
----------------------------------------------------------------------------
Prescriptions growth (in percentage)                                        
  Total stores                                           4.9%           6.5%
  Same store                                             4.3%           5.3%
----------------------------------------------------------------------------
(1) Franchised outlets' retail sales are not included in the Corporation's  
    consolidated financial statements.                                      

 
PJC network of franchised stores expansion 
During the first quarter of fiscal year 2014, there were 2 store
openings in the PJC network of franchised stores, including 1
relocation, and the closing of 1 store. Also, 5 stores were
significantly renovated or expanded. 
Total selling square footage of the PJC network amounted to 3,046,000
square feet as of June 1, 2013 compared with 2,977,000 square feet as
of June 2, 2012. 
Financing activities 
On May 1, 2013, the Corporation announced its intention to repurchase
for cancellation, when it is considered advisable, up to 8,917,000 of
its outstanding Class "A" subordinate voting shares. 
During the quarter ended June 1, 2013, the Corporation repurchased
3,344,100 Class "A" subordinate voting shares at an average price of
$16.71 per share for a total consideration of $55.9 million including
related costs. An amount of $37.9 million representing the excess of
the purchase price over the carrying value of the repurchased shares
was included in retained earnings. The shares repurchased during the
quarter ended June 1, 2013 were cancelled during the same period
except for 2,818,600 shares that were cancelled after June 1, 2013. 
Dividend 
The Board of the Jean Coutu Group declared a quarterly dividend of
$0.085 per share. This dividend will be paid on August 9, 2013, to
all holders of Class "A" subordinate voting shares and holders of
Class "B" shares listed in the Corporation's shareholder ledger as of
July 26, 2013. 
Strategies and outlook 
With its operations and financial flexibility, the Corporation is
very well positioned to capitalize on the growth in the drugstore
retail industry. Demographic trends are expected to contribute to the
growth in prescription drugs' consumption and to the increased use of
pharmaceuticals as the primary intervention in individual healthcare.
Management believes that these trends will continue and that the
Corporation will maintain its growth in revenues through
differentiation and quality of offering and service levels to its
network of franchised stores, with a focus on sales growth, its real
estate program and operating efficiency. The growth in the number of
generic drugs' prescriptions, with lower selling prices than the
branded drugs, will however have a deflationary impact on retail
sales in the pharmacy section but our integration in generic drugs
with Pro Doc will have a positive impact on the consolidated margins. 
Conference call 
Financial analysts and investors are invited to attend the conference
call for the first quarter of fiscal year 2014 results to be held on
July 9, 2013, at 8:30 AM (ET). The call-in number is 514-861-2255 or
toll free at 1-877-405-9213, access code 7153365 followed by pound
sign (#). Media and other interested individuals are invited to
listen to the live or deferred broadcast on The Jean Coutu Group
corporate website at www.jeancoutu.com. A full replay will also be
available by dialling 514-861-2272 or toll free at 1-800-408-3053
until August 9, 2013. The access code is 7900146, followed by pound
sign (#). 
Supporting documentation (Management's discussion and analysis and
investor presentation) is available at www.jeancoutu.com using the
investors' link. Readers may also access additional information and
filings related to the Corporation using the following link to the
www.sedar.com website. 
About The Jean Coutu Group 
The Jean Coutu Group is one of the most trusted names in Canadian
pharmacy retailing. The Corporation operates a network of 407
franchised stores located in the provinces of Quebec, New Brunswick
and Ontario under the banners of PJC Jean Coutu, PJC Clinique, PJC
Sante and PJC Sante Beaute, which employs more than 19,000 people.
Furthermore, the Jean Coutu Group owns Pro Doc Ltd ("Pro Doc"), a
Quebec-based subsidiary and manufacturer of generic drugs. The
Corporation also holds an investment in Rite Aid Corporation ("Rite
Aid") a national chain of drugstores in the United States with more
than 4,600 drugstores in 31 states and the District of Columbia. 
This press release contains forward-looking statements that involve
risks and uncertainties, and which are based on the Corporation's
current expectations, estimates, projections and assumptions made by
the Jean Coutu Group in light of its experience and its perception of
historical trends. All statements that address expectations or
projections about the future, including statements about the
Corporation's strategy for growth, costs, operating or financial
results, are forward-looking statements. All statements other than
statements of historical facts included in this MD&A, including
statements regarding the prospects of the Corporation's industry and
the Corporation's prospects, plans, financial position and business
strategy may constitute forward-looking statements within the meaning
of the Canadian securities legislation and regulations. Some of the
forward-looking statements may be identified by the use of
forward-looking terminology such as "may", "will", "expect",
"intend", "estimate", "project", "could", "anticipate", "plan",
"foresee", "believe" or "continue", the negatives of these terms, the
variations of them or the use of other similar terms. Although the
Corporation believes that the expectations reflected in these
forward-looking statements are reasonable, it can give no assurance
that these expectations will prove to have been correct. These
statements are not guarantees of future performance and involve a
number of risks, uncertainties and assumptions. These statements do
not reflect the potential impact of any non-recurring items or of any
mergers, acquisitions, dispositions, asset write-downs or other
transactions or charges that may be announced or that may occur after
the date hereof. While the list below of cautionary statements is not
exhaustive, some important factors that could affect our future
operating results, financial position and cash flows and could cause
our actual results to differ materially from those expressed in these
forward-looking statements, namely changes in the legislation or the
regulatory environment as it relates to the sale of prescription
drugs and the pharmacy exercise, the success of the Corporation's
business model, changes in laws and regulations, or in their
interpretations, changes to tax regulations and accounting
pronouncements, the cyclical and seasonal variations in the industry
in which we operate, the intensity of competitive activity in the
industry in which we operate, the supplier and brand reputations, our
equity interest in Rite Aid, our ability to attract and retain
pharmacists, labour disruptions, including possibly strikes and
labour protests, the accuracy of management's assumptions and other
factors that are beyond our control. 
These and other factors could cause our actual performance and
financial results in future periods to differ materially from any
estimates or projections of future performance or results expressed
or implied by such forward-looking statements. Investors and others
are cautioned that undue reliance should not be placed on any
forward-looking statements. For more information on the risks,
uncertainties and assumptions that would cause the Corporation's
actual results to differ from current expectations, please also refer
to the Corporation's public filings available at www.sedar.com and
www.jeancoutu.com. In particular, further details and descriptions of
these and other factors are disclosed in the Corporation's Annual
Information Form under "Risk Factors" as well as in the "Critical
Accounting Estimates", the "Risks and uncertainties" and the
"Strategies and outlook" sections of the MD&A for the fiscal year
ended March 2, 2013. We expressly disclaim any obligation or
intention to update or revise any forward-looking statements, whether
as a result of new information, future events or any other reason,
unless required by the applicable securities laws. 


 
THE JEAN COUTU GROUP (PJC) INC.                                             
                                                                            
Condensed consolidated statements of income                        13 weeks 
                                                                            
For the periods ended June 1, 2013 and June 2,                              
 2012                                                   2013           2012 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
(unaudited, in millions of Canadian dollars,                                
 unless otherwise noted)                                   $              $ 
                                                                            
Sales                                                  614.0          613.7 
Other revenues                                          67.6           67.8 
----------------------------------------------------------------------------
                                                       681.6          681.5 
Operating expenses                                                          
  Cost of sales                                        534.0          539.9 
  General and operating expenses                        65.8           62.2 
----------------------------------------------------------------------------
Operating income before depreciation and                                    
 amortization                                           81.8           79.4 
  Depreciation and amortization                          8.0            7.8 
----------------------------------------------------------------------------
Operating income                                        73.8           71.6 
Financing expenses (revenus)                            (0.6)           3.0 
----------------------------------------------------------------------------
Profit before the following items                       74.4           68.6 
Gains on sales of investment in Rite Aid                54.4           82.8 
Unrealized gain related to the investment in                                
 Rite Aid                                                  -          265.2 
----------------------------------------------------------------------------
Profit before income taxes                             128.8          416.6 
Income taxes                                            20.2           19.3 
----------------------------------------------------------------------------
Net profit                                             108.6          397.3 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
                                                                            
Basic and diluted profit per share, in dollars          0.51           1.81 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
                                                                            
                                                                            
Condensed consolidated statements of                                        
 comprehensive income                                              13 weeks 
                                                                            
For the periods ended June 1, 2013 and June 2,                              
 2012                                                   2013           2012 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
(unaudited, in millions of Canadian dollars)               $              $ 
                                                                          . 
                                                                            
Net profit                                             108.6          397.3 
Other comprehensive income, net of taxes of                                 
 nil                                                                        
Items that will not be reclassified                                         
 subsequently to net profit:                                                
  Defined benefit plans remeasurements                     -            0.1 
  Items that will be reclassified subsequently                              
   to net profit:                                                           
  Available-for-sale financial asset:                                       
    Change in fair value of investment in Rite                              
     Aid                                               177.8          (39.0)
    Reclassification of a gain on sale of                                   
     investment in Rite Aid to net profit              (54.4)             - 
----------------------------------------------------------------------------
                                                       123.4          (38.9)
----------------------------------------------------------------------------
Total comprehensive income                             232.0          358.4 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
                                                                            
                                                                            
                                                                            
THE JEAN COUTU GROUP (PJC) INC.                                             
                                                                            
Condensed consolidated statements of changes in equity                      
                                                                            
For the periods ended June 1, 2013 and June 2, 2012                         
----------------------------------------------------------------------------
----------------------------------------------------------------------------
(unaudited, in millions of Canadian dollars)                                
                                              Investment                    
                Capital  Treasury Contributed         in  Retained    Total 
                  stock     stock     surplus   Rite Aid  earnings   equity 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
                      $         $           $          $         $        $ 
                                                                            
Balance at March                                                            
 2, 2013          537.1      (2.2)        1.7       40.8     533.4  1,110.8 
  Net profit          -         -           -          -     108.6    108.6 
  Other                                                                     
   comprehensive                                                            
   income             -         -           -      123.4         -    123.4 
----------------------------------------------------------------------------
Total                                                                       
 comprehensive                                                              
 income               -         -           -      123.4     108.6    232.0 
----------------------------------------------------------------------------
Redemption of                                                               
 capital stock    (18.0)        -           -          -     (37.9)   (55.9)
Dividends             -         -           -          -     (18.2)   (18.2)
Share-based                                                                 
 compensation                                                               
 cost                 -         -         0.3          -         -      0.3 
Options                                                                     
 exercised          1.8         -        (0.1)         -         -      1.7 
----------------------------------------------------------------------------
Balance at June                                                             
 1, 2013          520.9      (2.2)        1.9      164.2     585.9  1,270.7 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
                                                                            
Balance at March                                                            
 3, 2012          559.7      (1.0)        1.9          -      88.6    649.2 
  Net profit          -         -           -          -     397.3    397.3 
  Other                                                                     
   comprehensive                                                            
   income             -         -           -      (39.0)      0.1    (38.9)
----------------------------------------------------------------------------
Total                                                                       
 comprehensive                                                              
 income               -         -           -      (39.0)    397.4    358.4 
----------------------------------------------------------------------------
Redemption of                                                               
 capital stock     (2.7)        -           -          -      (5.0)    (7.7)
Dividends             -         -           -          -     (15.3)   (15.3)
Share-based                                                                 
 compensation                                                               
 cost                 -         -         0.2          -         -      0.2 
Options                                                                     
 exercised          0.9         -        (0.1)         -         -      0.8 
----------------------------------------------------------------------------
Balance at June                                                             
 2, 2012          557.9      (1.0)        2.0      (39.0)    465.7    985.6 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
                                                                            
                                                                            
                                                                            
THE JEAN COUTU GROUP (PJC) INC.                                             
                                                                            
                                                        As at          As at
Condensed consolidated statements of financial        June 1,       March 2,
 position                                                2013           2013
----------------------------------------------------------------------------
----------------------------------------------------------------------------
(unaudited, in millions of Canadian dollars)                $              $
                                                                            
Current assets                                                              
  Cash and temporary investment                         185.3           20.0
  Trade and other receivables                           211.7          199.6
  Inventories                                           186.5          190.1
  Prepaid expenses                                        9.2           12.2
----------------------------------------------------------------------------
                                                        592.7          421.9
Non-current assets                                                          
  Long-term receivables from franchisees                 24.8           24.9
  Investment in Rite Aid                                321.7          306.0
  Investment in associates and joint venture              8.3            8.3
  Property and equipment                                356.2          359.5
  Investment property                                    20.4           17.4
  Intangible assets                                     192.3          195.0
  Goodwill                                               36.0           36.0
  Deferred tax                                           10.1           11.2
  Other long-term assets                                 13.1           12.5
----------------------------------------------------------------------------
Total assets                                          1,575.6        1,392.7
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Current liabilities                                                         
  Bank overdraft                                            -           21.6
  Trade and other payables                              268.6          225.2
  Income taxes payable                                   18.9           18.5
----------------------------------------------------------------------------
                                                        287.5          265.3
Non-current liabilities                                                     
  Deferred tax                                            0.8            0.8
  Other long-term liabilities                            16.6           15.8
----------------------------------------------------------------------------
Total liabilities                                       304.9          281.9
----------------------------------------------------------------------------
----------------------------------------------------------------------------
                                                                            
Equity                                                1,270.7        1,110.8
----------------------------------------------------------------------------
Total liabilities and equity                          1,575.6        1,392.7
----------------------------------------------------------------------------
                                                                            
                                                                            
                                                                            
THE JEAN COUTU GROUP (PJC) INC.                                             
                                                                            
Condensed consolidated statements of cash                                   
 flows                                                             13 weeks 
                                                                            
For the periods ended June 1, 2013 and June 2,                              
 2012                                                   2013           2012 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
(unaudited, in millions of Canadian dollars)               $              $ 
                                                                            
Operating activities                                                        
Net profit                                             108.6          397.3 
Adjustments:                                                                
  Depreciation and amortization                          8.0            7.8 
  Change in fair value of other financial                                   
   assets                                                  -            2.3 
  Gains on sales of investment in Rite Aid             (54.4)         (82.8)
  Unrealized gain related to the investment in                              
   Rite Aid                                                -         (265.2)
  Interest expense (income)                             (0.4)           0.4 
  Income taxes                                          20.2           19.3 
  Others                                                 0.5            0.7 
----------------------------------------------------------------------------
                                                        82.5           79.8 
Net change in non-cash asset and liability                                  
 items                                                  (6.8)           0.9 
Interest received (paid)                                 0.1           (0.5)
Income taxes paid                                      (18.7)         (20.5)
----------------------------------------------------------------------------
Cash flow related to operating activities               57.1           59.7 
----------------------------------------------------------------------------
Investing activities                                                        
  Proceeds from disposal of the investment in                               
   Rite Aid                                            162.1           82.8 
  Purchase of property and equipment                    (4.5)          (6.5)
  Proceeds from disposal of property and                                    
   equipment                                               -            0.4 
  Purchase of investment property                       (0.2)          (0.1)
  Net change in long-term receivables from                                  
   franchisees                                          (0.3)           0.1 
  Purchase of intangible assets                            -           (6.9)
----------------------------------------------------------------------------
Cash flow related to investing activities              157.1           69.8 
----------------------------------------------------------------------------
Financing activities                                                        
  Net change in revolving credit facility                  -         (112.9)
  Issuance of capital stock                              1.7            0.8 
  Redemption of capital stock                          (10.8)          (5.7)
  Dividends paid                                       (18.2)         (15.3)
----------------------------------------------------------------------------
Cash flow related to financing activities              (27.3)        (133.1)
----------------------------------------------------------------------------
Net change in cash and cash equivalents                186.9           (3.6)
Cash and cash equivalents, beginning of period          (1.6)          (5.0)
----------------------------------------------------------------------------
Cash and cash equivalents, end of period               185.3           (8.6)
----------------------------------------------------------------------------
----------------------------------------------------------------------------

 
THE JEAN COUTU GROUP (PJC) INC. 
Unaudited additional informations 


 
For the periods ended June 1, 2013 and June 2, 2012                         
----------------------------------------------------------------------------
(in millions of Canadian dollars, except per share amounts)                 

 
Non-IFRS financial measure 
Net profit (or net profit per share) before gains related to the
investment in Rite Aid and change in fair value of other financial
assets is a non-IFRS measure. The Corporation believes that it is
useful for investors to be aware of significant items of an unusual
or non-recurring nature that have adversely or positively affected
the IFRS measures applied by the Corporation, and that the
above-mentioned non-IFRS measure provides investors with a
performance measure to compare the results between periods with no
regards to these items. The Corporation's measure excluding certain
items has no standardized meaning prescribed by IFRS and is not
necessarily comparable to similar measures presented by other
corporations. Therefore, it should not be considered in isolation. 
Net profit and basic profit per share are reconciled hereunder to net
profit (or net profit per share) before gains related to the
investment in Rite Aid and change in fair value of other financial
assets. All amounts are net of income taxes when applicable. 


 
                                                                   13 weeks 
                                                        2013           2012 
                                              ------------------------------
                                                           $              $ 
                                                                            
Net profit (1)                                         108.6          397.3 
Gains on sales of investment in Rite Aid               (54.4)         (82.8)
Unrealized gain related to the investment in                                
 Rite Aid                                                  -         (265.2)
Change in fair value of third party asset-                                  
 backed commercial paper and related options                                
 of repayment                                              -            2.3 
----------------------------------------------------------------------------
Net profit before gains related to the                                      
 investment in Rite Aid and change in fair                                  
 value of other financial assets                        54.2           51.6 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
Basic profit per share                                  0.51           1.81 
Gains on sales of investment in Rite Aid               (0.25)         (0.37)
Unrealized gain related to the investment in                                
 Rite Aid                                                  -          (1.21)
Change in fair value of third party asset-                                  
 backed commercial paper and related options                                
 of repayment                                              -           0.01 
----------------------------------------------------------------------------
Net profit per share before gains related to                                
 the investment in Rite Aid and change in fair                              
 value of other financial assets                        0.26           0.24 
----------------------------------------------------------------------------
----------------------------------------------------------------------------
(1) Readers are referred to Note 3 of the Corporation's unaudited interim   
    Consolidated Financial Statements for the first quarter of fiscal year  
    2014 for explanations of the changes in accounting policies affecting   
    fiscal year 2013.                                                       

Contacts:
Source:
The Jean Coutu Group (PJC) Inc.
Andre Belzile
Senior Vice-President, Finance and Corporate Affairs
(450) 646-9760 
Information:
Helene Bisson
Vice-President, Communications
(450) 646-9611, Ext. 1165
 
 
Press spacebar to pause and continue. Press esc to stop.