Message From Sam Walton

We had another good month in July and the second quarter ending July 31 was also excellent. In fact, we again set a new high on both sales and profits for the second quarter of our fiscal year, as sales rose to $152,000,000...up 32 percent and net profit rose to 33 percent.

Earnings were 58 cents per share, as compared to 44 cents per share last year. I've been very pleased with the performance of our stock also during the past year, as we've had a substantial rise in value, and recently have held in the $15-plus range strongly. The Dow Jones averages on the New York Stock Exchange, on the other hand, have declined over 140 percentage points in the past year from 1000 range to 860. So...as they say...cream will always rise to the top of a bottle of milk, and as long as we keep our Company sound, and all consistently strive to do a better job in our various areas of responsibilities, our Wal-Mart program, our Company, and our stock will be recognized and rewarded by the investors and the market.

In this regard, I've recently read an article that I'd like to share with you concerning this matter of attitude toward our jobs and our Company. Maybe some of these points will help us in our efforts to improve each of our futures, as well as our Company.

These suggestions lay it on the line clearly as to how we can put more into our jobs in order to get more out of them:

1. Maintain a positive, constructive and progressive attitude toward your job, your Company and your associates. Think "CAN"...not "cannot" when a new idea or project is presented...an "it can be done" attitude will succeed when one of indifference will fail.

2. The best and only way to get more out of your job is to give more of yourself to it. No one is ever paid

less than he is worth,-for real value is ultimately recognized.

3. Remember that all have two "bosses" to please – our Company and our Company’s customers. If we do not satisfy our customers, our Company cannot exist. All of our jobs are important and – directly or indirectly – influence "Customer Satisfaction."

4. Personal sacrifice is necessary at times to properly perform some requirement of our job. Occasionally, we are called upon to give a little more than usual. Such extra effort, given willingly, is an invaluable asset to our Company.

5. Your Company's growth and your own future depend upon the company making a profit. Be alert to anything and everything that could reduce expenses and increase the company's income.

6. Developing a cooperative team spirit will help you and your Company get the job done more efficiently and effectively. Working together on a problem or new program lightens the load for all of us.

7. Every job and every business has its problems. Putting off a decision or making up excuses just seems to make them grow bigger. Face problems...don't fear or shy away from them.

8. Your job is important and its relation to every other job in the company is important. How well you perform that job has an effect on your working associates, your company and our customers.

9. Progress thrives on new ideas. Keep an open mind to new ideas and suggestions. Change is a necessary element to growth and enthusiasm is a necessary ingredient to success of a new idea.

10. Demonstrate a genuine interest in your job and in the welfare of the company you work for. Its success is your success, and each of us must give more in order to get more in our job.

That's enough for this round...much good medicine here for all of us. Let's keep the pot boiling! Thanks.