Lowe's Earnings Fall Nearly 18 Percent in Quarter

Mooresville, NC, May 19, 2008-- Lowe's reported net earnings for first quarter that were off 17.9 percent to $607 million for the first quarter. Earnings per share declined 14.6 percent to $0.41 from $0.48 in the first quarter of 2007.

Sales for the quarter fell 1.3 percent to $12.0 billion, down from $12.2 billion in the first quarter of 2007. Comparable store sales for the first quarter declined 8.4 percent.

"The challenging sales environment we have been experiencing for the past six quarters continued into the first quarter of 2008, and increasing financial pressures on consumers resulted in top-line sales that fell below our plan," said CEO Robert A. Niblock.

"The generally poor economic outlook, including well-known housing pressures, rising food and fuel prices and a more negative employment picture eroded consumer confidence and impacted discretionary purchases for the home.

He said the rest of the year will be challenging on many fronts.

During the quarter, Lowe's opened 20 new stores and as of May 2operated 1,554 stores in the U.S. and Canada.