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News Release

Lowe's Announces Growth Strategies at 2006 Analyst and Investor Conference
             -- Discusses Outlook for Second Half Fiscal 2006 --

                   -- Provides Outlook for 2007 and 2008 --

LANSDOWNE, Va., Sept. 25 /PRNewswire/ -- Lowe's Companies, Inc. (NYSE: LOW) will discuss how the company's culture of customer service and its key initiatives position it for continued growth when Lowe's meets with analysts and investors tomorrow in Lansdowne, Va. at its annual conference.

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In an update to the company's business outlook, Lowe's indicated current sales are trending below its prior expectations, but the company anticipates delivering diluted earnings per share at or near the low end of its prior guidance range of $2.00 to $2.07.

"We remain focused on strategies to drive market share, however near term pressures on the U.S. consumer have led to a more cautious outlook for the second half of the year," commented Robert A. Niblock, Lowe's chairman, president and CEO. "Despite the backdrop of declining housing turnover, elevated energy costs and difficult comparisons resulting from active 2004 and 2005 hurricane seasons, I'm confident we have the plans and people in place to ensure we continue to meet the needs of consumers and gain market share.

"Opportunities for Lowe's lie in our ability to prudently manage expenses while continuing to provide the best products, everyday low prices and knowledgeable service in a compelling shopping environment," Niblock added.

Robert F. Hull, Jr., executive vice president and CFO, will provide an outlook for fiscal years 2007 and 2008 and share Lowe's future store growth plans.

"Our continued investment in the business, balanced with diligent expense management, positions Lowe's for continued profitable growth," said Hull. "We plan to add approximately 155 and 150 stores in 2007 and 2008, respectively, equating to approximately 11 percent square footage growth in 2007 and 10 percent in 2008. We expect this square footage growth to drive annual sales increases of 10 to 13 percent in fiscal 2007 and approximately 11 to 13 percent in 2008. This planned sales growth is expected to drive diluted earnings per share growth of 10 to 14 percent for 2007 and a 12 to 16 percent increase in 2008."

During the conference, Lowe's executives will focus on key programs and initiatives to improve operations, continually enhance customer service and increase market share. Highlights of those presentations include:

     - Larry D. Stone, senior executive vice president of
       "During the past year, we implemented programs to more efficiently
       merchandise our products and make our stores more customer friendly and
       easier to shop. With our inviting stores and compelling merchandise, we
       are confident we will continue to gain market share in each of our 20
       product categories.  Additionally, our marketing programs continue to
       resonate with customers and build the Lowe's brand."

     - Charles W. (Nick) Canter, executive vice president of store operations:
       "Knowledgeable associates consistently delivering exceptional customer
       service is critical to our continued success.  Our Customer Focused
       Program, in place since 1999, rewards great service and has helped us
       enhance our culture of customer service.  We are building on our solid
       foundation of great employees and compelling merchandising to capture
       market share."

     - K. Scott Plemmons, senior vice president of specialty sales:
       "Our specialty sales initiatives remain an important part of our growth
       strategy and drivers of our business.  Our new specialty sales
       organization is designed to meet the evolving needs of customers and
       help our stores maximize sales. By working to improve our Installed
       Sales, Special Order, e-commerce and Commercial Business Customer
       programs, and we are continuing to strengthen our relationship with

     - Joseph M. (Mike) Mabry Jr., executive vice president of logistics and
       "Our industry-leading logistics and distribution infrastructure is
       focused on providing capabilities to support growth, improve service
       and drive profitability.  The evolution of our capabilities, including
       the implementation of our Rapid Response Replenishment initiative, has
       put us in a great position to deliver on those goals.  Our continued
       investment in state-of-the-art Regional Distribution Centers, Flatbed
       Distribution Centers, Transload facilities, and our replenishment
       systems will ensure we retain our supply chain advantage."

     - Maureen K. Ausura, senior vice president of human resources:
       "Our knowledgeable employees are the foundation of our continued
       success.  At Lowe's we work to enhance employee knowledge and customer
       service with tools such as job aids, telecourses, teleconferences, e
       learning and formal classroom training.  We're also working to better
       understand the effectiveness of all employee programs on driving the
       high level of service expected at Lowe's."

     - Gregory M. Bridgeford, executive vice president of business
       "We continually strive to understand the key components and drivers of
       consumer purchase behavior.  Our focus on the customer enables us to
       identify and address their changing needs and apply that knowledge to
       new store expansion opportunities as well as new business growth

Lowe's fiscal third quarter ends on November 3, 2006 with operating results to be publicly released on Monday, November 20, 2006.

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, capital expenditures, store openings, demand for services, and any statement of an assumption underlying any of the foregoing, constitute "forward-looking statements" under the Act. Although the company believes that the expectations, opinions, projections, and comments reflected in its forward-looking statements are reasonable, it 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 expressed or implied by our forward- looking statements including, but not limited to, changes in general economic conditions, such as interest rate and currency fluctuations, fuel and other energy costs, slower growth in personal income, declining housing turnover, and other factors which can negatively affect our customers as well as our ability to: (i) respond to decreases in the number of new housing starts and the level of repairs, remodeling, and additions to existing homes, as well as 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) locate, secure, and develop new sites for store development; (v) respond to fluctuations in the prices and availability of services, supplies, and products; (vi) respond to the growth and impact of competition; (vii) address legal and regulatory matters; and (viii) respond to unanticipated weather conditions. For more information about these and other risks and uncertainties that we are exposed to, you should read the "Risk Factors" included in our Annual Report on Form 10-K to the United States Securities and Exchange Commission and the descriptions of any material changes in those "Risk Factors" included in our subsequent Quarterly Reports on Form 10-Q.

The forward-looking statements contained in this news release speak only as of the date of this release and the company does not assume any obligation to update any such statements.

With fiscal year 2005 sales of $43.2 billion, Lowe's Companies, Inc. is a FORTUNE(R) 50 company that serves approximately 12 million customers a week at more than 1,275 home improvement stores in 49 states. Based in Mooresville, N.C., the 60-year old company is the second-largest home improvement retailer in the world. For more information, visit

SOURCE  Lowe's Companies, Inc.
    -0-                             09/25/2006
    /CONTACT:  Shareholders'-Analysts', Paul Taaffe, +1-704-758-2033, or
Media, Chris Ahearn, +1-704-758-2304, both of Lowe's Companies, Inc./
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CO:  Lowe's Companies, Inc.
ST:  North Carolina, Virginia

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7468 09/25/2006 17:00 EDT