WMT » Topics » RELATED-PARTY TRANSACTIONS

This excerpt taken from the WMT DEF 14A filed Apr 20, 2009.

RELATED-PARTY TRANSACTIONS

This section discusses certain direct and indirect relationships and transactions involving Wal-Mart and certain of its directors, Executive Officers, the beneficial owners of more than five percent of the Shares, and certain members of the immediate families of the foregoing. Wal-Mart believes that the terms of the transactions described below are comparable to terms that would have been reached by unrelated parties in arms-length transactions.

Transactions:    James W. Breyer, a director of Wal-Mart, may be deemed to beneficially own indirectly more than ten percent of the equity of Centrify Corporation (“Centrify”) and LetsTalk.com, Inc. (“LetsTalk”). During fiscal 2009, Wal-Mart paid Centrify approximately $2.11 million for computer software and received payments from LetsTalk of approximately $2.21 million for commissions for sales of wireless products and services to Wal-Mart’s customers. Wal-Mart anticipates that it will continue to purchase products and services from Centrify and receive payments for commissions from LetsTalk during fiscal 2010 in amounts similar to or greater than amounts paid or received in fiscal 2009.

Lori Haynie, the sister of C. Douglas McMillon, an Executive Officer, is an executive officer of Mahco, Inc. (“Mahco”). During fiscal 2009, Mahco had sales to Wal-Mart in the amount of approximately $32.71 million for sporting goods and related products. Wal-Mart expects to continue to purchase products from Mahco during fiscal 2010 in amounts similar to or greater than amounts purchased during fiscal 2009.

Roland A. Hernandez, a director of Wal-Mart during a portion of fiscal 2009, beneficially owns more than ten percent of Inter-Con Security Systems, Inc. (“Inter-Con”), and his brother is a shareholder and an executive officer of Inter-Con. Business between Wal-Mart and Inter-Con has been conducted since 1995, which predates Mr. Hernandez’s service as a director. During fiscal 2009, Wal-Mart paid Inter-Con, through its subsidiary operating in Mexico, approximately $430,000 for security services. Wal-Mart anticipates that it will continue to purchase security services from Inter-Con during fiscal 2010 in amounts similar to or greater than amounts paid in fiscal 2009.

M. Michele Burns, a director of Wal-Mart, is the Chairman and CEO of Mercer LLC (“Mercer”), a subsidiary of Marsh & McLennan Companies, Inc. During fiscal 2009, Wal-Mart paid Mercer and related Mercer entities approximately $3.65 million for

 

51


Table of Contents

consulting services. Wal-Mart anticipates that it will continue to purchase consulting services from Mercer during fiscal 2010 in amounts similar to or greater than amounts paid in fiscal 2009.

Arne M. Sorenson, a director of Wal-Mart, is the Executive Vice President and CFO of Marriott International, Inc. (“Marriott”) and the president of Marriott’s European lodging division, and on May 1, 2009 will become President and Chief Operating Officer of Marriott. During fiscal 2009, Wal-Mart paid or reimbursed payments made to Marriott and its subsidiaries of approximately $5.8 million for hotel, lodging and related services, and Wal-Mart received payments of approximately $2 million from Marriott for purchases of merchandise from Wal-Mart. Wal-Mart anticipates that it will continue to purchase similar services from and reimburse payments made to Marriott and its subsidiaries and Marriott will continue to purchase merchandise from Wal-Mart during fiscal 2010 in amounts similar to or greater than amounts paid or reimbursed in fiscal 2009.

During fiscal 2009, a banking corporation that is collectively owned by Jim C. Walton, S. Robson Walton, the John T. Walton Estate Trust and certain of that banking corporation’s bank subsidiaries made payments to Wal-Mart in the aggregate amount of approximately $587,000 for banking facility rent and related ATM surcharges. The banking corporation and its affiliates made additional payments to Wal-Mart pursuant to similar arrangements that were awarded by Wal-Mart on a competitive-bid basis. The leases of banking facility space in various stores remain in effect, and it is anticipated that such banking corporation and its affiliates will pay Wal-Mart approximately $567,000 in fiscal 2010 pursuant to those leases not awarded on a competitive-bid basis.

Relationships: During fiscal 2009, Mauricio Castro-Wright, the brother of Eduardo Castro-Wright, an Executive Officer, served as a director of operations in Wal-Mart Brazil. For fiscal 2009, Wal-Mart paid Mauricio Castro-Wright a salary of $202,971, a bonus of $112,722 and other benefits having a value of $111,237 (including Company contributions to Mr. Castro-Wright’s Profit Sharing/401(k) Plan account, SERP account, health insurance premiums and payments related to his expatriate assignment). As part of Mauricio Castro-Wright’s fiscal 2009 compensation, he also received a grant of 919 restricted stock rights. During fiscal 2010, Mauricio Castro-Wright accepted a position as a format manager in Distribucion y Servicio D&S S.A., Wal-Mart’s Chilean subsidiary, and in fiscal 2010 he may receive compensation and other benefits for his services to Wal-Mart in amounts similar to or greater than those received during fiscal 2009.

Stephen P. Weber, a senior manager in Wal-Mart’s Information Systems Division, is the son-in-law of Michael T. Duke, who became the Company’s CEO and President on February 1, 2009. For fiscal 2009, Wal-Mart paid Mr. Weber a salary of $110,023, a bonus of $21,994, and other benefits totaling $13,101 (including Company contributions to Mr. Weber’s Profit Sharing/401(k) Plan account and health insurance premiums). As part of Mr. Weber’s fiscal 2009 compensation, he also received a grant of 276 restricted stock rights. Mr. Weber continues to be a Wal-Mart Associate, and in fiscal 2010, he may receive compensation and other benefits for his services to Wal-Mart in amounts similar to or greater than those received during fiscal 2009.

Timothy K. Togami, a senior director in Wal-Mart’s Human Resources Department, is the brother-in-law of Rollin L. Ford, an Executive Officer. For fiscal 2009, Wal-Mart paid Mr. Togami a salary of $158,205, a bonus of $40,886, and other benefits totaling $15,834 (including Company contributions to Mr. Togami’s Profit Sharing/401(k) Plan account and health insurance premiums). As part of Mr. Togami’s fiscal 2009 compensation, he also received a grant of 643 restricted stock rights. Mr. Togami continues to be a Wal-Mart Associate, and in fiscal 2010 he may receive compensation and other benefits for his services to Wal-Mart in amounts similar to or greater than those received during fiscal 2009.

 

52


Table of Contents
This excerpt taken from the WMT DEF 14A filed Apr 22, 2008.

RELATED-PARTY TRANSACTIONS

This section discusses certain direct and indirect relationships and transactions involving Wal-Mart and certain of its directors, Executive Officers, a director nominee, the beneficial owners of more than five percent of the Shares, and certain members of the immediate families of the foregoing. Wal-Mart believes that the terms of the transactions described below are comparable to terms that would have been reached by unrelated parties in arms-length transactions.

 

48


Table of Contents

Transactions: Springdale Card & Comic Wholesale, Inc. (“Springdale Card”), which was owned by the son of David D. Glass, a director and former Executive Officer of Wal-Mart, had sales to Wal-Mart in the amount of approximately $1,327,765 from February 1, 2007 until June 30, 2007, on which date Mr. Glass’ son sold Springdale Card to a party not related to Mr. Glass or Wal-Mart.

Roland A. Hernandez, a director of Wal-Mart, beneficially owns more than ten percent of Inter-Con Security Systems, Inc. (“Inter-Con”), and his brother is an executive officer of Inter-Con. Business between Wal-Mart and Inter-Con has been conducted since 1995, which predates Mr. Hernandez’s service as a director. During fiscal 2008, Wal-Mart paid Inter-Con, through its subsidiary operating in Mexico, approximately $745,125 for security services. Wal-Mart anticipates that it will continue to purchase security services from Inter-Con during fiscal 2009 in amounts similar to or greater than amounts paid in fiscal 2008.

M. Michele Burns, a director of Wal-Mart, is the Chairman and Chief Executive Officer of Mercer LLC (“Mercer”), a subsidiary of Marsh & McLennan Companies, Inc. During fiscal 2008, Wal-Mart paid Mercer and its subsidiaries approximately $1.734 million for consulting services. Wal-Mart anticipates that it will continue to purchase consulting services from Mercer during fiscal 2009 in amounts similar to or greater than amounts paid in fiscal 2008.

Arne M. Sorenson, a director nominee of Wal-Mart, is the Chief Financial Officer of Marriott International, Inc. (“Marriott”) and the president of Marriott’s European lodging division. During fiscal 2008, Wal-Mart paid or reimbursed payments made to Marriott and its subsidiaries of approximately $5.5 million for hotel, lodging and related services. Wal-Mart anticipates that it will continue to purchase similar services from and reimburse payments made to Marriott and its subsidiaries during fiscal 2009 in amounts similar to or greater than amounts paid or reimbursed in fiscal 2008.

During fiscal 2008, a manufacturing company and certain of its subsidiaries, which are collectively owned by Jim C. Walton, recorded consolidated sales of products to the Company in the amount of $139,170. Wal-Mart anticipates that it will purchase additional products in fiscal 2009 pursuant to purchase orders placed from time to time in the ordinary course of business.

During fiscal 2008, a banking corporation that is collectively owned by Jim C. Walton, S. Robson Walton, the Estate of John T. Walton and certain of that banking corporation’s bank subsidiaries made payments to Wal-Mart in the aggregate amount of $559,791 for banking facility rent and related ATM surcharges. The banking corporation and its affiliates made additional payments to Wal-Mart pursuant to similar arrangements that were awarded by Wal-Mart on a competitive-bid basis. The leases of banking facility space in various stores remain in effect, and it is anticipated that such banking corporation and its affiliates will pay Wal-Mart approximately $676,000 in fiscal 2009 pursuant to those leases not awarded on a competitive-bid basis.

Relationships: Mauricio Castro-Wright, a director of operations in Wal-Mart Brazil, is the brother of Eduardo Castro-Wright, an Executive Officer. For fiscal 2008, Wal-Mart paid Mauricio Castro-Wright a salary of $196,837, a bonus of $114,066 and other benefits having a value of $85,675 (including Company contributions to Mr. Castro-Wright’s Profit Sharing/401(k) Plan account, SERP account, and payments related to his expatriate assignment). As part of Mauricio Castro-Wright’s fiscal 2008 compensation, he also received a grant of stock options to purchase 733 Shares at an exercise price of $47.26 per Share and 496 restricted stock rights. Mauricio Castro-Wright continues to serve as a director of operations in Brazil, and in fiscal 2009 he may receive compensation and other benefits for his services to Wal-Mart in amounts similar to those received during fiscal 2008.

Stephen P. Weber, a manager in Wal-Mart’s Information Systems Division, is the son-in-law of Michael T. Duke, an Executive Officer. For fiscal 2008, Wal-Mart paid Mr. Weber a salary of $97,288, a bonus of $22,528, and other benefits totaling $12,517 (including Company contributions to Mr. Weber’s Profit Sharing/401(k) Plan account and health insurance premiums). As part of Mr. Weber’s fiscal 2008 compensation, he also received a grant of stock options to purchase 314 Shares at an exercise price of $47.26 and 213 restricted stock rights. Mr. Weber continues to be a Wal-Mart Associate, and in fiscal 2009, he may receive compensation and other benefits for his services to Wal-Mart in amounts similar to those received during fiscal 2008.

Timothy K. Togami, a senior director in Wal-Mart’s Human Resources Department, is the brother-in-law of Rollin L. Ford, an Executive Officer. For fiscal 2008, Wal-Mart paid Mr. Togami a salary of $139,139, a bonus of $23,401, and other benefits totaling $7,755 (including Company contributions to Mr. Togami’s Profit Sharing/401(k) Plan account and health insurance premiums). As part of Mr. Togami’s fiscal 2008 compensation, he also received a grant of stock options to purchase 942 Shares at an exercise price of $47.26 and 638 restricted stock rights. Mr. Togami continues to be a Wal-Mart Associate, and in fiscal 2009 he may receive compensation and other benefits for his services to Wal-Mart in amounts similar to those received during fiscal 2008.

 

49


Table of Contents
This excerpt taken from the WMT DEF 14A filed Apr 19, 2007.

RELATED-PARTY TRANSACTIONS

This section discusses certain direct and indirect relationships and transactions involving Wal-Mart and any director, Executive Officer, director nominee, beneficial owner of more than five percent of the Shares, and any member of the immediate family of the foregoing. Wal-Mart believes that the terms of all of the following transactions are comparable to terms that would have been reached by unrelated parties in arms-length transactions:

During fiscal 2007, Frank C. Robson, the brother of Helen R. Walton, a beneficial owner of more than five percent of the Shares, personally and through partnerships or trusts, leased two store locations to Wal-Mart. Wal-Mart paid Mr. Robson or his related entities rent and other expenses of $866,513 under the leases during fiscal 2007. The Company anticipates that, in fiscal 2008, it will pay Mr. Robson, personally and through partnerships or trusts, approximately $707,000 in rent and other expenses pursuant to such leases.

During fiscal 2007, a manufacturing company and certain of its subsidiaries, which are owned by Jim C. Walton, a director and beneficial owner of more than five percent of the Shares, recorded consolidated sales of products to Wal-Mart in the amount of $233,550. The Company anticipates that it will purchase additional products in fiscal 2008 pursuant to purchase orders placed from time to time in the ordinary course of business totaling approximately $325,000.

During fiscal 2007, a banking corporation and certain of its bank subsidiaries, which are collectively owned by Jim C. Walton; S. Robson Walton, a director, Executive Officer, and beneficial owner of more than five percent of the Shares; and the Estate of John T. Walton, a beneficial owner of more than five percent of the Shares, made payments to Wal-Mart in the aggregate amount of $556,952 for banking facility rent and related ATM surcharges. The banking corporation and its affiliates made additional payments to Wal-Mart pursuant to similar arrangements that were awarded by Wal-Mart on a competitive-bid basis. The leases of banking facility space in various stores remain in effect, and it is anticipated that such banking corporation and its affiliates will pay Wal-Mart approximately $555,000 in fiscal 2008 pursuant to those leases not awarded on a competitive bid basis.

Stephen P. Weber, a manager in Wal-Mart’s Information Systems Division, is the son-in-law of Michael T. Duke, an Executive Officer. For fiscal 2007, Wal-Mart paid Mr. Weber a salary of $94,454, a bonus of $15,960, and other benefits totaling $16,610 (including Company contributions to Mr. Weber’s Profit Sharing/401(k) Plan account and health insurance premiums). For Mr. Weber’s performance in fiscal 2007, he also received a grant of stock options to purchase 314 Shares at an exercise price of $47.26 and 213 restricted stock rights. Mr. Weber continues to be an Associate, and in fiscal 2008, he may receive compensation and other benefits for his services to Wal-Mart in amounts similar to those received during fiscal 2007.

Mauricio Castro-Wright, a director of operations in Brazil, is the brother of Eduardo Castro-Wright, an Executive Officer. For fiscal 2007, Wal-Mart paid Mauricio Castro-Wright a salary of $191,259, a bonus of $82,398 and other benefits having a value of $80,149 (including Company contributions to Mr. Castro-Wright’s Profit Sharing/401(k) Plan account, SERP account, and payments related to his expatriate assignment). For Mauricio Castro-Wright’s performance in fiscal 2007, he also received a grant of stock options to purchase 733 Shares at an exercise price of $47.26 per Share and 496 restricted stock rights. Mauricio Castro-Wright continues to serve as a director of operations in Brazil, and in fiscal 2008, he may receive compensation and other benefits for his services to Wal-Mart in amounts similar to those received during fiscal 2007.

During fiscal 2007, Springdale Card & Comic Wholesale, Inc., which is owned by the son of David D. Glass, a director and former Executive Officer, had sales to Wal-Mart in the amount of $2,514,085. Wal-Mart may purchase additional products from Springdale Card & Comic Wholesale, Inc. in fiscal 2008 pursuant to purchase orders that are placed from time to time in the ordinary course of business.

Roland A. Hernandez, a director of Wal-Mart, beneficially owns more than ten percent of Inter-Con Security Systems, Inc. (“Inter-Con”). Wal-Mart and Inter-Con have conducted business since 1995, which was prior to Mr. Hernandez’s joining the Board in 1998. During fiscal 2007, Wal-Mart paid Inter-Con, through its subsidiary operating in Mexico, approximately $841,124 for security services. The Company anticipates that it will continue to purchase security services from Inter-Con during fiscal 2008 in amounts similar to or greater than amounts paid in fiscal 2007.

 

51


Table of Contents
This excerpt taken from the WMT DEF 14A filed Apr 14, 2006.

RELATED-PARTY TRANSACTIONS

This section discusses certain direct and indirect relationships and transactions involving Wal-Mart and any director, Executive Officer, director nominee, beneficial owner of more than five percent of the Shares, and any member of the immediate family of the foregoing. Wal-Mart believes that the terms of all of the following transactions are comparable to terms that would have been reached by unrelated parties in arms-length transactions:

During fiscal 2006, companies owned by S. Robson Walton, a director, Executive Officer and beneficial owner of more than five percent of the Shares; the Estate of John T. Walton, a beneficial owner of more than five percent of the Shares; Jim C. Walton, a director and beneficial owner of more than five percent of the Shares; and Helen R. Walton, a beneficial owner of more than five percent of the Shares, paid a total of $102,809 to Wal-Mart and its subsidiaries for aviation-related expenses, substantially all of which was for maintenance and fuel at the same prices paid by unrelated third parties.

Frank C. Robson, the brother of Helen R. Walton, personally and through partnerships or trusts, leased three store locations to Wal-Mart. Wal-Mart paid rent and other expenses of $1,043,798 under the leases for fiscal 2006.

During fiscal 2006, a banking corporation and its affiliates, collectively owned by Helen R. Walton, S. Robson Walton, the Estate of John T. Walton, and Jim C. Walton, made payments to Wal-Mart in the amount of $631,149 for banking facility rent and related ATM surcharges. The banking corporation and its affiliates made additional payments to Wal-Mart pursuant to similar arrangements awarded by Wal-Mart on a competitive-bid basis.

In June 1988 and January 1990, Walton Enterprises, Inc. (“WEI”), an entity in which S. Robson Walton; the Estate of John T. Walton; Jim C. Walton; Helen R. Walton; and Alice L. Walton, a beneficial owner of more than five percent of the Shares, formerly had an interest, entered into various leases for retail grocery space in Arkansas. WEI subsequently assigned the leases to The Phillips Companies, Inc. (“Phillips”), an unrelated party, in 1990, which agreed to indemnify WEI for any breach of the leases. Two of the leases were assigned to a company that eventually merged with Fleming Companies (“Fleming”). In 1991, in an unrelated transaction, Phillips was acquired by Wal-Mart. Fleming filed for bankruptcy in 2003 and the lease obligations were rejected by the U.S. Bankruptcy Court. As a result, the landlords filed lawsuits against the Wal-Mart subsidiary that became the successor to Phillips and WEI (and S. Robson Walton in one of the lawsuits) for unpaid lease obligations and future rents. In defense of its own interests and in order to fulfill its contractual indemnification obligations, Wal-Mart assumed the defense of the lawsuits and paid an aggregate amount of $258,822 during fiscal 2006 in attorneys’ fees in connection with the litigation. Wal-Mart paid approximately $2.46 million to settle the lawsuits during fiscal 2006.

James W. Breyer, a director of Wal-Mart, beneficially owned more than ten percent of the equity of Groove Networks, Inc. (“Groove”) during fiscal 2006. Groove was sold to Microsoft Corporation in April 2005. During fiscal 2006, Wal-Mart paid Groove $118,394 for computer software and services.

Timothy E. Coughlin, a Regional Loss Prevention Director of Wal-Mart, is the brother of Thomas M. Coughlin, a former director and Executive Officer of Wal-Mart. For fiscal 2006, Wal-Mart paid Timothy E. Coughlin a salary of $90,150 and a bonus of $15,689. For Mr. Coughlin’s performance in fiscal 2006, he also received a grant of stock options to purchase 329 Shares at an exercise price of $45.15 per Share and 223 restricted stock rights.

Stephen P. Weber, a manager in Wal-Mart’s Information Systems Division, is the son-in-law of Michael T. Duke, an Executive Officer. For fiscal 2006, Wal-Mart paid Mr. Weber a salary of $91,636 and a bonus of $15,959. For Mr. Weber’s performance in fiscal 2006, he also received a grant of stock options to purchase 329 Shares at an exercise price of $45.15 per Share and 223 restricted stock rights.

Mauricio Castro-Wright, a director of operations in Brazil, is the brother of Eduardo Castro-Wright, an Executive Officer. For fiscal 2006, Wal-Mart paid Mauricio Castro-Wright a salary of $184,439 and a bonus of $82,298. For Mr. Castro-Wright’s performance in fiscal 2006, he also received a grant of stock options to purchase 767 Shares at an exercise price of $45.15 per Share and 519 restricted stock rights.

During fiscal 2006, Springdale Card & Comic Wholesale, Inc., which is owned by the son of David D. Glass, a director and Executive Officer of Wal-Mart, had sales to Wal-Mart in the amount of $2,745,289.

Roland A. Hernandez, a director of Wal-Mart, beneficially owns more than ten percent of Inter-Con Security Systems, Inc. During fiscal 2006, Wal-Mart paid Inter-Con Security Systems, Inc., through its wholly-owned subsidiary operating in Mexico, $729,623 for security services.

 

29


Table of Contents
This excerpt taken from the WMT DEF 14A filed Apr 15, 2005.

RELATED-PARTY TRANSACTIONS

 

This section discusses certain direct and indirect relationships and transactions involving Wal-Mart and any director, Executive Officer, director nominee, beneficial owner of more than five percent of the Shares, and any member of the immediate family of the foregoing. Wal-Mart believes that the terms of all of the following transactions are comparable to terms that would have been reached by unrelated parties in arms-length transactions:

 

During fiscal 2005, companies owned by S. Robson Walton, a director, Executive Officer and beneficial owner of more than five percent of the Shares, John T. Walton, a director and beneficial owner of more than five percent of the Shares, and by Jim C. Walton and Helen R. Walton, each a beneficial owner of more than five percent of the Shares, paid a total of $213,582 to Wal-Mart and its subsidiaries for aviation-related expenses, substantially all of which was for maintenance and fuel at the same prices paid by unrelated third parties.

 

Frank C. Robson, the brother of Helen R. Walton, personally and through partnerships or trusts, leased three store locations to Wal-Mart. Wal-Mart paid rent and other expenses of $1,298,600 under the leases for fiscal 2005.

 

25


Table of Contents

Greg B. Penner, a Senior Vice President of Wal-Mart, is the son-in-law of S. Robson Walton. For the work Mr. Penner performed from February 1, 2004 through August 25, 2004 in his capacity as an Associate, Wal-Mart paid Mr. Penner a salary of $157,891 and a bonus of $122,656. After an extended overseas assignment, Mr. Penner took a leave of absence from the Company on August 25, 2004. During the leave of absence, Mr. Penner has continued to provide consulting services and advice concerning the Company’s international operations under a consulting agreement. Pursuant to the terms of the consulting agreement, Mr. Penner is paid an hourly fee based on actual worked performed. From August 25, 2004 until January 31, 2005, Mr. Penner was paid $33,725 under the consulting agreement.

 

During the past fiscal year, a banking corporation and its affiliates, collectively owned by Helen R. Walton, S. Robson Walton, John T. Walton and Jim C. Walton, made payments to Wal-Mart in the amount of $658,928 for banking facility rent and related ATM surcharges. The banking corporation and its affiliates made additional payments to Wal-Mart pursuant to similar arrangements awarded by Wal-Mart on a competitive-bid basis.

 

In June 1988 and January 1990, Walton Enterprises, Inc. (“WEI”), an entity in which Helen R. Walton, S. Robson Walton, John T. Walton, Jim C. Walton and Alice L. Walton formerly had an interest, entered into various leases for retail grocery space in Arkansas. WEI subsequently assigned the leases to The Phillips Companies, Inc. (“Phillips”), an unrelated party, in 1991, which agreed to indemnify WEI for any breach of the leases. Two of the leases were assigned to a company that eventually merged with Fleming Companies (“Fleming”). In 1991, in an unrelated transaction, Phillips was acquired by Wal-Mart. Fleming filed for bankruptcy in 2003 and the lease obligations were rejected by the U.S. Bankruptcy Court. As a result, the landlords filed lawsuits against the Wal-Mart subsidiary that became the successor to Phillips and WEI (and S. Robson Walton in one of the lawsuits) for unpaid lease obligations and future rents. In defense of its own interests and in order to fulfill its contractual indemnification obligations, Wal-Mart has assumed the defense of the lawsuits and, during fiscal 2005, paid an aggregate amount of $103,874 in attorneys’ fees in connection with the litigation.

 

James W. Breyer, a director of Wal-Mart, beneficially owns more than ten percent of the equity of Groove Networks, Inc. During fiscal 2005, Wal-Mart paid Groove Networks, Inc. $278,003 for computer software and services.

 

Timothy E. Coughlin, a Regional Loss Prevention Director of Wal-Mart, is the brother of Thomas M. Coughlin, a former director and Executive Officer of Wal-Mart. For fiscal 2005, Wal-Mart paid Timothy E. Coughlin a salary of $89,958 and a bonus of $16,462. He also received a grant of options to purchase 829 Shares at an exercise price of $53.01 per Share.

 

Stephen P. Weber, a manager in Wal-Mart’s Information Systems Division, is the son-in-law of Michael T. Duke, an Executive Officer. For fiscal 2005, Wal-Mart paid Mr. Weber a salary of $82,031 and a bonus of $16,782. Mr. Weber also received a grant of options to purchase 839 Shares at an exercise price of $53.01 per Share.

 

During fiscal 2005, Springdale Card & Comic Wholesale, Inc., which is owned by the son of David D. Glass, a director and Executive Officer of Wal-Mart, had sales to Wal-Mart in the amount of $3,802,343.

 

Roland A. Hernandez, a director of Wal-Mart, beneficially owns more than ten percent of Inter-Con Security Systems, Inc. During fiscal 2005, Wal-Mart paid Inter-Con Security Systems, Inc., through its wholly-owned subsidiary operating in Mexico, $731,006 for security services.

 

Christopher J. Williams, a Wal-Mart director, is the Chairman and CEO of The Williams Capital Group, L.P., which company was engaged by Wal-Mart in customary investment banking services during fiscal 2005, prior to Mr. Williams’s election to the Board in June 2004. Wal-Mart paid The Williams Capital Group, L.P. $103,325 during fiscal 2005. As disclosed in Wal-Mart’s Current Report on Form 8-K filed on May 24, 2004, the Company will not engage The Williams Capital Group, L.P. to perform any investment banking services for the Company during the tenure of his directorship.

 

26


Table of Contents

"RELATED-PARTY TRANSACTIONS" elsewhere:

Best Buy (BBY)
Gymboree (GYMB)
PriceSmart (PSMT)
Wikinvest © 2006, 2007, 2008, 2009, 2010, 2011, 2012. Use of this site is subject to express Terms of Service, Privacy Policy, and Disclaimer. By continuing past this page, you agree to abide by these terms. Any information provided by Wikinvest, including but not limited to company data, competitors, business analysis, market share, sales revenues and other operating metrics, earnings call analysis, conference call transcripts, industry information, or price targets should not be construed as research, trading tips or recommendations, or investment advice and is provided with no warrants as to its accuracy. Stock market data, including US and International equity symbols, stock quotes, share prices, earnings ratios, and other fundamental data is provided by data partners. Stock market quotes delayed at least 15 minutes for NASDAQ, 20 mins for NYSE and AMEX. Market data by Xignite. See data providers for more details. Company names, products, services and branding cited herein may be trademarks or registered trademarks of their respective owners. The use of trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, is sponsored by, endorses, or is endorsed by Wikinvest.
Powered by MediaWiki