ISSAQUAH, WA -- (Marketwired) -- 12/08/15 -- Costco Wholesale Corporation ("Costco" or the "Company") (NASDAQ: COST) today announced its operating results for the first quarter (twelve weeks) of fiscal 2016, ended November 22, 2015.

Net sales for the first quarter increased one percent, to $26.63 billion from $26.28 billion during the first quarter last year.

Comparable sales for the first quarter of fiscal 2016 were as follows:

                                                                    12 Weeks
                                                                    --------
U.S.                                                                   2%
Canada                                                                 -9%
Other International                                                    -5%

Total Company                                                          -1%
                                                                    ========

Comparable sales for this period excluding the negative impacts from gasoline price deflation and foreign exchange were as follows:

                                                                    12 Weeks
                                                                    --------
U.S.                                                                   6%
Canada                                                                 9%
Other International                                                    7%

Total Company                                                          6%
                                                                    ========

Net income for the quarter was $480 million, or $1.09 per diluted share, compared to $496 million, or $1.12 per diluted share, last year.

Costco currently operates 697 warehouses, including 487 in the United States and Puerto Rico, 90 in Canada, 36 in Mexico, 27 in the United Kingdom, 24 in Japan, 12 in Korea, 11 in Taiwan, eight in Australia and two in Spain. The Company plans to open one additional warehouse before the end of calendar year 2015. Costco also operates electronic commerce web sites in the U.S., Canada, the United Kingdom, Mexico and Korea.

A conference call to discuss these fiscal 2016 first quarter operating results is scheduled for 8:00 a.m. (PT) tomorrow, December 9, 2015, and is available via a webcast on www.costco.com (click on Investor Relations and "Play Webcast").

Certain statements contained in this document constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. For these purposes, forward-looking statements are statements that address activities, events, conditions or developments that the Company expects or anticipates may occur in the future. Such forward-looking statements involve risks and uncertainties that may cause actual events, results or performance to differ materially from those indicated by such statements. These risks and uncertainties include, but are not limited to, domestic and international economic conditions, including exchange rates, the effects of competition and regulation, uncertainties in the financial markets, consumer and small business spending patterns and debt levels, breaches of security or privacy of member or business information, conditions affecting the acquisition, development, ownership or use of real estate, capital spending, actions of vendors, rising costs associated with employees (including health care costs), energy and certain commodities, geopolitical conditions, and other risks identified from time to time in the Company's public statements and reports filed with the Securities and Exchange Commission. Forward-looking statements speak only as of the date they are made, and we do not undertake to update these statements, except as required by law.

                        COSTCO WHOLESALE CORPORATION
                 CONDENSED CONSOLIDATED STATEMENTS OF INCOME
                 (dollars in millions, except per share data)
                                 (unaudited)


                                                November 22,   November 23,
                                                    2015           2014
                                               -------------  -------------
REVENUE
  Net sales                                    $      26,627  $      26,284
  Membership fees                                        593            582
                                               -------------  -------------
    Total revenue                                     27,220         26,866
OPERATING EXPENSES
  Merchandise costs                                   23,621         23,385
  Selling, general and administrative                  2,806          2,696
  Preopening expenses                                     26             15
                                               -------------  -------------
    Operating income                                     767            770
OTHER INCOME (EXPENSE)
  Interest expense                                       (33)           (26)
  Interest income and other, net                          28             35
                                               -------------  -------------
INCOME BEFORE INCOME TAXES                               762            779
Provision for income taxes                               275            274
                                               -------------  -------------
Net income including noncontrolling interests            487            505
Net income attributable to noncontrolling
 interests                                                (7)            (9)
                                               -------------  -------------
NET INCOME ATTRIBUTABLE TO COSTCO              $         480  $         496
                                               =============  =============

NET INCOME PER COMMON SHARE ATTRIBUTABLE TO
 COSTCO:
Basic                                          $        1.10  $        1.13
                                               =============  =============
Diluted                                        $        1.09  $        1.12
                                               =============  =============

  Shares used in calculation: (000's)
    Basic                                            438,342        438,760
    Diluted                                          441,386        442,210



Cash dividends declared per common share       $        0.40  $       0.355



                        COSTCO WHOLESALE CORPORATION
                    CONDENSED CONSOLIDATED BALANCE SHEETS
            (amounts in millions, except par value and share data)
                                 (unaudited)

Subject to Reclassifications

                                                November 22,    August 30,
                                                    2015           2015
                                               -------------  -------------
                    ASSETS
CURRENT ASSETS
  Cash and cash equivalents                    $       5,054  $       4,801
  Short-term investments                               1,229          1,618
  Receivables, net                                     1,359          1,224
  Merchandise inventories                             10,382          8,908
  Deferred income taxes and other current
   assets                                                834            748
                                               -------------  -------------
  Total current assets                                18,858         17,299
                                               -------------  -------------
PROPERTY AND EQUIPMENT
  Land                                                 5,079          4,961
  Buildings and improvements                          13,150         12,618
  Equipment and fixtures                               5,480          5,274
  Construction in progress                               647            811
                                               -------------  -------------
                                                      24,356         23,664
  Less accumulated depreciation and
   amortization                                       (8,489)        (8,263)
                                               -------------  -------------
  Net property and equipment                          15,867         15,401
                                               -------------  -------------
OTHER ASSETS                                             726            728
                                               -------------  -------------
    TOTAL ASSETS                               $      35,451  $      33,428
                                               =============  =============
            LIABILITIES AND EQUITY
CURRENT LIABILITIES
  Accounts payable                             $      10,378  $       9,011
  Current portion long-term debt                       1,281          1,283
  Accrued salaries and benefits                        2,436          2,468
  Accrued member rewards                                 812            813
  Deferred membership fees                             1,350          1,269
  Other current liabilities                            2,036          1,696
                                               -------------  -------------
    Total current liabilities                         18,293         16,540
LONG-TERM DEBT, excluding current portion              4,845          4,852
DEFERRED INCOME TAXES AND OTHER LIABILITIES            1,233          1,193
                                               -------------  -------------
    Total liabilities                                 24,371         22,585
                                               -------------  -------------
COMMITMENTS AND CONTINGENCIES
EQUITY
  Preferred stock $.005 par value; 100,000,000
   shares authorized; no shares issued and
   outstanding                                             0              0
  Common stock $.005 par value; 900,000,000
   shares authorized; 439,777,000 and
   437,952,000 shares issued and outstanding               2              2
  Additional paid-in capital                           5,247          5,218
  Accumulated other comprehensive loss                (1,105)        (1,121)
  Retained earnings                                    6,704          6,518
                                               -------------  -------------
    Total Costco stockholders' equity                 10,848         10,617
  Noncontrolling interests                               232            226
                                               -------------  -------------
    Total equity                                      11,080         10,843
                                               -------------  -------------
    TOTAL LIABILITIES AND EQUITY               $      35,451  $      33,428
                                               =============  =============

CONTACTS:
Costco Wholesale Corporation

Richard Galanti
425/313-8203

Bob Nelson
425/313-8255

Jeff Elliott
425/313-8264

Source: Costco