99.1         Press Release dated December 21, 2000
 

Memphis, Tenn. (December 5, 2000) -- AutoZone, Inc. (NYSE: AZO), today reported diluted earnings per share of $0.46 for its first fiscal quarter (12 weeks) ended November 18, 2000, up 15% from $.40 per share for the prior year quarter ended November 20, 1999.

Sales were $1.064 billion for the quarter, an increase of 6% from $1.006 billion in fiscal 2000. Same store sales, or sales for domestic auto parts stores open at least one year, increased 2% during the quarter, including 1% for retail sales and 10% for commercial sales. Same store sales at TruckPro were down 1% for the quarter, while stores in Mexico reported a same store sales increase of over 40%. In fiscal 2000, first quarter same store sales for domestic auto parts stores increased 7%, including 7% for retail sales and 9% for commercial sales. Earnings before interest and taxes of $110.8 million increased 5% from $105.7 last year. Net income for the quarter decreased 4% to $53.8 million from $56.0 million in the prior year due to higher interest and taxes.

"I am pleased to announce we met our goal of 15% earnings per share growth despite a difficult sales environment," said John C. Adams Jr., chairman and chief executive officer. "Our acquired stores continue to gain leverage on payroll and occupancy, and we are particularly excited about the success of our stores in Mexico and the progress we've made with ALLDATA. We continue to test new sales initiatives in all of our businesses. We also expect to control costs but not at the expense of customer service."

During the quarter, AutoZone opened 41 new and replaced 5 auto parts stores in the U.S.

AutoZone plans to open a total of 175 domestic auto parts stores and at least 7 new stores in Mexico in fiscal 2001. Aggregate share repurchases under the currently authorized $1.35 billion share repurchase program are $1.23 billion or 47.5 million shares at the end of the first quarter, including $205 million or 9.0 million shares under forward purchase contracts.

AutoZone will host a one hour conference call beginning at 4 p.m. (CST) today to discuss the results of the quarter. Investors may listen to the conference call live and review supporting slides on the AutoZone website, www.autozone.com, by clicking "About Us," "Investor Relations," "Conference Calls," or by going directly to http://www.autozone.com/Investors. The call will also be available by dialing (630) 395-0173. A replay of the call and slides will be available on the website. In addition, a replay of the call will be available by dialing (402) 220-3014 through Tuesday, December 12, 2000, at 5 p.m.(CST).

AutoZone sells auto and light truck parts, chemicals and accessories through 2,956 AutoZone stores in 42 states plus the District of Columbia in the U.S. and 13 AutoZone stores in Mexico. AutoZone also sells heavy-duty truck parts through 49 TruckPro stores in 15 states, and automotive diagnostic and repair software through ALLDATA. On the web, AutoZone sells diagnostic and repair information through alldatadiy.com, and auto and light truck parts through AutoZone.com.

Certain statements contained in this press release are forward-looking statements. These statements discuss, among other things, expected growth, domestic and international development and expansion strategy, business strategies and future performance. These forward-looking statements are subject to risks, uncertainties and assumptions, including without limitation, competition, product demand, domestic and international economies, government approvals, inflation, the ability to hire and retain qualified employees, consumer debt levels and the weather. Actual results may materially differ from anticipated results. Please refer to the Risk Factors section of Form 10-K for the year ended August 26, 2000, for more details.
 
 

Subject to Reclassification