February 20, 2007

Memo: TO ALL PHARMACISTS EMPLOYED BY CVS/PHARMACIES

RE: WAGE COMPENSATION ADJUSTMENT

Upper Management for CVS/Pharmacy recently approached the Guild For Professional Pharmacists with the intent of moving the implementation date for pharmacist wage increases from April 1, 2007 to July 27, 2007. The wage increase would then be consistent with CVS’ general policy of implementing annual wage increases in July.

This type of contract modification alone would adversely affect pharmacist wage increases in 2007 and 2008. The Guild explained the negative impact of this change to the Company, and indeed, the Company stated they had no intention of decreasing any wages, and in fact, wanted to increase the wages. The mutual concerns of both parties resulted in increased compensation for all pharmacists over the life of the current Agreement.

The Guild for Professional Pharmacists and CVS/Pharmacy have agreed to modify the timing of, and the minimum hourly rates for, all full-time and part-time registered Pharmacists as follows:

The original Agreement scheduled a wage increase to $53.00 per hour beginning April 1, 2007. The wage adjustment has now been increased to $53.50 per hour effective April 1, 2007.

Also, the original Agreement scheduled a wage increase to $ 54.25 per hour beginning March 20, 2008. That wage adjustment has now been postponed for four (4) months, but shall then increase to $ 55.60 per hour effective July 27, 2008.

Although there is a four (4) month delay before implementation of the 2008 increase, the additional money of the two increases is substantial. A full-time pharmacist will receive an additional $2,391.00 over the life of the Agreement. Beginning August 1, 2008, a full-time pharmacist will earn $115,648 per year.

In addition, the Company will continue to provide, maintain and administer, in full force and effect, its bonus program for pharmacists.

The enclosed chart will clarify any questions you may have about how this modification will increase your total wages for the same period of time that is covered in the original Agreement.

Feel free to call the Guild if you have any questions about this modification.

Professionally yours,

Ralph Vogel, Pharm.D.

President

Guild For Professional Pharmacists

YEAR 2007

NOTE: CALCULATIONS BASED ON FULL-TIME (40 HOURS/WEEK X 52 WEEKS DIVIDED BY 12 MONTHS = 173.3 HOURS/MONTH))

233.95 X 8 Months = $1,871.60 $1,039.80 + 1,871.60 = $2,911.40 $2911.40 - 519.88 =
$2,391 GAIN WITHIN THE CURRENT AGREEMENT