| (a)   | Understandability.  This      Agreement is written in a manner calculated to be understood by the      Employee, and Employee understands all terms of this      Agreement; |
|-----------------|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (b)   | Age Discrimination (ADEA)      Waiver.  This Agreement includes a waiver and release of      claims under the Age Discrimination in Employment Act (ADEA) as described      in paragraph 2 above; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (c)   | No Future      Waiver.  This Agreement only waives and releases rights      arising prior to the date Employee signs this  Agreement; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------|

| (d)   | Valid      Consideration.  In exchange for Employee's release and      waiver as part of this Agreement, Employee acknowledges that he/she is      receiving benefits as described in the Plan and Supplement that exceed      those to which Employee is entitled apart from this    Agreement; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (e)   | Employee Advised to Consult      with an Attorney.  By this Agreement, the Company advises      Employee to consult with an attorney before signing this      Agreement; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (f)   | Period to Consider this      Agreement.  Employee has been given a period of 45      calendar days in which to consider this Agreement, and to decide whether      s/he wishes to sign it; |
|-----------------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (g)   | Information      Provided.  Employee has received, together with this      Agreement, a listing of job titles and ages of Employees eligible or not      eligible for Plan benefits pursuant to the Rewiring for Growth      Project; |
|-----------------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (h)   | Period to Revoke      Agreement.  After Employee signs this Agreement, Employee      has 7 calendar days in which Employee can change his or her mind and      revoke this Agreement. Walgreens and Employee agree that, to revoke this      Agreement, Employee must notify Walgreens in writing that Employee is      revoking this Agreement.  Any such notice of revocation must be      received by Deidra Byrd, Divisional Vice President, Employee Relations,      102 Wilmot Road, Deerfield, Illinois 60015, fax no. (847)315-4699,      deidra.byrd@walgreens.com, within the 7-day period;  and |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| (i)   | Effective      Date.  This Agreement shall not become effective or      enforceable until the 7-day revocation period described above has expired      with no revocation by Employee. |
|-----------------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|  Termination      Date (PTD)  | 3/31/09 |
|-----------------------------------------|---------|

|  Vacation  | Current year plus      banked |
|----------------------|-------------------------------|

|  Severance and      Fiscal 09 Bonus    | $1,137,430 |
|------------------------------------------------------------|------------|

|  Form of      vacation/severance   | Lump-sum following      PTD, subject to six-month delay of a /bonus paymentsportion to comply with      tax law requirements (409A)* |
|---------------------------------------------------|--------------------------------------------------------------------------------------------------------------------------------------|

| Deferred      Compensation | Enhanced      lump-sum with gross-up per Voluntary Program (subject to six-month delay      under 409A)* |
|----------------------------|----------------------------------------------------------------------------------------------------------|

| Stock      Option Exercise Periods | Retirement      provision under stock option agreements apply (in most cases 60 months      from PTD, or 10-year expiration date, if  earlier) |
|------------------------------------|------------------------------------------------------------------------------------------------------------------------------------------------|

| RPSP      Restricted Shares/Cash | Accelerated      vesting and paid out at PTD (subject to six-month delay of cash payment      under 409A)* |
|----------------------------------|------------------------------------------------------------------------------------------------------------|

| Fiscal      2009 Restricted Stock Units | Pro-rated      vesting through PTD and shares distributed after PTD (subject to six-month      delay under 409A)* |
|-----------------------------------------|-------------------------------------------------------------------------------------------------------------------|

| Fiscal      2009 Performance Shares | Pro-rated      through PTD and paid out in October 2011 based on actual company      performance |
|-------------------------------------|--------------------------------------------------------------------------------------------------|

| Profit      Sharing/Restoration | Deductions      and match apply to vacation but notseverance |
|---------------------------------|--------------------------------------------------------------|

| Retiree      Medical | Eligible      – begins after PTD** |
|----------------------|------------------------------------------|

| SVP      Retirement Benefits | Co.      physical and United preferred status to age70** |
|------------------------------|----------------------------------------------------------|

| Other      Benefits | End      as of PTD |
|---------------------|--------------------|

|  Outplacement     | Up to 12      months |
|--------------------------------------------|----------------------|