<SUBMISSION>
<ACCESSION-NUMBER>0000950153-08-001114
<TYPE>10-Q
<PUBLIC-DOCUMENT-COUNT>4
<PERIOD>20080504
<FILING-DATE>20080613
<DATE-OF-FILING-DATE-CHANGE>20080613
<FILER>
<COMPANY-DATA>
<CONFORMED-NAME>CSK AUTO CORP
<CIK>0001051848
<ASSIGNED-SIC>5531
<IRS-NUMBER>860765798
<STATE-OF-INCORPORATION>DE
<FISCAL-YEAR-END>0204
</COMPANY-DATA>
<FILING-VALUES>
<FORM-TYPE>10-Q
<ACT>34
<FILE-NUMBER>001-13927
<FILM-NUMBER>08898660
</FILING-VALUES>
<BUSINESS-ADDRESS>
<STREET1>645 E MISSOURI AVENUE
<CITY>PHOENIX
<STATE>AZ
<ZIP>85012
<PHONE>6022659200
</BUSINESS-ADDRESS>
<MAIL-ADDRESS>
<STREET1>645 E MISSOURI AVENUE
<CITY>PHOENIX
<STATE>AZ
<ZIP>85012
</MAIL-ADDRESS>
</FILER>
<DOCUMENT>
<TYPE>10-Q
<SEQUENCE>1
<FILENAME>p75643e10vq.htm
<DESCRIPTION>10-Q
<TEXT>
<HTML>
<HEAD>
<TITLE>e10vq</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 1pt solid black; font-size: 1pt">&nbsp;</DIV>




<DIV align="center" style="font-size: 14pt; margin-top: 12pt"><B>UNITED STATES SECURITIES AND EXCHANGE COMMISSION</B>
</DIV>

<DIV align="center" style="font-size: 12pt"><B>Washington,&nbsp;D.C. 20549<BR>
<DIV align="center"><DIV style="font-size: 3pt; margin-top: 6pt; width: 26%; border-top: 1px solid #000000">&nbsp;</DIV></DIV></B>
</DIV>

<DIV align="center" style="font-size: 18pt; margin-top: 12pt"><B>Form&nbsp;10-Q</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">(Mark One) &nbsp;

</DIV>
<DIV align="center">
<TABLE cellspacing="0" border="0" cellpadding="0" width="100%" style="font-size: 12pt">
<TR>
    <TD width="7%"></TD>
    <TD width="5%"></TD>
    <TD width="88%"></TD>
</TR>
<TR valign="top">
    <TD align="center"><FONT face="Wingdings">&#254;</FONT></TD>
    <TD>&nbsp;</TD>
    <TD><B>QUARTERLY REPORT PURSUANT TO SECTION&nbsp;13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934</B></TD>
</TR>
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 12%"><B>For the quarterly period ended May&nbsp;4, 2008</B>

</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 6pt">&nbsp; <B>or</B></DIV>

<DIV align="center">
<TABLE cellspacing="0" border="0" cellpadding="0" width="100%" style="font-size: 12pt">
<TR style="font-size: 6pt">
    <TD width="7%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="88%">&nbsp;</TD>
</TR>
<TR valign="top">
    <TD align="center"><FONT face="Wingdings">&#111;</FONT></TD>
    <TD>&nbsp;</TD>
    <TD><B>
TRANSITION REPORT PURSUANT TO SECTION&nbsp;13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934</B></TD>
</TR>
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 12%"><B>For the transition period from </B>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<B>to</B>

</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt"><B>Commission File Number 001-13927</B></DIV>

<DIV align="center" style="font-size: 24pt; margin-top: 12pt"><B>CSK Auto Corporation</B>
</DIV>

<DIV align="center" style="font-size: 10pt"><I>(Exact name of registrant as specified in its charter)</I></DIV>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="47%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="47%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="center" valign="top"><B>Delaware</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>86-0765798</B></TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><I>(State or other jurisdiction of</I>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><I>(I.R.S. Employer</I></TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><I>incorporation or organization)</I>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><I>Identification No.)</I></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><B>645&nbsp;E.&nbsp;Missouri Ave.</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><B>85012</B></TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><B>Suite&nbsp;400</B>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><I>(Zip Code)</I></TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><B>Phoenix, Arizona</B></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><I>(Address of principal executive offices)</I></TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt"><B>(602)&nbsp;265-9200</B><BR>
<I>(Registrant&#146;s telephone number, including area code)</I></DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt"><B>N/A</B><BR>
<I>(Former name, former address and former fiscal year,<BR>
if changed since last report)</I></DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Indicate by check mark whether the registrant (1)&nbsp;has filed all reports required to be filed by
Section&nbsp;13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12&nbsp;months (or for
such shorter period that the registrant was required to file such reports), and (2)&nbsp;has been
subject to such filing requirements for the past 90&nbsp;days.&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Yes&nbsp; <FONT face="Wingdings">&#254;</FONT> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;No&nbsp; <FONT face="Wingdings">&#111;</FONT> .
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a
non-accelerated filer or a smaller reporting company. See definitions of &#147;large accelerated
filer,&#148; &#147;accelerated filer&#148; and &#147;smaller reporting company&#148; in Rule&nbsp;12b-2 of the Exchange Act.
(Check One):
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="22%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="22%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">
    <TD align="center" valign="top">Large accelerated filer&nbsp;<FONT face="Wingdings">&#254;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Accelerated filer&nbsp;<FONT face="Wingdings">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">Non-accelerated filer&nbsp;<FONT face="Wingdings">&#111;</FONT>
</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top" nowrap>Smaller reporting company&nbsp;<FONT face="Wingdings">&#111;</FONT></TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="5" valign="top" align="center">(Do not check if a smaller reporting company)<BR></TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Indicate by check mark whether the registrant is a shell company (as defined in Exchange Act
Rule&nbsp;12b-2).&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Yes&nbsp; <FONT face="Wingdings">&#111;</FONT> &nbsp;&nbsp;&nbsp;&nbsp;No&nbsp; <FONT face="Wingdings">&#254;</FONT>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 12pt">As of June&nbsp;6, 2008, there were 44,036,813 shares of our common stock outstanding.</DIV>


<DIV style="width: 100%; border-bottom: 1pt solid black; margin-top: 10pt; font-size: 1pt">&nbsp;</DIV>
<DIV style="width: 100%; border-bottom: 2pt solid black; font-size: 1pt">&nbsp;</DIV>





<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

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<P><HR noshade><P>
<H5 align="left" style="page-break-before:always">&nbsp;</H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<!-- TOC -->
</DIV>
<DIV align="left">
<A name="tocpage"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>TABLE OF CONTENTS</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Page</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom">

</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Forward-Looking Statements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">2</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center"><DIV style="margin-left:15px; text-indent:-15px"><A href="#101"><B>PART I &#150; Financial Information</B></A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#102">Item&nbsp;1. Financial Statements (unaudited)</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:54px; text-indent:-15px"><A href="#103">Consolidated Balance Sheets</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">4</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:54px; text-indent:-15px"><A href="#104">Consolidated Statements of Operations</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">5</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:54px; text-indent:-15px"><A href="#105">Consolidated Statement of Stockholders&#146; Equity</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">6</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:54px; text-indent:-15px"><A href="#106">Consolidated Statements of Cash Flows</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">7</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:54px; text-indent:-15px"><A href="#107">Notes to Consolidated Financial Statements</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">8</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#108">Item&nbsp;2. Management&#146;s Discussion and Analysis of Financial Condition and Results of Operations</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">24</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#109">Item&nbsp;3. Quantitative and Qualitative Disclosures About Market Risk</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">33</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#110">Item&nbsp;4. Controls and Procedures</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">33</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">

<TD align="center"><DIV style="margin-left:15px; text-indent:-15px"><A href="#111"><B>PART II &#150; Other Information</B></A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#112">Item&nbsp;1. Legal Proceedings</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">37</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#113">Item&nbsp;1A. Risk Factors</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">37</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#114">Item&nbsp;6. Exhibits</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">37</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><A href="#115">Signatures</A></DIV></TD>
    <TD>&nbsp;</TD>
    <TD colspan="3" align="center">38</TD>
</TR>
<!-- End Table Body -->
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="p75643exv31w01.htm">EX-31.01</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="p75643exv31w02.htm">EX-31.02</A></FONT></TD></TR>
<TR><TD colspan="9"><FONT size="2">&nbsp;<A HREF="p75643exv32w01.htm">EX-32.01</A></FONT></TD></TR>
</TABLE>
</DIV>

<DIV align="left">
<!-- /TOC -->
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As used herein, the terms &#147;CSK,&#148; &#147;CSK Auto,&#148; &#147;the Company,&#148; &#147;we,&#148; &#147;us,&#148; and &#147;our&#148; refer to CSK
Auto Corporation and its subsidiaries, including its operating subsidiary, CSK Auto, Inc., and its
subsidiary, CSKAUTO.COM, Inc. The term &#147;Auto&#148; as used herein refers to our operating subsidiary,
CSK Auto, Inc., and its subsidiary, CSKAUTO.COM, Inc.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;You may obtain, free of charge, copies of this Quarterly Report on Form 10-Q for the quarterly
period ended May&nbsp;4, 2008 (this &#147;Quarterly Report&#148;) as well as our Annual Report on Form 10-K for
the fiscal year ended February&nbsp;3, 2008, as amended by the filing of Form 10-K/A on June&nbsp;2, 2008 (the
&#147;2007 10-K&#148;), and Current Reports on Form 8-K filed with or furnished to the Securities and
Exchange Commission (&#147;SEC&#148;) as soon as reasonably practicable after such reports have been filed or
furnished by accessing our website at www.cskauto.com, then clicking &#147;Investors.&#148; Information
contained on our website is not part of this Quarterly Report.
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>Note Concerning Forward-Looking Information</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Certain statements contained in this Quarterly Report are forward-looking statements and are
usually identified by words such as &#147;may,&#148; &#147;will,&#148; &#147;expect,&#148; &#147;anticipate,&#148; &#147;believe,&#148; &#147;estimate,&#148;
&#147;continue,&#148; &#147;could,&#148; &#147;should&#148; or other similar expressions. We intend forward-looking statements to
be covered by the safe harbor provisions for forward-looking statements contained in the Private
Securities Litigation Reform Act of 1995. These forward-looking statements reflect current views
about our plans, strategies and prospects and speak only as of the date of this Quarterly Report.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We believe that it is important to communicate our future expectations to our investors.
However, forward-looking statements are subject to risks, uncertainties and assumptions often
beyond our control, including, but not limited to, competitive pressures, the overall condition of
the national and regional economies, factors affecting import of products, factors impacting
consumer spending and driving habits such as high gas prices, war and terrorism, natural disasters
and/or extended periods of inclement weather, consumer debt levels and inflation, demand for our
products, integration and management of any past and future acquisitions, conditions affecting new
store development, relationships with vendors, risks related to compliance with Section&nbsp;404 of the
Sarbanes-Oxley Act of 2002 (&#147;SOX&#148; and such Section, &#147;SOX 404&#148;) and litigation and regulatory
matters. Actual results may differ materially from anticipated results described in these
forward-looking statements. For more information related to these and other risks, please refer to
the Risk Factors section in the 2007 10-K. In addition to causing our actual results to differ, the
factors listed and referred to above may cause our intentions to change from those statements of
intention set forth in this Quarterly Report. Such changes in our intentions may cause our results
to differ. We may change our intentions at any time and without notice based upon changes in such
factors, our assumptions or otherwise.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Except as required by applicable law, we do not intend and undertake no obligation to update
publicly any forward-looking
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->2<!-- /Folio -->
</DIV>

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<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">statements, whether as a result of new information, future events or
otherwise. Given the uncertainties and risk factors that could cause our actual results to differ
materially from those contained in any forward-looking statement, you should not place undue
reliance upon forward-looking statements and should carefully consider these risks and
uncertainties, together with the other risks described
from time to time in our other reports and documents filed with the SEC.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->3<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<A name="101"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>PART I</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>FINANCIAL INFORMATION</B>

</DIV>
<DIV align="left">
<A name="102"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;1. </B><B><I>Financial Statements</I></B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>
</DIV>

<DIV align="left">
<A name="103"></A>
</DIV>
<DIV align="center" style="font-size: 10pt"><B>CONSOLIDATED BALANCE SHEETS</B><br>
(Unaudited)<br>
(In thousands, except share data)</DIV>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>May 4,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>February 3,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD colspan="9" align="center"><DIV style="margin-left:0px; text-indent:-0px"><B>ASSETS</B></DIV></TD>
    </TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash and cash equivalents</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">19,679</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">16,520</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Receivables, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">36,721</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">37,322</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Inventories, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">549,002</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">494,651</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deferred income taxes</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,527</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50,649</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Prepaid expenses and other current assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50,434</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35,842</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total current assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">700,363</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">634,984</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Property and equipment, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">159,267</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">165,115</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Intangibles, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">61,905</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">63,020</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Goodwill</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">224,937</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">224,937</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Deferred income taxes</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">17,288</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,380</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other assets, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">33,667</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">35,254</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,197,427</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,138,690</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">

<TD colspan="9" align="center"><DIV style="margin-left:0px; text-indent:-0px"><B>LIABILITIES AND STOCKHOLDERS&#146; EQUITY</B></DIV></TD>
    </TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accounts payable</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">291,225</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">236,879</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accrued payroll and related expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">59,666</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">57,593</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accrued expenses and other current liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">98,950</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">107,211</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Current
maturities of long-term debt (Notes 1 and 7)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">493,443</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">50,551</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Current maturities of capital lease obligations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,982</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">6,351</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total current liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">949,266</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">458,585</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Long-term
debt (Notes 1 and 7)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,131</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">452,420</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Obligations under capital leases</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">8,469</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,866</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">52,662</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53,281</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total non-current liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">77,262</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">515,567</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Commitments and contingencies</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stockholders&#146; equity:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Common stock, $0.01 par value, 90,000,000 shares authorized, 44,035,913
and 44,030,644 shares issued and outstanding at May&nbsp;4, 2008 and February
3, 2008, respectively</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">440</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">440</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Additional paid-in capital</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">439,086</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">438,092</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accumulated deficit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(268,627</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(273,994</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total stockholders&#146; equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">170,899</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">164,538</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total liabilities and stockholders&#146; equity</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,197,427</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,138,690</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">The accompanying notes are an integral part of these consolidated financial statements.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->4<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>
</DIV>

<DIV align="left">
<A name="104"></A>
</DIV>
<DIV align="center" style="font-size: 10pt"><B>CONSOLIDATED STATEMENTS OF OPERATIONS</B><br>
(Unaudited)<br>
(In thousands, except per share data)</DIV>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Thirteen Weeks Ended</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>May 4,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>May 6,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net sales</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">461,104</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">473,035</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cost of sales</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">243,801</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">252,437</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Gross profit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">217,303</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">220,598</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other costs and expenses:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Operating and administrative</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">205,810</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">199,234</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Investigation, litigation and restatement costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">983</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,564</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Insurance recovery (Note 12)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(15,000</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Store closing costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">785</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">706</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Operating profit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">24,725</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,094</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest expense, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">15,445</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,322</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Income before income taxes</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,280</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,772</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Income tax expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,913</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,102</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,367</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,670</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Earnings per common share:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Basic</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.12</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.04</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Diluted</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.12</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">0.04</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Weighted average shares outstanding:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Basic</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,032</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,951</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Diluted</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,101</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,697</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">The accompanying notes are an integral part of these consolidated financial statements.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->5<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>
</DIV>

<DIV align="left">
<A name="105"></A>
</DIV>
<DIV align="center" style="font-size: 10pt"><B>CONSOLIDATED STATEMENT OF STOCKHOLDERS&#146; EQUITY</B><br>
(Unaudited)<br>
(In thousands, except share data)</DIV>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="40%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Common Stock</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Additional</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Accumulated</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>Total</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Amount</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Paid-in Capital</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Deficit</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>Equity</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balances at February&nbsp;3, 2008</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,030,644</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">440</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">438,092</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(273,994</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">164,538</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Restricted stock</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">990</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(3</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Exercise of options</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,279</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Stock-based compensation expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">957</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">957</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,367</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,367</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balances at May&nbsp;4, 2008</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,035,913</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">440</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">439,086</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">$</TD>
    <TD align="right">(268,627</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">170,899</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">The accompanying notes are an integral part of these consolidated financial statements.
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->6<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>
</DIV>

<DIV align="left">
<A name="106"></A>
</DIV>
<DIV align="center" style="font-size: 10pt"><B>CONSOLIDATED STATEMENTS OF CASH FLOWS</B><br>
(Unaudited)<br>
(In thousands)</DIV>


<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Thirteen Weeks Ended</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>May 4,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>May 6,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Cash flows provided by (used in) operating activities:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,367</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,670</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Adjustments:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Depreciation and amortization on property and equipment</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,395</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">9,947</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Amortization of other items</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,384</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,336</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Amortization of debt discount and deferred financing costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,782</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,319</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Stock-based compensation expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,244</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,367</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Write downs of property, equipment and other assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">447</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,398</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Deferred income taxes</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,756</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,046</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Changes in operating assets and liabilities:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Receivables</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(229</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,344</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Inventories</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(54,351</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(25,559</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Prepaid expenses and other current assets</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(14,592</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(773</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Accounts payable</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">54,347</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">13,630</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Accrued payroll, accrued expenses and other current liabilities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(6,401</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,838</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:60px; text-indent:-15px">Other operating activities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">189</TD>
    <TD nowrap>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(192</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Net cash provided by operating activities</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2,338</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">7,683</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Cash flows used in investing activities:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Capital expenditures</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,046</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(8,858</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Other investing activities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(320</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(477</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Net cash used in investing activities</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(4,366</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(9,335</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Cash flows provided by (used in) financing activities:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Borrowings under senior credit facility &#151; line of credit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">85,900</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">65,600</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Payments under senior credit facility &#151; line of credit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(79,400</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(57,100</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Payments under term loan facility</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(864</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(873</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Payment of debt financing costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(125</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Payments on capital lease obligations</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,694</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,684</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Proceeds from seller financing arrangements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,550</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Payments on seller financing arrangements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(168</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(156</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Proceeds from exercise of stock options</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">40</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Other financing activities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(52</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(44</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Net cash provided by financing activities</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">5,187</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4,743</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net increase in cash</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,159</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,091</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash and cash equivalents, beginning of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,520</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">20,169</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cash and cash equivalents, end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">19,679</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">23,260</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt">The accompanying notes are an integral part of these consolidated financial statements.
</DIV>



<P align="center" style="font-size: 10pt"><!-- Folio -->7<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">




<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>
</DIV>

<DIV align="left">
<A name="107"></A>
</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;CSK Auto Corporation is a holding company. At May&nbsp;4, 2008 and for the periods presented in
this Quarterly Report, CSK Auto Corporation had no business activity other than its investment in
CSK Auto, Inc. (&#147;Auto&#148;), a wholly owned subsidiary. On a consolidated basis, CSK Auto Corporation
and its subsidiaries are referred to herein as the &#147;Company.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Auto is a specialty retailer of automotive aftermarket parts and accessories. At May&nbsp;4, 2008,
the Company operated 1,345 stores in 22&nbsp;states, with its principal concentration of stores in the
Western United States, under the following four brand names: Checker Auto Parts, founded in 1969
and operating in the Southwestern, Rocky Mountain and Northern Plains states and Hawaii; Schuck&#146;s
Auto Supply, founded in 1917 and operating in the Pacific Northwest and Alaska; Kragen Auto Parts,
founded in 1947 and operating primarily in California; and Murray&#146;s Discount Auto Stores, founded
in 1972 and operating in the Midwest.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Note 1&nbsp;&#151;&nbsp;Merger Agreement and Matters Related to the Company&#146;s Indebtedness</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><I>Merger Agreement</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On April&nbsp;1, 2008, the Company entered into an Agreement and Plan of Merger (the &#147;Merger
Agreement&#148;) with O&#146;Reilly Automotive, Inc. (&#147;O&#146;Reilly&#148;) and an indirect wholly-owned subsidiary of
O&#146;Reilly pursuant to which the Company is expected to become a wholly-owned subsidiary of O&#146;Reilly
(the &#147;Acquisition&#148;).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In order to effectuate the Acquisition, O&#146;Reilly has agreed to commence an exchange offer (the
&#147;Exchange Offer&#148;) pursuant to which each share of the Company&#146;s common stock tendered in the
Exchange Offer will be exchanged for (a)&nbsp;a number of shares of O&#146;Reilly&#146;s common stock equal to the
&#147;exchange ratio&#148; (as calculated below), plus (b)&nbsp;$1.00 in cash (subject to possible reduction as
described below). Pursuant to the Merger Agreement, the &#147;exchange ratio&#148; will equal $11.00 divided
by the average trading price of O&#146;Reilly&#146;s common stock during the five consecutive trading days
ending on and including the second trading day prior to the closing of the Exchange Offer;
provided, that if such average trading price of O&#146;Reilly&#146;s common stock is greater than $29.95 per
share, then the exchange ratio will be 0.3673, and if such average trading price is less than
$25.67 per share, then the exchange ratio will be 0.4285. If such average trading price is less
than or equal to $21.00 per share, the Company may terminate the Merger Agreement unless O&#146;Reilly
exercises its option to issue an additional number of its shares or increase the amount of cash to
be paid such that the total value of O&#146;Reilly common stock and cash exchanged for each share of the
Company&#146;s common stock is at least equal to $10.00 (less any possible reduction of the cash
component of the offer price as described below).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Upon completion of the Exchange Offer, any remaining shares of the Company&#146;s common stock will
be acquired in a second-step merger at the same price at which shares of the Company&#146;s common stock
were exchanged in the Exchange Offer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Acquisition is expected to be completed during the second quarter of the Company&#146;s fiscal
year ending February&nbsp;1, 2009 (&#147;fiscal 2008&#148;) and is subject to regulatory review and customary
closing conditions, including that at least a majority of the Company&#146;s outstanding shares of
common stock be tendered in the Exchange Offer and the expiration or termination of any waiting
period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended (which waiting
period terminated on April&nbsp;17, 2008).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Merger Agreement includes customary representations, warranties and covenants by the
Company, including covenants (a)&nbsp;to cease immediately any discussions and negotiations with respect
to an alternate acquisition proposal, (b)&nbsp;not to solicit any alternate acquisition proposal and,
with certain exceptions, not to enter into discussions concerning or furnish information in
connection with any alternate acquisition proposal, and (c)&nbsp;subject to certain exceptions, for the
Company&#146;s Board of Directors not to withdraw or modify its recommendation that the Company&#146;s
stockholders tender shares into the Exchange Offer. In addition, the Company has agreed to use
reasonable best efforts to obtain appropriate waivers or consents under the Company&#146;s credit or
debt agreements and instruments if needed or if requested by O&#146;Reilly to remedy any default or
event of default thereunder that may arise after the date of the Merger Agreement (the &#147;Credit
Agreement Waivers&#148;). The $1.00 cash component of the offer price for each share of the
Company&#146;s common stock tendered in the Exchange Offer will be subject to reduction in the event
that the Company pays more than $3.0&nbsp;million to its lenders in order to obtain any Credit Agreement
Waivers. The $1.00 cash component may be reduced by an amount equal to the quotient obtained by
dividing (x)&nbsp;by (y), where (x)&nbsp;equals the sum of any amount paid by the Company or its subsidiaries
to the lenders under its credit agreements in connection with obtaining any bank consent, waiver,
or amendment under the credit agreements after April&nbsp;1, 2008, minus $3,000,000, and (y)&nbsp;equals the
sum of (i)&nbsp;the total number of shares of the Company&#146;s common stock outstanding immediately prior
to the expiration of the Exchange Offer and (ii)&nbsp;a number of shares of the Company&#146;s common stock
determined by O&#146;Reilly up to a maximum of the total number of shares of the Company&#146;s common stock
issuable upon the exercise or conversion of all options, warrants, rights and convertible
securities (if any) that will be vested on or before the date that is 180&nbsp;days after April&nbsp;1, 2008.
The Company does not anticipate a need to obtain any Credit Agreement Waivers prior to the
anticipated closing of the Exchange Offer.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->8<!-- /Folio -->
</DIV>

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<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES
TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS &#151; (Continued)</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Merger Agreement contains certain termination rights for both the Company and O&#146;Reilly,
including if the Exchange Offer has not been consummated or if the expiration or termination of any
waiting period (and any extension thereof) under the Hart-Scott-Rodino Antitrust Improvements Act
of 1976, as amended, had not occurred, in either case on or before the date that is 180&nbsp;days after
the date of the Merger Agreement, and provisions that permit termination in connection with the
exercise of the fiduciary duties of the Company&#146;s Board of Directors with respect to superior
offers. The Merger Agreement further provides that upon termination of the Merger Agreement under
specified circumstances, the Company may be required to pay O&#146;Reilly a termination fee of
$22.0&nbsp;million.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In connection with the Acquisition, it is anticipated that O&#146;Reilly will repay at the time of
the closing of the Exchange Offer all amounts outstanding and other amounts payable under the
Company&#146;s $350.0&nbsp;million floating rate term loan facility (the &#147;Term Loan Facility&#148;) and
$325.0&nbsp;million senior secured revolving line of credit (the &#147;Senior Credit Facility&#148;). Thus,
although the consummation of the Exchange Offer would result in an event of default and the
possible acceleration of indebtedness under those facilities, it is contemplated that those
facilities will be repaid in full and cease to exist at the closing of the Exchange Offer. If the
Acquisition is
completed as planned, the Company&#146;s $100.0&nbsp;million of 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>% senior exchangeable notes (the &#147;6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%
Notes&#148;) will remain outstanding.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
Company engaged J.P. Morgan Securities, Inc. (&#147;JPMorgan&#148;) to act as its financial advisor in
connection with the Company&#146;s analysis and consideration of its
strategic alternatives. Pursuant to an engagement letter dated
January 12, 2008, the Company agreed to pay JPMorgan 0.90% of the
consideration for the Merger, less any amount, up to $500,000, paid
to another financial advisor in connection with the delivery of an
opinion as to the fairness, from a financial point of view, of the
consideration to be paid to the Company&#146;s stockholders. This amount is payable upon consummation of a transaction. For
purposes of such engagement letter, &#147;Consideration&#148; means
the total amount of cash and the fair market value of O&#146;Reilly
common stock payable to the Company and its stockholders in
connection with the Merger, including amounts payable in respect of
convertible securities, options, or similar rights, whether or not
vested, plus the principal amount of all indebtedness for borrowed
money of the Company. The Company has also agreed to reimburse
JPMorgan&#146;s expenses and indemnify JPMorgan against certain
liabilities arising out of engagement.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><I>Term Loan Facility Financial Covenants</I>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company&#146;s Term Loan Facility contains a maximum leverage ratio covenant that
the Company does not believe at this time it will be able to satisfy beginning in the first quarter of the
Company&#146;s fiscal year ending January&nbsp;31, 2010 (&#147;fiscal 2009&#148;). As the Company did not obtain a
waiver or amendment of that covenant prior to the completion of these financial statements for the
first quarter of fiscal 2008, the Company&#146;s belief that it is probable that this covenant will not
be satisfied for the first quarter of fiscal 2009 has caused the Company to classify all of the its
indebtedness under the Term Loan Facility and the Senior Credit Facility, as well as the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>% Notes,
as current liabilities in the Company&#146;s financial statements beginning with its financial
statements for the first quarter of fiscal 2008. Furthermore, beginning with the second quarter of
fiscal 2008, the Company will be required to reduce (to twelve months) the time period over which
it amortizes debt issuance costs and debt discount, increasing the interest costs it reports in its
financial statements. The classification of all such indebtedness as current liabilities and the
acceleration of the amortization of interest costs will not cause a default under the Company&#146;s
borrowing agreements. However, any such classification could have adverse consequences upon the
Company&#146;s relationships with, and the credit terms upon which it does business with, its vendors.
The Company expects such consequences, if any, to be limited due to the expected closing of the
Exchange Offer in the second quarter of fiscal 2008. The Company does not expect to seek any
waivers or amendments under its credit facilities prior to the closing of the Exchange Offer as
these credit facilities are expected to be repaid and terminated upon closing of the Exchange
Offer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If the Exchange Offer were to fail to close, prior to the end of the first quarter of fiscal
2009, the Company would seek to obtain a waiver or amendment of certain covenants contained in the
Term Loan Facility, including the maximum leverage ratio covenant. No assurance can be given that
the Company would be able to obtain such a waiver or amendment on terms that would be satisfactory
to the Company. Failure to comply with the financial covenants of the Term Loan Facility would
result in an event of default under the Term Loan Facility after the first quarter of fiscal 2009,
which could result in the acceleration of all of the Company&#146;s indebtedness thereunder, under the
Senior Credit Facility and under the indenture under which the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>% Notes were issued, all of which
could have a material adverse effect on the Company.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Note 2&nbsp;&#151;&nbsp;Basis of Presentation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The accompanying unaudited consolidated financial statements as of May&nbsp;4, 2008 and for the
thirteen weeks ended May&nbsp;4, 2008 (&#147;the first quarter of fiscal 2008&#148;) and May&nbsp;6, 2007 (&#147;the first
quarter of fiscal 2007&#148;) included herein have been prepared in accordance with accounting
principles generally accepted in the United States of America (&#147;GAAP&#148;) for interim financial
information and with instructions to Form 10-Q and Article&nbsp;10 of Regulation&nbsp;S-X. Accordingly, the
financial statements do not include all information and footnotes required by GAAP for audited
financial statements. In the opinion of management, the consolidated financial statements reflect
all adjustments, which are of a normal recurring nature, necessary for a fair statement of the
Company&#146;s financial position and the results of its operations. The results of operations for the
thirteen weeks ended May&nbsp;4, 2008 are not necessarily indicative of the operating results for the
full year. The accompanying consolidated financial statements should be read in conjunction with
the consolidated financial statements and related notes thereto for the fiscal year ended February
3, 2008 (&#147;fiscal 2007&#148;) as included in the Company&#146;s Annual Report on Form 10-K filed with the
Securities and Exchange Commission (the &#147;SEC&#148;) on April&nbsp;18, 2008, as amended by the filing of Form
10-K/A on June&nbsp;2, 2008 (the &#147;2007 10-K&#148;).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">&nbsp;&nbsp;<B><I>Use of Estimates</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The preparation of financial statements in conformity with GAAP requires management to make
estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure
of contingent assets and liabilities at the date of the financial
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->9<!-- /Folio -->
</DIV>



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<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS &#151; (Continued)</B>

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">statements and the reported
amounts of revenues and expenses during the reporting period. Actual results could differ from
these estimates.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For the description of the Company&#146;s significant accounting policies, see Note 2 &#151; Summary of
Significant Accounting Policies to the consolidated financial statements included in Item&nbsp;8 of the
Company&#146;s 2007 10-K.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt">&nbsp;&nbsp;<B><I>Reclassifications</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Certain
amounts have been reclassified to be consistent with the presentation
for all periods, with no effect on net income or stockholders&#146;
equity.


</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Note&nbsp;3&nbsp;&#151; Recent Accounting Pronouncements</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In September&nbsp;2006, the FASB issued SFAS&nbsp;No.&nbsp;157, <I>Fair Value Measurements</I>, which clarifies the
definition of fair value, establishes a framework for measuring fair value within GAAP and expands
the disclosures regarding fair value measurements. In February&nbsp;2008, the FASB issued a staff
position that delays the effective date of SFAS&nbsp;No.&nbsp;157 for nonfinancial assets and liabilities
except for those recognized or disclosed at least annually. Except for the delay for nonfinancial
assets and liabilities, SFAS&nbsp;No.&nbsp;157 is effective for fiscal years beginning after November&nbsp;15,
2007 and interim periods within such years. The implementation of SFAS No.&nbsp;157 for financial assets
and financial liabilities, effective January&nbsp;1, 2008, did not have a material impact on the
Company&#146;s consolidated financial position, results of operations or cash flows.&nbsp; The Company is
currently assessing the impact of SFAS No.&nbsp;157
for nonfinancial assets and liabilities on its consolidated financial position, results of
operations and cash flows.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In February&nbsp;2007, the FASB issued SFAS&nbsp;No.&nbsp;159, <I>The Fair Value Option for Financial Assets and
Financial Liabilities</I>, which permits entities to choose to measure many financial instruments and
certain other items at fair value. SFAS&nbsp;No.&nbsp;159 is effective for fiscal years beginning after
November&nbsp;15, 2007. The Company elected not to measure any financial instruments or other items at
fair value as of February&nbsp;4, 2008 in accordance with SFAS No.&nbsp;159.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In December&nbsp;2007, the FASB issued SFAS&nbsp;No.&nbsp;141R, <I>Business Combinations</I>, which establishes how
an acquiring company recognizes and measures acquired assets, liabilities, goodwill and minority
interests. It also defines how an acquirer should account for a gain from a bargain purchase and
determines what information to disclose to enable users of the financial statements to evaluate the
nature and financial effects of the business combination. SFAS&nbsp;No.&nbsp;141R applies prospectively to
business combinations for which the acquisition date is on or after the beginning of the first
annual reporting period beginning on or after December&nbsp;15, 2008. Early adoption is not permitted.
The Company will be required to apply the provisions of SFAS&nbsp;No.&nbsp;141R to any future business
combinations consummated after its effective date.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In December&nbsp;2007, the FASB issued SFAS&nbsp;No.&nbsp;160, <I>Noncontrolling Interests in Consolidated
Financial Statements&nbsp;&#151; an amendment of ARB No.&nbsp;51</I>, which provides guidance and establishes amended
accounting and reporting standards for a parent company&#146;s noncontrolling interest in a subsidiary.
SFAS&nbsp;No.&nbsp;160 is effective for fiscal years beginning on or after December&nbsp;15, 2008. The Company
does not expect the adoption of SFAS&nbsp;No.&nbsp;160 to have a material impact on its financial condition,
results of operations or cash flows.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In December&nbsp;2007, the SEC staff issued Staff Accounting Bulletin (&#147;SAB&#148;) 110, <I>Share-Based
Payment</I>, which amends SAB&nbsp;107, <I>Share-Based Payment</I>, to permit public companies, under certain
circumstances, to use the simplified method of determining the expected term of stock options
contained in SAB&nbsp;107 for employee option grants after December&nbsp;31, 2007. Use of the simplified
method after December&nbsp;2007 is permitted only for companies whose historical data about their
employees&#146; exercise behavior does not provide a reasonable basis for estimating the expected term
of the options. Based on the significant restrictions on employee trading during the period
commencing prior to the completion and filing of the Company&#146;s restated financial statements until
the Company became current in its financial reporting
<font style="white-space: nowrap">(see Note&nbsp;12 &#151; Legal
Matters), </font> the Company
has not experienced regular employee exercise behavior since the implementation of Statement of
Financial Accounting Standards No.&nbsp;123R, <I>Share-Based Payment</I>, (&#147;SFAS No.&nbsp;123R&#148;) on January&nbsp;20,
2006, and thus has been using the simplified method as allowed under SAB&nbsp;110.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Note 4&nbsp;&#151;&nbsp;Inventories</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Inventories are valued at the lower of cost or market, cost being determined utilizing the
First-In, First-Out (&#147;FIFO&#148;) method. At each balance sheet date, the Company adjusts its inventory
carrying balances by an allowance for inventory shrinkage that has occurred since the most recent
physical inventory and an allowance for inventory obsolescence, each of which is discussed in
greater detail below.
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Company reduces the FIFO carrying value of its inventory for estimated loss due to
shrinkage since the most recent physical inventory. Shrinkage expense for the thirteen weeks
ended May&nbsp;4, 2008, and May&nbsp;6, 2007 was approximately $7.0&nbsp;million and $7.5&nbsp;million,
respectively. While the shrinkage accrual is based on recent experience, there is a risk
that actual losses may be higher or lower than expected.</TD>
</TR>

</TABLE>
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->10<!-- /Folio -->
</DIV>

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<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS &#151; (Continued)</B>

</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>In certain instances, the Company retains the right to return obsolete and excess
merchandise inventory to its vendors. In situations where the Company does not have a right
to return, the Company records an allowance representing an estimated loss for the
difference between the cost of any obsolete or excess inventory and the estimated retail
selling price. Inventory levels and margins earned on all products are monitored monthly. On
a quarterly basis, the Company assesses whether it expects to sell any significant amount of
inventory below cost and, if so, estimates and records an allowance.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At each balance sheet reporting date, the Company also adjusts its inventory carrying balances
by the capitalization of certain operating and administrative overhead costs associated with the
purchasing and handling of inventory and estimates of vendor allowances that remain in ending
inventory. The components of ending inventory are as follows (in thousands):
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>May 4,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>February 3,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">FIFO cost</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">592,296</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">540,094</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Overhead costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32,882</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">29,848</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Vendor allowances</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(60,270</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(60,067</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Shrinkage</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(14,016</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(13,030</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Obsolescence</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(1,890</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(2,194</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Inventories, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">549,002</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">494,651</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Note 5&nbsp;&#151;&nbsp;Property and Equipment</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Property and equipment are comprised of the following (in thousands):
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="7%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>May 4,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>February 3,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Estimated Useful life</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Land</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">$</TD>
    <TD align="right" valign="top">348</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">$</TD>
    <TD align="right" valign="top">348</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Buildings</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">18,941</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">18,221</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT style="white-space: nowrap">15 - 25 years</FONT></TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Leasehold improvements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">166,831</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">165,380</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT style="white-space: nowrap">Shorter of lease term or useful life</FONT></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Furniture, fixtures and equipment</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">177,646</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">182,172</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">3 - 10 years</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Property under capital leases</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">55,040</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">55,417</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top"><FONT style="white-space: nowrap">5 - 15 years or life of lease</FONT></TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Purchased software</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">12,955</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">12,725</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">5 years</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">431,761</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">434,263</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Less: accumulated depreciation and
amortization</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(272,494</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">(269,148</TD>
    <TD nowrap valign="top">)</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Property and equipment, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">$</TD>
    <TD align="right" valign="top">159,267</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">$</TD>
    <TD align="right" valign="top">165,115</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" valign="top" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" valign="top" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="center" valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation expense for property and equipment, including amortization of capital leases,
totaled $9.4&nbsp;million and $9.9&nbsp;million for the thirteen weeks ended May&nbsp;4, 2008 and May&nbsp;6, 2007,
respectively. Accumulated amortization of property under capital leases totaled $39.8&nbsp;million and
$38.6&nbsp;million at May&nbsp;4, 2008 and February&nbsp;3, 2008, respectively.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company evaluates the carrying value of long-lived assets on an annual basis to determine
whether events or changes in circumstances indicate that the carrying amount of an asset may not be
recoverable and an impairment loss should be recognized. Such evaluation is based on the expected
utilization of the related asset and the corresponding useful life.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Note&nbsp;6&nbsp;&#151; Store Closing Costs</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On an on-going basis, store locations are reviewed and analyzed based on several factors
including market saturation, store profitability, and store size and format. In addition, the
Company analyzes sales trends, geographical factors and competitive factors to determine the
viability and future profitability of its store locations. If a store location does not meet the
Company&#146;s required performance criteria, it is considered for closure. As a result of past
acquisitions, the Company has closed numerous stores due to overlap with previously existing store
locations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company accounts for the costs of closed stores in accordance with SFAS&nbsp;No.&nbsp;146,
<I>Accounting for Costs Associated with Exit or Disposal Activities</I>. Under SFAS&nbsp;No.&nbsp;146, the fair
value of future costs of operating lease commitments for closed stores are recorded as a liability
at the date the Company ceases operating the store. Fair value of the liability is the present
value of future cash
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->11<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS &#151; (Continued)</B>

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">flows discounted by a credit-adjusted risk free rate. Accretion expense
represents interest on the Company&#146;s recorded closed store liabilities and is calculated by using
the same credit-adjusted risk free rate used to discount the cash flows. In addition, SFAS&nbsp;No.&nbsp;146
also requires that the amount of remaining lease payments owed be reduced by estimated sublease
income (but not to an amount less than zero). Sublease income in excess of costs associated with
the lease is recognized as it is earned and included as a reduction to operating and administrative
expenses in the accompanying financial statements.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The allowance for store closing costs is included in accrued expenses and other long-term
liabilities in the accompanying financial statements and represents the discounted value of the
following future net cash outflows related to closed stores: (1)&nbsp;future rents and other contractual
expenses to be paid over the remaining terms of the lease agreements for the stores (net of
estimated sublease income); and (2)&nbsp;lease commissions associated with obtaining store subleases.
Certain operating expenses related to closed stores, such as utilities and repairs, are expensed as
incurred. In addition, the Company expenses as incurred and reports as store closing costs
operating expenses it incurs when closing a store. These expenses include temporary labor and
transportation costs for inventory, fixtures and other assets owned in the store being closed. The
Company does not incur employee termination costs when stores are closed.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following tabular presentation provides detailed information regarding the Company&#146;s
SFAS&nbsp;No.&nbsp;146 store closing costs (in thousands):
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Thirteen Weeks Ended</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>May 4,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>May 6,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SFAS No.&nbsp;146 liability balance, beginning of year</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">3,027</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,911</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">SFAS No.&nbsp;146 provision for contractual obligations, net of
estimated sublease income for stores closed during the period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">270</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">831</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Revisions in SFAS No.&nbsp;146 estimates</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">452</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(386</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Accretion</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">32</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">58</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SFAS No.&nbsp;146 store closing costs expensed in the period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">754</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">503</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Payments:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Contractual obligations, net of sublease recoveries</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(783</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(580</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Sublease commissions and buyouts</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(43</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total payments</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(783</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(623</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SFAS No.&nbsp;146 liability balance, end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,998</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">4,791</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt">Store closing costs incurred during the periods are comprised of (in thousands):
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Thirteen Weeks Ended</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>May 4,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>May 6,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">SFAS No.&nbsp;146 store closing costs expensed in the period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">754</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">503</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Period costs related to closed stores</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">31</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">203</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total store closing costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">785</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">706</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During the first quarter of fiscal 2008 and fiscal 2007, the Company incurred $0.0&nbsp;million and
$0.2&nbsp;million, respectively, of other operating expenses such as store closing expenses and
utilities, repairs and maintenance costs related to closed stores that are expensed as incurred.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At May&nbsp;4, 2008, the Company&#146;s $3.0&nbsp;million liability for store closing costs consisted of (in
thousands):
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="88%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Future contractual commitments for rent and occupancy expenses</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">17,685</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Estimated sublease income, net of sublease commissions</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(14,143</TD>
    <TD nowrap>)</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Accretion expense to be recognized in future periods</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="left">&nbsp;</TD>
    <TD align="right">(544</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Total liability for store closing costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">2,998</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stores are included in the liability for store closing costs when a store is closed with a
remaining contractual obligation under a lease agreement. Stores that are closed at the end of a
contractual lease period are not included in the Company&#146;s liability for store
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->12<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS &#151; (Continued)</B>

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">closing costs. It is
the Company&#146;s practice to sublease or attempt to sublease any vacant locations for which it
maintains a contractual lease obligation. Locations are removed from the liability for store
closing costs when the contractual lease agreement has expired or is terminated through early
buyout.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Location activity for stores and service centers included in the liability for store closing
costs is as follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>Thirteen Weeks Ended</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>May 4,</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>May 6,</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Number of closed locations, beginning of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="1" align="right">148</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="1" align="right">175</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD colspan="1" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="1" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
   <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Locations added during the period</DIV></TD>
    <TD>&nbsp;</TD>

    <TD colspan="2" align="right">4</TD>
    <TD>&nbsp;</TD>

    <TD>&nbsp;</TD>
    <TD colspan="2" align="right">5</TD>

</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Locations removed during the period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(9</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(3</TD>
    <TD nowrap>)</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>

     <TD>&nbsp;</TD>
<TD colspan="1" align="right" style="border-top: 1px solid #000000">&nbsp;</td>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD colspan="1" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Net locations added (removed)&nbsp;during the period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(5</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD colspan="1" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD colspan="1" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Number of closed locations, end of period</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">143</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">177</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD colspan="1" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD colspan="1" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As of May&nbsp;4, 2008, 143 locations (93 store locations and 50 service centers) were included in
the liability for store closing costs. Of the store locations, 17 locations were vacant and 76
locations were subleased. Of the service centers, 3 were vacant and 47 were subleased.
Approximately 56 locations included in the liability as of May&nbsp;4, 2008 have contractual lease terms
that expire in fiscal 2008.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Note 7&nbsp;&#151;&nbsp;Long-Term Debt</B>
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Overview</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Outstanding debt, excluding capital leases, is as follows (in thousands):
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>May 4,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>February 3,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Term loan facility</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">344,783</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">345,647</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Senior credit facility</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">46,500</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>% senior exchangeable notes <SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">95,050</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">94,635</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Seller financing arrangements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,741</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">16,189</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total debt</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">509,574</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">502,971</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Less
current portion: </DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:45px; text-indent:-15px">Term loan facility</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">344,783</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,444</TD>
    <TD>&nbsp;</TD>
</TR>

<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:47px; text-indent:-15px">Senior credit facility</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">53,000</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">46,500</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:47px; text-indent:-15px">6
<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">
4</FONT>% senior exchangeable notes <SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">95,050</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:47px; text-indent:-15px">Current maturities of seller financing arrangements</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">610</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">607</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Total debt (non-current)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">16,131</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">452,420</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
        <TD nowrap colspan="2" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left"><sup>(1)</sup></TD>
    <TD>&nbsp;</TD>
    <TD>Carrying balance reduced by discount of $4.9&nbsp;million and $5.4&nbsp;million at May&nbsp;4, 2008 and February&nbsp;3, 2008, respectively, in accordance with EITF No.&nbsp;06-6.</TD>
</TR>

</TABLE>




<P align="center" style="font-size: 10pt"><!-- Folio -->13<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Term Loan Facility</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the second quarter of the fiscal year ended February&nbsp;4, 2007 (&#147;fiscal 2006&#148;), Auto entered
into its $350.0&nbsp;million Term Loan Facility. The loans under the Term Loan Facility (&#147;Term Loans&#148;)
bear interest at a base rate or the LIBOR rate, plus a margin that fluctuates depending upon the
rating of the Term Loans. At May&nbsp;4, 2008, loans under the Term Loan Facility bore interest at
9.75%. The Term Loans are guaranteed by the Company and CSKAUTO.COM, Inc., a wholly owned
subsidiary of Auto. The Term Loans are secured by a second lien security interest in certain
assets, primarily inventory and receivables, of Auto and the guarantors and by a first lien
security interest in substantially all of their other assets. The Term Loans call for repayment in
consecutive quarterly installments, which began on December&nbsp;31, 2006, in an amount equal to 0.25%
of the aggregate principal amount of the Term Loans, with the remaining balance payable in full on
the sixth anniversary of the closing date, June&nbsp;30, 2012. Costs associated with the Term
Loan&nbsp;Facility were approximately $10.7&nbsp;million and are being amortized over the six-year term of
the facility.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On October&nbsp;10, 2007, the Company entered into the third amendment to the Term Loan Facility.
An amendment fee of approximately $0.9&nbsp;million was paid in connection with this amendment and was
being amortized over the remaining term of the Term Loan Facility through May&nbsp;4, 2008. Commencing
in the second quarter of fiscal 2008, the Company will be required to reduce (to twelve months)
the
time period over which it amortizes debt issuance costs and debt discount. The amendment increased
the spreads used to calculate the rate at which funds borrowed under the Term Loan Facility accrue
interest by either 0.25% or 0.50% and changed the basis for determining the spread amount from the
rating of the Term Loans to the Company&#146;s corporate rating. Based on the Company&#146;s corporate rating
at the time of the amendment, the interest rate on funds borrowed under the Term Loan Facility
increased by 0.50% as a result of the amendment. The amendment also altered certain covenant
provisions, which were subsequently amended by a fourth amendment to the Term Loan Facility.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On December&nbsp;18, 2007, the Company entered into a fourth amendment to the Term Loan Facility.
An amendment fee of approximately $3.5&nbsp;million was paid in connection with this amendment and the
cost was being amortized over the remaining term of the Term Loan Facility through May&nbsp;4, 2008.
Commencing in the second quarter of fiscal 2008, the Company will be required to reduce (to twelve
months) the time period over which it amortizes debt issuance costs and debt discount. The
amendment increased the spreads used to calculate the rate at which funds borrowed under the Term
Loan Facility accrue interest to 5.00%, 6.00% or 7.00% in the case of loans bearing interest based
on the LIBOR rate, and 4.00%, 5.00% or 6.00%, in the case of loans bearing interest at a base rate,
in each case depending on the Company&#146;s then-current corporate ratings. At December&nbsp;18, 2007, the
applicable interest rate under the Term Loan Facility became LIBOR plus 5.00%, an increase of
1.25%, as a result of the amendment. The amendment also modified the minimum fixed charge coverage
ratio and the maximum leverage ratio requirements contained in the Term Loan Facility for the
fourth quarter of fiscal 2007 and each of the quarters of fiscal 2008.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->14<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>

</DIV>

<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS &#151; (Continued)</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to the covenant and interest rate changes, the fourth amendment added a prepayment
penalty with respect to optional prepayments and mandatory prepayments required in connection with
debt and equity issuances, asset sales and recovery events, equal to 1% of any loans under the Term
Loan Facility that are prepaid prior to the second anniversary of the fourth amendment. The
amendment also added the option, the availability of which depends on the Company&#146;s then-current
corporate ratings, to pay in kind 50&nbsp;basis points per annum or 100&nbsp;basis points per annum,
depending on the Company&#146;s then-current corporate ratings, of any interest accruing on and after
January&nbsp;8, 2008 by adding such amount to the principal of the loans under the Term Loan Facility as
of the interest payment date on which such interest payment is due. The amendment also added a
limitation on annual capital expenditures by the Company of $25&nbsp;million for each of fiscal 2008 and
fiscal 2009 (which is approximately $10&nbsp;million less than the average amount the Company has spent
annually on capital expenditures over the last three fiscal years), provided that any portion of
such amount not expended in fiscal 2008&nbsp;may be carried over for expenditure during the first two
quarters of fiscal 2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Term Loan Facility contains, among other things, limitations on liens, indebtedness,
mergers, disposition of assets, investments, payments in respect of capital stock, modifications of
material indebtedness, changes in fiscal year-ends, transactions with affiliates, lines of
business, and swap agreements. Auto is also subject to financial covenants under the Term Loan
Facility measuring its performance against standards set for leverage and fixed charge coverage.
Under the maximum leverage covenant (total debt to EBITDA) contained in the Term Loan Facility, as
amended on December&nbsp;18, 2007 to increase the maximum leverage ratios permitted under the Term Loan
Facility, at May&nbsp;4, 2008, the Company would have only been permitted to have $117.2&nbsp;million of
additional debt outstanding, regardless of which facility such debt was borrowed under.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Senior Credit Facility&nbsp;&#151; Revolving Line of Credit</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At May&nbsp;4, 2008 and February&nbsp;3, 2008, Auto had in place its $325.0&nbsp;million Senior Credit
Facility. Auto is the borrower under the agreement, while the Company and CSKAUTO.COM, Inc. are
guarantors. Borrowings under the Senior Credit Facility bear interest at a variable interest rate
based on either (i)&nbsp;LIBOR plus an applicable margin that varies (1.25% to 1.75%) depending upon
Auto&#146;s average daily availability under the agreement measured using certain borrowing base tests,
or (ii)&nbsp;the Alternate Base Rate (as defined in the agreement). At May&nbsp;4, 2008, loans under the
Senior Credit Facility bore interest at the weighted average rate of 4.28%. The Senior Credit
Facility matures in July&nbsp;2010.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During fiscal 2006 and fiscal 2007, the Company entered into several waivers under the Senior
Credit Facility that allowed it to delay filing certain periodic reports with the SEC. Upon the
filing of the Quarterly Report for the second quarter of fiscal 2007 on October&nbsp;12, 2007, the
Company had filed all previously delinquent periodic SEC filings, and the waiver of the filing
deadlines described above was terminated.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Availability under the Senior Credit Facility is limited to the lesser of the revolving
commitment of $325.0&nbsp;million and an amount determined by a borrowing base limitation. The borrowing
base limitation is based upon a formula involving certain percentages of eligible inventory and
accounts receivable owned by Auto. As a result of the limitations imposed by the borrowing base
formula, at May&nbsp;4, 2008, Auto could borrow up to an additional $185.9&nbsp;million under the Senior
Credit Facility. However, the maximum leverage covenant of the Term Loan Facility described above
limits the total amount of indebtedness the Company can have outstanding and, as of May&nbsp;4, 2008,
would have only permitted approximately $117.2&nbsp;million of additional borrowings, regardless of
which facility they were borrowed under.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Loans under the Senior Credit Facility are collateralized by a first priority security
interest in certain of the Company&#146;s assets, primarily inventory and accounts receivable, and a
second priority security interest in certain of the Company&#146;s other assets. The Senior Credit
Facility contains negative covenants and restrictions on actions by Auto and its subsidiaries
including, without limitation, restrictions and limitations on indebtedness, liens, guarantees,
mergers, asset dispositions, investments, loans, advances and acquisitions, payment of dividends,
transactions with affiliates, change in business conducted, and certain prepayments and amendments
of indebtedness. In addition, Auto is, under certain circumstances not applicable during the
thirteen weeks ended May&nbsp;4, 2008, subject to a minimum ratio of consolidated earnings before
interest, taxes, depreciation, amortization and rent expense, or EBITDAR, to fixed charges (as
defined in the agreement, the &#147;Fixed Charge Coverage Ratio&#148;). However, under the second waiver the
Company entered into during fiscal 2006 and under all subsequent waivers, Auto was required to
maintain a minimum 1:1 Fixed Charge Coverage Ratio imposed by such waivers until the termination of
such waivers. The filing of the Quarterly Report for the second quarter of fiscal 2007 resulted in
the termination of the requirement to maintain the minimum 1:1 Fixed Charge Coverage Ratio imposed
by these waivers.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>% Notes</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company had $100.0&nbsp;million of 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes outstanding at May&nbsp;4, 2008 and February&nbsp;3, 2008.
The 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes are exchangeable into cash and shares of the Company&#146;s common stock. Upon exchange of
the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes, the Company will deliver
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->15<!-- /Folio -->
</DIV>




<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>
<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS &#151; (Continued)</B>

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">cash equal to the lesser of the aggregate principal amount of notes to be exchanged and the
Company&#146;s total exchange obligation and, in the event the Company&#146;s total exchange obligation
exceeds the aggregate principal amount of notes to be exchanged, shares of the Company&#146;s common
stock in respect of that excess. The following table sets forth key terms of the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes:
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="49%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="50%">&nbsp;</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom">
    <TD colspan="3" nowrap align="center" style="border-bottom: 1px solid #000000">&nbsp;</TD>
</TR>

<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000"><B>Terms</B></TD>
    <TD style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000; border-right: 1px solid #000000"><B>6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #ffffff; padding-top: 5px; padding-right: 2px; padding-left: 3px">
    <TD style="border-left: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Interest Rate</DIV></TD>
    <TD style="border-left: 1px solid #000000">&nbsp;</TD>
    <TD align="left" valign="top" style="border-right: 1px solid #000000">6.75%&nbsp;per year until December&nbsp;15, 2010; 6.50% thereafter</TD>
</TR>

<TR style="font-size: 1pt" valign="bottom">
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000;border-right: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="padding-top: 5px; padding-right: 2px; padding-left: 3px">
    <TD style="border-left: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Exchange Rate</DIV></TD>
    <TD style="border-left: 1px solid #000000">&nbsp;</TD>
    <TD align="left" valign="top" style="border-right: 1px solid #000000">60.6061&nbsp;shares per $1,000 principal (equivalent
to an initial exchange price of approximately $16.50&nbsp;per share)</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom">
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000;border-right: 1px solid #000000">&nbsp;</TD>
</TR>

<TR valign="top" style="background: #ffffff; padding-top: 5px; padding-right: 2px; padding-left: 3px">
    <TD style="border-left: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Maximum CSK shares exchangeable</DIV></TD>
    <TD style="border-left: 1px solid #000000">&nbsp;</TD>
    <TD align="left" valign="top" style="border-right: 1px solid #000000">6,060,610 common shares, subject to adjustment in certain circumstances</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom">
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000;border-right: 1px solid #000000">&nbsp;</TD>
</TR>

<TR valign="top" style="padding-top: 5px; padding-right: 2px; padding-left: 3px">
    <TD style="border-left: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Maturity date</DIV></TD>
    <TD style="border-left: 1px solid #000000">&nbsp;</TD>
    <TD align="left" valign="top" style="border-right: 1px solid #000000">December&nbsp;15, 2025</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom">
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000;border-right: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="background: #ffffff; padding-top: 5px; padding-right: 2px; padding-left: 3px">
    <TD style="border-left: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Guaranteed by</DIV></TD>
    <TD style="border-left: 1px solid #000000">&nbsp;</TD>
    <TD align="left" valign="top" style="border-right: 1px solid #000000">CSK Auto Corporation and all of Auto&#146;s present and future domestic subsidiaries, jointly and severally, on a senior basis</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom">
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000;border-right: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="padding-top: 5px; padding-right: 2px; padding-left: 3px">
    <TD style="border-left: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Dates that the noteholders may require Auto to repurchase some or all for cash at a repurchase price equal to 100% of the principal amount of the notes being repurchased, plus any accrued and unpaid interest</DIV></TD>
    <TD style="border-left: 1px solid #000000">&nbsp;</TD>
    <TD align="left" valign="top" style="border-right: 1px solid #000000">December&nbsp;15, 2010, December&nbsp;15, 2015, and December&nbsp;15, 2020 or following a fundamental change as described in the indenture</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom">
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000;border-right: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #ffffff; padding-top: 5px; padding-right: 2px; padding-left: 3px">
    <TD style="border-left: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Issuance costs being amortized over a 5-year period, corresponding to the first date the noteholders could require repayment (see &#147;Debt Covenants&#148; below)</DIV></TD>
    <TD style="border-left: 1px solid #000000">&nbsp;</TD>
    <TD align="left" valign="top" style="border-right: 1px solid #000000">$3.7&nbsp;million</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom">
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000;border-right: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="padding-top: 5px; padding-right: 2px; padding-left: 3px">
    <TD style="border-left: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Auto will not be able to redeem notes</DIV></TD>
    <TD style="border-left: 1px solid #000000">&nbsp;</TD>
    <TD align="left" valign="top" style="border-right: 1px solid #000000">Prior to December&nbsp;15, 2010</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom">
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000;border-right: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #ffffff; padding-top: 5px; padding-right: 2px; padding-left: 3px">
    <TD style="border-left: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Auto may redeem for cash some or all of the notes</DIV></TD>
    <TD style="border-left: 1px solid #000000">&nbsp;</TD>
    <TD align="left" valign="top" style="border-right: 1px solid #000000">On or after December&nbsp;15, 2010, upon at least 35&nbsp;calendar days notice</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom">
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000;border-right: 1px solid #000000">&nbsp;</TD>
</TR>
<TR valign="top" style="padding-top: 5px; padding-right: 2px; padding-left: 3px">
    <TD style="border-left: 1px solid #000000"><DIV style="margin-left:15px; text-indent:-15px">Redemption price</DIV></TD>
    <TD style="border-left: 1px solid #000000">&nbsp;</TD>
    <TD align="left" valign="top" style="border-right: 1px solid #000000">Equal to 100% of the principal amount plus any accrued and unpaid interest and additional interest, if any, to, but not including, the redemption date</TD>
</TR>
<TR style="font-size: 1pt" valign="bottom">
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000; border-left: 1px solid #000000">&nbsp;</TD>
    <TD colspan="1" nowrap align="center" style="border-bottom: 1px solid #000000;border-right: 1px solid #000000">&nbsp;</TD>
</TR>

<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Prior to their stated maturity, the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes are exchangeable by the holder only under the
following circumstances:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>During any fiscal quarter (and only during that fiscal quarter) commencing after
January&nbsp;29, 2006, if the last reported sale price of the Company&#146;s common stock is greater
than or equal to 130% of the exchange price for at least 20 trading days in the period of 30
consecutive trading days ending on the last trading day of the preceding fiscal quarter;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>If the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes have been called for redemption by Auto;&nbsp;or</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Upon the occurrence of specified corporate transactions, such as a change in control, as
described in the indenture under which the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes were issued.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under these terms, if the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes had become exchangeable, the corresponding debt would have
been required to be reclassified from long-term to current for as long as the notes remained
exchangeable. These notes have been reclassified to current as a result of the Company&#146;s belief
that it is probable that the maximum leverage ratio covenant of the Term Loan Facility will not be satisfied
in the first quarter of fiscal 2009.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;EITF No.&nbsp;00-19, <I>Accounting for Derivative Financial Instruments Indexed to, and Potentially
Settled in, a Company&#146;s Own Stock</I>, provides guidance for distinguishing between permanent equity,
temporary equity, and assets and liabilities. The embedded exchange feature in the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes
provides for the issuance of common shares to the extent the Company&#146;s exchange obligation exceeds
the debt principal. The share exchange feature and the embedded put options and call options in the
debt instrument meet the requirements of EITF No.&nbsp;00-19 to be accounted for as equity instruments.
As such, the share exchange feature and the embedded options have not been accounted for as
derivatives (which would be marked to market each reporting period). In the event the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes are
exchanged, the exchange will be accounted for in a similar manner to a conversion with no gain or
loss, as the cash payment of principal reduces the liability equal to the face amount of the
6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes recorded at the time of their issuance. Any accrued interest on the debt will not be paid
separately upon an exchange and will be reclassified to equity. Incremental net shares for the
6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes exchange feature were not included in the diluted earnings per share calculation for the
thirteen weeks ended May&nbsp;4, 2008, since the Company&#146;s average common stock price did not exceed
$16.50 per share for this period.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->16<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS &#151; (Continued)</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company entered into a registration rights agreement with respect to the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes and the
underlying shares of its common stock into which the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes are potentially exchangeable. Due to
the Company&#146;s failure in certain prior periods to meet certain filing and effectiveness deadlines
with respect to the registration of the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes and the underlying shares of its common stock,
the Company was required to pay additional interest of 50&nbsp;basis points on the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes until the
earlier of the date the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes were no longer outstanding or the date two years after the date
of their issuance. The latter condition was met during the fourth quarter of fiscal 2007 and,
accordingly, the Company is no longer paying additional interest of 50&nbsp;basis points on the
6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company entered into a supplemental indenture during fiscal 2006 that increased the
exchange rate of the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>% Notes to the current terms. The Company recorded the increase in the fair
value of the exchange option as a debt discount with a corresponding increase in additional
paid-in-capital within stockholders&#146; equity. The debt discount was $7.7&nbsp;million and is being
amortized to interest expense following the interest method to the first date the noteholders could
require repayment. Total amortization on the debt discount was $0.4&nbsp;million for each of the
thirteen week-periods ended May&nbsp;4, 2008 and May&nbsp;6, 2007.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Seller Financing Arrangements</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Seller financing arrangements relate to debt established for stores where the Company was the
seller-lessee and did not recover substantially all construction costs from the lessor. In those
situations, the Company recorded its total cost in property and equipment and amounts funded by the
lessor as a debt obligation in the accompanying consolidated balance sheet in accordance with EITF
No.&nbsp;97-10, <I>The Effect of Lessee Involvement in Asset Construction</I>. Rental payments under these
arrangements are allocated between interest expense and reduction of the underlying obligation
based on a related amortization schedule.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Debt Covenants</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Certain of the Company&#146;s debt agreements at May&nbsp;4, 2008 contained negative covenants and
restrictions on actions by the Company and its subsidiaries including, without limitation,
restrictions and limitations on indebtedness, liens, guarantees, mergers, asset dispositions,
investments, loans, advances and acquisitions, payment of dividends, transactions with affiliates,
change in business conducted, and certain prepayments and amendments of indebtedness.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Auto is, under certain circumstances not applicable during the thirteen weeks ended May&nbsp;4,
2008, subject to a minimum Fixed Charge Coverage Ratio under a Senior Credit Facility financial
maintenance covenant. However, under the second waiver the Company entered into during the second
quarter of fiscal 2006 and under all subsequent waivers, a minimum 1:1 Fixed Charge Coverage Ratio
was required until the termination of such waivers. The filing of the Quarterly Report for the
second quarter of fiscal 2007 resulted in the termination of the requirement to maintain the
minimum 1:1 Fixed Charge Coverage Ratio imposed by these waivers. For the thirteen weeks ended
May&nbsp;4, 2008, the Company would have been in compliance with this ratio had it been applicable.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Term Loan Facility contains certain financial covenants, one of which is the requirement
of a minimum fixed charge coverage ratio (as defined in the Term Loan Facility). At May&nbsp;4, 2008,
the minimum fixed charge coverage ratio requirement was 1.20:1 for the first quarter of fiscal
2008, 1.15:1 for the second quarter of fiscal 2008, 1.20:1 for the third and fourth quarters of
fiscal 2008, and 1.45:1 thereafter. For the thirteen weeks ended May&nbsp;4, 2008, the Company&#146;s actual
ratio was 1.31:1. The minimum ratios for fiscal 2008 reflect the December&nbsp;18, 2007 fourth amendment
to the Term Loan Facility.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Term
Loan Facility also requires compliance with a maximum leverage ratio
covenant. The
December&nbsp;18, 2007 fourth amendment to the Term Loan Facility increased the maximum leverage ratio
permitted under the Term Loan Facility for the fourth quarter of fiscal 2007 and for each of the
quarters of fiscal 2008. The amendment increased the maximum leverage ratio permitted as of May&nbsp;4,
2008 to 5.80:1 for the first quarter of fiscal 2008, 6.00:1 for the second quarter of fiscal 2008,
5.75:1 for the third quarter of fiscal 2008, and 4.50:1 for the fourth quarter of fiscal 2008,
while leaving all other ratios unchanged. The maximum leverage ratio permitted declines to 3.25:1
after the end of fiscal 2008 and further decline to 3.00:1 at the end of fiscal&nbsp;2009. As of May&nbsp;4,
2008, the Company&#146;s actual leverage ratio was 4.74:1.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Based on its current financial forecast, the Company believes it will remain in compliance
with the financial covenants of the Senior Credit Facility and Term Loan Facility during fiscal
2008. A significant decline in the Company&#146;s net sales or gross margin from what is currently
anticipated could limit the effectiveness of discretionary actions management could take to
maintain compliance with the financial covenants in fiscal 2008. Although the Company does not
expect such significant declines to occur, if they did occur, the Company may seek to obtain a
covenant waiver or amendment from its lenders or seek a refinancing, which the Company believes are
viable options should the Acquisition not occur. However, there can be no assurances a waiver or
amendment could be obtained or a refinancing achieved.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->17<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES
TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS &#151; (Continued)</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The maximum leverage ratio permitted in the first quarter of fiscal 2009 decreases
significantly to 3.25:1 from 5.75:1 in the third quarter of fiscal 2008 and 4.50:1 in the fourth
quarter of fiscal 2007. Based on its current financial forecast, the Company does not expect to be
able to satisfy this covenant for the first quarter of fiscal 2009, and, as a result, the Company
has classified all of the indebtedness under the Term Loan Facility, the Senior Credit Facility and
the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>% Notes as current liabilities in the consolidated balance sheet as of May&nbsp;4, 2008.
Furthermore, beginning with the second quarter of fiscal 2008, the Company will be required to
reduce (to twelve months) the time period over which it amortizes debt issuance costs and the debt
discount, increasing the interest costs the Company reports in its financial statements. See Note
1&nbsp;&#151;&nbsp;Merger Agreement and Matters Related to the Company&#146;s Indebtedness.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A breach of the covenants or restrictions contained in the Company&#146;s debt agreements could
result in an event of default thereunder. Upon the occurrence and during the continuance of an
event of default under the Company&#146;s Senior Credit Facility or the Term Loan Facility, the lenders
could elect to terminate the commitments thereunder (in the case of the Senior Credit Facility
only), declare all amounts outstanding thereunder, together with accrued interest, to be
immediately due and payable and exercise the remedies of a secured party against the collateral
granted to them to secure such indebtedness. If the Company were unable to repay those amounts, the
lenders could proceed against the collateral granted to them to secure the indebtedness. If the
lenders under either the Senior Credit Facility or the Term Loan Facility accelerate the payment of
the indebtedness due thereunder, the Company cannot be assured that its assets would be sufficient
to repay in full that indebtedness, which is collateralized by substantially all of its assets. At
May&nbsp;4, 2008, the Company was in compliance with the covenants under all its debt agreements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Note 8&nbsp;&#151;&nbsp;Accounting for Share-Based Compensation</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In accordance with SFAS No.&nbsp;123R, the Company recognizes compensation expense for its
share-based compensation plans based on the fair value of the awards. Share-based payments include
stock option grants, restricted stock, and a share-based compensation plan under the Company&#146;s
long-term incentive plan (the &#147;LTIP&#148;). Amounts are expensed over the applicable service periods
(generally the vesting period). In the event of a change in control of the Company (as such term is
described in the governing equity plan or agreement), certain equity instruments would vest
immediately.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Long-Term Incentive Plan</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under the terms of the LTIP, cash-based incentive bonus awards may be granted by the Board
based upon the satisfaction of specified performance criteria. Upon the original adoption of the
LTIP, the Company&#146;s Board approved and adopted forms of Incentive Bonus Unit Award Agreements used
to evidence the awards under the LTIP. Under the terms of the LTIP, participants (senior executive
officers only) were awarded a certain number of incentive units that are subject to a four-year
vesting period (25% per year, with the first vesting period ending in fiscal 2007)&nbsp;as well as stock
performance criteria. Subject to specific terms and conditions governing a change in control of the
Company, each incentive bonus unit, when vested, represents the participant&#146;s right to receive cash
payments from the Company on specified payment dates equal to the amounts, if any, by which the
average of the per share closing prices of the Company&#146;s common stock on the New York Stock
Exchange over a specified period of time (after release by the Company of its fiscal year earnings)
(the &#147;measuring period&#148;) exceeds $20 per share (which figure is subject to certain adjustments in
the event of a change in the Company&#146;s capitalization). For the thirteen weeks ended May&nbsp;4, 2008
and May&nbsp;6, 2007, the Company increased the liability for the LTIP units by $0.3&nbsp;million and $0.4
million, respectively, as a result of the increase in market price of the Company&#146;s stock price
when compared to the previous fiscal year-end.
As a liability based instrument, the LTIP awards will be remeasured at each balance sheet date,
such that the net compensation expense recorded over the full four-year vesting period of the LTIP
units will equal the cash payments, if any, made by the Company to the LTIP participants.
Accrued payroll and related expenses included $1.0 million and $0.8
million relating to the LTIP as of May 4, 2008 and February 3, 2008,
respectively.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>
Company Stock Plans</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The CSK Auto Corporation 2004 Stock and Incentive Plan (the &#147;Plan&#148;) provides for the grant of
incentive stock options, non-qualified stock options, stock appreciation rights, restricted stock,
stock units, incentive bonuses and other stock unit awards. Plan participation is limited to
employees of the Company, any subsidiary or parent of the Company and directors of the Company. In
no event will any option be exercisable more than 10&nbsp;years after the date the option is granted. In
general, the stock awards vest in three years. As of May&nbsp;4, 2008, there were approximately
2.0&nbsp;million shares remaining available for grant under the Plan.
In addition to the Plan, the Company has stock options outstanding
under its 1999 Employee Stock Option Plan, 1996 Executive Stock
Option Plan and 1996 Associate Stock Option Plan. In the first
quarter of fiscal 2008, these plans were amended to provide for a one
year exercise period upon termination of the optionee&#146;s
employment (other than for cause) within one year following a change
in control.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Options Activity</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Activity in the Company&#146;s stock option plans is summarized as follows:
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->18<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES
TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS &#151; (Continued)</B>

</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="52%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Weighted Average</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Remaining</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Aggregate</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Exercise</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Contractual</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Intrinsic</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Price</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Term (Years)</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Value</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(1)</B></SUP></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balance at February&nbsp;3, 2008</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,835,792</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">13.70</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Granted at market price</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">&#151;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Exercised</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(4,279</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">9.16</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Cancelled</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(103,136</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">13.73</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Balance at May&nbsp;4, 2008</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,728,377</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">13.71</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.41</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">2,085,700</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Ending
vested and expected to vest</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,391,056</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">13.81</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">4.23</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">1,772,400</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Ending exercisable</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">1,918,098</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">14.39</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">2.67</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">494,500</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>Based on the Company&#146;s closing stock price of $12.01 on May&nbsp;2, 2008.</TD>
</TR>

</TABLE>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table summarizes information about the Company&#146;s stock options at May&nbsp;4, 2008:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="28%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="11" style="border-bottom: 1px solid #000000"><B>Options Outstanding</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>Options Exercisable</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Aggregate</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Range of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Remaining</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Exercisable</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Intrinsic</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Exercise Prices</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Outstanding</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Contractual Life</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Exercise Price</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Exercisable</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Price</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Value</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">

<TD align="center"><DIV style="margin-left:15px; text-indent:-15px">$5.88 - $10.15&nbsp;&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">288,902</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4.00</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">$</TD>
    <TD align="right" valign="top">9.65</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">128,902</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">$</TD>
    <TD align="right" valign="top">9.19</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center"><DIV style="margin-left:15px; text-indent:-15px">$10.53 - $10.80</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1,053,245</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">6.45</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">$</TD>
    <TD align="right" valign="top">10.79</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4,850</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">$</TD>
    <TD align="right" valign="top">10.69</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD align="center"><DIV style="margin-left:15px; text-indent:-15px">$10.93 - $13.32</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">834,579</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">2.08</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">$</TD>
    <TD align="right" valign="top">12.96</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">834,579</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">$</TD>
    <TD align="right" valign="top">12.96</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center"><DIV style="margin-left:15px; text-indent:-15px">$13.46 - $16.62</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1,170,132</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4.04</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">$</TD>
    <TD align="right" valign="top">16.27</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">868,248</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">$</TD>
    <TD align="right" valign="top">16.16</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD align="center"><DIV style="margin-left:15px; text-indent:-15px">$16.62 - $19.83</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">381,519</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">5.35</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">$</TD>
    <TD align="right" valign="top">18.62</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">81,519</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">$</TD>
    <TD align="right" valign="top">18.51</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD align="center"><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center"><DIV style="margin-left:15px; text-indent:-15px">$5.88 - $19.83&nbsp;&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">3,728,377</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">4.41</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">$</TD>
    <TD align="right" valign="top">13.71</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">1,918,098</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">$</TD>
    <TD align="right" valign="top">14.39</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">$</TD>
    <TD align="right" valign="top">494,500</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD align="center"><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD align="right" valign="top">&nbsp;</TD>
    <TD valign="top">&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;There were no stock option grants during the thirteen weeks ended May&nbsp;4, 2008 or May&nbsp;6, 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total unrecognized compensation expense from stock options, including any forfeiture estimate,
was $4.9&nbsp;million as of May&nbsp;4, 2008, which is expected to be recognized over a weighted-average
period of approximately 2.2&nbsp;years.
&nbsp;
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Restricted Stock Activity</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On
April&nbsp;30, 2008, the Company issued
to the Company&#146;s Chief Executive Officer,
89,899&nbsp;shares of restricted stock, at a
market price of
$11.93, pursuant to the Plan, 50% of which
vest March&nbsp;1,
2009, and the remaining 50% of which vest March&nbsp;1, 2010, subject to acceleration under certain
circumstances as set forth in the governing agreement. Total unrecognized compensation expense from
restricted stock, including any forfeiture estimate, was $3.1&nbsp;million as of May&nbsp;4, 2008, which is
expected to be recognized over a weighted-average period of approximately two&nbsp;years.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Activity for the Company&#146;s restricted stock is summarized as follows:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="64%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Weighted</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Aggregate</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Number of</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Average</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>Intrinsic</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Shares</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Grant Price</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>Value</B><SUP style="font-size: 85%; vertical-align: text-top"><B>(1)</B></SUP></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Non-vested at February&nbsp;4, 2008</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">281,621</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">13.23</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Granted</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">89,899</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">11.93</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Released</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(1,570</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">4.92</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Cancelled</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">(935</TD>
    <TD nowrap>)</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">12.78</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Non-vested at May&nbsp;4, 2008</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">369,015</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">12.91</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">$</TD>
    <TD align="right">380,100</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right" style="border-top: 3px double #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left"><SUP style="font-size: 85%; vertical-align: text-top">(1)</SUP></TD>
    <TD>&nbsp;</TD>
    <TD>Based on the Company&#146;s closing stock price of $ 12.01 on May&nbsp;2, 2008.</TD>
</TR>

</TABLE>



<P align="center" style="font-size: 10pt"><!-- Folio -->19<!-- /Folio -->
</DIV>

<!-- PAGEBREAK -->
<P><HR noshade><P>
<H5 align="left" style="page-break-before:always"><A HREF="#tocpage">Table of Contents</A></H5><P>

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES
TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS &#151; (Continued)</B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Note&nbsp;9&nbsp;&#151; Income Taxes</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
income tax expense for the first quarter of fiscal 2008 was $3.9&nbsp;million, compared to $1.1
million for the same period in 2007. The Company&#146;s effective tax rate was 42.2% in the first
quarter of fiscal 2008 compared to 39.8% for the first quarter of fiscal 2007. The increase in
effective tax rate in the first quarter of fiscal 2008 was primarily attributable to
the recognition of the insurance recovery described in Note 12 &#151;
Legal Matters as well as the impact of
a new
gross receipt tax in the state
of Michigan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As of May&nbsp;4, 2008, the Company&#146;s unrecognized tax benefits&nbsp;totaled approximately $9.4&nbsp;million,
and the total amount of such unrecognized benefits that, if recognized, would favorably affect the
effective income tax rate in future periods, was approximately $3.2&nbsp;million.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company and its subsidiaries are subject to the following significant taxing
jurisdictions: U.S. federal, Arizona, California, Colorado, Illinois, Michigan and Minnesota. The
Company has had net operating losses in various years dating back to the tax year 1993. The statute
of limitations for a particular tax year for examination by the Internal Revenue Service is three
years subsequent to the last year in which the loss carryover is finally used, and three to four
years for the states of Arizona, California, Colorado, Illinois, Michigan and Minnesota.
Accordingly, there are multiple years open to examination.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Note 10&nbsp;&#151;&nbsp;Earnings per Share</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;SFAS&nbsp;No.&nbsp;128, <I>Earnings Per Share </I>(&#147;EPS&#148;) requires earnings per share to be computed and
reported as both basic EPS and diluted EPS. Basic EPS is computed by dividing net income by the
weighted average number of common shares outstanding for the period. Diluted EPS is computed by
dividing net income by the weighted average number of common shares and dilutive common stock
equivalents (convertible notes and interest on the notes, stock awards and stock options)
outstanding during the period. Diluted EPS reflects the potential dilution that could occur if
options to purchase common stock were exercised for shares of common stock. The following is a
reconciliation of the number of shares (denominator)&nbsp;used in the basic and diluted EPS computations
($ and share data in thousands):
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="6" style="border-bottom: 1px solid #000000"><B>Thirteen Weeks Ended</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>May 4,</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2"><B>May 6,</B></TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="2" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
    <TD>&nbsp;</TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Numerator for basic and diluted earnings per share:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Net income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">5,367</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="left">$</TD>
    <TD align="right">1,670</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Denominator for basic earnings per share:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Weighted average shares outstanding (basic)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,032</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,951</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Denominator for diluted earnings per share:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Weighted average shares outstanding (basic)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,032</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">43,951</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Effect of dilutive securities</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">69</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">746</TD>
    <TD>&nbsp;</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:30px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Weighted average shares outstanding (diluted)</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,101</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">44,697</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px"><B>Shares excluded as a result of anti-dilution:</B></DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Stock options and restricted stock</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">3,788</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD align="right">769</TD>
    <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Incremental net shares for the exchange feature of the $100.0&nbsp;million 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;senior exchangeable
notes due in 2025 will be included in the Company&#146;s future diluted earnings per share calculations
for those periods in which the Company&#146;s average common stock price exceeds $16.50 per share.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Note 11 &#151; Employee Severance and Store Asset Impairment Charges</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During the third quarter of fiscal 2007, the Company commenced a comprehensive strategic
review aimed at improving its profitability and restoring top line growth. As part of the initial
strategic planning process, the Company made the decision to close approximately 40 stores during
fiscal 2008. During the first quarter of fiscal 2008, the Company closed 13 of the approximately 40
stores. For the identified store closures, the Company performed an asset impairment review in
accordance with SFAS&nbsp;No.&nbsp;144, <I>Accounting for the Impairment of Disposal of Long-Lived Assets</I>, and
during the fourth quarter of fiscal 2007, recorded a non-cash impairment charge of $1.2&nbsp;million for
leasehold improvements and store fixtures that will be sold or otherwise disposed of significantly
before the end of their originally estimated useful lives.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The strategic review of the Company continued into the fourth quarter of 2007. As part of this
review, the Company&#146;s executive management team also evaluated the current management structure and
eliminated approximately 160 non-sales positions, primarily in
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->20<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES
TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS &#151; (Continued)</B>

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">the corporate and field administration areas, reorganized the staffing in the Company&#146;s
corporate offices, consolidated certain corporate functions, and eliminated several vice president
and other management positions during the third and fourth quarters of fiscal 2007. A number of
executives were reassigned in order to leverage existing skills and experience across the team in
an effort to continue reducing operating costs. During the third and fourth quarters of fiscal
2007, the Company incurred $2.0&nbsp;million in employee severance costs related to these strategic
personnel reductions. As of May&nbsp;4, 2008, the remaining liability for employee severance costs was
approximately $0.4&nbsp;million.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;All store locations currently planned for closure in fiscal 2008 are leased, and substantially
all of these closures are expected to occur near the end of a noncancellable lease term, resulting
in minimal closed store costs. The costs of any remaining operating lease commitments will be
recognized in accordance with SFAS&nbsp;No.&nbsp;146, <I>Accounting for Costs Associated with Exit or Disposal
Activities</I>, at the date the Company ceases operating the store.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Note 12 &#151; Legal Matters</B>
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Fiscal 2006 Audit Committee Investigation and Restatement of the Consolidated Financial Statements</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In its Annual Report on Form 10-K for the fiscal year ended January&nbsp;29, 2006 (&#147;fiscal 2005&#148;)
(the &#147;2005 10-K&#148;), the Company&#146;s consolidated financial statements for the fiscal year ended
January&nbsp;30, 2005 (&#147;fiscal 2004&#148;) and the fiscal year
ended February&nbsp;1, 2004 (&#147;fiscal 2003&#148;) and
quarterly information for the first three quarterly periods in fiscal 2005 and all of fiscal 2004
were restated to correct errors and irregularities identified in an Audit Committee-led independent
accounting investigation (referred to herein as the &#147;Audit Committee-led investigation&#148;) and other
accounting errors and irregularities identified by the Company in the course of the restatement
process.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On September&nbsp;28, 2006, the Company announced the substantial completion of the Audit
Committee-led investigation, and that the investigation had identified accounting errors and
irregularities that materially and improperly impacted various inventory accounts, vendor allowance
receivables, other accrual accounts and related expense accounts. In addition, the Company
announced personnel changes and also announced its intent to implement remedial measures in the
areas of enhanced accounting policies and internal controls and employee training.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Audit Committee-led investigation and restatement process resulted in legal, accounting
consultant and audit expenses of approximately $25.7&nbsp;million in fiscal 2006. Legal, accounting
consultant and audit expenses relative to the securities class action and shareholder derivative
litigation, regulatory investigations, completion of the restatement process (relative to the 2005
10-K filed May&nbsp;1, 2007)&nbsp;and completion of the Company&#146;s fiscal 2006 delinquent filings continued
into fiscal 2007 and totaled approximately $12.3&nbsp;million. The Company incurred approximately $1.0
million of legal expenses related to its response to the governmental investigations associated
with the matters that were reviewed in the Audit Committee-led investigation and the defense of the
securities class action lawsuit in the first quarter of fiscal 2008. The Company expects to continue
to incur legal expenses in the remainder of fiscal 2008 related to the regulatory investigations
and securities class action litigation.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Securities Class&nbsp;Action Litigation</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On June 9 and 20, 2006, two shareholder class actions alleging violations of the federal
securities laws were filed in the United States District Court for the District of Arizona against
the Company and four of its former officers: Maynard Jenkins (who also was a director), James
Riley, Martin Fraser and Don Watson. The cases are entitled Communication Workers of America Plan
for Employees Pensions and Death Benefits&nbsp;v. CSK Auto Corporation, et al., No.&nbsp;CV-06-1503 PHX DGC
(&#147;Communication Workers&#148;) and Wilfred Fortier&nbsp;v. CSK Auto Corporation, et al., No.&nbsp;CV-06-1580 PHX
DGC. The cases were consolidated on September&nbsp;18, 2006 with Communication Workers as the lead case.
The consolidated actions have been brought by lead plaintiff Communication Workers of America Plan
for Employee Pensions and Death Benefits (the &#147;Lead Plaintiff&#148;) on behalf of a putative class of
purchasers of CSK Auto Corporation stock between March&nbsp;20, 2003 and April&nbsp;13, 2006, inclusive. Lead
Plaintiff filed an Amended Consolidated Complaint on November&nbsp;30, 2006. Lead Plaintiff voluntarily
dismissed James Riley by not naming him as a defendant in the Amended Consolidated Complaint. The
Company and Messrs.&nbsp;Jenkins, Fraser and Watson (collectively referred to as the &#147;Defendants&#148;) filed
motions to dismiss the Amended Consolidated Complaint, which the court granted on March&nbsp;28, 2007.
The court allowed Lead Plaintiff leave to amend its complaint, and it filed their Second Amended
Consolidated Complaint on May&nbsp;25, 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Second Amended Consolidated Complaint alleges violations of Section&nbsp;10(b) of the
Securities Exchange Act of 1934, as amended (the &#147;Exchange Act&#148;), and Rule&nbsp;10b-5 promulgated
thereunder, as well as Section&nbsp;20(a) of the Exchange Act. The Second Amended Consolidated Complaint
alleges that Defendants issued false statements before and during the putative class period about
the Company&#146;s income, earnings and internal controls, allegedly causing the Company&#146;s stock to
trade at artificially inflated prices during the putative class period. It seeks an unspecified
amount of damages. Defendants filed motions to dismiss the Second Amended
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->21<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES
TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS &#151; (Continued)</B>

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Consolidated Complaint on July&nbsp;13, 2007. On September&nbsp;27, 2007, the court issued an order
granting the motion to dismiss Mr.&nbsp;Fraser with prejudice and denying the motions to dismiss the
Company and Messrs.&nbsp;Jenkins and Watson. On October&nbsp;24, 2007, the court issued a scheduling order
setting forth a pretrial schedule that contemplates a trial if necessary, in March&nbsp;2009, Lead
Plaintiff filed its motion to certify the class on January&nbsp;18, 2008 and the Company filed its
response on February&nbsp;15, 2008. Lead Plaintiff filed its reply in support of its motion for class
certification on March&nbsp;14, 2008. A hearing on the motion was scheduled to take place on March&nbsp;21,
2008.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On March&nbsp;21, 2008, as a result of ongoing settlement discussions regarding the securities
class action litigation, Lead Plaintiff and the defendants (including the Company) reached an
agreement in principle to settle the case. At a hearing on April&nbsp;22, 2008, the United States
District Court for the District of Arizona preliminarily approved the settlement. Pursuant to the
settlement, the settlement amount will be $10.0&nbsp;million in cash (which will be paid by the
Company&#146;s directors and officers liability insurance) and $1.7&nbsp;million in Company stock (to be
contributed by the Company and valued at the closing price of the Company&#146;s stock on March&nbsp;20,
2008). The settlement also includes certain corporate governance and contracting policy terms that
would apply so long as the Company remains an independent company. A hearing on the final approval
of the settlement is scheduled for July&nbsp;1, 2008.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Insurance Recovery</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On May&nbsp;1, 2008, the Company and its primary layer directors and officers liability insurer
entered into an agreement whereby the insurer agreed to fund $10.0&nbsp;million into an interest-bearing
escrow account to effect the proposed settlement of the securities class action litigation
discussed above. The insurer also agreed not to pursue any future claims for recovery against the
Company for $5.0&nbsp;million of defense costs (primarily legal fees) relating to such litigation and
the shareholder derivative litigation and governmental investigations
discussed below that the
insurer had agreed to reimburse to the Company or pay directly to third parties. The Company had
previously expensed such costs as they were incurred. Pursuant to
such agreement, the Company agreed to release (upon
the insurer&#146;s payment to the $15.0&nbsp;million policy limit) the insurer from any further claims under
the related policy. The insurer funded the escrow account on April&nbsp;28, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As also mentioned above, the United States District Court for the District of Arizona granted
preliminary approval to the proposed settlement of the securities class action litigation on April
22, 2008, and a hearing on the final approval is scheduled for July&nbsp;1, 2008. Although not anticipated, in the event
that the final settlement is not approved by the Court in July, the $10.0&nbsp;million and all accrued
interest will be repaid to the insurer and once again become available pursuant to the terms of the
policy.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During the first quarter of fiscal 2008, the Company recognized a $15.0&nbsp;million insurance
recovery as a result of, among other things, the previously mentioned agreement with the insurer
and management&#146;s conclusion, which was based in part on the advice of counsel, that it is probable
that the Court will grant final approval of the settlement. Other
current assets in the consolidated
balance sheet at May&nbsp;4, 2008 included $10.0&nbsp;million relating to the Company&#146;s beneficial interest
in the escrow account which will be used to satisfy the Company&#146;s settlement obligation which the
Company accrued in the fourth quarter of fiscal 2007.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Shareholder Derivative Litigation</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On July&nbsp;31, 2006, a shareholder derivative suit was filed in the United States District Court
for the District of Arizona against certain of CSK&#146;s former officers and certain current and former
directors. The Company was a nominal defendant. On June&nbsp;11, 2007, plaintiff filed a Second Amended
Complaint alleging claims under Section&nbsp;304 of the Sarbanes-Oxley Act of 2002 and for alleged
breaches of fiduciary duties, abuse of control, gross mismanagement, waste of corporate assets, and
unjust enrichment. The Second Amended Complaint sought, purportedly on behalf of the Company,
damages, restitution, and equitable and injunctive relief. On June&nbsp;22, 2007, the Company filed a
motion to dismiss the Second Amended Complaint for failure to plead demand futility adequately or,
in the alternative, to stay the case until the shareholder class action litigation is resolved. The
individual defendants joined in the Company&#146;s motion. On August&nbsp;24, 2007, the court granted the
Company&#146;s motion to dismiss the suit based on plaintiff&#146;s failure to adequately plead demand
futility. The court entered a judgment in defendants&#146; favor on October&nbsp;22, 2007. Plaintiff did not
file a notice of appeal in the 30&nbsp;days allowed for doing so, and the judgment in defendants&#146; favor
is now final.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Governmental Investigations</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The SEC is conducting an investigation related to certain historical accounting practices of
the Company. On November&nbsp;27, 2006, the SEC served a subpoena on the Company seeking the production
of documents from the period January&nbsp;1, 1997 to the date of the subpoena related primarily to the
types of matters identified in the Audit Committee-led investigation, including internal controls
and accounting for inventories and vendor allowances. On December&nbsp;5, 2006, the SEC also served
document subpoenas on Messrs.&nbsp;Jenkins, Fraser and Watson. Since that time, the SEC has served
subpoenas for documents and testimony on, and requested testimony from, current and former
employees, officers, directors and other parties it believes may have information relevant to the
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->22<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CSK AUTO CORPORATION AND SUBSIDIARIES</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>NOTES
TO UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS &#151; (Continued)</B>

</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 6pt">investigation. The Company&#146;s Audit Committee has shared with the SEC the conclusions of the
Audit Committee-led investigation and other information related to its investigation.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On May&nbsp;1, 2008, the Company received a notification from the Staff of the Pacific Regional
Office (the &#147;Staff&#148;) of the SEC relating to the SEC investigation described above. The
notification, commonly referred to as a &#147;Wells Notice,&#148; indicates that the Staff is considering
recommending to the SEC that the SEC bring an enforcement action against the Company alleging that
it violated certain provisions of the federal securities laws, including Section 10(b) of the
Exchange Act and Rule&nbsp;10b-5 promulgated thereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under applicable procedures, before the Staff can make a formal recommendation regarding what
action, if any, should be taken by the SEC, the Company has the opportunity to make (and made on
June&nbsp;6, 2008) a written submission outlining why it believes an enforcement action should not be
instituted. If the Staff ultimately makes an enforcement recommendation to the SEC, the Company&#146;s
submission will be forwarded to the SEC for purposes of the SEC&#146;s consideration before making a
final determination on the matter. As previously disclosed, the Company has been cooperating with
the Staff and the SEC since the Company first publicly disclosed these matters in fiscal 2006, and
it continues to do so.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition, the U.S.&nbsp;Attorney&#146;s office in Phoenix (the &#147;USAO&#148;) and the U.S. Department of
Justice in Washington,&nbsp;D.C. (the &#147;DOJ&#148;) have opened an investigation related to these historical
accounting practices. Counsel for the Company&#146;s Audit Committee has met with the USAO and DOJ and
has shared with them requested information from the Audit Committee-led investigation. At this
time, the Company cannot predict when these investigations will be completed or what their outcomes
will be.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Other Litigation</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company currently and from time to time is involved in other litigation incidental to the
conduct of its business, including but not limited to asbestos and similar product liability
claims, slip and fall and other general liability claims, discrimination and employment claims,
vendor disputes, and miscellaneous environmental and real estate claims. The damages claimed in
some of this litigation are substantial. Based on internal review, the Company accrues reserves
using its best estimate of the probable and reasonably estimable contingent liabilities. The
Company does not currently believe that any of these other legal claims incidental to the conduct
of its business, individually or in the aggregate, will result in liabilities material to its
consolidated financial position, results of operations or cash flows.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Note 13 &#151; Subsequent Events</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On April&nbsp;1, 2008, the Company entered into the Merger Agreement with O&#146;Reilly and an indirect
wholly-owned subsidiary of O&#146;Reilly pursuant to which the Company is expected to become a
wholly-owned subsidiary of O&#146;Reilly. On June&nbsp;11, 2008, O&#146;Reilly&#146;s newly
formed, wholly-owned subsidiary, OC Acquisition Company, commenced the Exchange Offer.
The Exchange Offer is described
in detail above in Note 1 &#151; Merger Agreement and Matters Related to the Company&#146;s
Indebtedness. The Exchange
Offer is currently
scheduled to expire at 12:00 midnight, EDT, on July&nbsp;10, 2008, but, pursuant to
the terms of the
Merger Agreement, the expiration date may be extended under certain circumstances.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->23<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left">
<A name="108"></A>
</DIV>
<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;2. Management&#146;s Discussion and Analysis of Financial Condition and Results of Operations</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>The following discussion and analysis of financial condition and results of operations should
be read in conjunction with our consolidated historical financial statements and the notes to those
statements that appear elsewhere in this report. Our discussion contains forward-looking statements
based upon current expectations that involve risks and uncertainties, such as our plans,
objectives, expectations and intentions. Actual results and the timing of events could differ
materially from those anticipated in these forward-looking statements as a result of a number of
factors, including those set forth or referenced under &#147;Note Concerning Forward Looking
Information&#148; above.</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In the following discussion, we refer to our current fiscal year ending February&nbsp;1, 2009 as
&#147;fiscal 2008&#148; and the prior fiscal year ended February&nbsp;3, 2008 as &#147;fiscal 2007.&#148; We refer to the
thirteen-week periods ended on May&nbsp;4, 2008 and May&nbsp;6, 2007 as the &#147;first quarter&#148; and the &#147;thirteen
weeks&#148; of those respective fiscal years.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>General</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;CSK Auto Corporation (&#147;CSK&#148;) is the largest specialty retailer of automotive parts and
accessories in the Western United States and one of the largest such retailers in the U.S., based,
in each case, on store count. As of May&nbsp;4, 2008, through our wholly owned subsidiary CSK Auto,
Inc., we operated 1,345 stores in 22&nbsp;states under one fully integrated operating format and the
following four brand names (referred to collectively as &#147;CSK stores&#148;):
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Checker Auto Parts, founded in 1969, with 487 stores in the Southwestern, Rocky Mountain
and Northern Plains states and Hawaii;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Schuck&#146;s Auto Supply, founded in 1917, with 218 stores in the Pacific Northwest and
Alaska;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Kragen Auto Parts, founded in 1947, with 499 stores primarily in California;&nbsp;and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Murray&#146;s Discount Auto Stores, founded in 1972, with 141 stores in the Midwest.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During the first quarter of fiscal 2008, we opened 9 stores, relocated 2 stores and closed 15
stores (including the 2 relocated stores), resulting in a net decrease of 4 stores.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Recent Developments</B>
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><I>Merger Agreement</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On April&nbsp;1, 2008, we entered into an Agreement and Plan of Merger (the &#147;Merger Agreement&#148;)
with O&#146;Reilly Automotive, Inc. (&#147;O&#146;Reilly&#148;) and an indirect wholly-owned subsidiary of O&#146;Reilly
pursuant to which we are expected to become a wholly-owned subsidiary of O&#146;Reilly (the
&#147;Acquisition&#148;).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In order to effectuate the Acquisition, O&#146;Reilly has agreed to commence an exchange offer (the
&#147;Exchange Offer&#148;) pursuant to which each share of our common stock tendered in the Exchange Offer
will be exchanged for (a)&nbsp;a number of shares of O&#146;Reilly&#146;s common stock equal to the &#147;exchange
ratio&#148; (as calculated below), plus (b)&nbsp;$1.00 in cash (subject to possible reduction as described
below). Pursuant to the Merger Agreement, the &#147;exchange ratio&#148; will equal $11.00 divided by the
average trading price of O&#146;Reilly&#146;s common stock during the five consecutive trading days ending on
and including the second trading day prior to the closing of the Exchange Offer; provided, that if
such average trading price of O&#146;Reilly&#146;s common stock is greater than $29.95 per share, then the
exchange ratio will be 0.3673, and if such average trading price is less than $25.67 per share,
then the exchange ratio will be 0.4285. If such average trading price is less than or equal to
$21.00 per share, we may terminate the Merger Agreement unless O&#146;Reilly exercises its option to
issue an additional number of its shares or increase the amount of cash to be paid such that the
total value of O&#146;Reilly common stock and cash exchanged for each share of our common stock is at
least equal to $10.00 (less any possible reduction of the cash component of the offer price as
described below).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Upon completion of the Exchange Offer, any remaining shares of our common stock will be
acquired in a second-step merger at the same price at which shares of our common stock were
exchanged in the Exchange Offer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Acquisition is expected to be completed during the second quarter of fiscal 2008 and is
subject to regulatory review and customary closing conditions, including that at least a majority
of our outstanding shares of common stock be tendered in the Exchange Offer and the expiration or
termination of any waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976,
as amended (which waiting period terminated on April&nbsp;17, 2008).
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->24<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Merger Agreement includes customary representations, warranties and covenants by us,
including covenants (a)&nbsp;to cease immediately any discussions and negotiations with respect to an
alternate acquisition proposal, (b)&nbsp;not to solicit any alternate acquisition proposal and, with
certain exceptions, not to enter into discussions concerning or furnish information in connection
with any alternate acquisition proposal, and (c)&nbsp;subject to certain exceptions, for our Board of
Directors not to withdraw or modify its recommendation that our stockholders tender shares into the
Exchange Offer. In addition, we have agreed to use reasonable best efforts to obtain appropriate
waivers or consents under our credit or debt agreements and instruments if needed or if requested
by O&#146;Reilly to remedy any default or event of default thereunder that may arise after the date of
the Merger Agreement (the &#147;Credit Agreement Waivers&#148;). The $1.00 cash component of the offer price
for each share of our common stock tendered in the Exchange Offer will be subject to reduction in
the event that we pay more than $3.0&nbsp;million to our lenders in order to obtain any Credit Agreement
Waivers. The $1.00 cash component per share may be reduced by an amount equal to the quotient
obtained by dividing (x)&nbsp;by (y), where (x)&nbsp;equals the sum of any amount paid by us or our
subsidiaries to the lenders under our credit agreements in connection with obtaining any bank
consent, waiver, or amendment under the credit agreements after April&nbsp;1, 2008, minus $3,000,000,
and (y)&nbsp;equals the sum of (i)&nbsp;the total number of shares of the Company&#146;s common stock outstanding
immediately prior to the expiration of the Exchange Offer and (ii)&nbsp;a number of shares of the
Company&#146;s common stock determined by O&#146;Reilly up to a maximum of the total number of shares of the
Company&#146;s common stock issuable upon the exercise or conversion of all options, warrants, rights
and convertible securities (if any) that will be vested on or before the date that is 180&nbsp;days
after April&nbsp;1, 2008. We do not anticipate a need to obtain any Credit Agreement Waivers prior to
the anticipated closing of the Exchange Offer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Merger Agreement contains certain termination rights for both us and O&#146;Reilly, including
if the Exchange Offer has not been consummated or if the expiration or termination of any waiting
period (and any extension thereof) under the Hart-Scott-Rodino Antitrust Improvements Act of 1976,
as amended, had not occurred, in either case on or before the date that is 180&nbsp;days after the date
of the Merger Agreement, and provisions that permit termination in connection with the exercise of
the fiduciary duties of our Board of Directors with respect to superior offers. The Merger
Agreement further provides that upon termination of the Merger Agreement under specified
circumstances, we may be required to pay O&#146;Reilly a termination fee of $22.0&nbsp;million.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In connection with the Acquisition, O&#146;Reilly has received a commitment letter from Lehman
Commercial Paper Inc., Lehman Brothers Inc., Lehman Brothers Commercial Bank, Bank of America,
N.A., and Banc of America Securities LLC to provide a $1,200.0&nbsp;million first lien senior secured
revolving credit facility, which O&#146;Reilly is expected to use, in part, to repay at the time of the
closing of the Exchange Offer all amounts outstanding and other amounts payable under our
$350.0&nbsp;million floating rate term loan facility (the &#147;Term Loan Facility&#148;) and $325.0&nbsp;million
senior secured revolving line of credit (the &#147;Senior Credit Facility&#148;), following which such
Facilities will be terminated. Thus, although the consummation of the Exchange Offer would result
in an event of default and the possible acceleration of indebtedness under those facilities, it is
contemplated that those facilities will be repaid in full and cease to exist at the closing of the
Exchange Offer. If the Acquisition is completed as planned, our $100.0&nbsp;million of 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>% senior
exchangeable notes (the &#147;6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>% Notes&#148;) will remain outstanding and will become exchangeable pursuant
to their terms into shares of O&#146;Reilly common stock. O&#146;Reilly&#146;s acquisition of our company and the
closing of the Exchange Offer are not conditioned upon the completion of, or availability of
funding under, its committed $1,200.0&nbsp;million credit facility.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><I>Term Loan Facility Financial Covenants</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our Term Loan Facility
contains a maximum leverage ratio covenant that we do not believe at this time
we will be able to satisfy beginning in the first quarter of our fiscal year ending January&nbsp;31,
2010 (&#147;fiscal 2009&#148;). As we did not obtain a waiver or amendment of that covenant prior to the
completion of our financial statements for the first quarter of fiscal 2008, our belief that it is
probable that this covenant will not be satisfied for the first quarter of fiscal 2009 has caused
us to have to classify all of our indebtedness under the Term Loan Facility and the Senior Credit
Facility, as well as the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>% Notes, as current liabilities in our financial statements beginning
with our financial statements for the first quarter of fiscal 2008. Furthermore, beginning with the
second quarter of fiscal 2008, we will be required to reduce (to twelve months) the time period
over which we amortize debt issuance costs and debt discount, increasing the interest costs we
report in our financial statements. The classification of all such indebtedness as current
liabilities and the acceleration of the amortization of interest costs will not cause a default
under our borrowing agreements. However, any such classification could have adverse consequences
upon our relationships with, and the credit terms upon which we do business with, our vendors,
although we expect such consequences, if any, to be limited due to the expected closing of the
Exchange Offer in the second quarter of fiscal 2008. We do not expect to seek any waivers or
amendments under our credit facilities prior to the closing of the Exchange Offer as these credit
facilities are expected to be repaid and terminated upon closing of the Exchange Offer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If the Exchange Offer were to fail to close, prior to the end of the first quarter of fiscal
2009, we would seek to obtain a waiver or amendment of certain covenants contained in the Term Loan
Facility, including the maximum leverage ratio covenant. No assurance can be given that we would be
able to obtain such a waiver or amendment on terms that would be satisfactory to us. Failure to
comply with the financial covenants of the Term Loan Facility would result in an event of default
under the Term Loan Facility after the first quarter of fiscal 2009, which could result in the
acceleration of all of our indebtedness thereunder, under the Senior Credit Facility and under the
indenture under which the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>% Notes were issued, all of which could have a material adverse effect
on us. See &#147;Factors
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Affecting Liquidity and Capital Resources&nbsp;&#151; Debt Covenants&#148; below.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><I>Securities Class&nbsp;Action Litigation</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On March&nbsp;21, 2008, as a result of ongoing settlement discussions regarding the securities
class action litigation (described in Note 12 <B>&#151; </B>Legal Matters in the notes to the unaudited
consolidated financial statements included in Item&nbsp;1 of this Quarterly Report), Lead Plaintiff and
the defendants (including the Company) reached an agreement in principle to settle the case. At a
hearing on April&nbsp;22, 2008, the United States District Court for the District of Arizona
preliminarily approved the settlement. Pursuant to the settlement, the settlement amount will be
$10.0&nbsp;million in cash (which was funded by our directors and officers liability insurance carrier)
and $1.7&nbsp;million in our stock (to be contributed by us and valued at the closing price of our stock
on March&nbsp;20, 2008). The settlement also includes certain corporate governance and contracting
policy terms that would apply so long as we remain an independent company. A hearing on the final
approval of the settlement is scheduled for July&nbsp;1, 2008.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><I>Insurance Recovery</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On May&nbsp;1, 2008, we and our primary layer directors and officers liability insurer entered into
an agreement whereby the insurer agreed to fund $10.0&nbsp;million into an interest-bearing escrow
account to effect the proposed settlement of the securities class action litigation. The insurer
also agreed not to pursue any future claims for recovery against us for $5.0&nbsp;million of defense
costs (primarily legal fees) relating to such litigation and the shareholder derivative litigation
and governmental investigations discussed below, that the insurer had agreed to reimburse to us or
pay directly to third parties. We had previously expensed such costs as they were incurred.
Pursuant to such agreement, we agreed to release (upon the insurer&#146;s payment to the $15.0&nbsp;million policy limit) the
insurer from any further claims under the related policy. The insurer funded the escrow account on
April&nbsp;28, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As mentioned above, the United States District Court for the District of Arizona granted
preliminary approval to the proposed settlement of the securities class action litigation on April
22, 2008, and a hearing on the final approval is scheduled for July&nbsp;1, 2008. Although not anticipated, in the event
that the final settlement is not approved by the Court in July, the $10.0&nbsp;million and all accrued
interest will be repaid to the insurer and once again become available pursuant to the terms of the
policy.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During the first quarter of fiscal 2008, we recognized a $15.0&nbsp;million insurance recovery as a
result of, among other things, the previously mentioned agreement with the insurer and management&#146;s
conclusion, which was based in part on the advice of counsel, that it is probable that the Court
will grant final approval of the settlement. Other assets in the consolidated balance sheet at May
4, 2008 included $10.0&nbsp;million relating to our beneficial interest in the escrow account which will
be used to satisfy our settlement obligation which we accrued in the fourth quarter of fiscal 2007.
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><I>Governmental Investigations</I>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Securities and Exchange Commission (the &#147;SEC&#148;) is conducting an investigation related to
certain of our historical accounting practices. On November&nbsp;27, 2006, the SEC served a subpoena on
us seeking the production of documents from the period January&nbsp;1, 1997 to the date of the subpoena
related primarily to the types of matters identified in the Audit Committee-led independent
accounting investigation (referred to here in as the &#147;Audit Committee-led Investigation&#148;),
including internal controls and accounting for inventories and vendor allowances. On December&nbsp;5,
2006, the SEC also served document subpoenas on former executives Messrs.&nbsp;Jenkins, Fraser and
Watson. Since that time, the SEC has served subpoenas for documents and testimony on, and requested
testimony from, current and former employees, officers, directors and other parties it believes may
have information relevant to the investigation. Our Audit Committee has shared with the SEC the
conclusions of the Audit Committee-led investigation and other information related to its
investigation.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On May&nbsp;1, 2008, we received a notification from the Staff of the Pacific Regional Office (the
&#147;Staff&#148;) of the SEC relating to a previously disclosed investigation that was prompted by matters
that had been raised by our internal audit and accounting personnel in late 2005 and early 2006.
The notification, commonly referred to as a &#147;Wells Notice,&#148; indicates that the Staff is considering
recommending to the SEC that the SEC bring an enforcement action against us alleging that it
violated certain provisions of the federal securities laws, including Section 10(b) of the
Securities Exchange Act of 1934, as amended (the &#147;Exchange Act&#148;) and Rule&nbsp;10b-5 promulgated
thereunder.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under applicable procedures, before the Staff can make a formal recommendation regarding what
action, if any, should be taken by the SEC, we have the opportunity to make (and made on June&nbsp;6,
2008) a written submission outlining why we believe an enforcement action should not be instituted.
If the Staff ultimately makes an enforcement recommendation to the SEC, our submission will be
forwarded to the SEC for purposes of the SEC&#146;s consideration before making a final determination on
the matter. As previously disclosed, we have been cooperating with the Staff and the SEC since we
first publicly disclosed these matters in 2006, and we continue to do so.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->26<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition, the U.S.&nbsp;Attorney&#146;s office in Phoenix (the &#147;USAO&#148;) and the Department of Justice
in Washington,&nbsp;D.C. (the &#147;DOJ&#148;) have opened an investigation related to these historical accounting
practices. Counsel for our Audit Committee-led investigation has met with the USAO and DOJ and has
shared with them requested information from the Audit Committee-led investigation. At this time,
the Company cannot predict when these investigations will be completed or what their outcomes will
be.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Results of Operations</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following discussion summarizes the significant factors affecting our operating results
for the thirteen weeks ended May&nbsp;4, 2008 and May&nbsp;6, 2007. This discussion and analysis should be
read in conjunction with the consolidated financial statements and the related notes included in
this Quarterly Report as well as our Annual Report on Form 10-K for fiscal 2007 (the &#147;2007 10-K&#148;).
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The following table expresses the statements of operations as a percentage of sales for the
periods shown:
</DIV>
<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="76%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="5%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="3%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="7" style="border-bottom: 1px solid #000000"><B>Thirteen Weeks Ended</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>May 4,</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3"><B>May 6,</B></TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2008</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" colspan="3" style="border-bottom: 1px solid #000000"><B>2007</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net sales</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">100.0</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">100.0</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Cost of sales</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">52.9</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">53.4</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD colspan="1" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD colspan="1" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
 <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Gross profit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">47.1</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">46.6</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Other costs and expenses:</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Operating and administrative</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">44.6</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">42.1</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Investigation, litigation and restatement costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.2</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1.0</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Insurance recovery</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD nowrap align="right">-3.3</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.0</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:30px; text-indent:-15px">Store closing costs</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.2</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.1</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
   <TD colspan="1" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
     <TD>&nbsp;</TD>
<TD colspan="1" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
     <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Operating profit</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">5.4</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.4</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Interest expense, net</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">3.3</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.8</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD colspan="1" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD colspan="1" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
     <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Income before income taxes</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">2.1</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.6</TD>
    <TD nowrap>%</TD>
</TR>
<TR valign="bottom">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Income tax expense</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.8</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.2</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD colspan="1" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD colspan="1" align="right" style="border-top: 1px solid #000000">&nbsp;</TD>
     <TD>&nbsp;</TD>
</TR>
<TR valign="bottom" style="background: #cceeff">
    <TD><DIV style="margin-left:15px; text-indent:-15px">Net income</DIV></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">1.3</TD>
    <TD nowrap>%</TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="right">&nbsp;</TD>
    <TD align="right">0.4</TD>
    <TD nowrap>%</TD>
</TR>
<TR style="font-size: 1px">
    <TD><DIV style="margin-left:15px; text-indent:-15px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD colspan="1" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD>&nbsp;</TD>
     <TD>&nbsp;</TD>
    <TD colspan="1" align="right" style="border-top: 3px double #000000">&nbsp;</TD>
     <TD>&nbsp;</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Thirteen Weeks Ended May&nbsp;4, 2008 Compared to Thirteen Weeks Ended May&nbsp;6, 2007</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Retail sales represent sales to the do-it-yourself customer. Commercial sales represent sales
to commercial accounts, including such sales from stores without commercial sales centers. We
evaluate comparable (or &#147;same-store&#148;) sales based on the change in net sales commencing after the
time a new store has been open or an acquired store has been owned by us for 12&nbsp;months. Therefore,
sales for the first 12&nbsp;months a new store is open or an acquired store is owned are not included in
the comparable store calculation. Stores that have been relocated are included in the comparable
store sales calculations immediately.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net sales for the first quarter of fiscal 2008 decreased 2.5%, or $11.9&nbsp;million, compared to
the first quarter of fiscal 2007. Net sales were $461.1&nbsp;million in the first quarter of fiscal
2008, compared to $473.0&nbsp;million in the first quarter of fiscal 2007. The decrease in sales was
primarily due to decreased same store sales, which was partially offset by sales from nine net new
stores added from May&nbsp;7, 2007 through May&nbsp;4, 2008. Although net sales decreased overall, commercial
sales continued to increase, which we believe was due, in part, to
our continued emphasis on growing our commercial business, which has
a higher potential growth rate than the retail market.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total same store sales declined by 3.1%. Same store retail sales, which make up the majority
of our sales, declined 5.1%, compared to a 2.5% decline in the comparable period of fiscal 2007.
Same store commercial sales increased 6.1%, compared to a 10.3% increase in the comparable period
in fiscal 2007. The decline in total same store sales was due to a decline in customer count of
6.7% (measured by the number of in-store transactions in stores that have been opened more than one
year), which was partially offset by an increase in the average transaction size of 3.9% (measured
by dollars spent per sale transaction). We believe that same store sales during this period were
adversely affected by persistent high gas prices and the deterioration in general economic
conditions.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross profit consists primarily of net sales less the cost of sales. Costs of sales includes
the total cost of merchandise sold including freight expenses associated with moving merchandise
inventories from our vendors to our distribution centers and warehouses, vendor allowances and cash
discounts on payments to vendors, inventory shrinkage, warranty costs, costs associated with
purchasing and operating the distribution centers and warehouses, and freight expense associated
with moving merchandise inventories from the distribution centers to our retail stores. Gross
profit as a percentage of net sales may be affected by net sales volume, variations in our
channel mix and our product mix, price changes in response to competitive factors, changes in
our shrink expense, warranty expense and warehousing and distribution costs, and fluctuations in
merchandise costs and vendor programs. Gross profit may not be
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">comparable to that of other companies as it does not include payroll, occupancy, and
depreciation costs for our retail locations.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross profit for the first quarter of fiscal 2008 decreased 1.5%, or $3.3&nbsp;million, compared to
the first quarter of fiscal 2007. Gross profit was $217.3&nbsp;million, or 47.1% of sales, for the first
quarter of fiscal 2008, as compared to $220.6&nbsp;million, or 46.6% of sales, for the first quarter of
fiscal 2007. The decrease in gross profit dollars was the result of the decline in sales, offset in
part by increased purchasing and handling costs capitalized in the first quarter of fiscal 2008
relative to increased inventory purchases compared with the same period in fiscal 2007. The
increase in the gross margin percentage was primarily due to the higher purchasing and handling
costs capitalized in the first quarter of fiscal 2008 compared with the same period in fiscal 2007.
These factors were partially offset by increased commercial sales, as commercial sales carry lower
margins than retail sales.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating and administrative expenses are comprised of store payroll, store occupancy,
advertising expenses, other store expenses and general and administrative expenses, which include
salaries and related benefits of corporate employees, administrative office occupancy expenses,
data processing, professional expenses and other related expenses.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Operating and administrative expenses were $205.8&nbsp;million, or 44.6% of net sales, in the first
quarter of fiscal 2008, compared to $199.2&nbsp;million, or 42.1% of net sales, in the first quarter of
fiscal 2007. Operating and administrative expenses increased $6.6&nbsp;million as a result of expenses
associated with the nine net new stores added from May&nbsp;7, 2007 through May&nbsp;4, 2008, as well as
expenses of approximately $2.7&nbsp;million related to the pending Acquisition (discussed in &#147;Recent
Developments&#148; above) and an increase of compensation expense of approximately $1.4&nbsp;million due to
increased employee incentive compensation costs.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
Our response to the governmental investigations associated with the
matters that were reviewed in the Audit
Committee-led investigation and the defense of the securities class action and derivative lawsuits
described in Note 12 &#150; Legal Matters in the notes to the unaudited consolidated financial
statements included in Item&nbsp;1 of this Quarterly Report resulted in investigation, litigation and
restatement expenses of $1.0&nbsp;million in the first quarter of fiscal 2008, compared to $4.6&nbsp;million
incurred in the first quarter of fiscal 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On
May&nbsp;1, 2008, we and our primary layer directors and officers liability insurer entered into
an agreement whereby the insurer agreed to fund $10.0&nbsp;million into an interest-bearing escrow
account to effect the proposed settlement of the securities class action litigation. The insurer
also agreed not to pursue any future claims for recovery against us for $5.0&nbsp;million of defense
costs (primarily legal fees) relating to such litigation, the shareholder derivative litigation
and the governmental investigations, that the insurer had agreed to reimburse to us or
pay directly to third parties.  We had previously expensed such costs as they were incurred.
Pursuant to such agreement, we agreed to release (upon the insurer&#146;s payment to the $15.0&nbsp;million policy limit)
the
insurer from any further claims under the related policy. The insurer funded the escrow account on
April&nbsp;28, 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
The United States District Court for the District of Arizona granted
preliminary approval to the proposed settlement of the securities class action litigation on April
22, 2008, and a hearing on the final approval is scheduled for July&nbsp;1, 2008. Although not anticipated, in the event
that the final settlement is not approved by the Court in July, the $10.0&nbsp;million and all accrued
interest will be repaid to the insurer and once again become available pursuant to the terms of the
policy.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During the first quarter of fiscal 2008, we recognized a $15.0&nbsp;million insurance recovery as a
result of, among other things, the previously mentioned agreement with the insurer and management&#146;s
conclusion, which was based in part on the advice of counsel, that it is probable that the Court
will grant final approval of the settlement. Other current assets in the consolidated balance sheet at May
4, 2008 included $10.0&nbsp;million relating to our beneficial interest in the escrow account which will
be used to satisfy our settlement obligation which we accrued in the fourth quarter of fiscal 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Store closing costs include amounts for new store closures, revisions in estimates for stores
currently in the closed store reserve, accretion expense, and operating and other expenses. Store
closing costs in the first quarter of fiscal 2008 were $0.8&nbsp;million, compared to $0.7&nbsp;million for
the comparable period in fiscal 2007. Costs increased primarily due to revisions in store closing
costs expensed during the first quarter of fiscal 2008.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest expense for the first quarter of fiscal 2008 increased to $15.4&nbsp;million from $13.3
million for the first quarter of fiscal 2007, primarily as a result of the higher rates paid by us
following our Term Loan Facility amendments in fiscal 2007. Our weighted average interest rate for
the first quarter of fiscal 2008 increased to approximately 10.0% as compared to approximately
8.83% for the comparable period of fiscal 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The income tax expense for the first quarter of fiscal 2008 was $3.9&nbsp;million, compared to $1.1
million for the same period in 2007. Our effective tax rate was 42.2% in the first quarter of
fiscal 2008 compared to 39.8% for the first quarter of fiscal 2007. The increase in the effective
tax rate in the first quarter of fiscal 2008 is primarily
attributable to the recognition of the previously mentioned insurance
recovery as well as the impact of a
new gross receipt tax in the state of
Michigan.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During the first quarter of fiscal 2008, we had net income of $5.4&nbsp;million, or $0.12 per
diluted common share, compared to net income of $1.7&nbsp;million, or $0.04 per diluted common share,
for the first quarter of fiscal 2007.
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Liquidity and Capital Resources</B>
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Overview of Liquidity</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Debt is an important part of our overall capitalization. Our outstanding debt balance
(excluding capital leases) as of May&nbsp;4, 2008 and February&nbsp;3, 2007 was $509.6&nbsp;million and $503.0
million, respectively. Our primary cash requirements include working capital (primarily inventory),
interest on our debt and capital expenditures. As a result of the borrowing base limitations of our
Senior Credit Facility, at May&nbsp;4, 2008, we had approximately $185.9&nbsp;million of availability under
our Senior Credit Facility. However, the maximum leverage covenant under our Term Loan Facility
limits the total amount of indebtedness we can have outstanding and, as of May&nbsp;4, 2008, would have
only permitted additional borrowings of approximately $117.2&nbsp;million, regardless of which facility
they were borrowed under. The Term Loan Facility was amended on October&nbsp;10, 2007 and further
amended on December&nbsp;18, 2007 to, among other things, modify the minimum fixed charge coverage ratio
and the maximum leverage ratio covenants contained in the Term Loan Facility for the fourth quarter
of fiscal 2007 and each of the quarters of fiscal 2008. See the &#147;Factors Affecting Liquidity and
Capital Resources&nbsp;&#151; Debt Covenants&#148; section below for a discussion of our compliance with debt
covenants.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We are required to make quarterly debt principal payments of 0.25% of the aggregate principal
amount of the loans under our Term Loan Facility beginning December&nbsp;31, 2006. We paid approximately
$0.9&nbsp;million in debt principal payments under this Facility in the first quarter of fiscal 2008. We
are not required to make debt principal payments on our Senior Credit Facility until 2010. Our
6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes become exchangeable if our common stock price exceeds $21.45 per share for at least 20
trading days in the period of 30 consecutive trading days ending on the last trading day of the
preceding fiscal quarter. Such an exchange would require repayment of the principal amount of the
6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes in cash and any premium in our common stock. If not exchangeable sooner, the earliest
date that the noteholders may require us to repurchase the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%&nbsp;Notes is December&nbsp;15, 2010.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We intend to fund our cash requirements with cash flows from operating activities, borrowings
under our Senior Credit Facility and short-term trade credit relating to payment terms for
merchandise inventory purchases. We believe these sources should be sufficient to meet our cash
needs for the foreseeable future. However, if we become subject to significant judgments,
settlements or fines related to the matters discussed in Note 12 &#151; Legal Matters in the notes to
the unaudited consolidated financial statements included in Item&nbsp;1 of this Quarterly Report or any
other matters, we could be required to make significant payments that could materially and
adversely affect our financial condition, potentially impacting our credit ratings, our ability to
access the capital markets and our compliance with our debt covenants.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Analysis of Cash Flows</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash provided by operating activities was $2.3&nbsp;million in the first quarter of fiscal
2008, compared to $7.7&nbsp;million during the first quarter of fiscal 2007, or a decrease of
$5.4&nbsp;million. The decrease in operating cash flow was due to an increase in inventories, the timing
of prepaid expenses, and a decrease in current accrued liabilities. Reduced cash inflow relative to
these factors was partially offset by an increase in accounts payable.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash used in investing activities totaled $4.4&nbsp;million for the first quarter of fiscal
2008, compared to $9.3&nbsp;million for the first quarter of fiscal 2007. The decrease in cash used in
investing activities in the first quarter of fiscal 2008 was primarily caused by our cost-saving
efforts related to capital expenditures, which decreased approximately $4.9&nbsp;million.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net cash provided by financing activities totaled $5.2&nbsp;million for the first quarter of fiscal
2008, compared to $4.7&nbsp;million for the first quarter of fiscal 2007. In the first quarter of fiscal
2008, we had net borrowings of $6.5&nbsp;million under our Senior Credit Facility, compared to
$8.5&nbsp;million of net payments in fiscal 2007.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Off-Balance Sheet Arrangements and Contractual Obligations</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We lease our office and warehouse facilities, all but one of our retail stores, and most of
our vehicles and equipment. Certain of the vehicles and equipment leases are classified as capital
leases and, accordingly, the asset and related obligation are recorded on our balance sheet.
Substantially all of our store leases are operating leases with private landlords and provide for
monthly rental payments based on a contractual amount. The majority of these lease agreements are
for base lease periods ranging from 10 to 20&nbsp;years, with three to five renewal options of five
years each. Certain store leases also provide for contingent rentals based upon a percentage of
sales in excess of a stipulated minimum. We believe that the long duration of our store leases
offers security for our store locations without the risks associated with real estate ownership.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have seller financing arrangements related to debt established for stores where we were the
seller-lessee and did not recover substantially all of the related construction costs. In those
situations, we recorded our total cost in property and equipment, and recorded amounts funded by
the lessor as a debt obligation on our balance sheet. Rental payments under these arrangements are
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">allocated between interest expense and reduction of the underlying obligation based on the
related amortization schedule.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;As of May&nbsp;4, 2008, there are no material changes to the contractual obligations table
disclosed in Management&#146;s Discussion and Analysis of Financial Condition and Results of Operations
in our 2007 10-K. The contractual obligations table in the 2007 10-K excludes liabilities with
respect to unrecognized tax benefits. We adopted FASB Interpretation No.&nbsp;48, <I>Accounting for
Uncertainty in Income Taxes </I>(&#147;FIN 48&#148;) at the beginning of fiscal 2007. At May&nbsp;4, 2008, we had
approximately $9.4&nbsp;million of unrecognized tax benefits as a result of our adoption of FIN&nbsp;48. We
do not expect these unrecognized income tax benefits to result in cash payments over the next 12
months. Beyond the next year, timing of any cash payments is uncertain.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We have contractual obligations for stores for which we closed prior to the end of the lease
term. We attempt to sublease closed locations and reduce the remaining lease payments owed by the
estimated sublease income. We expect net cash outflows for closed store locations as of fiscal
2007&nbsp;year-end of approximately $0.9&nbsp;million during fiscal 2008. These future cash outflows are
expected to be funded from normal operating cash flows. It is anticipated that approximately 48
stores in fiscal 2008 will be closed or relocated. We anticipate that the majority of these
closures will occur near the end of the lease terms, resulting in minimal closed store costs. As a
result, closed store expenses for these stores will principally relate to the period costs of
actually closing the stores and transporting our inventory, fixtures and other assets we own in the
store.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During the first quarter of fiscal 2008, the Compensation Committee of our Board of Directors
approved several new and enhanced severance and retention arrangements for headquarters staff and
our officers based on the non-management directors&#146; determination that it was in our stockholders&#146;
best interests that our personnel remain focused on their assigned duties and the operations of the
business in the context of the uncertainty and potential for distraction associated with the near
term likelihood of a change in control. These arrangements included:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>New severance plan for corporate headquarters facilities personnel not covered by other
agreements or arrangements that provides for enhanced severance benefits for certain
position levels in the context of termination of employment in conjunction with a change in
control;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>New severance agreements providing for standard and change in control severance benefits
for Regional Vice Presidents;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Amendments to existing corporate Vice President severance agreements that eliminate
mitigation and offset requirements upon a termination of employment in a change in control
context;</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Amendments to existing severance and retention arrangements for senior officers
providing for enhanced severance benefits upon termination of employment in the context of
a change in control; and</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Retention bonuses for certain personnel. &nbsp;&nbsp;</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Store Closing Costs</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Store closing costs include amounts for new store closures, revisions in estimates for stores
currently in the closed store reserve, accretion expense, and operating and other expenses. See
Note 6 &#151; Store Closing Costs in the notes to the unaudited consolidated financial statements
included in Item&nbsp;1 of this Quarterly Report.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We expect net cash outflows for closed locations included in our 2007 ending liability balance
to be approximately $0.9&nbsp;million during the remainder of fiscal 2008. Of these net outflows,
approximately $5.1&nbsp;million is expected to relate to rent and occupancy expenses. These expenses are
expected to be offset by estimated sublease income of $4.2&nbsp;million. The expected accretion to be
expensed in the remaining three quarters of fiscal 2008 on the liability as of the end of the first
quarter of fiscal 2007 is approximately $0.4&nbsp;million. The cash flow amounts above only relate to
contractual commitments and do not include period expenses incurred when a store is closed and also
the period costs incurred related to closed stores.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Factors Affecting Liquidity and Capital Resources</B>
</DIV>



<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Sales Trends</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Our business is somewhat seasonal in nature, with the highest sales occurring in the months of
June through October (overlapping our second and third fiscal quarters). In addition, our business
is affected by weather conditions. While unusually severe or inclement weather tends to reduce
sales, as our customers are more likely to defer elective maintenance during such periods,
extremely hot and cold temperatures tend to enhance sales by causing auto parts to fail and sales
of seasonal products to increase. Higher gasoline prices, such as we are experiencing in fiscal
2008 and experienced in fiscal 2007, may also adversely affect our revenues because our customers
may defer purchases of certain items as they use a higher percentage of their income to pay for
gasoline. Additionally, we believe that our sales are impacted by general economic conditions, and
that our sales in the first quarter of fiscal 2008 were adversely affected by the deterioration in
general economic conditions.
</DIV>




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</DIV>




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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Inflation</I></B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We do not believe our operations have been materially affected by inflation. We believe that
we will be able to mitigate the effects of future merchandise cost increases principally through
economies of scale resulting from increased volumes of purchases, selective forward buying and the
use of alternative suppliers and price increases. If we are not able to mitigate the effects of
future merchandise cost increases through these or other measures, the fixed cost of our organic
growth will adversely affect our profitability. We also experience inflationary increases in rent
expense as some of our lease agreements are adjusted based on changes in the consumer price index.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Debt Covenants</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Certain of our debt agreements at May&nbsp;4, 2008 contained negative covenants and restrictions on
actions by us and our subsidiaries including, without limitation, restrictions and limitations on
indebtedness, liens, guarantees, mergers, asset dispositions, investments, loans, advances and
acquisitions, payment of dividends, transactions with affiliates, change in business conducted, and
certain prepayments and amendments of indebtedness.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Auto is, under certain circumstances not applicable during the quarter ended May&nbsp;4, 2008,
subject to a minimum ratio of consolidated earnings before interest, taxes, depreciation,
amortization and rent expense, or EBITDAR, to fixed charges (as defined in the agreement, the
&#147;Fixed Charge Coverage Ratio&#148;) under a Senior Credit Facility financial maintenance covenant;
however, under the second waiver we entered into during the second quarter of the fiscal year ended
February&nbsp;4, 2007 and under all subsequent waivers, Auto was required to maintain a minimum 1:1
Fixed Charge Coverage Ratio until the termination of such waiver and all subsequent waivers. The
filing of the Quarterly Report for the second quarter of fiscal 2007 resulted in the termination of
the requirement to maintain the minimum 1:1 Fixed Charge Coverage Ratio imposed by these waivers.
For the twelve months ended May&nbsp;4, 2008, we would have been in compliance with this covenant had it
been applicable.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Term Loan Facility contains certain financial covenants, one of which is the requirement
of a minimum fixed charge coverage ratio (as separately defined in the Term Loan Facility). At May
4, 2008, the minimum fixed charge coverage ratio was 1.20:1 for the first quarter of fiscal 2008,
1.15:1 for the second quarter of fiscal 2008, 1.20:1 for the third and fourth quarters of fiscal
2008, and 1.45:1 thereafter. For the thirteen weeks ended May&nbsp;4, 2008, our actual ratio was 1.31:1.
The minimum ratios for fiscal 2008 reflect the December&nbsp;18, 2007 fourth amendment to the Term Loan
Facility.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
The Term Loan Facility also requires compliance with a maximum
leverage ratio covenant. The December
18, 2007 fourth amendment to the Term Loan Facility increased the maximum leverage ratio permitted
under the Term Loan Facility for the fourth quarter of fiscal 2007 and for each of the quarters of
fiscal 2008. The amendment increased the maximum leverage ratio permitted as of May&nbsp;4, 2008, to
5.80:1 for the first quarter of fiscal 2008, 6.00:1 for the second quarter of fiscal 2008, 5.75:1
for the third quarter of fiscal 2008, and 4.50:1 for the fourth quarter of fiscal 2008, while
leaving all other ratios unchanged. The maximum leverage ratio permitted declines to 3.25:1 after
the end of fiscal 2008 and further declines to 3.00:1 at the end of fiscal 2009. As of May&nbsp;4, 2008,
our actual leverage ratio was 4.74:1.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The maximum leverage ratio permitted in the first quarter of fiscal 2009 decreases
significantly to 3.25:1 from 5.75:1 in the third quarter of fiscal 2008 and 4.50:1 in the fourth
quarter of fiscal 2007. Based on our current financial forecast, we do not expect to be able to
satisfy this covenant for the first quarter fiscal 2009, and, as a result, we have classified all
of our indebtedness under the Term Loan Facility and the Senior Credit Facility, as well as the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>%
Notes, as current liabilities in the consolidated balance sheet as of May&nbsp;4, 2008. Furthermore,
beginning with the second quarter of fiscal 2008, we will be required to reduce (to twelve months)
the time period over which we amortize debt issuance costs and debt discount, increasing the
interest costs we report in our financial statements. The classification of all such indebtedness
as current liabilities and the acceleration of the amortization of interest costs will not cause a
default under our borrowing agreements. However, any such classification could have adverse
consequences upon our relationships with, and the credit terms upon which we do business with, our
vendors, although we expect such consequences, if any, to be limited due to the expected closing of
the Exchange Offer in the second quarter of fiscal 2008. We do not expect to seek any waivers or
amendments under its credit facilities prior to the closing of the Exchange Offer as these credit
facilities are expected to be repaid and terminated upon closing of the Exchange Offer.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;If the Exchange Offer were to fail to close, prior to the end of the first quarter of fiscal
2009, we would seek to obtain a waiver or amendment of certain covenants contained in the Term Loan
Facility, including the maximum leverage ratio covenant. No assurance can be given that we would be
able to obtain such a waiver or amendment on terms that would be satisfactory to us. Failure to
comply with the financial covenants of the Term Loan Facility would result in an event of default
under the Term Loan Facility following the first quarter of fiscal 2009, which could result in
possible acceleration of all of our indebtedness thereunder, under the Senior Credit Facility and
under the indenture under which the 6<FONT style="font-size: 70%"><SUP>3</SUP></FONT>/<FONT style="font-size: 60%">4</FONT>% Notes were issued, all of which could have a material
adverse effect on us.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Upon the occurrence and during the continuance of an event of default under the Senior Credit
Facility or the Term Loan Facility, the lenders thereunder could elect to terminate the commitments
thereunder (in the case of the Senior Credit Facility only), declare all
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">amounts owing thereunder to be immediately due and payable and exercise the remedies of a
secured party against the collateral granted to them to secure such indebtedness. If the lenders
under either the Senior Credit Facility or the Term Loan Facility accelerate the payment of the
indebtedness due thereunder, we cannot be assured that our assets would be sufficient to repay in
full such indebtedness, which is collateralized by substantially all of our assets.
At May 4, 2008, we were in compliance with the covenants under all our debt agreements.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt; margin-left: 1%"><B><I>Interest Rates</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Financial market risks relating to our operations result primarily from changes in interest
rates. Interest earned on our cash equivalents as well as interest paid on our variable rate debt
are sensitive to changes in interest rates.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Under our current debt and capital lease agreements, as of May&nbsp;4, 2008, 76% of our outstanding
debt and capital leases was at variable interest rates and 24% of our outstanding debt was at fixed
interest rates. As of May&nbsp;4, 2008, with $397.8&nbsp;million in variable rate debt outstanding, a 1%
change in the LIBOR rate to which this variable rate debt is tied would result in a $4.0&nbsp;million
change in our annual interest expense. This estimate assumes that our debt balance remains constant
for an annual period and the interest rate change occurs at the beginning of the period. Our
variable rate debt relates to borrowings under our Senior Credit Facility and Term Loan Facility,
which are vulnerable to movements in the LIBOR rate.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Critical Accounting Matters</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For a discussion of our critical accounting matters, please refer to Item&nbsp;7, &#147;Management&#146;s
Discussion and Analysis of Financial Condition and Results of Operations,&#148; in our 2007 10-K under
the heading &#147;Critical Accounting Matters.&#148;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Recent Accounting Pronouncements</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;For a discussion of recent accounting pronouncements, please refer to Note 3 &#151; Recent
Accounting Pronouncements in the notes to the unaudited consolidated financial statements included
in Item&nbsp;1 of this Quarterly Report.
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<A name="109"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;3. </B><B><I>Quantitative and Qualitative Disclosures about Market Risk</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;See &#147;Factors Affecting Liquidity and Capital Resources&#148; above in Item&nbsp;2, Management&#146;s
Discussion and Analysis of Financial Condition and Results of Operations.
</DIV>
<DIV align="left">
<A name="110"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;4. </B><B><I>Controls and Procedures</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;An evaluation of the effectiveness of the design and operation of our &#147;disclosure controls and
procedures&#148; (as such term is defined in Rule&nbsp;13a-15(e) and 15d&#151;15(e) under the Exchange Act was
performed as of May&nbsp;4, 2008, under the supervision and with the participation of our management,
including our Chief Executive Officer and Chief Financial Officer. Our disclosure controls and
procedures have been designed to ensure that information we are required to disclose in our reports
that we file or submit under the Exchange Act is recorded, processed, summarized and reported
within the time periods specified by the SEC&#146;s rules and forms and that such information is
accumulated and communicated to our management, including our Chief Executive Officer and Chief
Financial Officer, to allow timely decisions regarding required disclosures.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Based on this evaluation, our Chief Executive Officer and our Chief Financial Officer
concluded that our disclosure controls and procedures were not effective as of May&nbsp;4, 2008 because
of the material weaknesses identified in our evaluation of internal control over financial
reporting as disclosed in our 2007 10-K.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company performed additional analyses and other post-closing procedures to ensure that our
consolidated financial statements contained within this Quarterly Report were prepared in
accordance with generally accepted accounting principles. Accordingly, management believes that the
consolidated financial statements included in this Quarterly Report fairly present in all material
respects our financial position, results of operations and cash flows for the periods presented.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>MATERIAL WEAKNESSES IN INTERNAL CONTROL OVER FINANCIAL REPORTING</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;A &#147;material weakness&#148; is a deficiency, or a combination of deficiencies, in internal control
over financial reporting, such that there is a reasonable possibility that a material misstatement
of the Company&#146;s annual or interim financial statements will not be prevented or detected on a
timely basis. A &#147;deficiency&#148; in internal control over financial reporting exists when the design or
operation of a control does not allow management or employees, in the normal course of performing
their assigned functions, to prevent or detect misstatements on a timely basis.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Management identified the following material weaknesses in the Company&#146;s internal control over
financial reporting as of May&nbsp;4, 2008:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><I>1)</I></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Resources, and Policies and Procedures to Ensure Proper and Consistent Application of
GAAP &#151; </I> The Company failed to have a sufficient complement of personnel with a level of
accounting knowledge, experience and training in the application of GAAP commensurate with
the Company&#146;s financial reporting requirements. This material weakness in the Company&#146;s
resources, and policies and procedures contributed to the following additional material
weakness:</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="4%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><I>a)</I></TD>
    <TD width="1%">&nbsp;</TD>
    <TD><I>Financial Reporting </I>&#151; The Company did not maintain effective controls over the
completeness and accuracy of its period-end financial reporting process. Specifically,
effective controls, including monitoring, were not maintained to ensure (i)&nbsp;timely
resolution of reconciling items and review of account reconciliations over certain
balance sheet accounts, (ii)&nbsp;timely recording of required period-end adjustments, and
(iii)&nbsp;accumulation and review of all required supporting information to ensure the
completeness and accuracy of the consolidated financial statements and disclosures.</TD>
</TR>

</TABLE>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;These material weaknesses contributed to the following additional material weaknesses and
resulted in adjustments to the Company&#146;s fiscal 2007, 2006 and 2005 annual and interim
consolidated financial statements and in adjustments to the Company&#146;s consolidated financial
statements for the first fiscal quarter of 2008 prior to the inclusion of their annual and interim financial statements in the Company&#146;s periodic
filings with the SEC and to the restatement of the Company&#146;s previously filed fiscal 2004 and the fiscal year ended February 1, 2004 (&#147;fiscal 2003&#148;) annual
consolidated financial statements and consolidated financial statements for each of the first
three quarter of fiscal 2005 and for each of the quarters of fiscal 2004 as described in the
Company&#146;s Form 10-K for fiscal 2005 filed May&nbsp;1, 2007. Additionally, these material weaknesses
could result in misstatements of any of the Company&#146;s consolidated financial statement accounts
and disclosures that would result in a material misstatement to the annual or interim
consolidated financial statements that would not be prevented or detected.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>2) Accounting for Inventory </I>&#151; The Company did not maintain effective controls over the
completeness, accuracy, existence and valuation of its inventory. Specifically, effective controls,
including monitoring, were not maintained to ensure that the Company&#146;s inventory systems completely
and accurately processed and accounted for inventory movements within the Company&#146;s distribution
network, particularly the disposition of inventory returns from customers. Additionally, the
Company did not maintain effective
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">



<DIV align="left" style="font-size: 10pt; margin-top: 6pt">monitoring and review over in-transit inventory, defective product warranty costs, core
inventory and related core return liability accounts and shrink expense and shrink accruals.
Furthermore, reconciliations of distribution center and warehouse physical inventory counts to the
general ledger balances were not performed accurately, resulting in adjustments to year-end
inventory balances.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>3) Accounting for Vendor Allowances </I>&#151; The Company did not maintain effective controls over
the completeness, accuracy and valuation of its vendor allowances. Specifically, effective
controls, including monitoring, were not maintained to ensure that (i)&nbsp;errors were prevented or
detected in interim and annual estimates of vendor allowances under certain contracts and that
vendor allowances were recorded in the appropriate general ledger accounts to allow for appropriate
inventory cost capitalization calculations, (ii)&nbsp;all final contracts were reviewed by accounting
personnel on a timely basis, and (iii)&nbsp;accounting of vendor allowances were recorded in the proper
periods.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<I>4) Accounting for Certain Accrued Expenses </I>&#151; The Company did not maintain effective controls
over the completeness, accuracy and valuation of certain of its accrued expense accounts and
related cost of sales, operating and administrative expenses, and store closing costs.
Specifically, effective controls including monitoring, and review and analysis were not maintained
to ensure certain accrued expense accounts were complete and accurate.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;These material weaknesses described in 2 - 4 above resulted in adjustments to the aforementioned
accounts within the Company&#146;s fiscal 2007, 2006 and 2005 annual and interim consolidated financial
statements and in adjustments to the Company&#146;s consolidated financial statements for the first fiscal quarter of 2008 prior to the inclusion of their annual and interim financial statements in
the Company&#146;s periodic filings with the SEC, and to the restatement of the Company&#146;s previously filed fiscal 2004
and 2003 annual consolidated financial statements and consolidated financial statements for each of
the first three quarters of fiscal 2005 and for each of the quarters of fiscal 2004, as described
in the Company&#146;s Form 10-K for fiscal 2005 filed on May&nbsp;1, 2007. In
addition, each of the material weaknesses described above could result in a misstatement of the
aforementioned accounts that would result in a material misstatement to the Company&#146;s annual or
interim consolidated financial statements and disclosures that would not be prevented or detected
on a timely basis.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>PLAN FOR REMEDIATION OF MATERIAL WEAKNESSES</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt"><B><I>Remediation Initiatives</I></B>

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Board of Directors created a Remediation Committee comprised of certain positions within
key functional areas of the Company and co-chaired by the General Counsel and the Chief Financial
Officer to develop and implement a remediation plan to address the material weaknesses and other
deficiencies noted from the completion of the Company&#146;s evaluation of internal controls over
financial reporting. The remediation plan that the Remediation Committee has been working with
reflects the input of the disinterested directors (the five of our seven directors who were not
current or former members of management at the time the remediation plan was developed) and
includes (1)&nbsp;ethics and compliance training; (2)&nbsp;hotline awareness and education; (3)&nbsp;corporate
governance training; (4)&nbsp;conflicts of interest training; (5)&nbsp;awareness and education of the
Company&#146;s Codes of Business Conduct and Ethics; and (6)&nbsp;targeted training geared toward certain
functional areas on such topics as vendor arrangements and the Sarbanes-Oxley Act of 2002.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;To remediate the material weaknesses described above, the Company has implemented or plans to
implement the remedial measures described below. In addition, the Company plans to continue its
evaluation of its controls and procedures and may, in the future, implement additional
enhancements:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Resources and Policies and Procedures to Ensure Proper and Consistent Application of GAAP &#151;
The Company plans to prepare or enhance formal written accounting policies and procedures and
establish procedures and processes for their periodic update. In addition, procedures are being prepared
to provide for the ability to effectively audit compliance with such policies and procedures.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company continues to assess staffing requirements to ensure the Finance organization has
the necessary resources that have knowledge, experience and training in the application of GAAP to
handle the Company&#146;s operations and related financial reporting requirements. These personnel,
along with a rigorous monthly financial statement review and comparison of actual results to
budget, are intended to assist in substantiating that our financial reporting is in compliance with
GAAP and SEC rules and regulations. The Company plans to increase the accounting, internal control,
and SEC reporting acumen and accountability of its Finance organization employees with training,
which is planned to include, among other things, in-house training and development programs to
enhance their competency with respect to GAAP and financial reporting.
</DIV>

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</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Financial Reporting &#151; Formalized procedures are being enhanced to provide for the proper
preparation of account reconciliations and their independent review and approval. The Company is
also automating certain procedures so that it will be more effective and efficient in completing
and reviewing account reconciliations and preparing complete, accurate and timely supporting
documentation for the account reconciliations. The inclusion of this supporting documentation is
intended to allow the approver to more effectively and efficiently ascertain whether the account
reconciliations are correct and in accordance with the Company&#146;s policies and procedures.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounting for Inventory &#151; The Company has instituted monitoring processes to ensure
compliance with its established policies to assure timely reconciliations of all physical
inventories and evaluation of the results of the reconciliations in the general ledger, as well as
independent supervisory review of the reconciliations. Review and approval processes are in place
for distribution centers, warehouses and stores to ensure inventory shrink estimates are calculated
in accordance with established procedures. We plan to enhance our reconciliation process of the
book and perpetual inventory for each reporting period to mitigate the risk of material
unsubstantiated balances accumulating in general ledger accounts. Longer term, we plan to make
system enhancements so that our book and perpetual systems function as one system that is used to
replenish the inventory and utilize the same information to account for on-hand merchandise
inventory and cost of sales. Currently, the Company uses an estimation technique for determining
its in-transit inventory rather than halting operations to enable a physical inventory of
in-transit merchandise to be conducted. This estimate is reviewed and approved on a monthly basis.
In the future, the inventory department expects its systems will be modified that will allow for a
systematic method of determining the in-transit inventory balances. In connection with the
adjustments of inventory and cost of sales for warranty, cores and allowance for sales returns, the
Company has developed more rigorous processes for the independent review of the methodology and
underlying judgments used in developing the estimates that underlie the related accounts.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounting for Vendor Allowances &#151; The Company&#146;s remediation activities have improved the
contract review and approval process and accounting for vendor allowances. However, during fiscal
2007, we continued to experience issues inherent in our manual vendor allowance process and we rely
on management monitoring to detect and correct errors that could be material. That monitoring has
reduced the frequency of errors, but not quite enough to conclude we have fully remediated this
material weakness. Management plans to implement new procedures and increase its monitoring by:
a) performing fluctuation analysis in the recording of estimates, b) implementing additional
required approvals to allow increased oversight to help in accuracy and general ledger coding, c)
enhancing the period-end recognition review meeting&#146;s effectiveness and use of the contract log to
identify open contracts for timely approval, d) reviewing certain contracts quarterly for valuation
instead of annually to reduce potential large year-end correcting entries, and e) reviewing large
valued vendor agreements recorded in the vendor contract log with much more depth at quarter-end to
potentially avoid large adjustments in subsequent quarters.

</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounting for Certain Accrued Expenses &#151; The Company&#146;s remediation measures planned to
address the material weakness related to the Company&#146;s recording of accrued expenses include the
development of a standardized checklist of expected accrual items and the implementation of a
process of enhanced review of invoices, disbursements and other supporting documentation at the end
of each quarter to provide for proper recording of accrued expenses and liabilities. In addition,
we believe that the formal review procedures for period-end closings and account reconciliations
and the knowledge and experience the new Finance organization management brings, along with written
policies and procedures, should remediate this material weakness.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B><I>Interim Measures Pending Completion of Remediation Initiatives</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Management has not yet implemented all of the measures described above or adequately tested
those controls already implemented. Nevertheless, management believes those remediation measures
already implemented, together with the additional measures undertaken by the Company described
below, satisfactorily address the material weaknesses described above as they might affect the
consolidated financial statements and information included in this Quarterly Report. These
additional measures included the following:
</DIV>

<DIV style="margin-top: 6pt">
<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">

<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Additional planning, analysis and procedures, and management reviews
have been performed to ensure the accuracy of financial reporting
contained in this Quarterly Report.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>Where the Company identified the existence of a material weakness, the
Company has performed extensive substantive procedures to ensure that
affected amounts are fairly stated for all periods presented in this
Quarterly Report.</TD>
</TR>

</TABLE>
</DIV>
<P align="center" style="font-size: 10pt"><!-- Folio -->35<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">


<DIV style="margin-top: 6pt"><TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">


<TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Company retained experienced accounting consultants, other than
the Company&#146;s independent registered public accounting firm, with
relevant accounting experience, skills and knowledge, working under
the supervision and direction of the Company&#146;s management, to assist
with the fiscal 2008 quarterly reporting process.</TD>
</TR>

<TR>
    <TD style="font-size: 6pt">&nbsp;</TD>
</TR><TR valign="top" style="font-size: 10pt; color: #000000; background: transparent">
    <TD width="2%" style="background: transparent">&nbsp;</TD>
    <TD width="3%" nowrap align="left"><B>&#149;</B></TD>
    <TD width="1%">&nbsp;</TD>
    <TD>The Company conducted a detailed and extensive review of account
reconciliations, non-routine transactions and agreements, and
financial statement classifications for accuracy and conformance with
GAAP.</TD>
</TR>

</TABLE>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B><I>Control deficiencies not constituting material weaknesses</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In addition to the material weaknesses described above, management has identified other
deficiencies in internal control over financial reporting that did not constitute material
weaknesses as of May&nbsp;4, 2008. The Company implemented during fiscal 2007, first quarter of fiscal
2008, and plans to implement during the remainder of fiscal 2008, various measures to remediate
these control deficiencies and has undertaken other interim measures to address these control
deficiencies.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B><I>Management&#146;s conclusions</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Management believes the remediation measures described above will strengthen the Company&#146;s
internal control over financial reporting and remediate the material weaknesses identified above.
Although management has not yet implemented all of these measures or tested all those that have
been implemented, management has concluded that the interim measures described above, provide
reasonable assurance regarding the reliability of financial reporting and the preparation of the
Company&#146;s financial statements included in this Quarterly Report and has discussed its conclusions
with the Company&#146;s Audit Committee.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Company is committed to continuing to improve its internal control processes and will
continue to diligently and vigorously review its disclosure controls and procedures and its
internal control over financial reporting in order to ensure compliance with the requirements of
SOX 404. However, any control system, regardless of how well designed, operated and evaluated, can
provide only reasonable, not absolute, assurance that its objectives will be met. As management
continues to evaluate and  improve the Company&#146;s internal control over financial reporting,
it may determine to take additional measures to address control deficiencies, and it may determine
not to complete certain of the measures described above.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>CHANGES IN INTERNAL CONTROL OVER FINANCIAL REPORTING</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;During the quarter ended May&nbsp;4, 2008, we implemented certain new internal controls
that have materially affected or are reasonably likely to materially
affect our internal control over financial reporting. We have refined
the process to improve the timeliness and quality of account reconciliations for certain
balance sheet accounts pertaining to our significant accounting
policies. We will continue to make additional enhancements in this
area. We believe these additional controls, in combination with our continued efforts to (i)
enhance previously existing controls, and (ii)&nbsp;provide internal training to remediate the material
weaknesses that continue to exist, will strengthen our internal control over
financial reporting.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->36<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<A name="111"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>PART II</B>
</DIV>


<DIV align="Center" style="font-size: 10pt; margin-top: 6pt"><B>OTHER INFORMATION</B>

</DIV>
<DIV align="left">
<A name="112"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;1. </B><B><I>Legal Proceedings</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Please refer to Note 12 &#151; Legal Matters in the notes to the unaudited consolidated financial
statements included in Item&nbsp;1 of Part&nbsp;I above, which is incorporated herein by reference.
</DIV>
<DIV align="left">
<A name="113"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;1A. </B><B><I>Risk Factors</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;There have been no material changes to the risk factors disclosed in the 2007 10-K.
</DIV>
<DIV align="left">
<A name="114"></A>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 12pt"><B>Item&nbsp;6. </B><B><I>Exhibits</I></B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The Exhibit&nbsp;Index located at the end of this Quarterly Report is incorporated herein by
reference.
</DIV>

<P align="center" style="font-size: 10pt"><!-- Folio -->37<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">
<DIV align="left">
<A name="115"></A>
</DIV>

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>SIGNATURES</B>
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly
caused this report to be signed on its behalf by the undersigned thereunto duly authorized.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
<TD>&nbsp;</TD>
    <TD colspan="2" align="left">CSK Auto Corporation<BR>

&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>


<TR>
    <TD valign="top" align="left">DATED: June&nbsp;13, 2008</TD>
<TD></TD>
<TD>&nbsp;</TD>
    <TD colspan="1" align="left">

&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">                            /s/ Lawrence N. Mondry
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">Lawrence N. Mondry&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left"><I>President and Chief Executive Officer</I>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD valign="top">By:&nbsp;&nbsp;</TD>
    <TD colspan="2" style="border-bottom: 1px solid #000000" align="left">                            /s/ James D. Constantine
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD colspan="2" align="left">James D. Constantine&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
    <TD nowrap colspan="2" align="left"><I>Executive Vice President of Finance and Chief Financial Officer</I>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->38<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>EXHIBIT INDEX</B>
</DIV>

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="10%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="88%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Exhibit</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Number</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Description</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="font-size: 3pt">
    <TD align="center" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">2.01
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Agreement and Plan of Merger among O&#146;Reilly Automotive, Inc., OC
Acquisition Company and CSK Auto Corporation, dated April&nbsp;1, 2008,
incorporated herein by reference to Exhibit&nbsp;2.1 to our Current
Report on Form&nbsp;8-K, filed on April&nbsp;7, 2008 (File No.&nbsp;001-13927).</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">3.01
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Restated Certificate of Incorporation of the Company, incorporated
herein by reference to Exhibit&nbsp;3.01 to our Annual Report on Form
10-K, filed on May&nbsp;4, 1998 (File No.&nbsp;001-13927).</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">3.02
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Certificate of Correction to the Restated Certificate of
Incorporation of the Company, incorporated herein by reference to
Exhibit&nbsp;3.02 to our Annual Report on Form&nbsp;10-K, filed on May&nbsp;4,
1998 (File No.&nbsp;001-13927).</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">3.03
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Certificate of Amendment to the Restated Certificate of
Incorporation of CSK Auto Corporation, incorporated herein by
reference to Exhibit&nbsp;3.2.1 to our Quarterly Report on Form&nbsp;10-Q,
filed on September&nbsp;18, 2002 (File No.&nbsp;001-13927).</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">3.04
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Second Certificate of Amendment of the Restated Certificate of
Incorporation of CSK Auto Corporation, incorporated herein by
reference to Exhibit&nbsp;3.04 to our Quarterly Report on Form&nbsp;10-Q,
filed on December&nbsp;9, 2005 (File No.&nbsp;001-13927).</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">3.05
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Amended and Restated By-laws of the Company, incorporated herein
by reference to Exhibit&nbsp;3.03 to our Annual Report on Form&nbsp;10-K,
filed on April&nbsp;28, 1999 (File No.&nbsp;001-13927).</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">3.06
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">First Amendment to Amended and Restated By-laws of the Company,
incorporated herein by reference to Exhibit&nbsp;3.03.1 to our annual
report on Form&nbsp;10-K, filed on May&nbsp;1, 2001 (File No 001-13927).</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">3.07
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Second Amendment to Amended and Restated By-laws of the Company,
incorporated herein by reference to Exhibit&nbsp;3.03.2 to our
Quarterly Report on Form&nbsp;10-Q, filed on June&nbsp;14, 2004 (File No.
001-13927).</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">3.08
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Third Amendment to Amended and Restated By-Laws of CSK Auto
Corporation, incorporated herein by reference to Exhibit&nbsp;3.1 to
our Current Report on Form&nbsp;8-K, filed on August&nbsp;16, 2007 (File No.
001-13927).</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">3.09
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Fourth Amendment to Amended and Restated By-Laws of CSK Auto
Corporation, incorporated herein by reference to Exhibit&nbsp;3.1 to
our Current Report on Form&nbsp;8-K, filed on September&nbsp;5, 2007 (File
No.&nbsp;001-13927).</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">4.01
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Rights Agreement, dated February&nbsp;4, 2008, by and between CSK Auto
Corporation and Mellon Investor Services LLC, as Rights Agent,
incorporated herein by reference to Exhibit&nbsp;1 to our Registration
Statement on Form&nbsp;8-A, filed on <font style="white-space: nowrap">February&nbsp;5, 2008 (File No.
001-13927).</font></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.01
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">First Amendment to the CSK Auto Corporation 1996 Associate Stock
Option Plan, effective as of March&nbsp;31, 2008, incorporated herein
by reference to Exhibit&nbsp;10.4.1 to our Annual Report on Form&nbsp;10-K,
filed on April&nbsp;18, 2008 <font style="white-space: nowrap">(File
No.&nbsp;001-13927).&#134;</font></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.02
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">First Amendment to the CSK Auto Corporation 1996 Executive Stock
Option Plan, effective as of March&nbsp;31, 2008, incorporated herein
by reference to Exhibit&nbsp;10.7.1 to our Annual Report on Form&nbsp;10-K,
filed on April&nbsp;18, 2008 <font style="white-space: nowrap">(File
No.&nbsp;001-13927).&#134;</font></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.03
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">First Amendment to the CSK Auto Corporation 1999 Employee Stock
Option Plan, effective as of March&nbsp;31, 2008, incorporated herein
by reference to Exhibit&nbsp;10.9.1 to our Annual Report on Form&nbsp;10-K,
filed on April&nbsp;18, 2008 <font style="white-space: nowrap">(File
No.&nbsp;001-13927).&#134;</font></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.04
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">First Amendment to the CSK Auto Corporation 2004 Stock and
Incentive Plan, effective as of March&nbsp;31, 2008, incorporated
herein by reference to Exhibit&nbsp;10.11.1 to our Annual Report on
Form&nbsp;10-K, filed on April&nbsp;18, 2008 (File No.&nbsp;001-13927).&#134;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.05
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Amended and Restated Severance and Retention Agreement
between CSK Auto, Inc. and each of its then senior executive
officers (other than Lawrence Mondry), incorporated herein by
reference to Exhibit&nbsp;10.24 to our Annual Report on Form&nbsp;10-K,
filed on April&nbsp;18, 2008 (File No.&nbsp;001-13927).&#134;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.06
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Second Amendment to Amended and Restated Outside Director
Compensation Policy, effective as of March&nbsp;7, 2008, incorporated
herein by reference to Exhibit&nbsp;10.29.2 to our </TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>


<P align="center" style="font-size: 10pt"><!-- Folio -->39<!-- /Folio -->
</DIV>

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<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="center">
<TABLE style="font-size: 10pt" cellspacing="0" border="0" cellpadding="0" width="100%">
<!-- Begin Table Head -->
<TR valign="bottom">
    <TD width="10%">&nbsp;</TD>
    <TD width="2%">&nbsp;</TD>
    <TD width="88%">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center"><B>Exhibit</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center">&nbsp;</TD>
</TR>
<TR style="font-size: 8pt" valign="bottom">
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Number</B></TD>
    <TD>&nbsp;</TD>
    <TD nowrap align="center" style="border-bottom: 1px solid #000000"><B>Description</B></TD>
</TR>

<!-- End Table Head -->
<!-- Begin Table Body -->
<TR valign="bottom" style="font-size: 3pt">
    <TD align="center" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Annual Report on
Form&nbsp;10-K, filed on April&nbsp;18, 2008
<font style="white-space: nowrap">(File
No.&nbsp;001-13927).&#134;</font> </TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>

<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.07
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">First Amendment to Employment Agreement, dated as of March&nbsp;31,
2008, by and between CSK Auto, Inc., and Lawrence N. Mondry,
incorporated herein by reference to Exhibit&nbsp;10.38.1 to our Annual
Report on Form&nbsp;10-K, filed on April&nbsp;18, 2008 (File No.
001-13927).&#134;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.08
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">2008 Cash in Lieu Bonus Plan, dated March&nbsp;18, 2008, incorporated
herein by reference to Exhibit&nbsp;10.42 to our Annual Report on Form
10-K, filed on April&nbsp;18, 2008 (File No.&nbsp;001-13927).&#134;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.08.1
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Notice of Participation in 2008 Cash in Lieu Bonus Plan,
incorporated herein by reference to Exhibit&nbsp;10.42.1 to our Annual
Report on Form&nbsp;10-K, filed on April&nbsp;18, 2008 (File No.
001-13927).&#134;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.9
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Side Letter between CSK Auto, Inc., CSK Auto Corporation and
Michael Bryk, dated March&nbsp;31, 2008, regarding reimbursement for
travel and temporary living expenses, incorporated herein by
reference to Exhibit&nbsp;10.43 to our Annual Report on Form&nbsp;10-K,
filed on April&nbsp;18, 2008 (File No.&nbsp;001-13927).&#134;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.10
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Side Letter between CSK Auto, Inc., CSK Auto Corporation and James
Constantine, dated March&nbsp;31, 2008, regarding reimbursement for
travel and temporary living expenses, incorporated herein by
reference to Exhibit&nbsp;10.44 to our Annual Report on Form&nbsp;10-K,
filed on April&nbsp;18, 2008 (File No.&nbsp;001-13927).&#134;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.11
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Side Letter between CSK Auto, Inc., CSK Auto Corporation and Randi
Morrison, dated March&nbsp;31, 2008, regarding reimbursement for travel
and temporary living expenses, incorporated herein by reference to
Exhibit&nbsp;10.45 to our Annual Report on Form&nbsp;10-K, filed on April
18, 2008 (File No.&nbsp;001-13927).&#134;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.12
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Side Letter between CSK Auto, Inc., CSK Auto Corporation and Brian
Woods, dated March&nbsp;31, 2008, regarding reimbursement for travel,
temporary living expenses, and relocation costs, incorporated
herein by reference to Exhibit&nbsp;10.46 to our Annual Report on Form
10-K, filed on April&nbsp;18, 2008 (File No.&nbsp;001-13927).&#134;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.13
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">2008 General and Administrative Staff Incentive Plan, incorporated
herein by reference to Exhibit&nbsp;10.47 to our Annual Report on Form
10-K, filed on April&nbsp;18, 2008 (File No.&nbsp;001-13927).&#134;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.14
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">2008 Executive Incentive Plan for Lawrence N. Mondry, incorporated
herein by reference to Exhibit&nbsp;10.48 to our Annual Report on Form
10-K, filed on April&nbsp;18, 2008 (File No.&nbsp;001-13927).&#134;</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">10.15
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Form of Restricted Stock Agreement between CSK Auto, Inc. and
Lawrence N. Mondry, incorporated herein by reference to Exhibit
(e)(17) of our Solicitation/Recommendation Statement on Schedule
14D-9, filed on June&nbsp;11, 2008
<font style="white-space: nowrap">(File No.&nbsp;005-55039).
&#134;</font></TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">31.01*
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Certification by the Chief Executive Officer pursuant to Section
302 of the Sarbanes-Oxley Act of 2002.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">31.02*
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Certification by the Chief Financial Officer pursuant to Section
302 of the Sarbanes-Oxley Act of 2002.</TD>
</TR>
<TR valign="bottom"><!-- Blank Space -->
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">&nbsp;</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">&nbsp;</TD>
</TR>
<TR valign="bottom">
    <TD align="center" valign="top"><DIV style="margin-left:0px; text-indent:-0px">32.01*
</DIV></TD>
    <TD>&nbsp;</TD>
    <TD align="left" valign="top">Certification of the Chief Executive Officer and Chief Financial
Officer pursuant to 18 U.S.C. Section&nbsp;1350, as adopted pursuant to
Section&nbsp;906 of the Sarbanes-Oxley Act of 2002.</TD>
</TR>
<!-- End Table Body -->
</TABLE>
</DIV>



<DIV align="left">
<DIV style="font-size: 3pt; margin-top: 16pt; width: 18%; border-top: 1px solid #000000">&nbsp;</DIV>
</DIV>

<TABLE width="100%" border="0" cellpadding="0" cellspacing="0" style="font-size: 10pt">
<TR>
    <TD width="3%"></TD>
    <TD width="1%"></TD>
    <TD width="96"></TD>
</TR>

<TR valign="top">
    <TD nowrap align="left">*</TD>
    <TD>&nbsp;</TD>
    <TD>Filed herewith.</TD>
</TR>

<TR style="font-size: 3pt"><TD>&nbsp;</TD></TR>

<TR valign="top">
    <TD nowrap align="left">&#134;</TD>
    <TD>&nbsp;</TD>
    <TD>Employment compensation plans or arrangements.</TD>
</TR>

</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->40<!-- /Folio -->
</DIV>

</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-31.01
<SEQUENCE>2
<FILENAME>p75643exv31w01.htm
<DESCRIPTION>EX-31.01
<TEXT>
<HTML>
<HEAD>
<TITLE>exv31w01</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->

<DIV style="font-family: 'Times New Roman',Times,serif">






<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Exhibit&nbsp;31.01</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CERTIFICATION</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">I, Lawrence N. Mondry, certify that:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;I have reviewed this quarterly report on Form 10-Q of CSK Auto Corporation;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.&nbsp;Based on my knowledge, this report does not contain any untrue statement of a material fact
or omit to state a material fact necessary to make the statements made, in light of the
circumstances under which such statements were made, not misleading with respect to the period
covered by this report;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.&nbsp;Based on my knowledge, the financial statements, and other financial information included
in this report, fairly present in all material respects the financial condition, results of
operations and cash flows of the registrant as of, and for, the periods presented in this report;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.&nbsp;The registrant&#146;s other certifying officer and I are responsible for establishing and
maintaining disclosure controls and procedures (as defined in Exchange Act Rules&nbsp;13a-15(e) and
15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules
13a-15(f) and 15d-15(f)) for the registrant and have:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.&nbsp;Designed such disclosure controls and procedures, or caused such disclosure controls and
procedures to be designed under our supervision, to ensure that material information relating to
the registrant, including its consolidated subsidiaries, is made known to us by others within
those entities, particularly during the period in which this report is being prepared;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.&nbsp;Designed such internal control over financial reporting, or caused such internal control
over financial reporting to be designed under our supervision, to provide reasonable assurance
regarding the reliability of financial reporting and the preparation of financial statements for
external purposes in accordance with generally accepted accounting principles;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c.&nbsp;Evaluated the effectiveness of the registrant&#146;s disclosure controls and procedures and
presented in this report our conclusions about the effectiveness of the disclosure controls and
procedures, as of the end of the period covered by this report based on such evaluation; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d.&nbsp;Disclosed in this report any change in the registrant&#146;s internal control over financial
reporting that occurred during the registrant&#146;s most recent fiscal quarter that has materially
affected, or is reasonably likely to materially affect, the registrant&#146;s internal control over
financial reporting; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.&nbsp;The registrant&#146;s other certifying officer and I have disclosed, based on our most recent
evaluation of internal control over financial reporting, to the registrant&#146;s auditors and the audit
committee of the registrant&#146;s board of directors (or persons performing the equivalent functions):
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.&nbsp;All significant deficiencies and material weaknesses in the design or operation of
internal control over financial reporting which are reasonably likely to adversely affect the
registrant&#146;s ability to record, process, summarize, and report financial information; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.&nbsp;Any fraud, whether or not material, that involves management or other employees who have a
significant role in the registrant&#146;s internal control over financial reporting.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">June 13, 2008&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="center">/s/ LAWRENCE N. MONDRY
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="center">Lawrence N. Mondry&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="center"><I>President and<br>
Chief Executive Officer</I>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-31.02
<SEQUENCE>3
<FILENAME>p75643exv31w02.htm
<DESCRIPTION>EX-31.02
<TEXT>
<HTML>
<HEAD>
<TITLE>exv31w02</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Exhibit&nbsp;31.02</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CERTIFICATION</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">I, James D. Constantine, certify that:
</DIV>


<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.&nbsp;I have reviewed this quarterly report on Form 10-Q of CSK Auto Corporation;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.&nbsp;Based on my knowledge, this report does not contain any untrue statement of a material fact
or omit to state a material fact necessary to make the statements made, in light of the
circumstances under which such statements were made, not misleading with respect to the period
covered by this report;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.&nbsp;Based on my knowledge, the financial statements, and other financial information included
in this report, fairly present in all material respects the financial condition, results of
operations and cash flows of the registrant as of, and for, the periods presented in this report;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.&nbsp;The registrant&#146;s other certifying officer and I are responsible for establishing and
maintaining disclosure controls and procedures (as defined in Exchange Act Rules&nbsp;13a-15(e) and
15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules
13a-15(f) and 15d-15(f)) for the registrant and have:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.&nbsp;Designed such disclosure controls and procedures, or caused such disclosure controls and
procedures to be designed under our supervision, to ensure that material information relating to
the registrant, including its consolidated subsidiaries, is made known to us by others within
those entities, particularly during the period in which this report is being prepared;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.&nbsp;Designed such internal control over financial reporting, or caused such internal control
over financial reporting to be designed under our supervision, to provide reasonable assurance
regarding the reliability of financial reporting and the preparation of financial statements for
external purposes in accordance with generally accepted accounting principles;
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c.&nbsp;Evaluated the effectiveness of the registrant&#146;s disclosure controls and procedures and
presented in this report our conclusions about the effectiveness of the disclosure controls and
procedures, as of the end of the period covered by this report based on such evaluation; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d.&nbsp;Disclosed in this report any change in the registrant&#146;s internal control over financial
reporting that occurred during the registrant&#146;s most recent fiscal quarter that has materially
affected, or is reasonably likely to materially affect, the registrant&#146;s internal control over
financial reporting; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.&nbsp;The registrant&#146;s other certifying officer and I have disclosed, based on our most recent
evaluation of internal control over financial reporting, to the registrant&#146;s auditors and the audit
committee of the registrant&#146;s board of directors (or persons performing the equivalent functions):
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.&nbsp;All significant deficiencies and material weaknesses in the design or operation of
internal control over financial reporting which are reasonably likely to adversely affect the
registrant&#146;s ability to record, process, summarize, and report financial information; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.&nbsp;Any fraud, whether or not material, that involves management or other employees who have a
significant role in the registrant&#146;s internal control over financial reporting.
</DIV>

<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">June 13, 2008&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="center">/s/ JAMES D. CONSTANTINE
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="center">James D. Constantine&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="center"><I>Executive Vice President of Finance <br>
and  Chief Financial Officer</I>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>


<P align="center" style="font-size: 10pt"><!-- Folio -->&nbsp;<!-- /Folio -->
</DIV>

</BODY>
</HTML>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-32.01
<SEQUENCE>4
<FILENAME>p75643exv32w01.htm
<DESCRIPTION>EX-32.01
<TEXT>
<HTML>
<HEAD>
<TITLE>exv32w01</TITLE>
</HEAD>
<BODY bgcolor="#FFFFFF">
<!-- PAGEBREAK -->

<DIV style="font-family: 'Times New Roman',Times,serif">

<DIV align="right" style="font-size: 10pt; margin-top: 12pt"><B>Exhibit&nbsp;32.01</B>
</DIV>


<DIV align="center" style="font-size: 10pt; margin-top: 18pt"><B>CERTIFICATION PURSUANT TO<BR>
18 U.S.C. SECTION 1350,<BR>
AS ADOPTED PURSUANT TO<BR>
SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002</B>
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">The certification set forth below is being submitted in connection with the Quarterly Report of CSK
Auto Corporation on Form 10-Q for the period ending May&nbsp;4, 2008 (the &#147;Report&#148;) for the purpose of
complying with Rule&nbsp;13a -14(b) or Rule&nbsp;15d -14(b) of the Securities Exchange Act of 1934 (the
&#147;Exchange Act&#148;) and Section&nbsp;1350 of Chapter&nbsp;63 of Title 18 of the United States Code.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">Each of the undersigned, in his capacity as an officer of CSK, certifies that to the best of his
knowledge:
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">(1)&nbsp;The Report fully complies with the requirements of section 13(a) or 15(d) of the Securities
Exchange Act of 1934; and
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">(2)&nbsp;The information contained in the Report fairly presents, in all material respects, the
financial condition and result of operations of CSK.
</DIV>

<DIV align="left" style="font-size: 10pt; margin-top: 6pt">This written statement is being furnished to the Securities and Exchange Commission as an exhibit
to the Report. A signed original of this statement has been provided to CSK Auto Corporation and
will be retained by CSK Auto Corporation and furnished to the Securities and Exchange Commission or
its staff upon request.
</DIV>


<TABLE width="100%" border="0" cellspacing="0" cellpadding="0" style="font-size: 10pt">
<TR>
    <TD width="48%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="1%">&nbsp;</TD>
    <TD width="35%">&nbsp;</TD>
    <TD width="15%">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">June 13, 2008&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="center">/s/ LAWRENCE N. MONDRY
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="center">Lawrence N. Mondry&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="center"><I>President and<br>
Chief Executive Officer</I>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
<TR>
    <TD valign="top" align="left">&nbsp;</TD>
    <TD colspan="3" align="left">&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">June 13, 2008&nbsp;</TD>
    <TD colspan="3" style="border-bottom: 1px solid #000000" align="center">/s/ JAMES D. CONSTANTINE
&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="center">James D. Constantine&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR><TR>
    <TD align="left">&nbsp;</TD>
    <TD colspan="3" align="center"><I>Executive Vice President of Finance <br>
and  Chief Financial Officer</I>&nbsp;</TD>
    <TD>&nbsp;</TD>
</TR>
<TR>
    <TD colspan="5">&nbsp;</TD>
</TR>
</TABLE>


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