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drugstore.com inc. Reports Record Gross Margins and Bottom Line Results for the Third Quarter of 2007
Date:10/22/2007

$100,634 $327,500 $307,179

Costs and

expenses: (1) (2)

Cost of sales 82,431 79,012 252,810 240,846

Fulfillment and

order processing 10,571 9,979 32,201 30,395

Marketing and sales 7,467 6,517 23,428 21,816

Technology and

content 4,680 4,046 13,870 11,991

General and

administrative 4,767 3,591 14,633 11,910

Amortization of

intangible assets 240 531 990 1,592

Total costs and

expenses 110,156 103,676 337,932 318,550

Operating loss (2,833) (3,042) (10,432) (11,371)

Interest income,

net 459 449 1,265 1,292

Net loss $(2,374) $(2,593) $(9,167) $(10,079)

Basic and diluted net

loss per share $(0.02) $(0.03) $(0.10) $(0.11)

Weighted average

shares

outstanding used

to compute basic

and diluted net

loss per share 95,664,011 93,488,258 95,056,884 93,198,037

(1) Set forth below are the amounts of stock-based compensation by

operating function recorded in the Statements of Operations:

Fulfillment and order

processing $185 $264 $646 $639

Marketing and sales 292 244 1,078 825

Technology and content 292 312 935 846

General and

administrative 1,378 940 4,455 2,706

$2,147 $1,760 $7,114 $5,016

(2) Set forth below are the amounts of depreciation by operating function

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SOURCE drugstore.com, inc.
Copyright©2007 PR Newswire.
All rights reserved

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