UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
________________
 
FORM 11-K
________________
 
(Mark One)
 
[X] Annual Report Pursuant to Section 15(d) of the Securities Exchange Act of 1934
       For the fiscal year ended January 31, 2005.
 
or
 
[  ] Transaction Report Pursuant to Section 15(d) of the Securities Exchange Act of 1934
      For the transition period from ______ to ______.

Commission file number 1-6991
 
A.  Full title of the plan and the address of the plan, if different from that of the issuer named below:
 
WAL-MART PUERTO RICO PROFIT SHARING AND 401(k) PLAN
 
B.  Name of issuer of the securities held pursuant to the plan and the address of its principal executive office:
________________

WAL-MART STORES, INC.
702 Southwest Eighth Street
Bentonville, Arkansas 72716
________________

 

 

Financial Statements
and Supplemental Schedules

Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan

As of January 31, 2005 and 2004, and
for the Plan year ended January 31, 2005

 

 

 

 

Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan

Financial Statements and
Supplemental Schedules

As of January 31, 2005 and 2004, and
for the Plan year ended January 31, 2005

Contents
 	 	
Report of Independent Registered Public Accounting Firm	1	
 	 	
Audited Financial Statements:	 	
Statements of Net Assets Available for Benefits	2	
Statement of Changes in Net Assets Available for Benefits	3	
Notes to Financial Statements	4	
 	 	
Supplemental Schedules:	 	
Schedule H; Line 4i—Schedule of Assets (Held at End of Year)	11	
Schedule H; Line 4j—Schedule of Reportable Transactions	14	

 

 

 

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

The Retirement Plans Committee of the
Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan

We have audited the accompanying statements of net assets available for benefits of Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan as of January 31, 2005 and 2004, and the related statement of changes in net assets available for benefits for the plan year ended January 31, 2005. These financial statements are the responsibility of the Plan's management. Our responsibility is to express an opinion on these financial statements based on our audits.

We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. We were not engaged to perform an audit of the Plan’s internal control over financial reporting. Our audits included consideration of internal control over financial reporting as a basis for designing audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Plan’s internal control over financial reporting. Accordingly, we express no such opinion. An audit also includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements, assessing the accounting principles used and significant estimates made by management, and evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.

In our opinion, the financial statements referred to above present fairly, in all material respects, the net assets available for benefits of the Plan at January 31, 2005 and 2004, and the changes in its net assets available for benefits for the plan year ended January 31, 2005, in conformity with U.S. generally accepted accounting principles.

Our audits were performed for the purpose of forming an opinion on the financial statements taken as a whole. The accompanying supplemental schedules of assets (held at end of year) as of January 31, 2005, and reportable transactions for the plan year then ended, are presented for purposes of additional analysis and are not a required part of the financial statements but are supplementary information required by the Department of Labor’s Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. These supplemental schedules are the responsibility of the Plan’s management. The supplemental schedules have been subjected to the auditing procedures applied in our audits of the financial statements and, in our opinion, are fairly stated in all material respects in relation to the financial statements taken as a whole.

July 15, 2005
Rogers, Arkansas

1

Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan

Statements of Net Assets Available for Benefits

 	 	January 31,	 	
 	 	2005	 	2004	 	
 	 	 	 	 	 	 	 	
Assets	 	 	 	 	 	 	 	
Investments	 	 $	 18,657,496	 	 $	 16,047,980	 	
 	 	 	 	 	 	 	 	
Receivables:	 	 	 	 	 	 	 	
Company contributions	 	 	5,296,568	 	 	3,467,520	 	
Associate contributions	 	 	11,365	 	 	4,979	 	
Due from Broker	 	 	45	 	 	225	 	
Total receivables	 	 $	 5,307,978	 	 $	 3,472,724	 	
Cash	 	 	4,010	 	 	5,054	 	
 	 	 	 	 	 	 	 	
Net assets available for benefits	 	$	23,969,484	 	$	19,525,758	 	

See accompanying notes.

 

2

Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan

Statement of Changes in Net Assets Available for Benefits

Plan year ended January 31, 2005

 
Additions	 	 	 	 	
    Company contributions	 	 $	 5,086,895	 	
    Associate contributions	 	 	397,449	 	
    Net depreciation in fair value of investments	 	 	(249,331	)	
    Interest and dividend income	 	 	351,043	 	
    Other, net	 	 	94,992	 	
     Total additions	 	 	5,681,048	 	
 	 	 	 	 	
Deductions	 	 	 	 	
    Benefit payments	 	 	1,214,606	 	
    Administrative expenses	 	 	22,716	 	
     Total deductions	 	 	1,237,322	 	
 	 	 	 	 	
Net increase	 	 	4,443,726	 	
Net assets available for benefits, at beginning of year	 	 	19,525,758	 	
Net assets available for benefits, at end of year	 	 $	 23,969,484	 	

See accompanying notes.

3

Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan
Notes to Financial Statements
January 31, 2005
 
1. Description of the Plan

The following description of the Wal-Mart Puerto Rico   Profit Sharing and 401(k) Plan (the “ Plan ” ) provides only general information regarding the Plan as in effect on January 31, 2005. This document is not part of the Summary Plan Description and is not a document pursuant to which the Plan is maintained within the meaning of the Puerto Rico Internal Revenue Code of 1994, as amended, or Section 402(a)(1) of the Employee Retirement Income Security Act of 1974 ( “ ERISA ” ), as amended. Participants should refer to the Plan document for a complete description of the Plan’s provisions. To the extent not specifically prohibited by statute or regulation, Wal-Mart Puerto Rico, Inc. ( “ Wal-Mart ” or the “ Company ” ) reserves the right to unilaterally amend, modify, or terminate the Plan at any time, and such changes may be applied to all Plan participants and their beneficiaries regardless of whether the participant is actively working or retired at the time of the change. The Plan may not be amended, however, to permit any part of the Plan’s assets to be used for any purpose other than for the purpose of paying benefits to participants and their beneficiaries.

General

The Wal-Mart Puerto Rico, Inc. 401(k) Retirement Savings Plan is a defined contribution plan established by the Company on February 1, 1997. This Plan was amended, effective October 31, 2003, to merge the Puerto Rico Profit Sharing assets of the Wal-Mart Stores, Inc. Profit Sharing Plan into the Wal-Mart Puerto Rico, Inc. 401(k) Retirement Savings Plan, with the surviving Plan named Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan.

Each eligible employee who was a participant in the Plan as of October 31, 2003, shall continue to be a participant hereunder from and after November 1, 2003, as long as such individual continues to be an eligible employee. Each eligible employee who is not a participant in the Plan as of October 31, 2003, and has completed at least 1,000 hours of service in a consecutive 12-month period is eligible to participate in the Plan. Participation may begin on the first day of the month following eligibility. The Plan is subject to the provisions of the Puerto Rico Internal Revenue Code of 1994 and ERISA.

On December 23, 2003, the Retirement Plans Committee approved an amendment to the Plan, effective January 1, 2004, to provide that any former employee of Supermercados Amigo, Inc., who becomes eligible to participate in the Plan, as a result of the merger of Supermercados Amigo, Inc. into Wal-Mart Puerto Rico, Inc. shall become a participant in the Plan as of the later of (1) February 1, 2004, or (2) if such an employee has not satisfied the eligibility requirements of the Plan document as of February 1, 2004, then as of the date such employee satisfies the eligibility requirements under the Plan document.

The responsibility for operation and administration of the Plan (except for investment management and control of assets) is vested in the Retirement Plans Committee of the Company. Retirement Plans Committee members are appointed by the Wal-Mart Stores, Inc.’s Vice-President, Retirement Plans Governance, with ratification of a majority of sitting committee members.

The trustee function of the Plan is performed by Banco Popular de Puerto Rico (“BPPR”) while Merrill Lynch Investment Managers LLC (“Merrill Lynch”) is the custodian of the Plan’s assets and record-keeper for the Plan. BPPR remits all contributions received from the Company to Merrill Lynch who invests those contributions as directed by participants and according to the policies established by the Retirement Plans Committee. Merrill Lynch makes payouts from the Plan in accordance with the Plan. The custodian and record-keeper is affiliated with Merrill Lynch, Pierce, Fenner & Smith, Inc., the parent corporation of Merrill Lynch and manager of the Merrill Lynch Equity Index Fund and the Merrill Lynch Retirement Preservation Fund, which are investment options offered under the Plan to participants.

Contributions

All eligible associates participate in the Plan and may elect to contribute from one percent to 10 percent of their eligible wages. Certain highly compensated associate contributions may be further limited under the terms of the Plan. Whether or not an associate contributes to the Plan, he or she will receive a portion of the Company’s contribution if the associate meets certain eligibility requirements. To be eligible to receive a Company contribution, the associate must complete at least 1,000 hours of service during the Plan year for which the contribution is made, and be employed on the last day of that Plan year.
4

Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan
Notes to Financial Statements (continued)

1. Description of the Plan (continued)

Wal-Mart’s contribution is discretionary and can vary from year to year. At the end of each Plan year, the Board of Directors of Wal-Mart Stores, Inc., or its authorized committee or delegate, at their discretion, determines the Company’s contribution (if any). The Company’s contribution for each associate will be based on a percentage of the associate’s eligible wages for the Plan year. For the Plan year ended January 31, 2005, the discretionary contribution percentage was two percent of eligible participants’ compensation for each of the Company’s qualified non-elective (“401(k)”) contribution and the Company’s Profit Sharing contribution. Such contributions are subject to certain limitations in accordance with provisions of the Puerto Rico Internal Revenue Code of 1994 and ERISA.

Participants’ Accounts

Each participant’s account is credited with earnings (losses) net of administrative expenses which are determined by the investments held in each participant’s accounts; the participant’s contribution; and an allocation of (a) the Company’s contribution to the Plan made on the associate’s behalf, and (b) forfeited balances of terminated participants’ nonvested Profit Sharing accounts and forfeited unclaimed checks. Allocations of forfeitures to participants are based on eligible wages. As of January 31, 2005 and 2004, forfeited nonvested Profit Sharing accounts and unclaimed check forfeitures to be reallocated to remaining participants totaled approximately $253,000 and $205,000, respectively.

Vesting

Participants are immediately vested in all elective contributions, 401(k) contributions, tax credit contributions and Profit Sharing Plan rollover contributions. A participant’s Profit Sharing contribution account vests based on years of service at a rate of 20% per year from years three through seven. Profit Sharing contribution accounts become fully vested upon Participant retirement at age 65 or above, or total and permanent disability or death.

Payment of Benefits and Withdrawals

Generally, payment upon a participant’s separation from the Company is a lump-sum payment or five-year annual installments in cash for the balance of the participant’s vested account. However, participants may elect to receive a single lump-sum payment of their Profit Sharing contribution account in whole shares of Company stock, with partial or fractional shares paid in cash even if such account is not invested in Company stock. Participants may also elect to receive a single lump-sum payment of their 401(k) contribution in whole shares of Company stock, with partial or fractional shares paid in cash, but only to the extent such accounts are invested in Company stock as of the date distributions are processed. To the extent the participant’s Profit Sharing and 401(k) accounts are not invested in Company stock, the account balances will automatically be distributed in cash, unless directed otherwise by the participant. Participants may also elect to rollover their account balance into a different tax-qualified retirement plan or individual retirement account upon separation from the Company.

The Plan permits withdrawals of active participants’ salary reduction contributions and rollover contributions only in amounts necessary to satisfy financial hardship as defined by the Plan document. In-service withdrawal of vested balances may be elected by participants who have reached 69 1/2 years of age.

Plan Termination

While there is no intention to do so, the Company may discontinue the Plan subject to the provisions of ERISA and the Puerto Rico Internal Revenue Code of 1994. In the event of complete or partial Plan termination, or discontinuance of contributions to the Plan, participants’ accounts shall be immediately vested. The Plan shall remain in effect (unless it is specifically terminated) and the assets shall be administered in the manner provided by the terms of the trust agreement and distributed as soon as administratively feasible.

Investment Options

A participant or former participant may direct the Trustee to invest any portion of his/her elective contributions and 401(k) contribution accounts in available investment options. Participant investment options include a variety of mutual funds, a common/collective trust, Wal-Mart common stock, and a stable value fund, which consists of a money market fund, a common/collective trust and guaranteed investment contracts. Associates may change their selections at any time.
5

Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan
Notes to Financial Statements (continued)
1. Description of the Plan (continued)

Participants’ Profit Sharing accounts and Profit Sharing rollover contribution accounts are invested at the direction of the Retirement Plans Committee for participants with less than seven years of service. Participants with at least seven years of service may direct the Trustee to invest such accounts in available investment options. Participant investment options include a variety of mutual funds, a common/collective trust, Wal-Mart common stock, and a stable value fund, which consists of a money market fund, a common/collective trust and guaranteed investment contracts. The associates may change their selections at any time throughout the year.

Participant investments not directed by the associate shall be invested by the Trustee as directed by the Retirement Plans Committee.

2. Summary of Accounting Policies

Basis of Accounting

Shares of mutual funds are valued at published prices which represent the net asset values of shares held by the Plan at year end. Shares of money market funds are stated at cost which approximates fair value. Wal-Mart common stock is stated at fair value, which equals the quoted market price on the last business day of the year. Investments in common/collective trust funds are stated at the fair value of the underlying assets determined by the Trustee. Guaranteed investment contracts held by the Plan through a stable value fund are considered to be fully benefit-responsive, and therefore, are recorded at contract value. Contract value represents contributions made under the contract, plus interest at the contract rates less withdrawals. Contract value approximates fair value as of January 31, 2005 and 2004 (see Note 3). Purchases and sales are recorded on a trade-date basis. Dividends are recorded on the ex-dividend date. Benefit payments are recorded when paid. Company contributions are recorded by the Plan in the period in which they were accrued by the Company. Company contributions to the Plan related to the Plan year ending January 31, 2005, were paid in April 2005.

The Company bears the majority of costs associated with administering the Plan, except for certain expenses paid by the Plan participants.

Use of Estimates

The preparation of the financial statements in conformity with U.S. generally accepted accounting principles requires Plan management to use estimates and assumptions that affect the amounts reported in the accompanying financial statements and notes. Actual results could differ from these estimates.

3. Retirement Preservation Fund Investments

The Plan’s Retirement Preservation Fund (“RPF”) is a stable value fund. The RPF is invested in a money market fund, a common/collective trust (the “Merrill Lynch Retirement Preservation Trust”), guaranteed investment contracts (“GIC’s”), separate account GIC’s and synthetic GIC’s. The synthetic GIC’s are secured by underlying fixed income assets. The crediting interest rates on the investment contracts ranged from 2.8% to 6.0% for the year ended January 31, 2005, and from 2.6% to 7.5% for the year ended January 31, 2004. Average duration for all investment contracts was 2.3 years and 2.7 years at January 31, 2005, and January 31, 2004, respectively. The average yield was 4.11% in 2005 and 3.99% in 2004. There are no reserves against the contract value for credit risk of the contracted issuer or otherwise.

The contract or crediting rates for certain stable value investment contracts are reset quarterly and are based on the market value of the portfolio of assets underlying these contracts. Inputs used to determine the crediting rate include each contract’s portfolio market value, current yield-to-date maturity, duration and market value relative to contract value. All contracts have a guaranteed rate of 0.0% or higher with respect to interest rate resets.

A synthetic GIC provides for a guaranteed return on principle over a specified period of time through benefit responsive wrapper contracts issued by a third party which are backed by underlying assets. The fair value on the Synthetic GIC’s is approximately $425,000 and $193,000 at January 31, 2005 and 2004, respectively. Included in the contract value of the synthetic GIC’s is approximately $2,000 and ($2,000) at January 31, 2005 and 2004, respectively, attributable to the wrapper contract providers representing the amounts by which the value of the contracts is greater than (less than) the value of the underlying assets.
6

Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan
Notes to Financial Statements (continued)
4. Investments

The Trustee holds the Plan’s investments and executes all investment transactions. The Plan provides for investments in various investment securities. Investment securities are exposed to various risks, such as interest rate, credit and market risks. Further, due to the level of risk associated with certain investment securities, it is at least reasonably possible that changes in the values of investment securities will occur in the near term and that such changes could materially affect the amounts reported in the statements of net assets available for benefits and the statement of changes in net assets available for benefits.

During the 2005 Plan year, the Plan’s investments (including investments purchased, sold, as well as held during the year) appreciated (depreciated) in value as follows:

 	 	Net	 	
 	 	Appreciation (Depreciation)	 	
 	 	in Fair Value	 	
 	 	of
Investments	 	
 	 	 	 	 	
Common Stock	 	 $	 (458,629	 )	
Mutual Funds	 	 	169,251	 	
Common/Collective Trusts	 	 	40,047	 	
Total	 	 $	 (249,331	 )	

The fair value of individual investments that represent five percent or more of the Plan’s net assets as of January 31, 2005 and 2004, are as follows:

 	 	  January 31,	 	
 	 	2005	 	2004	 	
PIMCO Total Return Fund	 	 $	 2,346,761	 	 $	 1,822,845	 	
Merrill Lynch Retirement Preservation Trust	 	 	2,272,446	 	 	1,984,497	 	
Wal-Mart Stores, Inc. Common Stock	 	 	10,135,091	 	 	9,313,508	 	
 
5. Non-Participant-Directed Investments

Information about the net assets and the significant components of the changes in net assets relating to the non-participant-directed investments is as follows:

 	 	As of
January 31, 2004	 	
  	 	 
Wal-Mart
Stores, Inc.
Common Stock	 	 
Merrill Lynch
Retirement
Preservation Fund	 	 

 
Total	 	
Assets:	 	 	 	 	 	 	 	 	 	 	
Common Stock	 	$	9,313,508	 	$	-	 	$	9,313,508	 	
Money Market Fund	 	 	-	 	 	138,883	 	 	138,883	 	
Common/Collective Trust	 	 	-	 	 	1,984,497	 	 	1,984,497	 	
GIC’s	 	 	-	 	 	471,459	 	 	471,459	 	
Investments	 	$	9,313,508	 	$	2,594,839	 	$	11,908,347	 	
Contributions receivable	 	 	1,700,420	 	 	584,445	 	 	2,284,865	 	
Net assets available for benefits	 	
$	
11,013,928	 	
$	
3,179,284	 	
$	
14,193,212	 	
 
7

Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan
Notes to Financial Statements (continued)
 
5. Non-Participant-Directed Investments (continued)

 	 	As of
January 31, 2005	 	
 	 	 
Wal-Mart
Stores, Inc.
Common Stock	 	 
Merrill Lynch
Retirement
Preservation Fund	 	 
 
Merrill Lynch
Equity Index
Trust GM	 	 
American
Europacific
Growth Fund GM	 	Franklin
Small-Mid Cap
Growth Fund GM	 	 
PIMCO
Total Return
Fund GM	 	 
 
Ariel
Fund GM	 	 
 
Mass
Investment
Growth
Fund GM	 	 

Davis NY
Venture
Fund GM	 	 

 
 
Total	 	
Assets:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Common Stock	 	$	10,135,091	 	$	-	 	$	-	 	$	-	 	$	-	 	$	-	 	$	-	 	$	-	 	$	-	 	$	10,135,091	 	
Mutual Funds	 	 	-	 	 	-	 	 	-	 	 	390,064	 	 	355,253	 	 	2,298,972	 	 	418,681	 	 	561,912	 	 	569,523	 	 	4,594,405	 	
Money Market Fund	 	 	-	 	 	179,140	 	 	-	 	 	-	 	 	-	 	 	-	 	 	-	 	 	-	 	 	-	 	 	179,140	 	
Common/Collective Trust	 	 	-	 	 	2,272,446	 	 	565,694	 	 	-	 	 	-	 	 	-	 	 	-	 	 	-	 	 	-	 	 	2,838,140	 	
GIC’s	 	 	-	 	 	617,610	 	 	-	 	 	-	 	 	-	 	 	-	 	 	-	 	 	-	 	 	-	 	 	617,610	 	
Investments	 	$	10,135,091	 	$	3,069,196	 	$	565,694	 	$	390,064	 	$	355,253	 	$	2,298,972	 	$	418,681	 	$	561,912	 	$	569,523	 	$	18,364,386	 	
Contributions receivable	 	 	2,282,694	 	 	1,171,911	 	 	195,411	 	 	126,085	 	 	122,067	 	 	833,817	 	 	145,845	 	 	195,133	 	 	195,412	 	 	5,268,375	 	
Net assets available for benefits	 	
$	
12,417,785	 	
$	
4,241,107	 	
$	
761,105	 	
$	
516,149	 	
$	
477,320	 	
$	
3,132,789	 	
$	
564,526	 	
$	
757,045	 	
$	
764,935	 	
$	
23,632,761	 	

 	 	Plan year ended January 31, 2005	 	

Wal-Mart
Stores, Inc.
Common Stock	 	 
Merrill Lynch
Retirement
Preservation
Fund	 	 

Merrill Lynch
Equity Index
Trust GM	 	 
 
American Europacific
Growth
Fund GM	 	 
Franklin
Small-Mid Cap
Growth Fund GM	 	 
 
PIMCO Total
Return
Fund GM	 	 

 
Ariel Fund GM	 	 

Mass
Investment
Growth
Fund GM	 	 

 
Davis NY
Venture
Fund GM	 	 

 
 
Total	 	
Changes in net assets:	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Contributions	 	$	2,381,965	 	$	1,033,604	 	$	200,895	 	$	139,631	 	$	127,626	 	$	871,903	 	$	156,725	 	$	210,987	 	$	211,211	 	$	5,334,547	 	
Interest and dividends	 	 	98,674	 	 	113,923	 	 	12	 	 	5,136	 	 	8	 	 	108,814	 	 	14,513	 	 	2,397	 	 	4,537	 	 	348,014	 	
Net appreciation/ (depreciation) in fair value of instruments	 	 	

(458,629	

)	 	

-	 	 	

33,937	 	 	

45,780	 	 	

25,648	 	 	

(23,704	

)	 	

42,867	 	 	

23,481	 	 	

46,113	 	 	

(264,507	

)	
Benefit payments	 	 	(597,271	)	 	(212,251	)	 	(42,021	)	 	(27,829	)	 	(26,058	)	 	(172,683	)	 	(31,464	)	 	(41,506	)	 	(42,309	)	 	(1,193,392	)	
Administrative expenses	 	 	(4,261	)	 	(5,381	)	 	(1,383	)	 	(876	)	 	(864	)	 	(5,946	)	 	(1,056	)	 	(1,389	)	 	(1,387	)	 	(22,543	)	
Net interfund transfers	 	 	(21,064	)	 	45,601	 	 	913	 	 	(14,628	)	 	(575	)	 	32,189	 	 	(34,361	)	 	9,757	 	 	(15,239	)	 	2,593	 	
Other, net	 	 	4,443	 	 	86,327	 	 	114	 	 	75	 	 	72	 	 	461	 	 	86	 	 	113	 	 	115	 	 	91,806	 	
Net increase	 	 	1,403,857	 	 	1,061,823	 	 	192,467	 	 	147,289	 	 	125,857	 	 	811,034	 	 	147,310	 	 	203,840	 	 	203,041	 	 	4,296,518	 	
Net assets available for benefits at beginning of year	 	 	

11,013,928	 	 	

3,179,284	 	 	

568,638	 	 	

368,860	 	 	

351,463	 	 	

2,321,755	 	 	

417,216	 	 	

553,205	 	 	

561,894	 	 	

19,336,243	 	
Net assets available for benefits at end of year	 	
$	
12,417,785	 	
$	
4,241,107	 	
$	
761,105	 	
$	
516,149	 	
$	
477,320	 	
$	
3,132,789	 	
$	
564,526	 	
$	
757,045	 	
$	
764,935	 	
$	
23,632,761	 	

8

Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan
Notes to Financial Statements (continued)
 
5. Non-Participant-Directed Investments (continued)

The above tables represent the net assets available for benefits for both the 401(k) and Profit Sharing Investments. The investments include a portion that is participant-directed. The tables include both non-participant and participant-directed investments, as the participant-directed investments cannot be segregated from the total.

6. Differences between Financial Statements and Form 5500

The following is a reconciliation of net assets available for benefits per the financial statements to Form 5500:

 	 	January 31,	 	
 	 	2005	 	2004	 	
Net assets available for benefits per the financial statements	 	
 $	
 23,969,484	 	
 $	
 19,525,758	 	
Amounts allocated to withdrawing participants	 	 	
(1,043	
)	 	
(2,022	
)	
Net assets available for benefits per the Form 5500	 	
 $	
 23,968,441	 	
 $	
 19,523,736	 	

The following is a reconciliation of benefit payments to participants per the financial statements to the Form 5500 for the plan year ended January 31, 2005:
 
Benefit payments per the financial statements	 	 $	 1,214,606	 	
Add: Amounts allocated to withdrawn participants at end of year	 	 	
1,043	 	
Less: Amounts allocated on Form 5500 to withdrawn participants at beginning of the year	 	 	
(2,022	)	
Benefit payments per the Form 5500	 	 $	 1,213,627	 	

Amounts allocated to withdrawing participants are recorded in the Form 5500 for benefit payments that have been processed and approved for payment prior to January 31, but not yet paid as of that date.
 
7. Tax Status

The Plan has received a determination letter from the Commonwealth of Puerto Rico’s Department of Treasury dated February 10, 1999, and subsequently, received a letter dated May 12, 2005, stating that the Plan is qualified under Section 1165(a) of the Puerto Rico Internal Revenue Code of 1994 (“the Code”) and, therefore, the related trust is exempt from taxation. Subsequent to this determination by the Code, the Plan was amended. Once qualified, the Plan is required to operate in conformity with the Code to maintain its qualification. The Plan Sponsor believes the Plan is being administered in accordance with the terms of the Plan and the applicable requirements of the Code.  Where appropriate, corrections or administrative procedures will continue to be implemented as needed by the Plan Sponsor and the Plan to insure the continued qualified status of the Plan and related trust.

8. Related-Party Transactions

Certain Plan investments are shares of common stock of Wal-Mart Stores, Inc. and shares of a common/collective trust and a stable value fund managed by Merrill Lynch. Wal-Mart Stores, Inc. is the Plan sponsor, and Merrill Lynch is the custodian and record-keeper as defined by the Plan and, therefore, these transactions qualify as party-in-interest transactions. Fees paid by the Plan for the custodial and record-keeping services amounted to $22,716 for the year ended January 31, 2005.

9. Subsequent Events

In March 2005, the automatic distribution threshold for Plan payouts after termination changed to $1,000 from $5,000 .
9

Supplemental Schedules

 

 

 

 

10

Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan
Schedule H, Line 4i - Schedule of Assets (Held at End of Year)
January 31, 2005
EIN #66-0475164
Plan #004

  (a)	(b)  	(c)	(d)	  (e)	

 	Identity of Issue, Borrower, Lessor,
or Similar Party	Description of Investment Including Maturity Date, Rate of Interest, Collateral, Par or Maturity Value	    Cost	Current
Value	
**	Non-Participant-Directed:	 	 	 	
*	Wal-Mart Stores, Inc.	Common Stock	$  2,559,368 	$    10,135,091 	
*	Merrill Lynch	Premier Fund	179,140 	179,140 	
*	Merrill Lynch	Retirement Preservation Trust	2,272,446 	2,272,446 	
 	AIG	GIC - 3.4%	40,592 	40,592 	
 	AIG Wrapper Contract	GIC - Wrapper Contract	224 	224 	
 	Bank of America	GIC - 2.8%	41,695 	41,695 	
 	Bank of America Wrapper Contract	GIC - Wrapper Contract	319 	319 	
 	IXIS Financial Products, Inc.	GIC - 4.0%	80,122 	80,122 	
 	IXIS Financial Products, Inc. Wrapper Contract	GIC - Wrapper Contract	415 	415 	
 	GE Capital Assurance Company	GIC - 4.1%	1,988 	1,988 	
 	GE Capital Assurance Company	GIC - 4.9%	8,095 	8,095 	
 	GE Capital Assurance Company	GIC - 4.9%	8,072 	8,072 	
 	GE Capital Assurance Company	GIC - 4.9%	3,973 	3,973 	
 	GE Capital Assurance Company	GIC - 4.2%	7,745 	7,745 	
 	Hartford Life Insurance Company	GIC - 6.0%	1,758 	1,758 	
 	Hartford Life Insurance Company	GIC - 5.7%	8,193 	8,193 	
 	Hartford Life Insurance Company	GIC - 4.6%	7,843 	7,843 	
 	Hartford Life Insurance Company	GIC - 3.3%	11,869 	11,869 	
 	John Hancock Life Insurance Company	GIC - 4.6%	5,905 	5,905 	
 	JP Morgan Chase Bank	GIC - 4.2%	35,759 	35,759 	
 	JP Morgan Chase Bank Wrapper Contract	GIC - Wrapper Contract	(101)	(101)	
 	Monumental Life Insurance	GIC - 4.5%	3,265 	3,265 	
 	Monumental Life Insurance	GIC - 4.7%	4,060 	4,060 	
 	New York Life Insurance Company	GIC - 5.2%	1,688 	1,688 	
 	New York Life Insurance Company	GIC - 3.3%	4,511 	4,511 	
 	New York Life Insurance Company	GIC - 2.8%	11,763 	11,763 	
 	Pacific Life Insurance Company	GIC - 4.4%	5,846 	5,846 	
 	Pacific Life Insurance Company	GIC - 3.2%	4,483 	4,483 	
 	Pacific Life Insurance Company	GIC - 3.3%	6,692 	6,692 	
 	Principle Life Insurance Company	GIC - 4.0%	7,594 	7,594 	

11

Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan
Schedule H, Line 4i - Schedule of Assets (Held at End of Year)
January 31, 2005
EIN #66-0475164
Plan #004

  (a)	  (b)	(c)	  (d)	  (e)	
 
 	Identity of Issue, Borrower, Lessor,
or Similar Party	Description of Investment Including Maturity Date, Rate of Interest, Collateral, Par or Maturity Value	Cost	Current
Value	
 	 	 	 		
**	Non-Participant-Directed (continued):	 	 	    	
 	Principle Life Insurance Company	GIC - 5.1%	6,087 	6,087 	
 	Principle Life Insurance Company	GIC - 4.4%	3,954 	3,954 	
 	Principle Life Insurance Company	GIC - 4.3%	7,745 	7,745 	
 	Protective Life Insurance Company	GIC - 3.7%	7,619 	7,619 	
 	Protective Life Insurance Company	GIC - 3.9%	9,083 	9,083 	
 	Protective Life Insurance Company	GIC - 3.6%	9,016 	9,016 	
 	State Street Bank & Trust Company	GIC - 4.4%	74,267 	74,267 	
 	State Street Bank & Trust Company Wrapper Contract	GIC - Wrapper Contract	529 	529 	
 	Transamerica Life Insurance Company	GIC - 4.4%	69,698 	69,698 	
 	Transamerica Life Insurance Company Wrapper Contract	GIC - Wrapper Contract	(166)	(166)	
 	Travelers Life and Annuity	GIC - 4.9%	8,044 	8,044 	
 	Travelers Life and Annuity	GIC - 4.4%	3,962 	3,962 	
 	Travelers Life and Annuity	GIC - 4.8%	3,962 	3,962 	
 	UBS AG	GIC - 3.0%	83,549 	83,549 	
 	UBS AG Wrapper Contract	GIC - Wrapper Contract	459 	459 	
 	United of Omaha Life Insurance Company	GIC - 4.1%	7,700 	7,700 	
 	United of Omaha Life Insurance Company	GIC - 2.8%	7,734 	7,734 	
*	Merrill Lynch	Equity Index Trust GM	497,518 	565,694 	
 	American Europacific	Growth Fund GM	330,170 	390,064 	
 	Franklin Templeton Investments	Small-Mid Cap Growth Fund GM	259,191 	355,253 	
 	PIMCO Funds	Total Return Fund GM	2,299,101 	2,298,972 	
 	Ariel	Ariel Fund GM	300,875 	418,681 	
 	Massachusetts Investments	Growth Stock Fund GM	455,462 	561,912 	
 	Davis Funds	New York Venture Fund GM	418,816 	569,523 	
 	 	 	 	18,364,386 	

12

Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan
Schedule H, Line 4i - Schedule of Assets (Held at End of Year)
January 31, 2005
EIN #66-0475164
Plan #004

  (a)	(b)	(c)	  (d)	  (e)	
 	Identity of Issue, Borrower, Lessor,
or Similar Party	Description of Investment Including Maturity Date, Rate of Interest, Collateral, Par or Maturity Value	 	Current
Value	
 	 	 	 	 	
 	Participant-Directed:	 	 	 	
*	Merrill Lynch	Equity Index Trust	 	108,699	
 	Ariel	Ariel Fund	 	9,839	
 	American Europacific	Growth Fund	 	36,429	
 	PIMCO Funds	Total Return Fund	 	47,789	
 	Davis Funds	New York Venture Fund	 	11,349	
 	Franklin Templeton Investments	Small-Mid Cap Growth Fund	 	52,420	
 	Massachusetts Investments	Growth Stock Fund	 	16,374	
 	Allianz Funds	RCM Innovation Fund	 	5,100	
 	AIM Funds	International Growth Fund	 	5,111	
 	 	 	 	293,110	
 	 	 	 	 	
 	Total Investments	 	 	 $       18,657,496	

*    Party-in-interest
** The amounts include both non-participant and participant-directed amounts as the participant-directed investments cannot be segregated from the total.

Note:   Column (d) is not applicable for participant directed investments.

13

Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan
Schedule H, Line 4j - Schedule of Reportable Transactions
January 31, 2005
EIN #66-0475164
Plan #004

(a)	 	  (b)	 	  (c)	 	  (d)	 	(g)  	 	(h)	 	(i)	 	
Identity of
Party Involved	 	Description of Assets (Including Interest Rate and
Maturity in Case of Loans)	 	Purchase Price	 	Selling Price	 	Cost of Asset	 	Current Value of Asset on Transaction
Date	 	Net Gain
or (Loss)	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Category (iii) - Series of individual transactions in excess of 5% of Plan assets as of January 31, 2004:	 	 	 	 	 	 	 	 	 	
 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	 	
Wal-Mart Stores, Inc. *	 	 	Common Stock	 	$	1,917,608	 	$	-	 	$	1,917,608	 	$	1,917,608	 	$	-	 	
Wal-Mart Stores, Inc. *	 	 	Common Stock	 	$	-	 	$	760,930	 	$	170,692	 	$	760,930	 	$	590,238	 	

There were no category (i), (ii) or (iv) transactions during the 2005 Plan year.

Columns (e) and (f), are not applicable.

* The above transactions include a portion that is participant-directed. The above table includes both non-participant and participant-directed transactions, as the participant-directed transactions cannot be segregated from the total.

14

 
SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the trustees (or other persons who administer the employee benefit plan) have duly caused this annual report to be signed on its behalf by the undersigned hereunto duly authorized.

 	Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan	

 	 
 	
Date:  July 29, 2005	By:  	/s/  Stephen R. Hunter	
 	
Vice President Retirement Savings Plans
Wal-Mart Stores, Inc.	

Exhibit 23
 
Consent of Independent Registered Public Accounting Firm
 
We consent to the incorporation by reference in the Registration Statement (Form S-8 No. 333-109414) pertaining to the Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan of our report dated July 15, 2005, with respect to the financial statements and schedules of the Wal-Mart Puerto Rico Profit Sharing and 401(k) Plan included in this Annual Report (Form 11-K) for the year ended January 31, 2005.

Rogers, Arkansas
July 29, 2005