Date of Release: 2004-04-28

Costco Wholesale Canada Ltd. & Costco Wholesale Corporation

Confirms at A (high) & R-1 (middle)

DBRS is confirming the ratings of Costco Wholesale Corporation (“Costco” or the “Company”) and Costco Wholesale Canada Ltd. as indicated above with Stable trends, following the initiation of a regular dividend payment to common shareholders. The dividend, $0.40 per share annually, will be paid in quarterly instalments commencing May 31, 2004, to shareholders of record at the close of business on May 10, 2004. The gross dividend payment presently represents an annual obligation of $183 million, and is less than 25% of reported net income over the last four quarters. Additionally, the dividend obligation represents 14% of cash flow from operations over the past four quarters, and 30% of free cash flow from operations, net of capital expenditures before changes in working capital over the same period. Based on future capital expenditure and acquisition expectations, DBRS views the commencement of the common dividend as acceptable and workable.

The ratings for Costco continue to reflect Costco’s position as the dominant warehouse club operator in the U.S. and Canada, its strong financial profile and net cash position and the increasing contribution of foreign operation.