Review ofQ2 2007

Financial ResultsJanuary 9, 2007

Forward-LookingStatement DisclaimerForward-LookingStatement Disclaimer

Certain statements in this presentation, including statements regarding future results and performance, are forward-looking statements (as such term is definedunder the United States Private Securities Litigation Reform Act of 1995) based on current expectations. The accuracy of such statements is subject to a number of risks, uncertainties and assumptions that may cause actual results to differmaterially from those projected, including, but not limited to, changes in foreigncurrency valuations, our ability to effectively compete and changes in competition or other trends in the industries in which we compete and otherfactors. For further information, readers are referred to the section on Risks and Uncertainties contained in the MD&A and other Company filings. The Companydisclaims any intention or obligation to update or revise any forward-lookinginformation contained in its communications, whether as a result of new information, future events or otherwise.

This presentation also contains certain Non-GAAP financial measures. Suchinformation is reconciled to the most directly comparable financial measures in the Company’s communications with shareholders.

Mr. François J. CoutuVice Chairman of the Board and President, Canadian OperationsThe Jean Coutu Group (PJC) Inc.

3

RESULTSHIGHLIGHTS / Q2 2007

Revenues increased 4.6% during the quarter:2.8% sales growth in the United States

7.5% network sales growth in Canada, while distribution center sales increased by 12.1% (excluding the impact of US dollar currencyexchange fluctuations)

Operating income before amortization and restructuring charges was $131.0 M compared with $125.1M for the same period last year:

The $9.7 M of restructuring charges relate to an employee retentionand transition pay program in the United States

Long-term debt was $2,273.4 M at November 25, 2006 (excluding $10.8 M of long-term liabilities related to assets heldfor sale) and decreased $38.6 M since the end of fiscal 2006

The Company no longer amortized the PJC USA assets in the last quarter since they are classified as assets held for sale

4

RESULTSHIGHLIGHTS / Q2 2007

Summary of Results Q2 2007 Q1 2007 Q2 2006 6 Months 6 Months(millions $US, except EPS) 2007 2006

Revenue 2,833.4 2,786.2 2,709.3 5,619.6 5,392.4Gross profit 639.8 617.5 625.5 1,257.3 1,242.1

as a % of sales 23.0% 22.6% 23.5% 22.8% 23.4%

General and operating expenses 559.9 556.0 547.3 1,115.9 1,105.7as a % of revenue 19.8% 20.0% 20.2% 19.9% 20.5%

Operating income before amortization 121.3 100.2 125.1 221.5 229.5as a % of revenue 4.3% 3.6% 4.6% 3.9% 4.3%

Net earnings (loss) 72.5 -108.8 30.8 -36.3 41.9Net earnings (loss) per share $ 0.28 $ -0.42 $ 0.12 $ -0.14 $ 0.16Earnings per share before specific items $ 0.23 $ 0.07 $ 0.11 $ 0.30 $ 0.16

5

RESULTSSEGMENTED OIBA

OIBA(millions $US)

Franchising 46.8 9.8% 44.7 10.3% 43.0 10.4% 91.5 10.0% 80.9 10.4%

Retail Sales 74.5 3.2% 55.5 2.4% 82.1 3.6% 130.0 2.8% 148.6 3.2%Consolidated 121.3 4.3% 100.2 3.6% 125.1 4.6% 221.5 3.9% 229.5 4.3%

20062007Q2 2007 Q1 2007 Q2 2006 6 Months6 Months

6

RESULTSOIBA VARIANCE ANALYSIS

0

20

40

60

80

100

120

140

160

Q2 2006 Revenues % GrossMargin

SG&A FX Q2 2007

M $US

125,1 121,3

- 6,3- 20,5

+ 20,8

+ 2,2

7

RESULTSDECEMBER SALES GROWTH

Retail Sales GrowthDecember 2006 Canada (1) USA

Same Store Sales GrowthTotal 8.4% 1.8%Pharmacy 9.4% 2.8%Front-end 7.4% -0.3%

Total Sales GrowthTotal 9.1% 1.8%Pharmacy 9.9% 2.7%Front-end 8.4% -0.1%

Sales MixPharmacy 57% 69%Front-end 43% 31%(1) Franchised outlets' retail sales are not included in the Company's consolidated financial statements.

Retail Sales GrowthDecember 2006 Canada (1) USA

Same Store Sales GrowthTotal 8.4% 1.8%Pharmacy 9.4% 2.8%Front-end 7.4% -0.3%

Total Sales GrowthTotal 9.1% 1.8%Pharmacy 9.9% 2.7%Front-end 8.4% -0.1%

Sales MixPharmacy 57% 69%Front-end 43% 31%(1) Franchised outlets' retail sales are not included in the Company's consolidated financial statements.

8

4649 48

5053

51

9.8%10.3%9.4%

10.2%10.4%10.4%

0

10

20

30

40

50

60

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q40%

5%

10%

15%

20%

25%

538

488505478488

447

0

100

200

300

400

500

600

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

REVENUES OIBA

M CAN$OIBA

margin

2006 2007

M CAN$

2006 2007

CANADIAN OPERATIONSREVENUES AND OIBA

9

8.68.99.19.59.48.95.07.5

10.012.515.0

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

485436453425437395

0

200

400

600

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Sales

Gross Margin

20072006

M CAN$

20072006

CANADIAN OPERATIONS SALES AND GROSS MARGIN

%

10

2006

%

CANADIAN NETWORKRETAIL SALES GROWTH - COMPARABLE STORES

-4.0

-2.0

0.0

2.0

4.0

6.0

8.0

10.0

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Combined Front-End Pharmacy

2007

11

CANADIAN OPERATIONSHIGHLIGHTS / Q2 2007

Network sales increased 7.5% during Q2:Pharmacy sales increased 8.9%

Front-end sales increased 6.3%

Distribution center sales increased 12.1% during Q2:Pharmacy sales increased 13.4%

Front-end sales increased 10.3%

Roll out of Phase 2 of the AIR MILES Instant RewardProgram « A new Payment Method »:

Over 45,000 transactions for the period from October 28 to December 16, 2006

The average basket is 4 times higher than for non-AIR MILES transactions

12

CANADIAN OPERATIONSHIGHLIGHTS / Q2 2007

Dynamic weekly flyers withpromotional programs suchas:

« Door Crashers »

PJC Days

Successful Back to Schooland Autumn periodcontests: one offered an automobile as the weeklygrand prize and the otheroffered dream vacations

13

CANADIAN OPERATIONSHIGHLIGHTS / Q2 2007

Pharmacy:The PJC network was the exclusive distributor of 15,500 Diabetesinformation kits prepared in conjunction with Diabetes Quebec

Prepared 23,000 « Quit to Win » smoking cessation information kits for exclusive distribution in the PJC network as of January 2007

14

CANADIAN OPERATIONSHIGHLIGHTS / Q2 2007

Opened 2 new Boutiques Passion Beauté

The Sally Hansen and Broadway cosmetic lines are nowdistributed from the Hawkesbury DC in lieu of direct shipments

PJC undertook an aggressive store relocation program which is increasing store selling square footage. Customer response is excellent with front-end sales typically up about 25% in the first month of operations

Completion of 3 drugstore expansion projects. 2 drugstore renovation projects are in progress with 14 other projects in the pipeline. These projects will also contribute to front-end sales growth.

Mr. Pierre LegaultExecutive Vice-President

The Jean Coutu Group (PJC) Inc.

16

REVENUES OIBA

2,318 2,2962,462 2,431 2351 2355

0

500

1,000

1,500

2,000

2,500

3,000

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

67

9588

56

74

82

3.2%2.4%

3.6%3.9%3.6%2.9%0

10

20

30

40

50

60

70

80

90

100

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q40%

5%

10%

15%

20%

25%

30%

35%

40%M $US M $US

OIBAMargin

US NETWORKREVENUES AND OIBA

2006 2007 2006 2007

17

25.624.825.525.325.825.4

20.022.525.027.530.0

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

2,315 2,293 2,459 2,428 2,348 2,352

0500

10001500200025003000

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Sales

Gross Margin

20072006

M US$

20072006

US NETWORKSALES AND GROSS MARGIN

%

18

-4.0

-3.0

-2.0

-1.0

0.0

1.0

2.0

3.0

4.0

5.0

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Combined Front-End Pharmacy

2006

%

2007

US NETWORKRETAIL SALES GROWTH - COMPARABLE STORES

19

US NETWORK CHALLENGES

The Brooks Eckerd network performed well during Q2, despite the impact of the pending Rite Aid transaction:

This was the first quarter of positive front-end sales growth sincethe Eckerd acquisition

The pending merger is having a negative impact on our privatelabel program and new initiatives with vendors have slowed, resulting in downward pressure on front-end manufacturer support funds (MSF)

Brooks Eckerd has an aggressive pharmacist recruitment program in place, but full time openings have increased

Reduced new and relocated stores activity challenges our ability to grow market share

20

US NETWORK SALES TRENDS

Pharmacy comparable store sales improved 2.9% during Q2:Pharmacy all store sales increased by 3.0% versus last year despitethe effect of generic substitution (-3.56%)

Third consecutive quarter of positive script count growth

Generic dispensing rate has now reached 60.2% compared to 54.9% last year

Front-end comparable store sales increased by 1.9% (impacted by a declining Photo category)

Front-end all store sales increased by 2.3% versus last year but improved by 4.0% excluding the impact of the Film & Photo category (-1.7%)

Other categories such as Beauty, Health, Consumables and General merchandise reported improvement compared to last year

21

US NETWORK MEDICARE PART D UPDATE

Program began January 1, 2006

Nearly one in every three RXs filled for customers 65 and over was under a Medicare Part D plan

Gross profit negatively impacted due to Medicare Part D by 47 basis points in Q2 FY 2007

79.9% 75.9% 75.0% 74.6% 74.2% 73.3% 72.4% 72.1% 72.0% 71.4% 71.4% 71.6%

8.1% 9.7% 10.9% 11.7% 12.7% 14.1% 14.5% 14.6% 15.2% 15.4% 15.3%13.4% 8.7% 8.4% 8.0% 7.6% 7.5% 7.0% 6.8% 6.9% 7.0% 6.9% 6.8%6.8% 7.3% 6.8% 6.6% 6.5% 6.5% 6.5% 6.6% 6.5% 6.4% 6.3% 6.3%

0%

20%

40%

60%

80%

100%

Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov

Managed Care Medicare Part D Medicaid Cash

% of Scripts

22

US NETWORK GROSS MARGIN

Gross margin was 25.6% during the second quarter

Gross profit increased in Pharmacy:Medicare Part D impact has stabilized

New generics have been launched

Recent generic launches maximize gross margin aftermanufacturer exclusivity periods end

Improvement in generic dispensing rate

Gross profit decreased versus last year in Front-end:Slowdown in the declining Film & Photo category partiallyoffset by good growth in digital business

Increased promotional activity and markdown activity on older products

Decreased MSF and decreased availability of private label products offset the continued improvement in shrink

23

US NETWORKREAL ESTATE

1,500

1,600

1,700

1,800

1,900

2,000

Q4 2005 Q3 2006 Q4 2006 Q1 2007 Q2 2007

1,922 - 69

1,853 1,859+ 5

New = 14Acq. = 1Closed = 84Relos = 13

New = 6Closed = 1Relos = 5

Number of Stores

+ 11,858

New = 2Acq. = 3Closed = 4Relos = 3

1,859

New = 3Acq. = 1Closed = 4Relos = 0

Mr. André BelzileSenior Vice-President Finance and

Corporate AffairsThe Jean Coutu Group (PJC) Inc.

25

RESULTSADDITIONAL INFORMATION ON NON-GAAP MEASURES

Non-GAAP Measures Q2 2007 Q1 2007 Q2 2006 6 Months 6 Months(millions $US) 2007 2006

Net earnings (loss) 72.5 -108.8 30.8 -36.3 41.9Financing expenses 44.9 50.9 48.7 95.8 99.4Impairment loss on assets held for sale -12.0 120.0 - 108.0 -Income Taxes (recovery) 11.8 -20.1 -16.6 -8.3 -35.6 Operating Income 117.2 42.0 62.9 159.2 105.7Amortization 4.1 58.2 62.2 62.3 123.8Operating income before amortization 121.3 100.2 125.1 221.5 229.5Restructuring charges 9.7 10.6 - 20.3 -Operating income before amortization and restructuring charges 131.0 110.8 125.1 241.8 229.5

26

RESULTSADDITIONAL INFORMATION ON NON-GAAP MEASURES

Non-GAAP Measures Q2 2007 Q1 2007 Q2 2006 6 Months 6 Months(millions $US) 2007 2006

Net earnings (loss) 72.5 -108.8 30.8 -36.3 41.9Specific items after taxesImpairment loss on assets held for sale -12.0 120.0 - 108.0 -Restructuring charges 5.8 6.4 - 12.2 -Unrealized loss (gain) on monetary items and derivative financial instruments -5.5 0.2 -1.8 -5.3 -0.6 Earnings before specific items 60.8 17.8 29.0 78.6 41.3Net earnings (loss) per share 0.28 $ -0.42 $ 0.12 $ -0.14 $ 0.16 $ Specific items after taxesImpairment loss on assets held for sale -0.05 $ 0.46 $ - 0.41 $ -Restructuring charges 0.02 $ 0.03 $ - 0.05 $ -Unrealized loss (gain) on monetary items and derivative financial instruments -0.02 $ - -0.01 $ -0.02 $ -Earnings per share before specific items 0.23 $ 0.07 $ 0.11 $ 0.30 $ 0.16 $

27

FINANCIAL POSITIONCONSOLIDATED HIGHLIGHTS

Balance Sheet Q2 2007 F 2006 F 2005(millions $US, except NBV)

Long Term Debt 2,284.2 2,312.0 2,495.8Shareholders' Equity 1,608.3 1,565.7 1,412.1Total Assets 5,692.3 5,591.0 5,694.9Net Book Value per share $ 6.15 $ 5.98 $ 5.40

Net Debt / LTM OIBA 4.7x 4.5x 4.8xLTM OIBA / LTM Interest 2.4x 2.4x 2.6x

Review ofQ2 2007

Financial ResultsJanuary 9, 2007