On May 4, 1998, Co. formed a joint

On May 4, 1998, Co. formed a joint venture in the Republic of Korea with Shinsegae Department Store Co., Ltd. (Shinsegae) to acquire the membership warehouse club operation from Shinsegae. The joint venture operation became effective on June 1, 1998. Initial capitalization of the joint venture totaled approximately $100,000, with the company being a 93.75% owner and Shinsegae being a 6.25% owner. Approximately $80,000 of the initial investment will be used for land and building acquisitions, and the remaining approximately $20,000 will be used to purchase merchandise inventories and other assets, and for working capital purposes.
On May 26, 2000, Co. acquired from The Littlewoods Organisation PLC its 20% equity interest in Costco Wholesale UK Limited, increasing Co.'s ownership in Costco Wholesale UK Limited to 80%. The acquisition was funded with cash and cash equivalents on hand.