Walmart is not immune to anything. If deflation occurs, Walmart will be hit even worse. Supplier margins are cut deep enough as it is. The dollar value of sales will drop although the number of sales transactions may increase. It will look worse quarter over quarter on a dollar by dollar measure. Total dollars generated is a poor measure when prices everywhere are falling. This is something you have to keep an open mind about. Its net percent of sales that matters (net income / net sales) in this type of economy.