FORM 4 Check this box if no longer subject to Section 16. Form 4 or Form 5 obligations may continue. See Instruction 1(b).

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 STATEMENT OF CHANGES IN BENEFICIAL OWNERSHIP OF SECURITIES Filed pursuant to Section 16(a) of the Securities Exchange Act of 1934, Section 17(a) of the Public Utility Holding Company Act of 1935 or Section 30(h) of the Investment Company Act of 1940

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(Print or Type Responses)

1. Name and Address of Reporting Person * McKay John D   2. Issuer Name and Ticker or Trading Symbol COSTCO WHOLESALE CORP /NEW [COST] 5. Relationship of Reporting Person(s) to Issuer (Check all applicable) _____ Director _____ 10% Owner __X__ Officer (give title below) _____ Other (specify below) Executive Vice President (Last) (First) (Middle) 999 LAKE DRIVE 3. Date of Earliest Transaction (Month/Day/Year) 10/08/2010 (Street) ISSAQUAH, WA 98027 4. If Amendment, Date Original Filed(Month/Day/Year) 6. Individual or Joint/Group Filing(Check Applicable Line) _X_ Form filed by One Reporting Person ___ Form filed by More than One Reporting Person (City) (State) (Zip) Table I - Non-Derivative Securities Acquired, Disposed of, or Beneficially Owned

1.Title of Security (Instr. 3) 2. Transaction Date (Month/Day/Year) 2A. Deemed Execution Date, if any (Month/Day/Year) 3. Transaction Code (Instr. 8) 4. Securities Acquired (A) or Disposed of (D) (Instr. 3, 4 and 5) 5. Amount of Securities Beneficially Owned Following Reported Transaction(s) (Instr. 3 and 4) 6. Ownership Form: Direct (D) or Indirect (I) (Instr. 4) 7. Nature of Indirect Beneficial Ownership (Instr. 4) Code V Amount (A) or (D) Price Common Stock 10/08/2010   M   22,500 A $ 39.25 65,320 D   Common Stock 10/08/2010   M   15,000 A $ 38.79 80,320 D   Common Stock 10/08/2010   S   37,500 D (1) 42,820 D

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Table II - Derivative Securities Acquired, Disposed of, or Beneficially Owned
(e.g., puts, calls, warrants, options, convertible securities)

1. Title of Derivative Security (Instr. 3)

2. Conversion or Exercise Price of Derivative Security

3. Transaction Date (Month/Day/Year)

3A. Deemed Execution Date, if any (Month/Day/Year)

4. Transaction Code (Instr. 8)

5. Number of Derivative Securities Acquired (A) or Disposed of (D) (Instr. 3, 4, and 5)

6. Date Exercisable and Expiration Date (Month/Day/Year)

7. Title and Amount of Underlying Securities (Instr. 3 and 4)

8. Price of Derivative Security (Instr. 5)

9. Number of Derivative Securities Beneficially Owned Following Reported Transaction(s) (Instr. 4)

10. Ownership Form of Derivative Security: Direct (D) or Indirect (I) (Instr. 4)

11. Nature of Indirect Beneficial Ownership (Instr. 4)

Code

V

(A)

(D)

Date Exercisable

Expiration Date

Title

Amount or Number of Shares

Stock Option

$ 39.25

10/08/2010

M

22,500

04/02/2002

04/02/2012

Common Stock

22,500

$ 39.25

0

D

Stock Option

$ 38.79

10/08/2010

M

15,000

04/02/2002

04/02/2012

Common Stock

15,000

$ 38.79

0

D

Reporting Owners

Reporting Owner Name / Address	Relationships
	Director	10% Owner	Officer	Other
McKay John D 999 LAKE DRIVE ISSAQUAH, WA 98027			Executive Vice President

Signatures

Deanna K. Nakashima, attorney-in-fact		10/12/2010
**Signature of Reporting Person		Date

Explanation of Responses:

*	If the form is filed by more than one reporting person, see Instruction 4(b)(v).
**	Intentional misstatements or omissions of facts constitute Federal Criminal Violations. See 18 U.S.C. 1001 and 15 U.S.C. 78ff(a).
(1)	Shares sold as follows: 2400 @ 64.1600 1000 @ 64.1700 200 @ 64.1800 300 @ 64.1900 1563 @ 64.2000 937 @ 64.2100 100 @ 64.2200 100 @ 64.2300 500 @ 64.3101 1181 @ 64.3500 1900 @ 64.3600 500 @ 64.3700 100 @ 64.3800 702 @ 64.3900 2112 @ 64.4000 1799 @ 64.4100 1099 @ 64.4200 299 @ 64.4400 2300 @ 64.4700 600 @ 64.4800 200 @ 64.4900 1000 @ 64.5000 1700 @ 64.5100 6630 @ 64.5300 1000 @ 64.5301 200 @ 64.5400 700 @ 64.5500 808 @ 64.5600 100 @ 64.5800 1000 @ 64.5900 170 @ 64.6000 300 @ 64.6100 600 @ 64.6400 2400 @ 64.7000 1000 @ 64.7100

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