Safeway Renews Commitment to Cover Military Reservist Pay for Full Term of Active Service.

Business Editors

PLEASANTON, Calif.--(BUSINESS WIRE)--Feb. 12, 2003

Safeway Inc. (NYSE:SWY) today reaffirmed its support and commitment to the company's employees serving in the military reserves who are called to active duty. Since 2001, the company has paid their employees

"We have provided this enhanced benefit for employees serving in reserve units called to active service since Operation Enduring Freedom in Afghanistan in the fall of 2001," said Safeway Chairman, President and Chief Executive Steve Burd. "As our nation prepares for possible conflict, we thought it important to reiterate our commitment to our men and women in uniform." Safeway employs more than 193,000 people in 22 states and the District of Columbia.

Safeway is a Fortune 50 company and one of the largest food and drug retailers in North America based on sales. The company operates 1,695 stores in the U.S. and Canada. Its common stock is traded on the New York Stock Exchange under the symbol SWY. Safeway has a long-standing commitment to serving the public in times of crisis and supporting communities where it operates stores. Last year the company contributed more than $80 million to local charities in its operating areas.