FOR IMMEDIATE RELEASE
7 April   2008

SAFEWAY CELEBRATES 20 Years of Support for People with Disabilities

Announces New Partnership with Special Olympics to Expand Reach

PLEASANTON, CA, April 4, 2008 -- Safeway Inc. (NYSE:SWY), one of the nation's leading retailers with a commitment to supporting people with disabilities, announced today that it has joined with Special Olympics, a leading nonprofit organization dedicated to empowering people with intellectually disabilities.

"Safeway is proud to lead by example to support people with disabilities," said Safeway Chairman, President and CEO Steve Burd. "Over the past 20 years, Safeway has raised over $100 million in support of people with disabilities through organizations such as Easter Seals and Muscular Dystrophy. Safeway wants to serve even more people with disabilities and believes that if we work with Special Olympics we will reach more people, especially those with intellectual disabilities, the largest disability population in the world."

"We're honored to join with Safeway and commend its dedication to enhancing the lives of people with disabilities," said Timothy Shriver, Chairman of Special Olympics. "This year, Special Olympics celebrates 40 years of changing the lives of people with intellectual disabilities, along with creating more harmonious communities around the world - places where each person, regardless of ability or disability, is accepted and welcomed and where every individual contributes to the strength and vibrancy of the whole."

Special Olympics has been added to Safeway's successful April customer fundraising campaign where Safeway shoppers will be asked at checkout if they would like to donate $1 or more to support people with disabilities. Last year s campaign raised $5.5 million. The campaign takes place in all 21 states in which Safeway does business. Additionally, several key markets will get more deeply involved with local Special Olympics programs, including employee volunteerism and involvement with Special Olympics athletes.

About Special Olympics
Special Olympics is an international nonprofit organization dedicated to empowering individuals with intellectual disabilities to become physically fit, productive and respected members of society through sports training and competition. Founded in 1968 by Eunice Kennedy Shriver, Special Olympics provides year-round sports training and competition to over 2.5 million adults and children with intellectual disabilities across more than 170 countries. The Special Olympics movement offers one of the world's greatest platforms for acceptance and inclusion for all people--regardless of race, religion, ethnicity or cultural differences. Be a fan and visit www.specialolympics.org.

About Safeway
Safeway Inc. is a Fortune 100 company and one of the largest food and drug retailers in North America, based on sales. The company operates 1,738 stores in the United States and western Canada and had annual sales of $40.2 billion in 2006. Safeway supports a broad range of charitable and community programs and in 2007 donated more than $172 million to important causes, such as cancer research, education, food banks and programs focused on assisting people with disabilities. The company's common stock is traded on the New York Stock Exchange under the symbol SWY. For more information about Safeway, visit www.safeway.com.