FOR IMMEDIATE RELEASE

REMINDER/Safeway Unveils $175 Million Dollar Distribution Center in Auburn, Washington on Wednesday, April 20th

 BELLEVUE, Wash.--(BUSINESS WIRE)--April 20, 2005--The Seattle Division of Safeway Inc. (NYSE:SWY) announced today the completion of their new state-of-the-art distribution center in Auburn, Washington located at 3520 Pacific Avenue South. The $175 million dollar facility will be unveiled at a ribbon cutting ceremony at 10:00 a.m. on Wednesday, April 20th. The press and media are invited to attend this newsworthy occasion where former Governor Gary Locke will officiate as the ribbon cutter and share in the success story of this major enhancement to the City of Auburn.

 After the ribbon cutting ceremony, tours of the 116 acre site will be offered to the press and dignitaries. Encompassing the regional distribution center is a 538,000 square feet dry goods warehouse and a 515,000 square foot refrigerated warehouse. Combined with this are a recycling center, trucking department, dispatch office, fuel station, truck repair shop and an administration center.

 The culmination of this 2 1/2 year project solidifies Safeway's position in the Northwest, and for the City of Auburn, it means an economic boost estimated at $40 million dollars annually and 200 newly created jobs allowing for an employment base in excess of 1,000 at the distribution center.

 To confirm your attendance at the press conference, please contact Cherie Myers, Director of Public & Government Affairs for Safeway Inc. -- Seattle Division by calling 425-455-6374 or by e-mail at cherie.myers@safeway.com.

 Safeway Inc. is a Fortune 50 company and one of the largest food and drug retailers in North America based on sales. The company operates 1,802 stores in the United States and Canada and had annual sales of $35.8 billion in 2004. The company's common stock is traded on the New York Stock Exchange under the symbol SWY.

 CONTACT: Safeway Inc, Seattle Division
 Cherie Myers, 425-455-6392
 cherie.myers@safeway.com

 SOURCE: Safeway Inc.