Grocery retailer to invest $1.6 billion in growth Next year
Safeway Inc. plans to make approximately $1.6 billion in cash capital expenditures in 2006, to complete 20-25 new stores and remodel approximately 280 stores, the company said during its investor conference last week.
“In 2006, we will continue to serve our customers with the highest quality produce, meat, bakery and deli items, offering them great selection and value throughout the store, including a revitalized corporate brand,” said Steve Burd, chairman, president, and c.e.o. yesterday. “We plan to rapidly roll out additional Lifestyle stores which give our shoppers a more comfortable shopping environment. Finally, we expect to realize improvements in our cost structure as a result of restructured labor contracts and an improved supply chain that will allow us to compete effectively in the marketplace and improve shareholder value.”