Safeway Announces Call for Entries in the Popular Lucerne® The Art of Dairy™ Student Art Contest

 Safeway Announces Call for Entries in the Popular Lucerne® The Art of Dairy™
                             Student Art Contest

Students Across the Nation Will Compete to Win a share of $46,000 prize pool
that will benefit schools, teachers as well as top students

PR Newswire

PLEASANTON, Calif., Nov. 16, 2012

PLEASANTON, Calif., Nov. 16, 2012 /PRNewswire/ --Safeway Inc. (NYSE:SWY) and
its exclusive Lucerne^® brand are accepting entries for the Eighth Annual
Lucerne^® The Art of Dairy^™ Art Contest to give creative art students the
opportunity to showcase their design skills for a chance to win a grand prize
of$30,000, part of a combined $46,000 prize pool.

Since the inception of The Art of Dairy^™ contest in 2005,Lucernehas
contributed over$376,000to schools, teachers, and students. Last year's
response was unprecedented with over 9,200 students entering their work and
the nine finalists garnering over 600,000 votes when America decided the
contest winner. In addition, The Art of Dairy^™ has developed a large fan base
with over 1 million web hits. The Call for Entries will run throughDecember
7, 2012.

Dairy products play an important role in shaping our world of nutrition, and
Lucerne^® has been feeding students' love of those products for over a century
with a wide variety of wholesome items. Delicious nourishment before, during,
and after school not only feeds the body, but also helps fuel creative minds.
The Lucerne brand is proud to be committed to promoting the creative growth of
young artists, supporting their talents along with underfunded school art
programs.

About the Contest
Building on last year's new and exciting components, this year's The Art of
Dairy^™ contest raises the bar for contestants, teachers and schools.
Leveraging a brand new theme – "ImaginDairy Places" – students will create
imaginary landscapes inspired by their love of dairy while
incorporatingLucernedairy products on a cow-shaped template. A special panel
of judges will review the thousands of entries received, and in late January,
will select nine finalists who will paint their selected entry designs onto
life-sized fiberglass cow sculptures. Each school will receive a$275stipend
to purchase art supplies that its student finalist uses to decorate the cow
sculpture.

Once the finalists have completed their works, America will decide the winner
via online and mobile voting fromApril 17thru May 17, 2013. Winners will be
announced in early June.

The contest winners will share approximately$46,000in prizes with their art
teachers and their schools' art programs. The Grand Prize winner will
receive$20,000for his or her school's art department, plus$5,000each for
the winner and their art teacher. The First Prize winner will receive
$5,000for his or her school's art department, plus$2,500each for the
student and teacher. In addition, one Honorable Achievement winner and his or
her teacher will receive$1,000each. The remaining six finalists will receive
$500gift cards. Additionally, the school with the most entries per capita
will win$1,000for its art department through a special Teacher Incentive
program.

This program is a fun and unique way to promote creative growth while
encouraging students to artistically express themselves; the contest not only
gives students a national platform to unveil their talents, but also helps
illustrate the importance of art education in schools.

For past contest winners, entry forms, healthy recipes, and Official Rules,
visit www.ArtofDairy.com.



About Safeway www.Safeway.com

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 1,644 stores
in the United States and western Canada and had annual sales of $43.6 billion
in 2011. The company's common stock is traded on the New York Stock Exchange
under the symbol "SWY."

CONTACT: Teena Massingill, 925-467-3810
         Teena.Massingill@Safeway.com

SOURCE Safeway Inc.

Website: http://www.Safeway.com