Safeway Reports Flat Same-Store Sales

Safeway reported net income of $72.9 million for its fiscal first quarter, ended March 24, up 190 percent from $25.1 million in the year-ago period when the company incurred an $80 million tax charge. Same-store sales were flat, while total sales climbed 2 percent to $10 billion from $9.8 billion a year ago, with higher revenue from fuel, Blackhawk gift cards and new stores accounting for the increase, the company said in a release. The company invested $308 million in capital expenditures in the first quarter and opened four Lifestyle stores while closing seven locations. It plans to invest $900 million in capital expenditures this year.

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