Safeway 2013 Annual Report Download - page 9

Table of Contents
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Capital Expenditure Program A key component of the Company’s long-term growth strategy is its capital expenditure program. The
Company’s capital expenditure program funds, among other things, new stores, remodels, retail shopping center development,
manufacturing plants, distribution facilities and information technology. Safeway’s management has maintained a rigorous program to select
and approve new capital investments.
As previously reported, Safeway completed the sale of the net assets of CSL to Sobeys Inc. on November 3, 2013. Additionally, in the fourth
quarter of 2013, the Company exited the Chicago market where it operated 72 Dominick's stores. CSL and Dominick's are reported as
discontinued operations. All information in the table below excludes discontinued operations. It details changes in the Company’s store base
and presents the Company’s cash capital expenditures over the last five years (dollars in millions):
 2012 2011 2010 2009
Total stores at beginning of year  1,377 1,392 1,422 1,436
Stores opened:
New 3 4 3 2
Replacement 518 9 4
822 12 6
Stores closed or sold  39 37 42 20
Total stores at year end  1,346 1,377 1,392 1,422
Number of fuel stations at year end  340 334 326 322
Total retail square footage at year end (in millions)  63.8 65.1 65.1 66.0
Cash paid for property additions  821.2 992.4 689.6 721.7
Cash paid for property additions as a percentage of sales
and other revenue 2.3%2.8%2.1%2.2%
In 2014, the Company expects to spend approximately $800 million to $900 million for capital expenditures.
The decline in the store count over the last five years is due to a focus on completing Lifestyle remodels rather than opening new stores
while, at the same time, selling or closing underperforming stores. In 2012, the Company disposed of 25 of its Genuardi's stores. See Note
B to the consolidated financial statements set forth in Part II, Item 8 of this report.
Financial Information about Segments, Geographic Areas and Sales Revenue by Type of Similar Product Note Q to the
consolidated financial statements set forth in Part II, Item 8 of this report provides financial information about the Company’s segments,
geographic areas and sales revenue by type of similar product.
Trade Names and Trademarks Safeway has invested significantly in the development and protection of “Safeway” both as a trade name
and a trademark and considers it to be an important business asset. Safeway also owns more than 300 other trademarks registered and/or
pending in the United States Patent and Trademark Office and other jurisdictions, including trademarks for its product and services such as
Safeway, Safeway SELECT, Rancher’s Reserve, O Organics, Lucerne, Primo Taglio, Eating Right, mom to mom, waterfront BISTRO,
Bright Green, Pantry Essentials, Open Nature, Refreshe, Snack Artist, Signature Café, Priority, , My Simple Nutrition,
Ingredients for Life, and other trademarks such as Pak’N Save Foods, Vons, Pavilions, Randalls, Tom Thumb, and Carrs Quality Centers.
Each trademark registration is for an initial period of 10 or 20 years, depending on the registration date, and may be renewed so long as it is
in continued use in commerce.
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