Article: Safeway Notes Quarterly Loss of $367.9 Million Due to Accounting Rule.

Byline: Janet Adamy

Apr. 12--Safeway reported a first-quarter loss Thursday because a new accounting rule forced it to report that two grocery chains it bought have declined in value.

Most supermarket analysts said that although the charge dramatically alters Safeway's income statement, it simply represents an accounting change. One analyst, however, said it indicates Safeway may not be the shrewd buyer of companies that Wall Street thought it was.

Pleasanton-based Safeway lost $367.9 million, or 74 cents per share, during the quarter that ended March 23. That's because a new accounting rule forced the company to write down $700 million in ...

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