DBRS Rates Safeway’s $300 Million Second Series Notes Issuance at BBB, Stable Trend

DBRS has today finalized its rating of BBB with a Stable trend on Canada Safeway Limited’s issue of 3% $300 million Second Series Notes (the Notes) due March 31, 2014. DBRS assigned a provisional rating of BBB with a Stable trend to the Notes on March 25, 2011 (see related news release).

The Notes will rank pari passu with all other unsecured and unsubordinated indebtedness of Canada Safeway Limited. The Notes will be guaranteed by Safeway, Inc. and will constitute direct unsecured and unsubordinated obligations of Safeway, Inc. as guarantor and will rank pari passu with all other unsecured and unsubordinated indebtedness of Safeway Inc.’s other senior unsecured obligations.

The proceeds will be used for general corporate purposes, in conjunction with plans to repatriate funds to the United States.

Notes:
All figures are in Canadian dollars unless otherwise noted.

The applicable methodology is Rating Food Retailers, which can be found on our website under Methodologies.