8-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D. C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of

The Securities Exchange Act of 1934

Date of Report (Date of earliest event reported):

May 9, 2007

SAFEWAY INC.

(Exact name of registrant as specified in its charter)

Delaware	1-00041	94-3019135
(State or other jurisdiction of incorporation)	(Commission File Number)	(IRS Employer Identification No.)

5918 Stoneridge Mall Road, Pleasanton, California	94588-3229
(Address of principal executive offices)	(Zip Code)

(925) 467-3000

(Registrant’s telephone number, including area code)

N/A

(Former name or former address, if changed since last report.)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

¨ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 5.02. Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.

On May 9, 2007, Safeway Inc. (the “Company”) announced that Brian C. Cornell, Executive Vice President and Chief Marketing Officer, has decided to leave the Company effective June 1, 2007. A copy of the Company’s press release announcing Mr. Cornell’s departure is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits.

99.1 Press Release dated May 9, 2007 of Safeway Inc.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	SAFEWAY INC. (Registrant)
Date: May 10, 2007	By:	/s/ Robert A. Gordon
	Name:	Robert A. Gordon
	Title:	Senior Vice President,
		Secretary & General Counsel

EXHIBIT INDEX

Exhibit No.
99.1	Press Release dated May 9, 2007 of Safeway Inc.

EX-99.1

Exhibit 99.1

FOR IMMEDIATE RELEASE

CORNELL TO LEAVE SAFEWAY

Investor Contacts:	Melissa Plaisance (925) 467-3136
	Julie Hong (925) 467-3832
Media Contact:	Brian Dowling (925) 467-3787

Pleasanton, CA – (BUSINESS WIRE) – May 9, 2007 – Safeway Inc. (NYSE:SWY) today announced that Brian Cornell, Executive Vice President and Chief Marketing Officer, has decided to leave the company effective June 1, 2007 to actively pursue a search for the top leadership role at another company.

“Brian has contributed significantly to Safeway over the last three years and enhanced our ability to profitably build our sales,” said Steve Burd, Chairman, President and CEO.

“He came to Safeway at a time of transformation, and has played a key role in our success,” continued Burd. “His accomplishments include reorganizing and energizing our centralized marketing, merchandising and supply chain functions to improve their effectiveness, enhancing our capability to develop and utilize consumer and shopper insights, and building our brand. We are fortunate that he has built an outstanding team that is very well prepared to continue to build on our current momentum.”

“I thoroughly enjoyed the last few years I spent at Safeway,” said Brian Cornell. “I had the opportunity to work with a top notch executive team and to lead and develop a marketing team that is second to none. I depart Safeway as a huge fan of the strategy, the brand and the organization. While I am ready to pursue the next step in my career, I believe that Safeway is very well positioned to continue to thrive and grow for years to come.”

Upon Cornell’s departure, and until a successor is named, the marketing organization will report directly to Steve Burd.

About Safeway

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 1,755 stores in the United States and Canada and had annual sales of $40.2 billion in 2006. The company’s common stock is traded on the New York Stock Exchange under the symbol SWY.