Sobeys Inc. receives regulatory clearance for Canada Safeway acquisition

Agrees to divest 23 stores

STELLARTON, NS, Oct. 22, 2013 /CNW/ - Sobeys Inc. today announced that it has signed a consent agreement with the Canadian Competition Bureau allowing it to proceed with the acquisition of substantially all of the assets of Canada Safeway.

"We are delighted to have received regulatory clearance from the Competition Bureau," said Marc Poulin, President & CEO, Sobeys Inc. "Our focus now turns to closing the deal, which we expect to do in early November, and beginning to serve our customers in Western Canada as one company."

As part of the consent agreement, Sobeys will divest the following 23 stores:

Province Municipality   Store Address
British Columbia Sidney Safeway 2345 Beacon Ave.
British Columbia Victoria Safeway 3958 Shelbourne St.
British Columbia Victoria Safeway 1950 Foul Bay Rd.
British Columbia Tsawwassen Safeway 1143 - 56 St.
British Columbia New Westminster Thrifty Foods 270 East Columbia St.
       
Alberta Edmonton Safeway 2331 - 66 St. NW
Alberta Edmonton Sobeys 18370 Lessard Rd.
Alberta Edmonton Sobeys 5036 -106 Ave. NW
Alberta Edmonton  IGA 6204 - 90 Ave. NW
Alberta Fort McMurray Safeway 131 Signal Rd.
Alberta Fort Saskatchewan  Sobeys 10004 - 99 Ave.
Alberta Leduc Sobeys 5421 - 50 St.
Alberta Wetaskiwin Sobeys 4703 - 50 St.
Alberta Canmore Sobeys 950 Railway Ave.
Alberta Cochrane Sobeys 65 Bow St.
Alberta Taber Safeway 4926 - 46 Ave.
       
Saskatchewan Regina Safeway 3801 Albert St.
Saskatchewan Saskatoon Safeway 3310 - 8 St. E.
       
Manitoba Winnipeg Safeway 1441 Main St.
Manitoba Winnipeg Safeway 77 Vermillion Rd.
Manitoba Winnipeg Safeway 850 Dakota St.
Manitoba Winnipeg Safeway 1120 Grant Ave.
Manitoba Winnipeg Price Chopper 677 Stafford St.

Both the number of stores to be divested and the expected overall economics of all asset dispositions are reasonably consistent with the company's expectations.

About Empire Company Limited
Empire Company Limited (TSX: EMP.A) is a Canadian company headquartered in Stellarton, Nova Scotia.  Empire's key businesses include food retailing and related real estate.  With over $17 billion in annual sales and approximately $9.0 billion in assets, Empire and its subsidiaries directly employ approximately 47,000 people.

Additional financial information relating to Empire, including the Company's Annual Information Form, can be found on the Company's website at www.empireco.ca or at www.sedar.com.

About Sobeys Inc.
Proudly Canadian, with headquarters in Stellarton, Nova Scotia, Sobeys has been serving the food shopping needs of Canadians for 106 years. A wholly-owned subsidiary of Empire Company Limited (TSX: EMP.A), Sobeys owns or franchises more than 1,300 stores in all 10 provinces under retail banners that include Sobeys, IGA, Foodland, FreshCo, Thrifty Foods, Lawton's Drug Stores as well more than 260 retail fuel locations. Sobeys and its franchise affiliates employ more than 95,000 people. The company's goal is to be widely recognized as the best food retailer and workplace environment in Canada.  More information on Sobeys Inc. can be found at www.sobeyscorporate.com.

This news release contains forward-looking information reflecting management's expectations regarding the sale of assets by Sobeys. The forward-looking statements in this news release are subject to a number of risks and uncertainties that could cause actual events or results to differ materially from current expectations. No assurance can be given on the terms or timing of such asset sales, which remain subject to negotiation with third parties.  The Company does not undertake to update any forward-looking statements that may be made from time to time by them or on their behalf other than as required by applicable securities laws.

SOURCE: SOBEYS INC.

For further information:

Media Contact    

Andrew Walker
Vice President
Communications & Corporate Affairs
Sobeys Inc.
(905) 214-6711

Investor Relations Contact

Paul Jewer
Chief Financial Officer 
Sobeys Inc.
(902) 752-8371 ext. 2220 


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