Albertsons Launches RFID Technology Program to Improve Merchandising and Supply Chain Management Efficiencies

Top 100 Suppliers to Participate in Program by April 2005

BOISE, Idaho, March 5, 2004 -- Albertsons, Inc. (NYSE: ABS) announced today that it is launching a Radio Frequency Identification (RFID) program and will be using the technology to improve efficiencies in consumer demand chain management. The company is currently in the testing phase using RFID technology with select partners at the case and pallet level. Albertsons expects its top 100 suppliers to be participating in the RFID program at the case and pallet level by April 2005.

"We are confident that RFID technology will further enhance our service to customers by improving consumer demand chain management," said Bob Dunst, executive vice president and chief technology officer. "We'll be able to instantly locate products as they flow through our supply chain, making sure the right products are in the right place at the right time as we focus on making our customers' lives easier. In the months ahead, we will be deeply involved with EPCglobal as we introduce RFID and help drive the direction of this exciting new technology."

"The improvements we are making in our supply chain management system will enhance our operational efficiency," said Gabe Gabriel, executive vice president, merchandising and supply chain for Albertsons. "RFID is a cutting-edge tool that will give us a win-win advantage with both customers and suppliers."

Albertsons is a founding member and an active participant in the EPCglobal standardization process for retail consumer demand chain management. EPCglobal, a newly formed not-for-profit organization, will develop and oversee commercial and technical standards for the Electronic Product Code (EPC(TM)) Network.

As a member of EPCglogal Albertsons said it will provide support for adoption of the EPC Network and in the creation of industry standards for RFID technology. Developed by the Auto-ID Center, a unique partnership of nearly 100 global companies and five of the leading research universities in the world that explore the benefits and impacts of EPC technology, the EPC Network enables real-time identification and sharing of information. The Auto-ID Center transitioned to EPCglobal on November 1, 2003.

Dicki Lulay, President of EPCglobal US, said Albertsons' participation is a strong indication of the technology's importance to businesses and consumers alike. "We applaud Albertsons' commitment to partnering with us in the development of an open and standards-based commercialization of the EPC Network and RFID technology," Lulay said. "The company's participation in EPCglobal US is a strong indication of its support of EAN and the UCC in commercializing this technology to ultimately help other companies in multiple industries view their consumer demand chains in real time, saving time, money and speed to market."

About EPCglobal

EPCglobal, Inc., a joint venture between EAN International and the Uniform Code Council (UCC), is a not-for-profit organization entrusted to drive the global, multi-industry adoption and implementation of the EPC Network(TM). EPCglobal leverages the nearly thirty year heritage of EAN International and the UCC in successfully partnering with industry. The neutral, consensus-based, standards organization aims to make organizations more effective by enabling true visibility of information about items in the consumer demand chain by developing and managing standards for the EPC Network. For more information on EPCglobal visit http://www.EPCglobalinc.org or http://www.EPCglobalUS.org.

EPCglobal US is an affiliate of EPCglobal serving subscribers in the United States to help foster the adoption of the EPC Network and related technology.

About Albertsons

Albertsons is one of the world's largest food and drug retailers, with annual revenues of approximately $36 billion. Based in Boise, Idaho, the company employs more than 200,000 employees and operates approximately 2,300 retail stores in 31 states across the United States, including the banners Albertsons, Jewel-Osco, Acme, Albertsons-Osco, Albertsons-Sav-On, Sav-on Drugs, Osco Drug, and Super Saver.

SOURCE Albertsons, Inc.

Web Site: http://www.EPCglobalinc.org

http://www.EPCglobalUS.org