BREAKING: Safeway confirms sale talks

Safeway on Wednesday announced that it was in discussions concerning a possible transaction involving the sale of the company.

“Although the discussions are ongoing, the company has not reached an agreement on a transaction, and there can be no assurance that these discussions will lead to an agreement or a completed transaction,” the company said in a statement.

“The company will not comment further on these discussions at this time.” The announcement confirmed widespread industry speculation and follows the company’s moves a year ago to shed its Canada and Dominick’s divisions.

The Pleasanton, Calif.-based retailer also said it would distribute the stock it owns in gift-card subsidiary Blackhawk Holdings to its stockholders and would seek a transaction to monetize its Casa Ley division operating stores in Mexico.