Safeway Inc, one of the largest food and drug retailers in the US, yesterday [Thursday] reported income for the Q1 2002 of US$332.1m (US$0.67/share) before the cumulative effect of a required accounting change discussed below. Net income for the Q1 2001 was US$283.9m (US$0.55/share). This represents a 22% increase in earnings per share before the cumulative effect of an accounting change.