THE BOTTOM LINE: Safeway Inc. said its net income fell 16 percent in the second quarter as costs increased and it spent more to advertise.
THE NUMBERS: The Pleasanton, Calif., company earned $122.7 million, or 51 cents per share, for the three months ended June 16. That's compared with net income of $145.8 million, or 41 cents per share, in the year ago period, when there were more outstanding shares.
THE EXPECTATIONS: Not including one-time items, Safeway earned 50 cents a share. Analysts on average expected a profit of 49 cents per share, according to FactSet.