Safeway 2005 Annual Report Download - page 50

Download and view the complete annual report

Please find page 50 of the 2005 Safeway annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 96

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96

SAFEWAY INC. AND SUBSIDIARIES
Management’s Annual Report on Internal Control over Financial Reporting
30
Management of the Company, including the Chief Executive Officer and the Chief Financial Officer, is responsible for
establishing and maintaining adequate internal control over financial reporting, as defined in Rules 13a-15(f) and 15d-15(f) of
the Securities Exchange Act of 1934, as amended. The Company’s internal controls were designed to provide reasonable
assurance as to the reliability of its financial reporting and the preparation and presentation of the consolidated financial
statements for external purposes in accordance with accounting principles generally accepted in the United States and
includes those policies and procedures that (1) pertain to the maintenance of records that in reasonable detail accurately and
fairly reflect the transactions and dispositions of the assets of the Company; (2) provide reasonable assurance that
transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted
accounting principles, and that receipts and expenditures of the Company are being made only in accordance with
authorizations of management and directors of the Company; and (3) provide reasonable assurance regarding prevention or
timely detection of unauthorized acquisition, use or disposition of the Company's assets that could have a material effect on
the financial statements.
The Company conducted an evaluation of the effectiveness of its internal control over financial reporting based on the
framework in Internal Control
−
Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway
Commission. This evaluation included review of the documentation of controls, evaluation of the design effectiveness of
controls, testing of the operating effectiveness of controls and a conclusion on this evaluation. Through this evaluation,
management did not identify any material weakness in the Company’s internal control. There are inherent limitations in the
effectiveness of any system of internal control over financial reporting; however, based on the evaluation, management has
concluded the Company’s internal control over financial reporting were effective as of December 31, 2005.
The Company’s independent registered public accounting firm has audited the accompanying consolidated financial
statements, the Company’s internal control over financial reporting and management’s assessment that it maintained
effective internal control over financial reporting. Their attestation report on management’s assessment of the effectiveness
of the Company’s internal control over financial reporting is included in this Annual Report on Form 10-K and begins on the
following page.
STEVEN A. BURD ROBERT L. EDWARDS
Chairman, President and
Chief Executive Officer
Executive Vice President
and Chief Financial officer
March 10, 2006 March 10, 2006