Safeway Stores Reshuffles Top Management

Safeway Stores said Tuesday that it has reshuffled its top management to give two key executives broader exposure to the company’s retailing operations.

Under the plan approved by the firm’s board, E. Richard Jones relinquished his post as executive vice president in charge of information services and planning, as well as his spot in the company’s five-member office of the chairman.

Instead, he will become a group vice president responsible for five of the company’s 15 retail divisions in the United States. The divisions are Denver, Kansas City, Mo.; Richmond, Va.; Salt Lake City, and Washington.

A spokeswoman insisted that the move was neither a promotion nor a demotion. “He’s getting some retail experience, which is something he didn’t have,” she said, noting that unlike most Safeway managers, Jones “hasn’t grown up with the company.” He joined Safeway in 1983 from management consultant McKinsey & Co., where he worked on Safeway projects.

Harry D. Sunderland, 50, an executive vice president and chief financial officer, will take over several of Jones’ staff functions, including planning and accounting.

Sunderland will also assume responsibility for overseas retailing operations from President James Rowland.

Rowland, the spokeswoman said, will take over Jones’ responsibility for information services.

With Jones’ departure, the office of the chairman will shrink to four members: Sunderland, Rowland, Edward Henney, executive vice president for supply operations, and Peter Magowan, chairman and chief executive.