SAFEWAY WILL ASSUME CONTROL OF TRACY WAREHOUSE OPERATIONS

PLEASANTON, Calif. -- Safeway here said last week it will retake operational control by Aug. 10 of its distribution center in Tracy, Calif., replacing the DC's third-party operator, Tracy-based Summit Logistics, a subsidiary of U.K.-based Tibbett & Britten.The move was hailed by the Teamsters union, which represents the more than 800 workers at the facility, but analysts said it points out the failure

PLEASANTON, Calif. -- Safeway here said last week it will retake operational control by Aug. 10 of its distribution center in Tracy, Calif., replacing the DC's third-party operator, Tracy-based Summit Logistics, a subsidiary of U.K.-based Tibbett & Britten.

The move was hailed by the Teamsters union, which represents the more than 800 workers at the facility, but analysts said it points out the failure of Safeway's efforts to outsource distribution, a strategy that was instituted

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