TORONTO (Standard&Poor's) April 21, 2008--Standard&Poor's Ratings Services today said that its ratings on Toronto-based grocery retailer Loblaw Companies Ltd. (BBB/Negative/--) are unaffected by the announced changes to the company's executive team. Loblaw is entering the second year of its three-to-five year renewal plan to upgrade its IT and supply chain infrastructure, improve its food offerings, and streamline its general merchandising. We believe that the management team changes will have no material impact on Loblaw's strategic plan. Nevertheless, the announcement highlights uncertainty regarding management's ability to deliver as projected under its turnaround plan, which was already reflected in our negative outlook on the company. We expect that 2008 will be challenging for Loblaw since it will remain
