The Great Atlantic & Pacific Tea Company, Inc. Declares a $7.25 Per Share Special Cash Dividend

Christian Haub, Executive Chairman of The Board of Directors,said, "We're very pleased to reward our stockholders with this specialdividend. It reflects our growing confidence at this time in A&P'sfuture as operating results continue to improve under our newmanagement team and the substantial resources we have on our balancesheet as a result of last year's very successful sale of A&P Canada.

"The strong financial position we find ourselves in makes itpossible to demonstrate our commitment to driving shareholder valueand rewarding our stockholders for their support in the past; whilealso providing the investment capability to complete our turnaround,grow our business, and address strategic opportunities that willarise." Mr. Haub said.

Founded in 1859, A&P is one of the nation's first supermarketchains. The Company operates 405 stores in 9 states and the Districtof Columbia under the following trade names: A&P, Waldbaum's, The FoodEmporium, Super Foodmart, Super Fresh, Farmer Jack, Sav-A-Center andFood Basics.

This release contains forward-looking statements about the futureperformance of the Company, which are based on Management'sassumptions and beliefs in light of the information currentlyavailable to it. The Company assumes no obligation to update theinformation contained herein. These forward-looking statements aresubject to uncertainties and other factors that could cause actualresults to differ materially from such statements including, but notlimited to: competitive practices and pricing in the food industrygenerally and particularly in the Company's principal markets; theCompany's relationships with its employees and the terms of futurecollective bargaining agreements; the costs and other effects of legaland administrative cases and proceedings; the nature and extent ofcontinued consolidation in the food industry; changes in the financialmarkets which may affect the Company's cost of capital and the abilityof the Company to access capital; supply or quality control problemswith the Company's vendors; and changes in economic conditions whichaffect the buying patterns of the Company's customers.