Montvale, New Jersey, July 29, 2002: - Montvale, New Jersey, July 29, 2002: – The Great Atlantic & Pacific Tea Company, Inc. (A&P, NYSE Symbol: GAP) yesterday announced results for the 16- week first quarter ended June 15, 2002.

Sales for the quarter were $3.3 billion versus $ 3.4 billion in the first quarter of fiscal 2001. Comparable store sales increased 0.2%. Excluding charges arising from the Company’s previously announced asset disposition program, an extraordinary charge from the repurchase of debt and a non-recurring gain from the sale of common shares received from the demutualization of The Prudential Insurance Company, earnings per share in the quarter were $.14, compared with a loss of $.03 in fiscal 2001. Including these items, first quarter earnings were $.05, compared to the $.03 loss in the first quarter of fiscal 2001. Earnings for the first quarter of fiscal 2002 were positively impacted by an after tax amount of $ 2.4 million, or $.06 per share, resulting from the restatement announced on July 5 th of this year, primarily due to the modification of certain of the Company’s accounting methods.

Christian Haub, Chairman of the Board & Chief Executive Officer, said, "Although we improved our year-over-year operating earnings and achieved a modest increase in comparable store sales, we were not satisfied with our results in the first quarter. The slowdown in our rate of progress was the result of the difficult business environment, and the intensified competitive activity that emerged as a result. Going forward, we will act prudently to protect our market share in this environment, while maintaining our focus on the strategies driving our Company's turnaround. I also want to take this opportunity to thank all of our associates for their efforts and commitment in helping us meet the many challenges of the first quarter."

Founded in 1859, A&P was one of the nation’s first supermarket chains, and is today one of North America’s 10 largest. In the first quarter, the Company opened 9 new stores, remodeled or expanded 7 stores, and ended the quarter with 692 stores. The Company operates in 15 states, the District of Columbia and Ontario, Canada under the following trade names: A&P, Waldbaum’s, Food Emporium, Super Foodmart, Super Fresh, Farmer Jack, Kohl’s, Sav-A-Center, Dominion, The Barn Markets, Food Basics and Ultra Food & Drug. The Company invites investors to listen to an audio Webcast of its quarterly discussion of earnings by accessing a link on the “Investor Relations” page of its Website, www.aptea.com. The live broadcast is at 11 AM Eastern Time, Monday July 29, 2002, with replays available from the afternoon of July 29 through August 9.

This release contains forward-looking statements about the future performance of the Company, which are based on Management's assumptions and beliefs in light of the information currently available to it. The Company assumes no obligation to update the information contained herein. These forward-looking statements are subject to uncertainties and other factors that could cause actual results to differ materially from such statements including, but not limited to: competitive practices and pricing in the food industry generally and particularly in the Company's principal markets; the Company's relationships with its employees and the terms of future collective bargaining agreements; the costs and other effects of legal and administrative cases and roceedings; the nature and extent of continued consolidation in the food industry; changes in the financial markets which may affect the Company's cost of capital and the ability of the Company to access capital; supply or quality control problems with the Company's vendors; and changes in economic conditions which affect the buying patterns of the Company's customers. This release contains forward-looking statements about the future performance of the Company, which are based on Management’s assumptions and beliefs in light of the information currently available to it. The Company assumes no obligation to update the information contained herein. These forward-looking statements are subject to uncertainties and other factors that could cause actual results to differ materially from such statements including, but not limited to: competitive practices and pricing in the food industry generally and particularly in the Company’s principal markets; the Company’s relationships with its employees and the terms of future collective bargaining agreements; the costs and other effects of legal and administrative cases and proceedings; the nature and extent of continued consolidation in the food industry; changes in the financial markets which may affect the Company’s cost of capital and the ability of the Company to access capital; supply or quality control problems with the Company’s vendors; and changes in economic conditions which affect the buying patterns of the Company’s customers.

For financial questions, call William Moss
Vice President, Treasurer
(201) 571-4019
For non-financial questions, call Rick De Santa
Vice President, Corporate Affairs (201) 571-4495

Schedule 1 - Schedule 1 - Reported Earnings for the First Quarter (Unaudited) (In thousands, except share amounts and store data) PDF - 10k

Schedule 2 - Schedule 2 - Adjustments to Reported Earnings for the First Quarter Unaudited) (In thousands, except share amounts and store data) PDF - 10k

Schedule 3 - Schedule 3 - Pro Forma Earnings for the First Quarter (Unaudited) (In thousands, except share amounts and store data) PDF - 10k

Schedule 4 - Schedule 4 - Condensed Balance Sheet Data (Unaudited) (In millions, except per share and store data) PDF - 5k

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