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SAFEWAY, KROGER TO MOVE PSE PRODUCTS

PLEASANTON, Calif. -- Safeway here and the Kroger Co., Cincinnati, both recently said they would move some over-the-counter pseudoephedrine (PSE) products behind the counter.Their announcements come more than a month after Albertsons, Boise, Idaho; Wal-Mart Stores, Bentonville, Ark.; Target, Minneapolis; and several other chains said they would restrict the sale of certain pseudoephedrine products.Products

PLEASANTON, Calif. -- Safeway here and the Kroger Co., Cincinnati, both recently said they would move some over-the-counter pseudoephedrine (PSE) products behind the counter.

Their announcements come more than a month after Albertsons, Boise, Idaho; Wal-Mart Stores, Bentonville, Ark.; Target, Minneapolis; and several other chains said they would restrict the sale of certain pseudoephedrine products.

Products that Safeway is putting behind the counter include Sudafed 24-hour Nasal Decongestant and Contac 12-hour caplets. Kroger did not provide a list of products it would place behind the counter.

Safeway and Kroger's policy shift is an effort to cooperate with state and federal officials who are cracking down on the production of methamphetamine, in which pseudoephedrine is the primary ingredient.

Last month, a revised Combat Meth Act of 2005, was reintroduced in the Senate. The bill would set a national standard on PSE product sales, instead of the current hodgepodge of state bills and laws that are popping up across the nation.

The food industry and the National Association of Chain Drug Stores, Alexandria, Va., are generally in favor of the revised measure by Jim Talent, R-Mo., and Dianne Feinstein, D-Calif.

"Our membership believes that one national standard is important, because the current patchwork of more than two dozen different state requirements, in addition to scores of local ordinances, is confusing to consumers and law enforcement," said Craig Fuller, president and chief executive officer of NACDS.

"For our members, who have pharmacies in practically every state, city, town and county in the country, it is complex and costly to have to create different policies, procedures and employee training programs for every different pharmacy outlet," Fuller added.

A few years ago, Wal-Mart, Albertsons and several other chains imposed a three-package purchase limit on some PSE products, but federal and state officials say about 20% of the meth available in the United States is still made from pseudoephedrine products purchased from retailers.

"We were hoping that measure [the three-package limit] in itself would alleviate some of what we were seeing. It hasn't, so we've taken this additional step," said Karen Ramos, spokeswoman for Albertsons, about the chain's announcement to place certain PSE products behind its pharmacy counters.

Safeway, which reportedly worked closely with lawmakers in revising the Meth Act bill, said it would implement a policy within the next three months to sell some single-ingredient PSE products from "secure locations" within its stores and continue its policy of limiting multiple-quantity purchases of products containing PSE.

The revised Meth Act bill calls for designated employees to be licensed to sell a limited quantity of products containing PSE at stores without pharmacies.

Safeway spokeswoman Teena Massingill said the financial impact of moving products behind the counter "remains to be seen," since the chain has not yet implemented the policy.

"There may be some initial impact, but our customers are smart enough to find a product they are looking for, so they just have to get used to the new process," Massingill said.

Kroger said it is evaluating whether to stock a limited variety of PSE products behind a service counter in stores without pharmacies.

"Kroger strongly supports efforts to curb the abuse of PSE," said Mike Ellis, group vice president for Kroger. "At the same time, we know that many of our customers depend on these products for quick, effective relief from colds and allergies."

The potential financial impact on chains that have moved PSE products behind the counter is unknown, said Bill Greer, director of editorial services, Food Marketing Institute, Washington, D.C.

"It's premature to say anything on the final impact," Greer said. "If legislation is enacted, it would not have to be put behind the counter until Jan. 1, 2007."

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