Offer for 30 BP/Safeways

Tesco PLC
31 August 2005

                            Tesco announces offer for
              30 former BP/Safeway petrol stations from Wm Morrison

                                        
Tesco today announced that it has made an offer to acquire up to 30 former BP/
Safeway petrol stations from Wm Morrison, subject to BP pre-emption rights on 12
petrol stations. This is a small deal that will allow Tesco to convert freehold
sites in good locations, with new and conforming forecourts and shops, to its
Express convenience format.

The stores are complementary to Tesco's existing Express network and will bring
the Tesco shopping experience to more local neighbourhoods across the country.
Customers will benefit from lower prices and improved choice, range and service
in the growing convenience market.

This asset deal is part of a series of Morrison disposals following on from the
Morrison/Safeway merger and will be subject to Office of Fair Trading clearance.


                                     -Ends-


For further information please contact:

Press                  Julie Chadwick     01992 646 143
Investor Relations     Steve Webb         01992 644 800


Notes for editors:

The UK convenience market is valued at around £24billion. It is a fragmented
market with over 50,000 stores.

Following the acquisition Tesco's share of the convenience market will be around
6% measured on sales.





                      This information is provided by RNS
            The company news service from the London Stock Exchange