Lucky Stores and Sav-on drug expanded their 'Lucky Rewards' loyalty card yesterday by signing up with U.S. Bank to do a VISA cobranded program. The program becomes the first bank credit card/loyalty card by a food retailer in northern California. The 'Lucky Sav-on American Rewards VISA' has no annual fee for customers who use the card three or more times within a 12 month period. Cardholders will earn two points for every dollar charged at a Lucky, Lucky Sav-on Food and Drug or Super Saver Food stores and one point for each dollar charged everywhere else. Points can be accumulated and redeemed for everything from free groceries to a round-trip ticket on American Airlines. Lucky Stores Northern California Division operates 173 stores while Sav-on operates 310 stand-alone drug stores in four states plus 40 combination stores jointly operated with Lucky's Northern and Southern California Divisions.

Lucky Stores, Inc., and Sav-on drug, in conjunction with U.S. Bank, have added more power to the Lucky Rewards Card by combining it with the world's most accepted credit card -- Visa.

    The Lucky Sav-on American Rewards Visa card enables customers to use one card to get Rewards discounts, charge purchases and earn points that can be redeemed for free food, travel and more.  All the benefits of the original Rewards card, which offers everyday discounts to shoppers, will continue to be offered to customers using the new card.  Customers will also still be able to obtain and use the regular Rewards card.

    "We are very excited to be the only food retailer in northern California with a card that is both a Visa and frequent shopper card in one," said Donald C. Keprta, Executive Vice President and General Manager of Lucky Stores Northern California Division.  "Since the Lucky Sav-on American Rewards Visa card has no annual fee for customers who use the card three or more times within a 12 month period, and the card has a low competitive introductory rate for transferred balances, it's a great opportunity for our customers."

    Applications for the Lucky Sav-on American Rewards Visa Card will be available in all northern California Lucky, Lucky Sav-on Food and Drug and Super Saver stores beginning Monday, August 31st.  Cardholders will earn two points for every dollar charged at a Lucky, Lucky Sav-on Food and Drug or Super Saver Food stores and one point for each dollar charged everywhere else. Points can be accumulated and redeemed for everything from free groceries to a round-trip ticket on American Airlines.

    Customers' point totals will be indicated on monthly Visa statements. To redeem a reward, customers simply call the toll-free number on their statement and their reward request will be fulfilled.  The appropriate number of points will be deducted from their statement at the same time.

    "U.S. Bank is pleased to partner with Lucky Stores throughout our northern California market area to offer this exciting Visa card.  It's one of the most unique co-branded Visa cards in the country," said Kent Stone, U.S. Bank State Retail Manager.

    Lucky Stores Northern California Division operates 173 stores and is headquartered in San Leandro.  Sav-on is headquartered in Buena Park and operates 310 stand-alone drug stores in four states plus 40 combination stores jointly operated with Lucky's Northern and Southern California Divisions. Both Lucky and Sav-on drug are wholly owned divisions of American Store Company, one of the nation's largest food and drug retailers.

    U.S. Bancorp, based in Minneapolis, with $74 billion in assets, is the 14th largest bank holding company in the nation and operates approximately 1,000 banking offices in 17 Western and Midwestern states.  The company provides banking, trust, investment and payment systems products and services to consumers, businesses and institutions.  It operates a network of 4,800 ATMs and provides 24 hour, seven days a week telephone customer service. The company offers full-service brokerage services at 91 offices in the West and Midwest through Piper Jaffary, Inc., the 11th largest broker in the nation.  The company is the largest provider of Visa corporate and purchasing cards in the world, and one of the largest providers of corporate trust services in the nation.

Points    Reward
1500  -  $100 off selected vacation packages
      -  $100 select 3 or 4 night cruises with Carnival or Royal
          Caribbean Cruise Lines
2000  -  $25 gift certificate valid for Caesars Tahoe goods and services
2500  -  $25 free groceries certificate redeemable at Lucky stores
      -  $49-$69 round trip companion on Reno Air
      -  $200 off selected vacation packages
      -  $200 off select 7 night cruises with Carnival of Royal Caribbean
          Cruise Lines
3500  -  Free lift ticket at Siera-at-Tahoe or Northstar-at-Tahoe
4500  -  $50 free groceries certificate redeemable at Lucky stores
5000  -  Children cruise for free on selected cruises with Royal
          Caribbean
7500  -  Free round trip coach class companion certificate on Reno
          Airlines
      -  $99 Free companion certificate on Northwest
8500  -  Free one weekday stay at Caesars Tahoe
10,000 - Free round trip coach class companion certificate on Reno
          Airlines
      -  Free round trip coach class on Reno Airlines
15,000 - Free round trip companion on American Airlines
      -  Free round trip companion on Northwest Airline
25,000 - Free round trip coach class certificate on American Airlines 48
          states and Canada
35,000 - Free round trip coach class certificate on American Airlines to
          Hawaii