Buy $100 (or more) in Mastercard (NOT Visa or Amex) gift cards, and get a $10 coupon for groceries.

If you want a second coupon, you need to buy another $100 (or more) in MC GCs in a separate transaction (i.e. buying $500 in gift cards in a single transaction does not net you five $10 coupons).

Coupons are only good for groceries. Excludes; liquor, beer, pharmacy co-pays, milk, stamps, bus passes and of course gift cards. Other restriction is you can only use 1 coupon per transaction, so, split up your grocery purchases into multiple transactions when when redeeming.

Each gift card (regardless of amount for) has a fee of $5.95

If you use your Chase Freedom right now, and have a bank account with them, each gift card purchase should net you 539.75 Ultimate Reward points, which pretty much offsets the $5.95 fee. Net of all this, you've still got your $10 grocery coupon.

Gift card itself is easily cashed out via the various means discussed in Miles Buzz forum (and within first 3 pages of forum or so).

I am only speaking for Vons and Pavilions in Southern California. Perhaps your area has same promotion, perhaps not. Same parent company that owns Vons and Pavilions also owns Safeway, Tom Thumb, and various others in other states -- YMMV there.

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EDIT 6/25/2012: Leaving above as the original post from 4/13/2012, but, confirming that the current deal is now Visa gift cards, not Mastercard, as it was back in April. Moderator has already re-titled the thread, which used to say Mastercard in title...just in case one might be wondering why the title says 'Visa' but my post mentions 'Mastercard'.

FWIW, new coupon doesn't mention any exclusions like the old one did, however, cashier still didn't let me use it on a case of beer. Store manager, however, was kind enough to appreciate my argument that no exclusions are mentioned anywhere (before buying, or even on the coupon itself) and did allow me to use it. Of course, YMMV.