A version of this article originally appeared in Quartz’s members-only Weekend Brief newsletter. Quartz members get access to exclusive newsletters and more. Sign up here.
Supermarket chains like Walmart, Albertsons, and Stop & Shop are shutting down nationwide. See if your neighborhood grocer is closing up shop here. RELATED: Big Lots Is No Longer Closing 15 Stores—Here's Why and Where.
In an historic ruling for labor and antitrust advocates, a federal judge blocked the $25 billion merger of grocery giants Kroger and Albertsons.
Antitrust experts say a few core issues prompted the judges to say no the merger, ultimately dooming the deal.
A federal judge on Tuesday blocked the proposed $25 billion merger of grocery giants Kroger and Albertsons, ruling that the deal would limit competition and harm consumers but leaving the door
Kroger’s conduct created frustration and distrust among regulators … and ultimately caused an unprecedented litigation onslaught,” Albertsons claims in a newly unsealed lawsuit.
The ruling, citing a potential loss of competition, was a victory for the Federal Trade Commission. Later, a Washington State judge blocked the deal on similar grounds.
Under the merger agreement, Kroger and Albertsons — who compete in 22 states — agreed to sell 579 stores in places where their locations overlap to C & S Wholesale Grocers, a New Hampshire-based supplier to independent supermarkets that also owns the Grand Union and Piggly Wiggly store brands.
Kroger and Albertsons could turn to fast-growing and profitable advertising ventures to tackle competition and grow after a failed $25 billion merger between the two supermarket rivals, analysts said.
The companies’ failed merger is a stark reminder of the risks food retailers face as they position themselves in a rapidly changing market, analysts said.
So, what is Albertsons’ ( ACI) plan in a post-Kroger ( KR) world? Lowering prices is likely top on its list. And to optimize its real-estate footprint, Albertsons ( ACI) could also sell and lease back its stores or continue to close some stores outright.
Need to do some last minute holiday shopping? See when stores close on Christmas Eve, and what's closed on Christmas.