Supermarket giants Kroger and Albertsons have announced plans to sell over 60 supermarkets in California as part of their proposed merger. The list includes 15 Albertsons locations, 31 Vons locations, 16 Pavilions locations, and one Safeway in the Bay Area. These stores will be transferred to C&S Wholesale Grocers if the merger receives regulatory approval.
The sale of these California stores is part of a larger plan to sell off hundreds of stores and facilities valued at $2.9 billion to address concerns from regulators about competition in the grocery industry. The merger would bring together two major players, Kroger and Albertsons, potentially impacting millions of Americans.
The United Food and Commercial Workers union locals in California have opposed the merger, organizing protests and meetings with grocery company representatives as well as state and federal regulators. They argue that the merger would harm workers, shoppers, suppliers, and communities.
In addition to the 63 California stores listed for sale, Kroger and Albertsons plan to sell 124 supermarkets in Washington state, 101 in Arizona, and 91 in Colorado. The companies have committed to transferring pay and health plans and assuming all collective bargaining agreements for affected employees.
The merger was initially announced in October 2022 but was blocked by the Federal Trade Commission (FTC) earlier this year due to concerns about competition. The trial determining the fate of the deal is expected in August 2024.
Kroger and Albertsons argue that they need to merge to compete with larger, nonunionized rivals like Amazon, Walmart, and Costco. They have pledged to invest $500 million to cut prices and $1 billion to raise worker wages and benefits if the merger is approved.
The following is a list of stores affected by the proposed merger: California - 63 stores Arizona - 45 stores Colorado - 36 stores Delaware - 7 stores Idaho - 29 stores
