FTC Seeks to Block Kroger-Albertsons Merger Over 579 Stores Amid High Grocery Prices Probe

Aug 1, 2024, 08:53 PM

The Federal Trade Commission (FTC) is formally seeking a temporary block against Kroger's proposed purchase of Albertsons, arguing that the divestiture of 579 stores to a 'failed' supermarket boss won't adequately protect consumers or union labor facing increased concentration. FTC Chair Lina Khan has called for an investigation into high grocery prices, despite falling costs for retailers. This probe aims to understand why grocery prices remain high and to protect consumers from potential price hikes due to corporate mergers. Senator Jacky Rosen from Nevada and Representative Kim Schrier have voiced concerns, emphasizing the need to protect consumers and competition. Schrier sent a letter to the FTC urging the halt of the Kroger-Albertsons merger, citing potential harm to her constituents. Kroger’s gross margin was 22.4% of sales.