Kroger has taken legal action by filing a lawsuit against the Federal Trade Commission for obstructing the proposed merger with Albertsons. The company is seeking to prevent the FTC from conducting administrative proceedings challenging the merger, arguing that such proceedings violate constitutional protections. Kroger insists that the merger should only be decided in federal court.
“The merger between Kroger and Albertsons aims to bring customers lower prices from day one and secure good-paying union jobs,” stated Rodney McMullen, CEO of Kroger. “We are ready to defend this merger in federal court and are asking the Court to stop the unlawful proceedings before the FTC’s in-house tribunal.”
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The target completion for the merger was early 2024, but the FTC has taken legal action to block the move, alleging it is anticompetitive and would result in higher prices and reduced options for consumers. The case is set to be heard in federal court starting on August 26, with Kroger warning that the legal process could extend for years.
Despite opposition from eight states and the District of Columbia, Ohio Attorney General Dave Yost has supported Kroger. Kroger and Albertsons have refuted claims of stifling competition, stating that the merger would lower costs for consumers.
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Leaders of the grocery chains have testified in favor of the merger, emphasizing its benefits for employees. If finalized, the merger would result in the sale of hundreds of stores, leading to a combined total of 4,414 locations across the U.S.
