Kroger store in LaGrange, Georgia, United States, 22 July 2023. Credit: Sameera junaid / Shutterstock.com

The US Federal Trade Commission and several states are reportedly set to sue next week to stop retail giants Kroger and Albertsons from merging.

A lawsuit is expected to be filed before Wednesday (28 February), Bloomberg reported.

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Several US states are reportedly ready to join the FTC in the suit, the newswire said.

Executives at Kroger and Albertsons are trying to schedule meetings with the FTC to convince them not to sue, Bloomberg said, cited unnamed sources.

Last month, Kroger and Albertsons moved back the anticipated date of their merger to the opening half of the former’s fiscal 2024 after receiving opposition to the deal.

The two major US grocery retailers announced a transaction to join forces in 2022 but have pushed back the closure date from early this year to being sealed, they hoped, by August.

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January also saw Washington state’s Attorney General filed a lawsuit to block the merger. Bob Ferguson said the merger is “bad for Washington shoppers and workers”.

In September, Kroger and Albertsons set out a plan to sell more than 400 stores to C&S Wholesale Grocers to secure regulatory approval for the mega-merger.

Approached today by Just Food to comment on the Bloomberg report, a Kroger spokesperson said: “Kroger remains in ongoing discussions with the FTC and state regulators.

“This merger is the best thing for America’s consumers because it will lead to lower prices and more choices on the foods customers need, want and love.

“Blocking the combination will only embolden large, non-unionised retailers – like Walmart, Amazon and Costco – to continue opposing unions and leaving communities. Kroger will continue to lower prices, grow good-paying union jobs and increase access to fresh food for the families who need it most.”

Just Food has contacted Albertsons and the FTC for comment.

Column, September 2023: Why the Kroger-Albertsons-C&S deal is unlikely to win over the FTC

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