Albertsons

Kroger is the second-largest grocer by market share in the United States, behind Walmart, and Albertsons is fourth, after Costco.

However, he said the industry could be at a tipping point where a big merger could also lift margins. Other regions, such as the Northeast and Southeast, have very little overlap. A merger would be less likely to get approved if they are the top two grocers in many markets, she said. Kroger and Albertsons also each have numerous store banners, including names that the operators have acquired over the years. Regulators would look at where the companies have dominance and weigh if they would have too much power if combined, said Eleanor Fox, a New York University professor who specializes in antitrust and competition policy. grocery market in the 12 months ended June 30, according to market researcher Numerator. The next three big players after Albertsons are Ahold-Delhaize, Publix, Sam's Club and Target. Kroger captured about 9.9% of the U.S. Together, Kroger and Albertsons would be a closer second to Walmart. Plus, some Americans stock up on food at warehouse clubs such as Costco, Walmart-owned Sam's Club and [B.J.'s Wholesale](/quotes/BJ/). [have jumped 11.2% from a year ago](https://www.cnbc.com/2022/10/13/consumer-price-index-september-2022-.html), according to the most recent Bureau of Labor Statistics data. Companies have had to invest in automation, employee training and more as consumers bounce between browsing store aisles, ordering home deliveries and using curbside pickup.

Kroger announced Friday that it plans to buy Albertsons in a nearly $25 billion deal that could change the US retail industry and impact how millions of ...

The American Economic Liberties Project, an anti-monopoly organization, said the “merger would be disastrous for market competition, small businesses, and especially – consumers’ pockets.” Shares of Kroger [(KR)](https://money.cnn.com/quote/quote.html?symb=KR&source=story_quote_link) slid 5% in early trading Friday, while Albertsons dropped 7%. The companies said they will spin off nearly 400 stores to form a new rival in an effort to gain antitrust clearance. They say it would harm consumers by raising prices and driving out competition. Albertsons is known for having higher prices than Kroger and analysts say Kroger may try to lower the chain’s prices. Consumer watchdogs, unions, and Democrats have already come out strongly against the deal. The deal, which is expected to close in 2024, would combine two of the largest supermarket chains in the country and create one of its largest private employers. Traditional supermarkets have been pressured by these companies and others – discount chains such as Dollar General [(DG)](https://money.cnn.com/quote/quote.html?symb=DG&source=story_quote_link) and Aldi, warehouse clubs like Costco [(COST)](https://money.cnn.com/quote/quote.html?symb=COST&source=story_quote_link), and online grocers. The two companies operate dozens of grocery chains. Its combined market share in the $1.4 trillion grocery industry would be 13.5%, according to Morgan Stanley, making it the second largest grocer behind Walmart’s 15.5% share. The move also comes as companies battle higher costs and food inflation reaches its highest level in decades. The company would become the third largest retail chain in America by sales.

Grocery giant Kroger KR +1.15% said it was acquiring rival Albertsons ACI +11.53% in a roughly $24.6 billion tie-up that will help drive profitability and ...

(ACI) for $34.10 each, implying a 32.8% premium to Albertson’s closing price on Oct. ](https://www.barrons.com/market-data/stocks/kr) [

The deal for two of the nation's largest grocery chains is valued at $24.6 billion.

The latest: "A 15-year-old white male suspect" was taken into custody and is in critical condition, police chief Estella Patterson said at a food retailers, with around 8% and 5% market share, respectively. - "There is overlap in the two store estates, particularly in the West, and there will, no doubt, be some closures if a merger goes ahead," Saunders wrote.

Albertsons will be paying a special cash dividend of up to $4 billion to its shareholders as part of the deal. Shares of Albertsons ( ACI ) ...

12, before talks of a potential merger [were reported by the media](https://www.barrons.com/articles/albertsons-kroger-merger-report-51665672113?mod=article_inline). [ for $34.10 a share, implying a 32.8% premium to Albertson’s closing price on Oct.

Two of the nation's largest grocers have agreed to merge in a deal that would help them better compete with Walmart, Amazon and other major companies that ...

Cerberus helped finance Albertsons’ 2015 purchase of the Safeway grocery chain and attempted a failed merger with Rite Aid in 2018. The chain announced in February that its board was reviewing options to enhance shareholder value, including developing new businesses or a sale. Kroger also said the combined stores would provide greater access to fresh food. Amazon, which bought Whole Foods in 2017, is also a growing player in the space, with 3% share. Together, the stores would control around 13% of the U.S. grocery market, assuming the sale or closure of around 400 stores for antitrust reasons, according to J.P.

The combined company could pose a competitive threat to Walmart and Amazon, the retail and e-commerce giants that already wield massive power in the grocery ...

McMullen will be the chairman and CEO of the joined company. The deal is unlikely to significantly impact food prices for shoppers, Saunders said. That would make it the second-largest player in the food and grocery market behind Walmart. Albertsons has a strong presence in the western United States, especially in California. Food and grocery prices have also spiked for consumers, and the government’s food index has risen 11.4 percent over the past year, the l [argest 12-month increase in decades.](https://www.washingtonpost.com/business/2022/09/13/inflation-cpi-august-fed/?itid=lk_inline_manual_12) The deal is likely to draw antitrust scrutiny from federal regulators who have been keeping an eye on industry consolidation.

CINCINNATI — Kroger and Albertson grocery stores announced Friday a plan to merge together. According to a press release, the plan contains establishing, ...

As described in the merger agreement and subject to the outcome of the divestiture process, Albertsons Cos. Kroger and Albertsons Cos. "Today's announcement marks the successful outcome of the Board-led review of strategic alternatives Albertsons Cos. "Supporting and investing in our associates is foundational to both of our organizations and will continue to be a critical pillar of our success. announced in February," said Chan Galbato, co-chair of the Albertsons Cos. is prepared to establish an Albertsons Cos. "We look forward to working together with Kroger to capture the compelling opportunities ahead." "We are bringing together two purpose-driven organizations to deliver superior value to customers, associates, communities and shareholders," said Rodney McMullen, Kroger chairman and chief executive officer, who will continue serving as chairman and CEO of the combined company. The purchase price represents a premium of approximately 32.8% to the unaffected closing price of Albertsons Cos. 7 to shareholders as record of the close of business on Oct. Albertsons will pay a cash dividend of up to $4 billion to its shareholders. is prepared to spin off at closing in conjunction with the regulatory clearance process," the news release said.

Kroger Co snapped up Albertsons Cos Inc in a $25 billion deal on Friday, creating a U.S. grocery behemoth to better compete with leader Walmart Inc on ...

"This is the type of deal that the FTC wants to discourage." Citi and Wells also jointly arranged $17.4 billion of debt financing to support the deal. Morgan analysts saying that a deal would underpin the Dutch supermarket major's own M&A appeal. The new public company is estimated to comprise as many as 375 stores. Earlier in the day, Ahold Delhaize Barlow said the U.S. Neil Saunders, managing director of GlobalData Retail, said "these (concerns) are mostly local issues where a merger produces a very high market share in certain areas. grocery behemoth to better compete with leader Walmart Inc [(WMT.N)](https://www.reuters.com/companies/WMT.N) on prices while bracing for potential antitrust roadblocks. The U.S. 1 and 2 standalone grocers in the United States will bring under one roof nearly 5,000 stores that include banners such as Albertsons' Safeway and Kroger-owned Ralphs and Fred Meyer. An incremental $1.3 billion will also be invested into Albertsons. [(KR.N)](https://www.reuters.com/companies/KR.N) snapped up Albertsons Cos Inc [(ACI.N)](https://www.reuters.com/companies/ACI.N) in a $25 billion deal on Friday, creating a U.S.

The acquisition, which remains subject to regulatory approval, would create a mega-grocer that could rival Walmart.

“Given the similarities in the culture and values at Kroger and Albertsons Cos., I am confident that the combination will also have a positive impact on our associates and the communities we are proud to serve. “If you think about the store bases of the two respective entities, there is a lot of overlap in very competitive markets.” “Together with Kroger, our combined iconic banners will be able to provide customers with even more value and greater access to fresh food and essential pharmacy services,” Sankaran said in a statement. The Kroger Co. This merger advances our commitment to build a more equitable and sustainable food system by expanding our footprint into new geographies to serve more of America with fresh and affordable food and accelerates our position as a more compelling alternative to larger and non-union competitors.” As part of the deal, Albertsons said it is prepared to establish a subsidiary called SpinCo that would operate as a standalone public company that will operate between 100 and 375 stores that have been divested by the retailers because of overlapping operations.

Kroger and Albertsons companies have merged to establish a national footprint and serve America with fresh, affordable food.

will be better positioned to relieve the inflationary pressures facing shoppers with a combined portfolio of approximately 34,000 total private label products across premium, natural and organic, and opening price point brands," the news release stated. "Consistent with prior transactions, Kroger plans to invest in lowering prices for customers and expects to reinvest approximately half a billion dollars of cost savings from synergies to reduce prices for customers," the company stated in its news release. "Kroger and Albertsons Cos. "This combination will expand customer reach and improve proximity to deliver fresh and affordable food to approximately 85 million households with a premier omnichannel experience." In a statement, Kroger Chairman and CEO Rodney McMullen said, "Albertsons Cos. "An incremental $1.3 billion will also be invested into Albertsons Cos.

Las empresas dijeron que Kroger acordó comprar Albertsons por $34.10 la acción en un acuerdo valorado en $24,600 millones. Las acciones de Albertsons habían ...

Kroger y Albertsons también tienen numerosas marcas de tiendas, incluidos los nombres que los operadores han adquirido a lo largo de los años. Históricamente, la consolidación en la industria de comestibles no ha dado sus frutos en forma de mayores ganancias, dijo. Para más de CNBC entra [aquí](https://www.cnbc.com/). Es menos probable que se apruebe una fusión si son las dos principales tiendas de comestibles en muchos mercados, dijo. La participación de Albertsons fue del 5.7%. Las empresas han tenido que invertir en automatización, capacitación de empleados y más a medida que los consumidores recorren los pasillos de las tiendas, ordenan entregas a domicilio y utilizan la recogida en la acera. Además, algunos estadounidenses se abastecen de alimentos en clubes de almacén como Costco, Sam's Club, propiedad de Walmart, y B.J.'s Wholesale. Los supermercados regionales de propiedad privada, como H-E-B en Texas y Publix en Florida, siguen siendo jugadores poderosos y cuentan con una fuerte lealtad. Las empresas dijeron que Kroger acordó comprar Albertsons por $34.10 la acción en un acuerdo valorado en $24,600 millones. El vínculo se produce durante un momento difícil en la industria de comestibles. Juntos, Kroger y Albertsons serían un segundo más cercano a Walmart. Los tenderos también se han visto muy afectados por la inflación.

En conjunto, las cuatro marcas operan 195 tiendas en Dallas Fort Worth: Kroger 95 tiendas, Tom Thumb 60, Albertsons 31 y Market Street 9. Juntas suman una ...

en Nueva York, con lo que la compañía adquiría un valor de mercado de unos $15,200 millones. Habían aumentado un 11% a $28.51 a las 12:58 p.m. En tanto, Kroger cayó un 1.3% a $45.43, lo que equivale a un valor de mercado de alrededor de $32,500 millones. Seguramente varias tiendas en Dallas-Fort Worth tendrían que ser puestas a la venta, de la misma manera en que la fusión de Albertsons y Safeway en 2015 quedaron 12 tiendas con necesidad de comprador después de la revisión de la FTC. [Kroger ](https://www.dallasnews.com/espanol/al-dia/dallas-fort-worth/2022/04/06/kroger-lanza-proyecto-en-dallas-para-ayudar-a-restaurantes-con-sus-ingredientes-faltantes/)y [Albertsons](https://www.dallasnews.com/espanol/al-dia/dallas-fort-worth/2022/04/11/albertsons-abre-nuevo-supermercado-en-irving/) confirmaron el viernes que quieren pasar de ser rivales a formar una sola compañía, la cual sería un gigante de los abarrotes en Estados Unidos. Kroger indicó en una presentación de documentos el viernes que pagará $34.10 por acción en la compra de Albertsons, un acuerdo valuado en $24,600 millones.

La fusión crea un gigante de los supermercados en Estados Unidos con una facturación de unos 210.000 millones.

Tras la operación, el grupo invertirá 1.300 millones en reformar tiendas de Albertsons para mejorar la experiencia del cliente. Kroger cuenta con un préstamo puente de 17.400 millones de dólares comprometido por Citi y Wells Fargo. Con la mayor compra del sector en las últimas décadas, se crea un gigante con una facturación de unos 210.000 millones de dólares y cerca de 5.000 establecimientos, capaz de competir co La empresa fusionada espera conseguir aproximadamente 1.000 millones de dólares de sinergias anuales netas de desinversiones en los primeros cuatro años de operaciones combinadas. Corresponsal jefe de EL PAÍS en Estados Unidos. El principal accionista de la compañía adquirida es el grupo inversor Cerberus, con cerca de un 30% del capital. Aproximadamente el 50% se logrará en los dos primeros años tras el cierre de la operación. El precio también se ajustará en función de las desinversiones a realizar para lograr el visto bueno de las autoridades de competencia. Kroger, con sede en Cincinatti (Ohio), tiene los establecimientos del mismo nombre, además de las enseñas Ralphs y Fred Meyer. El acuerdo ha sido aprobado por unanimidad por los consejos de administración de ambos grupos. [el dueño de las cadenas de supermercados](https://www.albertsonscompanies.com/home/default.aspx) Safeway, Acme, Jewel-Osco, Shaw’s, Tom Thumb, Amigos, Randall y Lucky, entre otras. La compañía planea desprenderse de entre 100 y 375 establecimientos,

Kroger y Albertsons Companies anunciaron un acuerdo definitivo en virtud del cual las empresas fusionarán dos organizaciones complementarias con marcas ...

Tal y como se describe en el acuerdo de fusión y en función del resultado del proceso de desinversión, Albertsons Cos. El aumento del tráfico de clientes y de los datos impulsará a su vez los negocios de beneficios alternativos de mayor crecimiento y margen de la empresa combinada para apoyar la reinversión continua en el negocio. Junto con Kroger, nuestros icónicos estandartes combinados podrán ofrecer a los clientes aún más valor y mayor acceso a los alimentos frescos y a los servicios esenciales de farmacia. amplía los negocios principales de supermercados, combustible y farmacia de Kroger, reforzando la capacidad de la compañía combinada para impulsar el tráfico adicional en las tiendas y los canales digitales. El anuncio de hoy es un testimonio de su éxito», dijo Vivek Sankaran, CEO de Albertsons Cos. nos guía la ambición de crear clientes para toda la vida. McMullen añadió: «Como empresa combinada, nos basaremos en nuestros valores similares para crear una cultura que adopte la diversidad, la equidad y la inclusión y fomente la mejor experiencia de los asociados, permitiéndoles, apoyándoles y capacitándoles para desarrollar todo su potencial. El componente en efectivo de la contraprestación de $34.10 por acción se reducirá en el importe por acción del dividendo especial en efectivo, que se espera que sea de aproximadamente $6.85 por acción. Este dividendo en efectivo será pagadero el 7 de noviembre de 2022 a los accionistas registrados al cierre de las operaciones del 24 de octubre de 2022. Creemos que esta transacción conducirá a un crecimiento más rápido y rentable y generará mayores beneficios para nuestros accionistas», agregó el CEO de Kroger. Esta fusión hace avanzar nuestro compromiso de construir un sistema alimentario más equitativo y sostenible al ampliar nuestra huella en nuevas geografías para servir a más estadounidenses con alimentos frescos y asequibles y acelera nuestra posición como una alternativa más convincente a los competidores más grandes y no sindicalizados» [experiencia de compra](https://abasto.com/noticias/como-kroger-ofrece-una-estrategia-integral-para-satisfacer-las-necesidades-de-los-clientes/) de primera clase tanto en las tiendas como en los canales digitales.

As part of the transaction, Albertsons will pay a special cash dividend of up to $4 billion to its shareholders. The cash component of the $34.10 per share ...

With an expanded footprint and the addition of the recently launched Albertsons Media Collective, Kroger will enhance its services to media clients and provide more targeted sophisticated solutions. Kroger expects the transaction to be accretive to earnings in the first year following close, and double digit accretive to earnings by year four, excluding one-time costs. By joining forces, the combined company will be better positioned to advance a comprehensive ESG strategy focused on Kroger and Albertsons' shared mission to support the communities they serve and pursue a more sustainable future. "This transaction with Kroger provides substantial value to shareholders and exciting opportunities for associates to be part of a combined organization with the ability to better support the lives and health of millions of Americans." By bringing together Kroger's Fresh for Everyone strategy and Albertsons' Customers for Life strategy, the combined company will expand its portfolio of fresh products, extend shelf lives and accelerate the penetration of its Fresh portfolio, Kroger said. Kroger also noted that the combined company will benefit from shared operational learnings across both large and small store formats, a more extensive and efficient distribution network of customer fulfillment facilities and capabilities and an expanded pickup footprint. Kroger looks forward to bringing the best of Albertsons' own omnichannel capabilities to more customers to improve the shopping experience, the company said. Supporting and investing in our associates is foundational to both of our organizations and will continue to be a critical pillar of our success. Kroger has a track record of successful integrations that combine the strengths of each company while maintaining and enhancing each organizations' distinctive banners and storied histories." The cash component of the $34.10 per share consideration will be reduced by the per share amount of the special cash dividend, which is expected to be approximately $6.85 per share. This merger advances our commitment to build a more equitable and sustainable food system by expanding our footprint into new geographies to serve more of America with fresh and affordable food and accelerates our position as a more compelling alternative to larger and non-union competitors. Kroger said that the combined company will drive profitable growth and sustainable value for all stakeholders.

Kroger on Friday bid $20 billion for Albertsons Companies Inc., or $34.10 per share. Kroger will also assume $4.7 billion of Albertsons' debt. Kroger owns ...

The chain announced in February that its board was reviewing options to enhance shareholder value, including developing new businesses or a sale. Kroger also said the combined stores would provide greater access to fresh food. Amazon, which bought Whole Foods in 2017, is also a growing player in the space, with 3% share. The combined chain would control around 13% of the U.S. If approved, the deal is expected to close in early 2024. Albertsons operates stores under its name and owns the Safeway chain, too.

Kroger and Albertsons have confirmed market speculation in a merger of the US grocery giants with combined sales of more than US$200bn.

Vivek Sankaran, the CEO of Albertsons, added: “Together with Kroger, our combined iconic banners will be able to provide customers with even more value and greater access to fresh food and essential pharmacy services. Both Kroger and Albertsons are capable of managing this alone, but the larger, merged business will have more financial firepower.” Indeed, scale is necessary to deliver the prices and investments that consumers demand." From a broader national perspective, a combined Kroger and Albertsons does not pose any major threat to the competitive dynamics of the market. “We are bringing together two purpose-driven organisations to deliver superior value to customers, associates, communities and shareholders,” McMullen said in a statement today (14 October). “In a market where margins are under pressure, the additional scale is useful for Kroger as it improves economics through better buying power.

The supermarkets, which have agreed to combine, say they will squeeze suppliers and lower prices for consumers. Investors seem skeptical.

[ ](https://www.barrons.com/market-data/stocks/aci) ](https://www.barrons.com/market-data/stocks/kr)

With inflation raging, Kroger on Friday pledged to use its proposed acquisition of rival Albertsons to reduce prices. That promise could help sell the deal.

Even China and India, Russia's two biggest allies, have since [called for de-escalation](https://www.axios.com/2022/10/10/china-india-russia-deescalation-ukraine). to give $725 million in additional defense aid to Ukraine](/2022/10/14/ukraine-russia-defense-aid) [told Axios](https://www.axios.com/local/raleigh/2022/10/14/five-killed-in-shooting-along-neuse-river-greenway-raleigh-nc) Friday petitions have been filed against the suspect, but her office is seeking to have the case transferred to superior court, where the teen would be tried as an adult. [ordered deadly missile strikes](https://www.axios.com/2022/10/10/putin-strikes-retaliation-crimea-bridge-attack) across Ukraine this week, leading to explosions [that killed at least 19 people](https://www.axios.com/2022/10/10/kyiv-ukraine-explosions-russian-invasion). food retailers, with around 8% and 5% market share, respectively. [plans to buy Albertsons](https://www.axios.com/2022/10/13/kroger-albertsons-merger-acquisition) for about $24.6 billion, in a deal that pairs up two of the nation's four largest food retailers.

Under the merger, Albertsons and Kroger will operate a total of 4,996 stores, 66 distribution centers, 52 manufacturing plants, 3,972 pharmacies, and 2,015 fuel ...

The news release also says that subject to the outcome of the divestiture process, Albertsons is prepared to establish an Albertsons Cos. Under the agreement, Kroger will acquire all of the outstanding shares of Albertsons Companies, Inc. The establishment of SpinCo, which is estimated to comprise between 100 and 375 stores. brings a complementary footprint and operates in several parts of the country with very few or no Kroger stores,” said McMullen. “Today’s announcement marks the successful outcome of the Board-led review of strategic alternatives Albertsons Cos. announced in February,” said Chan Galbato, Co-Chair of the Albertsons Cos.

The acquisition should improve the freshness of products in stores and improve private label offerings, Kroger CEO Rodney McMullen tells The Enquirer.

The deal isn't expected to close until early 2024 following regulatory and antitrust review. ... They really do look at it (market share) 3-mile circle by 3-mile circle ... In a complementary acquisition, there tends to be fewer overlapping functions and fewer resulting job cuts. McMullen: "Both companies have professional advisors helping us on understanding the FTC (antitrust regulator the Federal Trade Commission). McMullen: "I would expect (the impact) to be very limited. McMullen: "A lot of supply chain savings will really be helping improve freshness of product because we'll have warehouses closer to the stores and you'll be able to take a day or two out of the cycle for those fresh products as well. ... Over time, we've been able to grow, it's actually gone the other way where we need more people." We'll be able to continue to invest in our associates on pay and invest in the customers on pricing. ... (Although) they run smaller stores better than what Kroger does." Besides Kroger stores, the Cincinnati-based grocer currently operates several regional supermarket chains in 35 states, including Fred Meyer, Harris Teeter, Ralphs, Mariano's, Fry's, Smith's, King Soopers, QFC and others. The thing that it will allow us to do is obviously bigger scale. Here are the highlights:

Kroger vows lower food prices in its $20-billion Albertsons bid. Consumer advocates are doubtful. Vons cashier Debbie Alexander cleans her checkout lane. The ...

The companies said they would spin off up to 375 Albertsons stores in a standalone public company. The Department of Justice and the FTC are [updating merger guidelines](https://apnews.com/article/joe-biden-business-federal-trade-commission-economy-92c9d29e42e8cbe5db46ce9815d5e062) to better detect and prevent deals that reduce competition and harm consumers. They employ around 710,000 people and would operate stores in 48 states and the District of Columbia. Albertsons is his favorite chain, and few of the stores are left in Southern California. Albertsons became a publicly traded company in 2020. Last year, for example, Kroger opened the first of 20 planned warehouses where robots help fulfill delivery orders. Together the companies posted net earnings of $3.3 billion on revenue of about $210 billion in the fiscal year ended Jan. [A recent Los Angeles Times survey](https://www.latimes.com/business/story/2022-07-07/inflation-grocery-supermarket-prices-los-angeles) of food prices found Ralphs, Albertsons, Food 4 Less and Vons were among the top 10 most visited grocery chains in the Los Angeles-Long Beach area. We compiled a snapshot of prices at ten grocery chains in the L.A. “The quality and service here is better than any other store in the neighborhood. Kroger, based in Cincinnati, operates 2,800 stores in 35 states, with chains that include Ralphs, Food 4 Less, Smith’s and Harris Teeter. The companies said some stores would close or change names, but executives said the details have yet to be determined.

“Albertsons Companies. brings a complementary footprint and operates in several parts of the country with very few or no Kroger stores,” Rodney McMullen, Kroger ...

About 290,000 of those associates are employed by Albertsons, which on its own has a combination of 2,273 stores, 1,720 pharmacies, 402 gas stations, 22 distribution centers and 19 manufacturing facilities. A letter of consent is all that is needed to close the deal in early 2024 due to regulatory clearances. “We have been on a transformational journey to evolve Albertsons Companies. Kroger will also be assuming $4.7 billion of Albertsons net debt in the deal, according to a joint press release, and Albertsons will be paying a $4 billion cash dividend of $6.85 per share to its investors by Nov. brings a complementary footprint and operates in several parts of the country with very few or no Kroger stores,” Rodney McMullen, Kroger CEO said in a statement. While executives have agreed on the terms, shareholders will need to submit their consent to the deal by Oct.

A merger would mean that just one company controls almost half of the market for grocery stores in Ariz., which could raise anticompetitive concerns.

Once combined, the companies plan to invest $1 billion to continue raising employer wages and improving benefits following close of the transaction. For now, rewards and other programs offered by the two companies "remain separate, and you cannot use your Kroger customer program at Albertsons Cos. The companies also pledged a "more personalized and convenient omnichannel experience including in-store shopping, enhanced pickup capabilities, faster delivery times and stronger digital capabilities," with a broader array of private-label brands. Albertsons, headquartered in Boise, Idaho, generated net income of $1.6 billion on nearly $72 billion in sales. "We encourage you to continue earning and using your points at our stores, fuel centers, pharmacies as well as online," Kroger said. Walmart and Costco were the two next largest grocery competitors, with nearly a 26% share combined. Along with Fry's, Kroger operates under supermarket brands that include Ralphs, Fred Meyer and Smith's, while Albertsons' other brands include Safeway, Vons and Jewel-Osco. That would expand to 48 states once the merger concludes. Albertsons operates Albertsons, Safeway and other grocery brands. Albertsons operates 134 stores around Arizona, compared with 124 for Kroger. There's a greater store overlap here than in many other states, which could raise anticompetitive concerns for regulators. Kroger, which operates Fry's Food & Drug and other brands, said it will purchase Albertsons Cos.

Two of the largest U.S. supermarket chains hope to join forces as inflation pushes food prices higher and as Amazon and Walmart become more powerful.

Rite Aid and Walgreens [walked away](https://www.nytimes.com/2017/06/29/business/dealbook/walgreens-rite-aid-merger.html) from their $5 billion deal in 2017 before the F.T.C. [filed for bankruptcy](https://www.reuters.com/article/us-haggen-bankruptcy/regional-grocer-haggen-files-for-bankruptcy-blames-albertsons-idUSKCN0R92DL20150909) and blamed Albertsons for the breakdown of its business. [called off their $3.5 billion deal](https://www.nytimes.com/2015/06/30/business/dealbook/sysco-terminates-deal-with-us-foods.html) in 2015 after a federal judge had ruled in favor of the F.T.C’s decision to block it. blocked a [second attempt](https://www.nytimes.com/2016/05/11/business/dealbook/staples-office-depot-merger.html) by Office Depot and Staples to merge. Hosken of the Federal Trade Commission, found that in four of the five mergers they evaluated, prices appeared to have increased between 3 and 7 percent. The F.T.C. The authors cautioned that the study was not necessarily a reflection of the impact of all deals. It will also look intently at whether Kroger and Albertsons can leave room for a viable competitor in markets in which they overlap by selling off stores. Together, the grocers said on Friday, they will be able to save millions in operating costs and have stronger bargaining power with suppliers. If it is approved by officials, the deal would unite two of the country’s largest supermarket chains to create a corporate behemoth that collectively generates $209 billion in revenue a year and operates nearly 5,000 stores. That leaves a number of questions about the potentially industry-shifting deal. Senator Bernie Sanders, independent of Vermont, called the deal an “