FTC wins verdict blocking Kroger-Albertson’s mega-merger—for now

The last thing Americans need right now is higher food prices, fewer grocery stores, and less retailer competition. And that’s exactly what the proposed mega-merger of the Kroger and Albertsons supermarket chains would have delivered to consumers.

The verdict handed down today by Judge Adrienne Nelson, siding with the Federal Trade Commission in its case to block this merger, is good news for these chains’ customers and employees, especially those who are experiencing nutrition or food insecurity.

Overnight, this $25 billion merger would have created the nation’s second largest grocer. The combined company, along with the largest grocer, Walmart, would have controlled just over half of the food retail market. While we’re glad about today’s verdict, we also hope that the FTC continues to scrutinize anti-competitive practices in the supermarket industry, including slotting fees, “category captains,” and other trade practices.

Today's verdict temporarily blocks the merger from moving forward while the FTC conducts administrative proceedings which will determine the merger's ultimate fate. We encourage the government to maintain its position and ensure that the merger never comes to fruition. Perhaps it would be for the best if these companies prioritized their customers and abandoned their plans to merge and avoided more months of litigation.