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Proposed merger of Kroger, Albertsons is halted by federal, WA judges

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The proposed $24.6 billion merger between supermarket giants Kroger and Albertsons floundered on Tuesday after judges overseeing two separate cases both halted the merger.
The Federal Trade Commission (FTC) has filed a lawsuit to block the proposed $24.6 billion merger between Kroger and Albertsons, two of the largest supermarket chains in the U.S., citing concerns over reduced competition and potential price increases for consumers. The FTC's action aims to prevent what it describes as a "supermarket mega merger" that could lead to higher grocery prices, lower quality products, and reduced consumer choice. The merger, announced in October 2022, would combine nearly 5,000 stores across 48 states, potentially giving the combined entity significant market power. The FTC's complaint also highlights the risk of store closures and job losses, arguing that the merger would harm workers by reducing their bargaining power. Kroger and Albertsons have defended the merger, stating it would allow them to better compete with larger retailers like Walmart and Amazon, and they have proposed divesting several stores to mitigate antitrust concerns. However, the FTC remains unconvinced, emphasizing the need to protect competition in the grocery sector.

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[ https://www.fox10phoenix.com/news/kroger-albertsons-merger-blocked ]