{"id":135731,"date":"2024-12-11T07:27:52","date_gmt":"2024-12-11T00:27:52","guid":{"rendered":"https:\/\/hotvideos24.online\/?p=135731"},"modified":"2024-12-11T07:27:52","modified_gmt":"2024-12-11T00:27:52","slug":"federal-judge-blocks-krogers-25-billion-mega-merger-with-albertsons","status":"publish","type":"post","link":"https:\/\/hotvideos24.online\/?p=135731","title":{"rendered":"Federal judge blocks Kroger\u2019s $25 billion mega-merger with Albertsons"},"content":{"rendered":"<p> <script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3711241968723425\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-format=\"fluid\"\r\n     data-ad-layout-key=\"-fb+5w+4e-db+86\"\r\n     data-ad-client=\"ca-pub-3711241968723425\"\r\n     data-ad-slot=\"7910942971\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script><br \/>\n<\/p>\n<div data-editable=\"content\" itemprop=\"articleBody\" data-reorderable=\"content\">\n<p>\n    <cite class=\"source__cite\"><br \/>\n      <span class=\"source__location\" data-editable=\"location\">New York<\/span><br \/>\n      <span class=\"source__text\" data-editable=\"source\">CNN<\/span><br \/>\n        \u00a0\u2014\u00a0<br \/>\n    <\/cite>\n<\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm1pc2l7t000m54nr2mqs633l@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            A federal judge in Oregon blocked Kroger\u2019s proposed $25 billion tie-up with Albertsons, ruling that the largest merger in US supermarket history would limit competition and harm consumers.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4iy76k700113b6m4t7bf4gb@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            The ruling is a major setback for the chains and puts the merger\u2019s likelihood in jeopardy. Neither company immediately commented following the ruling.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4ix98wa00003b6m0zm401tf@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            The merger, announced in 2022, <a href=\"https:\/\/www.cnn.com\/2022\/10\/14\/business\/kroger-albertsons-merger\/index.html\">sought to combine the fifth and tenth largest retailers<\/a> in the country. The companies own dozens of grocery chains, including Safeway, Vons, Harris Teeter and Fred Meyer.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4iyy18k00243b6mtjjkbnzo@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            Supermarkets have been losing ground in recent decades to competition, and Kroger and Albertsons wanted to merge to better fight off Walmart and Amazon.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4iyz15g002g3b6mbtuocwc4@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            Kroger and Albertsons employ mostly unionized workforces and said they wanted to merge to be more competitive against non-union giants such as Walmart, Amazon and Costco. The grocers also face increased pressure from Aldi, the fast-growing German discount supermarket chain.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4ixawyl00083b6msgz8t3ml@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            The merger would accelerate \u201cour position as a more compelling alternative to larger and non-union competitors,\u201d Kroger CEO Rodney McMullen said when <a href=\"https:\/\/www.cnn.com\/2022\/11\/29\/business\/kroger-albertsons-merger-ftc-antitrust\/index.html\">the deal was announced in 2022<\/a>. <a href=\"https:\/\/www.cnn.com\/2024\/02\/27\/investing\/takeaways-supermarket-merger-ftc\/index.html\">Kroger committed to lowering grocery prices<\/a> by $1 billion following the merger.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4ixh4pg000r3b6mk9439zkx@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            But Judge Adrienne Nelson rejected that argument.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4iyzlpx002l3b6mwgb6qty4@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            In her ruling, she said that supermarkets are \u201cdistinct from other grocery retailers\u201d and are not direct competitors to Walmart, Amazon and other companies that sell a wider range of goods. The merger would eliminate head-to-head competition between Albertsons and Kroger, potentially raising prices for consumers, she said in the ruling.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4j2g0ec00003b6mvtz6sreq@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            The White House supported the ruling in a statement on Tuesday.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4j2gmdw00023b6mhp8tfwap@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            \u201cThe Kroger-Albertsons merger would have been the biggest supermarket merger in history \u2014 raising grocery prices for consumers and lowering wages for workers,\u201d <a href=\"https:\/\/www.cnn.com\/2023\/10\/23\/politics\/biden-nec-elizabeth-warren-aide\/index.html\">National Economic Council Deputy Director Jon Donenberg<\/a> said. \u201cOur Administration is proud to stand up against big corporate mergers that increase prices, undermine workers, and hurt small businesses.\u201d\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4iy9pde00153b6mb97uir54@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            Inflation at the grocery store loomed over the proposed merger.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4ixgj5g000d3b6miw16lpew@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            The proposal came as food prices skyrocketed and met stiff opposition. Unions, small grocers and a coalition of Democrats and Republicans on Capitol Hill, including Democratic Sen. Elizabeth Warren of Massachusetts and Republican Sen. Mike Lee of Utah, also strongly opposed the merger from the start.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4ixgj5g000f3b6m8z0pvy2f@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            The Federal Trade Commission in February <a href=\"https:\/\/www.cnn.com\/2024\/02\/26\/investing\/kroger-albertsons-merger-blocked-ftc\/index.html\">sued to block the deal<\/a>. The FTC said the merger will \u201cresult in higher grocery prices for millions of Americans and lower wages and benefits for hundreds of thousands of grocery workers.\u201d\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4ixgj5g000h3b6mz2opzqwa@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            To allay competition concerns, Kroger and Albertsons agreed to divest 579 stores to C&amp;S Wholesale Grocers. But the FTC said C&amp;S was \u201cill-equipped\u201d to run the divested stores and it could turn into a \u201cnon-functioning disaster.\u201d\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4ixyojc000v3b6mbb3sarr6@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            Judge Nelson agreed with the FTC: \u201cThere is ample evidence that the divestiture is not sufficient in scale to adequately compete\u201d with Kroger and Alber\ufefftsons together and \u201cwill significantly disadvantage C&amp;S as a competitor,\u201d she said in the ruling.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4ixgj5g000j3b6m876mhthg@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            The case was watched closely because of its implications for future antitrust enforcement and corporate dealmaking. The FTC under outgoing chair Lina Khan has also launched landmark antitrust suits <a href=\"https:\/\/www.cnn.com\/2024\/08\/05\/business\/google-loses-antitrust-lawsuit-doj\/index.html\">against Google<\/a>, <a href=\"https:\/\/www.cnn.com\/2023\/09\/26\/tech\/ftc-sues-amazon-antitrust-monopoly-case\/index.html\">Amazon<\/a> and other tech giants.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4iyxsqq001z3b6m4y44j4mz@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            Independent grocery stores strongly opposed the merger. They argued that the merger would increase the companies\u2019 leverage with merchandise suppliers and leave independent stores unable to stock their own shelves.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4iywzok001l3b6mtx5p6e25@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            Yet consolidation in the grocery sector is growing, and <a href=\"https:\/\/www.cnn.com\/2021\/03\/10\/business\/small-stores-out-of-stock\/index.html\">small grocery stores are struggling.<\/a>\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4iyy63300293b6mdojb5xem@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            In 2019, the 20 largest retailers controlled 64% of total food sales, more than double the share from 1990, according to the Agriculture Department.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4iyy98a002b3b6mm7y8upxw@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            Traditional grocery stores have also lost ground to Walmart, Costco, dollar stores and online retailers during that span.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4iyybne002d3b6mg5bvmybf@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            The share of grocery spending at traditional supermarkets dropped from 80% in 1990 to 62% in 2012, according to the Agriculture Department.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4iz3vh7002o3b6mhjlprcbj@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            Advocates of stricter antitrust rules cheered Judge Nelson\u2019s decision.\n    <\/p>\n<p class=\"paragraph inline-placeholder vossi-paragraph\" data-uri=\"cms.cnn.com\/_components\/paragraph\/instances\/cm4iz55ow002x3b6m8cxylbwu@published\" data-editable=\"text\" data-component-name=\"paragraph\" data-article-gutter=\"true\">\n            \u201cPersistently high food prices are hitting Americans hard, and a Kroger-Albertsons mega-merger would have only made it worse,\u201d Food &amp; Water Watch senior food policy analyst Rebecca Wolf said in a statement Tuesday\n    <\/p>\n<\/p><\/div>\n<p><script async src=\"https:\/\/pagead2.googlesyndication.com\/pagead\/js\/adsbygoogle.js?client=ca-pub-3711241968723425\"\r\n     crossorigin=\"anonymous\"><\/script>\r\n<ins class=\"adsbygoogle\"\r\n     style=\"display:block\"\r\n     data-ad-format=\"fluid\"\r\n     data-ad-layout-key=\"-fb+5w+4e-db+86\"\r\n     data-ad-client=\"ca-pub-3711241968723425\"\r\n     data-ad-slot=\"7910942971\"><\/ins>\r\n<script>\r\n     (adsbygoogle = window.adsbygoogle || []).push({});\r\n<\/script><br \/>\n<br \/><div data-type=\"_mgwidget\" data-widget-id=\"1660802\">\r\n<\/div>\r\n<script>(function(w,q){w[q]=w[q]||[];w[q].push([\"_mgc.load\"])})(window,\"_mgq\");\r\n<\/script>\r\n<br \/>\n<br \/><a href=\"https:\/\/www.cnn.com\/2024\/12\/10\/business\/kroger-albertsons-merger-ruling\/index.html\">Source link <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>New York CNN \u00a0\u2014\u00a0 A federal judge in Oregon blocked Kroger\u2019s proposed $25 billion tie-up with Albertsons, ruling that the largest merger in US supermarket history would limit competition and &hellip; <a href=\"https:\/\/hotvideos24.online\/?p=135731\" class=\"more-link\">Read More<\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[5],"tags":[],"class_list":["post-135731","post","type-post","status-publish","format-standard","hentry","category-business","entry"],"_links":{"self":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/135731","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=135731"}],"version-history":[{"count":0,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=\/wp\/v2\/posts\/135731\/revisions"}],"wp:attachment":[{"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=135731"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=135731"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hotvideos24.online\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=135731"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}