The company expects the merger would strengthen its supply chain, expand its fresh food offerings and bring products from “field to table to more customers more quickly.” 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.” In a news release, Kroger said it “has a long track record of lowering prices, improving the customer experience and investing in its associates and communities. With revenue expected to rise, competition is fierce. ![]() Joining forces could also help the grocers pull well ahead of other major retailers with grocery businesses such as Amazon and Costco,” PYMNTS, an online retail and financial publication, reported. If Kroger and Boise-based Albertsons are no longer competing, the new super giant “would have a greater ability to dedicate its resources to taking on Walmart head-on. Union officials are calling on federal and state regulators to step in and do what’s necessary to protect workers and shoppers.Īnalysts say the merger could help the two firms compete against Walmart, the country’s leading grocery retailer.Īccording to, Walmart chalked up $467 billion in retail grocery sales last year, followed by Amazon with $239 billion Costco with $141 billion and The Kroger Co. Union officals say the $4 billion should instead be used to reduce food prices, improve worker pay, increase staffing and boost security and safety measures at grocery stores hit by retail theft. “This dividend would cripple Albertsons’ ability to operate its stores, threatening the jobs of thousands of essential grocery store workers and making groceries more expensive and scarce for millions of families,” said Sam Kantak, secretary-treasurer of Teamsters 38. The attorney general and union leaders contend the cash payment would make it difficult for Albertsons to remain competitive during the review process. “Once this dividend is paid out, it will be impossible to recover,” Tom Geiger, special projects director for UFCW 3000 special projects director said. 7, was paused last week by a temporary restraining order issued by King County Superior Court after state Attorney General Bob Ferguson filed a lawsuit to block the payout, deemed a special dividend.Ī follow-up hearing on Nov. The distribution, which had been scheduled for Nov. The proposed deal includes a $4 billion payout to shareholders before the merger is approved by regulators.Īpproval is expected to take a year or more, extending into 2024. One aspect of the merger is particularly worrisome, unions officials say. “Competition is always good for prices,” said Jeremy Storseth as he walked into Albertsons to buy groceries. In September, grocery prices were up 13% over the year, mostly due to inflation. Many shoppers who took one of the flyers, said they too worried about a monopoly that would raise prices. Albertsons operates more than 220 stores in the state. Kroger, whose brands include QFC and Fred Meyer, has about 120 locations in Washington. United Food and Commercial Workers 3000, UFCW 367 and Teamsters 38 represent the Flynns and more than 35,000 Washington employees of Kroger and Albertsons. “I can see them saying, we can’t have all three of them.” “There’s a Safeway down the street and a Fred Meyer within a couple miles,” Lori Flynn said. Lori Flynn worries the company would shut down stores and lay off workers. “It would be a monopoly, and prices would be terrible,” Lori Flynn said while passing out flyers on her break Nov. ![]() Her husband, Kevin Flynn, a meat-cutter, works there too. Lori Flynn has worked at the Marysville Albertsons store for 10 years.
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |