SEATTLE — Two weeks after Albertsons and Kroger, a plan by Albertsons to pay investors a $4 billion dividend is drawing more fire from shoppers, workers and state officials.
In the letter, Racine characterized the $4 billion dividend as potentially “a massive improper giveaway to certain shareholders” that might undermine the performance of Albertsons stores in “a very, very tough marketplace.” A $4 billion payment “basically puts us all in danger of either not having jobs or them having to close stores because with no capital, how are they going to buy the products that we sell on the shelf?” says Kyong Barry, a worker at the South Auburn Safeway and a member of UFCW Local 3000, which represents nearly 26,000 workers at 265 Kroger and Albertsons locations in Washington.
In the letter, Racine said he would seek a court injunction blocking the payment if Albertsons didn’t do so voluntarily, but it was not immediately clear whether the District of Columbia or individual states have the authority to block such a payment. The letter asked Albertsons to respond by Friday as to whether it will cancel the payment.