Kroger-Albertsons Merger Blocked By Federal Judge

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Albertsons

Dave Jamieson has been HuffPost's labor reporter since 2011. Before joining the D.C. bureau, he was a staff writer at Washington City Paper and a freelancer contributing to Slate, the New Republic, the Washington Post and Outside magazine, among other outlets.

A federal judge in Oregon has blocked the megamerger of grocery giants Kroger and Albertsons from moving forward, delivering a win for antitrust hawks and the Federal Trade Commission.Tuesday granting a preliminary injunction to halt the $25 billion deal. Nelson found that the FTC and several state attorneys general were likely to prevail in their argument that the merger violates antitrust law.The ruling does not kill the deal outright and can be appealed.

As part of the merger, Kroger and Albertsons proposed divesting hundreds of stores to a company called C&S Wholesale Grocers in order to maintain a competitive market. But Nelson said that plan fell short. “This statement win makes it clear that strong, reality-based antitrust enforcement delivers real results for consumers, workers and small businesses,” Farrar said.

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