Rural areas are opposed to the proposed merger between Fry's and Safeway grocery chains, reports ABC 9 KGUN. The deal has nationwide implications because grocery brands in many states are part of the Kroger or Albertsons/Safeway banners and will be affected by a merger between the two companies.
First announced in 2022, the proposed deal between Kroger and Albertsons has faced opposition from many food industry leaders and legal entities. Both companies expect the process will be completed by 2024.
Sierra Vista, Arizona Mayor Clea McCaa shared that with one Safeway and one Fry's, he worries that half of the city could become a food desert if the stores consolidate and one location closes. He added that decreased competition could lead to higher prices and reduced access to essentials.
“I was talking to Mayor Huish down in Douglas, they don't have a Safeway. Their constituents have to drive to Safeway in Bisbee to get their medicine,” said McCaa. “If that store were closed those constituents as well as Bisbee will have to travel to Sierra Vista to get their meds.”
Congressman Ruben Gallego is working with rural mayors to pen a letter to urge the Federal Trade Commission to reject the merger. Full Story
Related: State Officials Oppose Kroger-Albertsons Merger; Giant Food Eliminates Fulfillment Centers