Albertsons CEO Vivek Sankaran and Kroger CEO Rodney McMullen co-authored an opinion piece that appeared in The Cincinnati Enquirer, Friday, as part of an effort to rally support for their planned merger.
The proposed merger was first announced in 2022 and has faced opposition from many food industry leaders and legal entities. As part of the plan, the company plans to divest between 250 and 300 stores to alleviate antitrust concerns. Both companies hope the process will be completed by 2024.
The merger will help the brands compete in an ever-changing retail landscape that is becoming more digital and automated, according to the CEOs. This echoes a statement from Sankaran during last November’s Senate hearing, where he indicated the merger was Albertson’s best path to compete against Walmart and Amazon’s grocery efforts.
The CEOs said they planned to invest in stores post-merger to prevent closings, no frontline workers will be laid off because of the merger, and grocery prices will remain unchanged.
“We will continue to grow our workforce, raising wages and building comprehensive benefits,” Sankaran and McMullen wrote. “We are lowering prices, so customers find the value they deserve. Customers can feel confident we’ll hold ourselves accountable because we have a track record of investments that benefit them.” Full Story
Related: Aldi Plans 120-Store Expansion; Combined Kroger-Albertsons Could Change How Americans Shop
Image: Albertsons