“Won’t Kroger feel less competitive pressure to keep prices low?” asked Committee head Sen. Amy Klobuchar (D-MN).
An aggressive review by the FTC is also underway. The FTC says they want to insure the proposed deal complies with antitrust law.
Kroger and Albertsons merger may have negatives
The National Grocer’s Association noted that the new grocery chain would have unprecedented price control power over nationwide grocery prices. That may have negative impacts on local mom-and-pop stores.
“Kroger and Albertsons claim that this merger will benefit consumers — we are not convinced,” said Sumit Sharma with Consumer Reports. Sharma echoed the fear that the merger would “eliminate significant competition.”
“Kroger lists Albertsons as its main competitor in five out of its top 10 markets that cover 546 of the Ohio-based chain’s stores,” Sharma explained.
“Our commitments are to lower prices starting Day 1, continue investing in our associates and stores, and do more in our communities than either of us can do alone,” Kroger CEO Rodney McMullen said.
