First day of Kroger and Albertson merger in court
![First day of Kroger and Albertson merger in court First day of Kroger and Albertson merger in court](https://cdn.freshfruitportal.com/2019/09/Kroger-shutterstock_283285520-UE-1024x607.jpg)
Monday marked the first day of hearings on the Federal Trade Commission's multi-state lawsuit against Kroger's acquisition of Albertsons. Both legal teams delivered their opening remarks about the $24.6 billion merger at the U.S. District Court in Portland, Oregon.
Both chains, Kroger and Albertsons, argue that the merger will help them compete against rivals like Costco, Walmart, and Amazon, but the FTC says the merger would result in less competition and even higher grocery prices.
Several attorney generals have joined the opposition, including those in Arizona, California, Illinois, Maryland, Nevada, New Mexico, Wyoming, Oregon and the District of Columbia.
In response to the trial, Kroger released a statement saying that the merger with Albertsons is inherently pro-union.
The retailer added: "Kroger, Albertsons and C&S have committed to honoring all current collective bargaining agreements. The only winners if this merger is blocked will be larger, non-unionized retailers who will continue to fight union growth.”
California Attorney General Rob Bonta issued a statement on the first day of trial in the state's lawsuit saying that the merger presents a "significant risk of reduced competition and higher food prices nationwide."