A federal judge blocked the pending $25 billion merger of grocery chains Kroger and Albertsons on Tuesday, siding with the Federal Trade Commission in a win for the Biden administration.
A federal judge blocked the pending $25 billion merger of grocery chains Kroger and Albertsons on Tuesday, a win for the Federal Trade Commission that Kroger has said would likely scuttle the deal.
The FTC argued at a three-week trial in Portland, Ore., that the merger would eliminate head-to-head competition between the top two traditional grocery chains, leading to higher prices for shoppers and reduced bargaining leverage for unionized workers.
The ruling, which could be appealed, is a big victory for FTC Chair Lina Khan and the Biden administration in their bid to counter inflation at the checkout. Americans’ discontent over a lingering rise in grocery prices since the pandemic was a key theme in the run-up to President-elect Donald Trump’s win in November.
