12.11.24

Senators Murkowski, Sullivan Celebrate Victory for Accessibility and Affordability of Groceries in Alaska

WASHINGTON – Following the news that Albertsons has backed out of the $24.6 billion merger with Kroger after a federal judge in Oregon and state judge in Washington blocked the deal yesterday, Senators Lisa Murkowski and Dan Sullivan (both R-Alaska) released the following statements:

"I have been working with the delegation for over a year to amplify the justified concerns Alaskans have about this merger, and I’m pleased that the courts have now recognized what we knew, that it would have imposed significant harms on Alaskans. That Albertsons has now backed out is evidence that this was a bad idea from the start,” Senator Murkowski said. “Today marks a victory for Alaskans seeking affordable and accessible groceries for their families.”

“I appreciate the court’s decision to block this merger,” said Senator Sullivan. “Many Alaskans were concerned about this merger resulting in grocery store closures and higher prices in Alaska, especially as our state already faces some of the highest prices for food and basic goods in the country. Senator Murkowski and I demanded the FTC conduct a rigorous analysis to ensure that Alaskans would not be negatively impacted by this merger. The FTC found that the merger would likely reduce competition and raise prices—putting further strain on working families in our state. The courts agreed, which is good news for our state.”

Background: On September 22, 2023, Senators Murkowski and Dan Sullivan (R-Alaska) sent a letter to the Lina Khan, Commissioner of the U.S. Federal Trade Commission (FTC), expressing their concerns about the Albertsons-Kroger merger. They identified Alaskans’ concerns about how it would affect consumer prices, the state’s food security, and Alaskan employees and their union contracts.

As part of the merger, Kroger announced a $1.9 billion divesture agreement, which proposed selling 14 of 35 existing Carrs-Safeway stores in Alaska owned by Albertsons to C&S Wholesale, LLC. The stores up for sale are located in Anchorage, Girdwood, Fairbanks, Eagle River, Palmer, Wasilla, Juneau, Kenai, Soldotna, and the North Pole, according to the proposed divestiture list.

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