A federal judge in Oregon and a Washington state court judge both issued rulings Tuesday temporarily blocking the proposed merger between grocery giants Kroger and Albertsons, halting fears of numerous Alaska store closures.
In Alaska, Kroger owns 11 Fred Meyer stores, while Albertsons owns 24 Carrs or Safeway stores as well as the Crow Creek Mercantile in Girdwood. As part of the merger, the companies were prepared to sell off 18 of the state’s grocery stores.
Bridget Shaughnessy Smith is a spokeswoman for the Alaska Public Interest Research Group, a nonprofit that has lobbied against what would be the largest grocery store merger in U.S. history. She called the judges’ decisions a big win for the state.
“The grocery store competition we have is crucial to keeping prices fair, preserving consumer choice and supporting the community wellbeing,” she said. “This decision is a win for all Alaskans who rely on accessible and affordable food options, and we hope that it will effectively put an end to this monopoly threat.”
Alaska’s congressional delegation as well as a couple dozen state lawmakers also opposed the merger.
Officials with Albertsons and Kroger argued that the merger was necessary for the businesses to compete with major retailers that also sell food like Wal-Mart, Costco and Amazon.
Shaughnessy Smith said she hopes the wide opposition to the merger will discourage the grocery chains from appealing the courts’ decisions.
“We’re hoping that with the large amount of bipartisan opposition from all levels of government, as well as this decision from a federal court, that the companies will not pursue further legal action,” she said.
Congresswoman Mary Peltola applauded the judges’ decision in a statement Tuesday.
“A blocked merger means protecting produce on our shelves, good-paying jobs in our communities, and preservation of our way of life,” she wrote.