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New arguments for and against the Kroger BB #:100073 and Albertsons BB #:193326 merger are coming to light as the first court case starts in Portland, OR.
Eight states and the District of Columbia joined the Federal Trade Commission asking that the U.S. District Court in Portland temporarily block the merger while an administrative judge reviews it. This is not the only legal challenge to the merger, as others in Colorado and Washington are on the docket for September.
Several new issues have come to light over the past few days of trial coverage, including that for Albertsons, this merger may be a lifeline for the Boise-based company. An attorney representing the retailer said it may have to sell itself, lay off workers, exit markets, or “fundamentally change its cost structure.”
Meanwhile, the FTC is bringing evidence showing that Kroger raised the prices of key grocery items “significantly higher than cost inflation.”
Here’s a rundown of the headlines:
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