For Immediate Release
August 23, 2023
Sheena Kadi
Communications Director & Public Information Officer
sheena.kadi@state.co.us
303-349-8113
Colorado State Treasurer Dave Young Calls on Federal Trade Commission to Oppose Kroger-Albertsons Merger; Young Expresses Strong Opposition To Kroger-Albertsons Merger, Citing Adverse Effects On Colorado Residents
Denver, Colorado: TODAY - In a letter sent today, Colorado State Treasurer Dave Young is calling on the Federal Trade Commission (FTC) to oppose the proposed merger between major grocery chains Kroger and Albertsons. Treasurer Young knows the merger poses a significant threat to the well-being of Colorado residents, and expressed deep concern and strong opposition to the consolidation between two of the largest grocery store chains in the United States.
“I fully expect the CEOs and Boards of Kroger and Albertsons - both have boards and are publicly traded - to cut costs and return increased shareholder value, as that's their primary job,” stated Colorado State Treasurer Dave Young. “My job and that of the FTC, is to look out for the public good. The risks this merger poses to the public, our workers, and families here in Colorado and across the country, far outweigh the benefit to the shareholders of Kroger and Albertsons.”
The proposed merger has raised concerns regarding reduced competition, and potential price increases and detrimental effects on grocery store workers’ wages and pensions. A study from the Economic Policy Institute, found that the merger between Kroger and Albertsons could result in a staggering loss of $334 million in wages for over 746,000 grocery store workers.
“The mega-merger, currently undergoing FTC review, would drive out competition, increase food prices, create food deserts, and put hundreds of thousands of jobs at risk as well as hurt local farmers and ranchers,” stated United Food and Commercial Workers (UFCW) Local 7, which represent represents workers at both grocery chains.
Read and download the full letter here.
The FTC is currently reviewing the proposed merger and considering its potential impact on competition and consumers. Treasurer Young has urged the FTC to carefully examine the potential consequences of the merger and take necessary action to protect consumers and preserve competition.
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