Regional officials asking hard questions about grocery merger

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Pavilions Seal Beach Courtesy photo

Although only a handful of local grocery stores would be affected by a proposed merger, Los Angeles city officials are beginning to ask a lot of questions as consumers now face uncertainty in the face of ever-growing grocery prices.

According to sources, Kroger and Albertsons have released a list of 579 stores that would be sold off under a proposed mega-merger of the grocery giants, including a handful of stores in Long Beach, Seal Beach and Los Alamitos.

In February 2024, the Federal Trade Commission sued to block the merger, alleging it would reduce competition, resulting in higher prices and lower quality for essential household items and threatening the livelihoods of grocery workers.
According to other reports, Kroger has denied such claims, insisting that no stores, distribution centers or manufacturing facilities would be closed, and claiming that “customers will benefit from lower prices and more choices” through the merger.
The United Food and Commercial Workers union, which represents grocery workers, issued a statement Tuesday saying it continues to oppose the merger.

Now, according to a report in the Santa Monica Mirror, at least five City Council members have come out against the merger and are beginning to ask questions about what they can do to prevent the merger.

The Los Angeles Council members have introduced a resolution opposing the proposed $24.6 billion merger. The merger could lead to the sale of 14 Los Angeles supermarkets to C&S Wholesale Grocers, leaving their future uncertain.

“The merger between Kroger and Albertsons is bad for our consumers, our communities, and our workers. The City must do what we can to protect our most vulnerable and stop this plan from happening,” Councilmember Heather Hutt was quoted as saying in the Mirror report.

Local governments have yet to discuss the merger, perhaps because only a handful of the stores of the nearly 600 affected stores are in the local trade area.
According to a list of the SoCal stores affected by the proposed merger, several local stores would be affected, including the Pavilions at 1101 Pacific Coast Hwy. in Seal Beach and the Vons at 11322 Los Alamitos Blvd. in Los Alamitos are also on the list.

At least one Long Beach grocery store would also be included should the merger be approved.