Kroger-Albertsons merger on hold after Colorado judge ruling
A proposed merger between Kroger and Albertsons, which would impact King Soopers, City Market, and Safeway stores, is on hold.
The companies temporarily paused the merger following a ruling by a Colorado judge overseeing a lawsuit brought against them by the Colorado Attorney General's Office.
"Consumers, workers, and farmers across the nation can breathe easier," said Colorado Attorney General Phil Weiser.
On Thursday, a Colorado judge issued the order. Weiser expressed satisfaction with the ruling.
"Our team worked hard and long to make the case and marshal the evidence. And the judge says, 'yes,' the evidence is there," Weiser said.
Kim Cordova, president of UFCW Local 7, the union representing grocery workers in Colorado, said while they are pleased with the ruling, grocery workers are not celebrating just yet.
"This fight is not over," Cordova said. "It gives them a little bit of peace of mind right now that the sale is not going to be completed, you know, in the next month or so. But we await the decision."
The Federal Trade Commission has filed a lawsuit to block the merger, which will be heard in federal court on August 26. The Colorado AG's office will have its trial at the end of September if it is still necessary.
"In two months, we're going to have a full trial on the merits, and we'll get a permanent stop to this merger," Weiser said.
CBS News Colorado reached out to Albertsons for comment but has not heard back. A Kroger spokesperson said in a statement:
"Today's decision is welcome news as it eliminates the need for a preliminary injunction hearing in Colorado that was previously scheduled to begin August 12. The hearing on the state's request for a permanent injunction will go forward as scheduled on September 30. We look forward to defending in court how the combination of Kroger and Albertsons will provide meaningful, measurable benefits, including lower prices and more choices for families across the country and more opportunities for stable, well-paying union jobs."
