Kroger Comments On Second Request From Federal Trade Commission
The Kroger Co. (NYSE: KR) announced it received a "second request" from the Federal Trade Commission (FTC) concerning its merger with Albertsons Companies, Inc. (NYSE: ACI). This request will extend the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act. Kroger remains optimistic about the merger's benefits, including improved competition, lower prices, and better access to fresh food. The company continues to expect the merger to complete in early 2024, while complying with FTC requests and planning potential divestitures.
- Kroger expects merger with Albertsons to enhance competition and lower prices for customers.
- The merger aims to improve access to fresh food and create more opportunities for associates.
- Kroger anticipates the merger will secure the long-term future of union jobs.
- The second request from the FTC extends the waiting period for the merger review.
- The completion of the merger is subject to customary closing conditions and may face delays.
CINCINNATI, Dec. 6, 2022 /PRNewswire/ -- The Kroger Co. (NYSE: KR) today announced that, as expected, it has received a request for additional information ("second request") from the Federal Trade Commission as part of the regulatory review process for its merger with Albertsons Companies, Inc. (NYSE: ACI). Kroger issued the following statement:
Kroger looks forward to realizing the compelling benefits this merger will offer, including enhancing competition, lowering prices for customers, improving access to fresh food, creating opportunities to continue investing in our associates and securing the long-term future of union jobs. We will continue to work cooperatively with the Federal Trade Commission as it conducts its review of the merger, including developing a thoughtful divestiture plan. Kroger continues to expect to complete the merger in early 2024.
The second request extends the waiting period imposed by the Hart–Scott–Rodino Antitrust Improvements Act until 30 days after Kroger and Albertsons Cos. have substantially complied with the requests or the waiting period is terminated sooner by the Federal Trade Commission. The transaction remains subject to customary closing conditions.
To learn more about the merger, please visit www.KrogerAlbertsons.com.
About Kroger
At The Kroger Co. (NYSE: KR), we are dedicated to our Purpose: To Feed the Human Spirit™. We are, across our family of companies nearly half a million associates who serve over 11 million customers daily through a seamless digital shopping experience and retail food stores under a variety of banner names, serving America through food inspiration and uplift, and creating #ZeroHungerZeroWaste communities by 2025. To learn more about us, visit our newsroom and investor relations site.
Forward-Looking Statements
This press release contains certain statements that constitute "forward-looking statements" within the meaning of federal securities laws, including statements regarding the effects of the proposed merger with Albertsons Companies. These statements are based on the assumptions and beliefs of Kroger management in light of the information currently available to them. Such statements are indicated by words or phrases such as "accelerate," "create," "committed," "confident," "continue," "deliver," "driving," "expect," "future," "guidance," "positioned," "strategy," "target," "synergies," "trends," and "will." Various uncertainties and other factors could cause actual results to differ materially from those contained in the forward-looking statements. These include the specific risk factors identified in "Risk Factors" in Kroger's annual report on Form 10-K for the last fiscal year and any subsequent filings, as well as the following: the expected timing and likelihood of completion of the proposed transaction, including the timing, receipt and terms and conditions of any required governmental and regulatory clearance of the proposed transaction; the impact and terms and conditions of any potential divestitures and/or the separation of a potential SpinCo; the occurrence of any event, change or other circumstances that could give rise to the termination of the merger agreement; the outcome of any legal proceedings that may be instituted against the parties and others following announcement of the merger agreement and proposed transaction; the inability to consummate the proposed transaction due to the failure to satisfy other conditions to complete the proposed transaction; risks that the proposed transaction disrupts current plans and operations of Kroger; the ability to identify and recognize the anticipated benefits of the proposed transaction, including anticipated TSR, revenue and EBITDA expectations and synergies; the amount of the costs, fees, expenses and charges related to the proposed transaction; and the ability of Kroger and Albertsons Companies to successfully integrate their businesses and related operations; the ability of Kroger to maintain an investment grade credit rating; risks related to the potential impact of general economic, political and market factors on the companies or the proposed transaction. The ability of Kroger to achieve the goals for the proposed transaction may also be affected by our ability to manage the factors identified above. The forward-looking statements by Kroger included in this press release speak only as of the date the statements were made. Kroger assumes no obligation to update the information contained herein unless required by applicable law. Please refer to Kroger's reports and filings with the Securities and Exchange Commission for a further discussion of these risks and uncertainties.
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SOURCE The Kroger Co.
FAQ
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