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63 CA Vons, Albertsons, Pavilions Stores To Be Sold During Merger

The companies unveiled which stores will be sold to other companies as they seek approval for the largest grocery merger in U.S. history.

| Updated
In the Golden State, the deal would see 63 stores sold off. (Patch file photo by Renee Schiavone)

CALIFORNIA — Kroger and Albertsons have unveiled hundreds of stores they plan to sell to secure federal approval for two of the nation's largest grocery chains to complete a $25 billion mega merger.

The companies first announced an agreement for Kroger to acquire Albertsons in 2022, quickly drawing scrutiny from federal antitrust regulators. The combined company would own nearly 5,000 stores, thousands of pharmacies and fuel centers, and dozens of distribution centers and plants.

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Kroger-owned brands in California include Ralphs and Food 4 Less. Albertsons is the parent company of Safeway, Vons and Pavilions.

Calling it the largest supermarket merger in U.S. history, the Federal Trade Commission sued to block the acquisition earlier this year, arguing it could eliminate competition, drive prices higher and reduce choices for shoppers. The FTC and union leaders have also expressed concerns over how the deal could impact more than 710,000 workers employed by the two companies.

Kroger CEO Rodney McMullen has argued the merger would save up to $1 billion in administrative costs and help streamline manufacturing and distribution channels, allowing for lower prices at the register and higher wages for workers.

The suit is scheduled to head to trial at the end of August.

Initially, the companies planned to sell off more than 400 stores across the country. Under the updated plan, the two grocery giants would offload 572 stores, six distribution centers and a dairy plant to C&S Wholesale Grocers, a New Hampshire-based company that owns the Piggy Wiggly and Grand Union brands.

In the Golden State, the deal would see 63 stores sold to C&S, largely comprised of Vons, Albertsons and Pavilions locations in Southern California, three stores on the Central Coast and one Safeway in the Bay Area.

In a message shared Tuesday, Kroger's CEO said the deal included commitments from C&S to continue operating the stores, honor existing collective bargaining agreements and avoid layoffs.

These are the California stores that will be sold to C&S under the agreement:

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