Business & Tech
4 VA, DC Harris Teeter Stores To Be Divested Ahead Of $25B Mega Merger
The companies unveiled which VA, DC stores will be sold to other firms as they seek approval for the largest grocery merger in U.S. history.
VIRGINIA — Kroger and Albertsons have unveiled hundreds of stores, including some in Virginia and the District of Columbia, 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.
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.
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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.
Find out what's happening in Old Town Alexandriafor free with the latest updates from Patch.
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 Virginia and DC, the deal would see four stores sold to C&S, all Harris Teeter groceries.
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 Virginia and Washington, D.C., stores that will be sold to C&S under the agreement:
- Harris Teeter — 735 N Saint Asaph St., Alexandria
- Harris Teeter — 2425 N Harrison St., Arlington
- Harris Teeter — 105 Purcellville Gateway Dr, Purcellville
- Harris Teeter — 401 M St. SE
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