GRAND JUNCTION, Colo. (KREX) — Colorado Attorney General Phil Weiser held a virtual media briefing Thursday, to provide an update on the lawsuit looking to block the potential merger between grocers Kroger and Albertson's.
The challenge brought forth by Weiser follows two other lawsuits in Oregon and Washington State claiming a merger between the two would "harm consumers, workers, farmers and communities."
Throughout the past few months, Weiser has been collecting feedback from Coloradans saying, "The feedback was clear. It was consistent. Coloradans are concerned about this merger, about food deserts, about a lack of choices, about a lack of competition."
The two chains proposed giving stores to grocery supplier CNS saying it would help address the competitive harm of the merger. Weiser disagrees.
"We disagree. CNS is a national distribution company. It operates very few stores. It doesn't have the infrastructure or platform to do so. We're worried about a repeat of what we saw last time, when Safeway and Albertson's merged. They spun off stores to a company called Haggen's. Haggen's was not able to operate those stores affectively. They were either closed down or they were sold back to the merged firm. That was a disaster."
Kroger operates 148 stores in Colorado and Albertson's is in control of 105, making the two chains the primary place to get groceries for many Coloradans.
Walmart also sells grocery items, but if the merger passes Weiser argues variety and selection would be limited.
The lawsuit will begin Monday and could last up to three weeks.