Kroger and Albertsons plan to sell these 19 Snohomish County grocers

EVERETT — When Albertsons and Kroger, two of the largest grocery chains in the nation, announced plans to join forces in October 2022, state and federal regulators along with union leaders immediately expressed concerns the merger would create a massive monopoly, stifling competition.

Many of the companies’ 700,000 workers feared the merger could have “negative consequences” for the two unions representing them, according to Fast Company. The two retailers operate thousands of stores throughout the United States.

In a bid last year to alleviate anti-competition concerns, Albertsons and Kroger said they planned to sell hundreds of stores to New Hampshire-based C&S Wholesale Grocers, owner of the Piggly Wiggly supermarket brand and one of the nation’s largest wholesale grocers. The deal is contingent on the completion of the merger between Albertsons and Kroger.

On Tuesday, Albertsons and Kroger released a list identifying the 579 stores included in the $2.9 billion C&S deal, including 20 in Snohomish and Island counties.

In a recent statement, all three companies have said no stores will be closed, “all frontline associates will remain employed and all existing collective bargaining agreements will continue.” In a company statement, C&S added that it committed to “further investing for growth.”

Despite those assurances, in a statement Wednesday, the Teamsters union, which represents some grocery workers, said it is still “vehemently” opposed to the merger.

“The proposed consolidation threatens jobs, wages, and benefits for thousands of workers across the country,” the union said. “It risks reducing competition and harming communities that rely on these stores for essential goods and services,”

Earlier this year, the Federal Trade Commission sued to block the $24.6 billion deal, alleging it would saddle consumers with higher prices for groceries and fewer choices.

Joanne Fisher, right, a meat wrapper with the Marysville Albertsons, hands a leaflet to a shopper during an informational campaign on Wednesday, Nov. 9, 2022. Fisher was one of about a dozen grocery store workers handing out leaflets to shoppers about the proposed merger between Albertsons and Kroger. (Mike Henneke / The Herald)

Albertsons and Kroger have said the merger will allow them to compete with the nation’s three non-unionized retail giants Walmart, Costco and Amazon.

The planned divestiture includes more than a dozen brands in 18 states and Washington D.C.: Albertsons, Carrs, Eagle, Haggen, Harris Teeter, Jewel-Osco, Lucky Store, Marianos, Market Street, Pavilions, QFC, Randalls, Safeway, Tom Thumb and Vons.

Kroger, with brands including QFC and Fred Meyer, operates about 120 stores in Washington while Albertsons operates more than 220 across the state.

Snohomish County is home to two of Albertsons namesake supermarkets and more than 15 Safeway stores. Kroger operates about 20 QFC and Fred Meyer stores in the county.

In total, they plan to divest 124 Washington stores.

Albertsons and Kroger also plan to divest nine distribution centers in Auburn, Washington, Arizona, Colorado and Utah as well as a plant in Colorado.

The Federal Trade Commission, which is seeking a court order to stop the merger on antitrust grounds, in February dismissed the two companies’ original plan to sell 413 stores and other assets to C&S as “far short of mitigating the lost competition between Kroger and Albertsons,” the agency said.

Kroger and Albertsons responded with a revised plan in April to sell 579 stores to C&S. The complete list can be viewed here.

The release of the this week’s planned divestiture list comes about six weeks before a federal judge in Oregon will consider an FTC request to obtain a temporary restraining order to block the merger, reports Grocery Dive.

That hearing is scheduled is scheduled for Aug. 26. If the merger is completed, the combined company will operate more than 5,000 stores. In a statement, the company also said no stores, distribution centers or manufacturing facilities will close as a result of the merger.

Here are the local stores Albertsons and Kroger plan to sell:

Bothell

QFC: 18921 Bothell Way NE

QFC: 22833 Bothell Everett Highway

Safeway: 20711 Bothell Everett Highway

Edmonds

QFC: 22828 100th Ave. W

Everett

QFC: 2615 Broadway

Safeway: 4128 Rucker Ave.

Safeway: 5802 134th Pl. SE.

Lake Stevens