C&S Wholesale Grocers Expands Through Major Acquisition Amid Kroger-Albertsons Merger

In a significant development in the retail and wholesale grocery industry, C&S Wholesale Grocers, LLC has entered into a definitive agreement to acquire 413 stores, eight distribution centers, and two offices from the merger of Kroger Co. and Albertsons Companies. This move comes as part of a broader strategy to meet regulatory requirements and ensure competitive market dynamics.

Source: Wikipedia 

Key Highlights

1. Acquisition Details: The purchase includes 413 stores, eight distribution centers, and two offices, along with five private label brands. This acquisition is set to enhance C&S’s market presence and operational capacity.
   
   
2. Regulatory Adjustments: Kroger and Albertsons have updated their divestiture plan to address concerns raised by federal and state antitrust regulators. The revised plan now includes the sale of 579 stores to C&S, an increase of 166 stores from the initial proposal.
   
   
3. Store Banners: As part of the agreement, Kroger will sell the Haggen banner to C&S and license the Albertsons banner in California and Wyoming, and the Safeway banner in Arizona and Colorado. Kroger will retain and re-banner Albertsons and Safeway stores in other states.
   
   
4. Employee Protections: The updated divestiture plan ensures that no stores will close as a result of the merger. All frontline associates will retain their positions, existing collective bargaining agreements will remain intact, and employees will continue to receive industry-leading healthcare and pension benefits.

Statements

Rodney McMullen, CEO of Kroger, emphasized the importance of the updated divestiture plan, stating:

“Importantly, the updated divestiture plan continues to ensure no stores will close as a result of the merger and that all frontline associates will remain employed, all existing collective bargaining agreements will continue, and associates will continue to receive industry-leading healthcare and pension benefits alongside bargained-for wages.”

This strategic acquisition not only expands C&S’s operational footprint but also underscores the company’s commitment to growth while maintaining a strong focus on community and employee welfare.

Additional Developments

Charity Efforts: C&S Charities, Inc. recently raised over $1.3 million in donations during its 38th annual Tee Up For Kids™ golf outing. These funds will support nonprofit organizations focused on ending pediatric cancer and childhood hunger.

Sustainability Initiatives: C&S continues to prioritize sustainable practices, reflecting its long-standing commitment to enriching the lives of its communities through responsible and environmentally friendly operations.

For further details, visit C&S Wholesale Grocers Press Releases​ (CSWG)​​ (markets.businessinsider.com)​.

Disclaimer: The above article is for informational purposes only and is based on publicly available information. The information provided is subject to change as new details emerge.