Rob Bonta, State Attorney General for California will file a lawsuit opposing the proposed merger between the Kroger Company and Albertson’s Corporation.  California bases the action on

• Concerns over higher prices for consumers as a result of reduced competition at the retail level,
• Lower payments to farmers in California due to consolidation and increased buying power and
• The inevitability of store closures and layoffs.

In advance of the proposed merger and to discourage future transactions involving consolidation, California has enacted laws protecting workers.  Participants in merger discussions will be obliged to notify the State Attorney General six months before completion of the transaction providing details of potential impacts on consumers, workers and suppliers.

A second bill to strengthen the California Grocery Workers Retention Act incorporated warehouse workers.

The California State Attorney General has met formally with the Federal Trade Commission, expressing concerns over the Kroger-Albertson’s merger and the potential effect on nation’s most populus state.