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Kroger-Albertsons merger is a victory for Colorado consumers | NOTICE | Notice
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Kroger-Albertsons merger is a victory for Colorado consumers | NOTICE | Notice







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Mike Coffman


The proposed Kroger-Albertsons merger has become a critical issue in Colorado, where both companies maintain a significant presence with stores such as King Soopers, City Market, Safeway and Albertsons scattered throughout our state.

As Mayor of Aurora, I support the Kroger-Albertsons merger because it benefits our community. Safeway has been the cornerstone of our grocery shopping landscape in Aurora. However, Albertsons made it clear that if the merger did not move forward, they would have to rethink their entire business model to survive. This would likely lead to store closures, layoffs and a total exit from markets. A merger would provide stability to our local stores and promise lower prices to our residents.

Albertsons has publicly stated that it is struggling to compete in a rapidly changing grocery industry dominated by retail giants like Walmart, Amazon and Costco. An analysis by Solomon Partners showed that these three companies control 48% of the grocery market in Colorado alone. Over the past decade, Kroger and Albertsons have both seen their market share decline while Walmart and Costco have gained ground, leading Albertsons to warn that without this merger, they may have to close stores and cut businesses. jobs to stay afloat.

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For Aurora, this scenario could be disastrous. Our five Safeway stores under consideration for sale provide jobs, groceries and a sense of community for local residents. If Albertsons were to close some of these stores, it would create a ripple effect, potentially leaving our neighborhoods underserved and even creating food deserts in some parts of the city. This merger provides a solution that ensures all Safeway locations in Aurora will remain open and, best of all, C&S Wholesale Grocers – a trusted national grocery distributor – will take ownership of these stores.

C&S is also committed to preserving Safeway’s identity in Aurora. They will license the Safeway name, meaning customers won’t notice any difference in branding or experience. But the big change they’ll notice is at the checkout. Kroger has committed to investing $1 billion in lowering prices at Albertsons stores, $40 million of which will go directly to Colorado stores. Currently, Albertsons prices are 10-12% higher than Kroger. That’s not a small margin. A merger would lower prices across the board, making groceries more affordable for hard-working families in Aurora.

The truth is that shopping today is very different than it was 10 or 20 years ago. Customers are increasingly turning to one-stop retailers like Walmart or Costco or online platforms like Amazon for their groceries. Kroger and Albertsons must compete with dwindling resources. This merger gives them the flexibility they need to keep prices low, stores open and workers employed, while preserving competition that benefits consumers.

Colorado Attorney General Phil Weiser has expressed concerns about the merger, but even he recognized this could lead to lower prices for consumers. In a market increasingly dominated by nontraditional grocers like Walmart, this merger allows Kroger and Albertsons to level the playing field, giving them the opportunity to compete with the changing landscape of Colorado’s food market.

In Aurora, the stakes are high. We need to make sure our grocery stores stay open, our workers keep their jobs, and our families get the best prices possible. The Kroger-Albertsons merger is the right path forward for Aurora and for Colorado. By supporting this merger, we can protect our stores, preserve jobs and provide much-needed price relief to families who need it most.

This merger keeps stores open, guarantees employees’ jobs and brings a trusted C&S owner to Colorado. Let’s keep Colorado and Aurora’s food landscape strong, competitive and affordable for everyone.

Mike Coffman is mayor of Aurora.