Kroger is denying Albertsons’ claims that it didn’t do enough to ensure regulatory approval of the companies’ planned supermarket merger.
In court papers filed Tuesday in the Delaware Court of Chancery, Kroger said Albertsons disregarded the companies’ merger agreement and worked secretly with a partner, C&S Wholesalers, to try to force Kroger to divest more stores to C&S.
Kroger also claimed that Albertsons was secretly planning to sue Kroger if the deal didn’t go through long before the merger actually fell apart in December. Kroger said in Tuesday's court filing that it should not be forced to pay Albertsons a $600 million termination fee as well as billions of dollars in legal fees.
In a statement Tuesday, Albertsons said it was Kroger that failed to honor the merger agreement.
“Kroger’s self-interested conduct doomed the merger, and we are now focused on returning value to Albertsons’ shareholders to compensate for those losses,” Albertsons said.
Kroger and Albertsons first proposed the merger in 2022. They argued that combining would help them better compete with big retailers like Walmart and Costco.
But the Federal Trade Commission and two states — Washington and Colorado — sued to block the merger last year, saying it would raise prices and lower workers’ wages by eliminating competition. It also said Kroger and Albertsons' plan to divest 579 stores C&S Wholesalers was inadequate to ensure competition, since C&S was ill-equipped to take on so many stores.
In December, judges in Washington and Oregon halted the merger in two rulings issued within hours of each other.
Kroger said even after lower courts ruled, it believed the merger still had a chance of going through. Kroger said it told Albertsons it was planning to re-engage with the FTC after President Donald Trump's election because it thought the FTC under Trump would be less hostile to mergers.
But instead, Albertsons filed a lawsuit against Kroger the day after the lower court rulings. Albertsons said Kroger refused to divest more stores, even as it became clear that regulators weren't satisfied with its plans. Albertsons said Kroger also should have sought other buyers beyond C&S to satisfy regulators' concerns.
FILE - Shoppers head into an Albertson's grocery store Saturday, Nov. 23, 2024, in Cheyenne, Wyo. (AP Photo/David Zalubowski, File)
EDMONTON, Alberta (AP) — Ilya Sorokin made 35 saves for his NHL-leading fifth shutout of the season, Anthony Duclair scored the game's only goal in the third period on the power play and the New York Islanders edged the Edmonton Oilers 1-0 on Thursday night.
Duclair broke the deadlock with 6:18 remaining in the third period after Calum Ritchie sent a backhand pass to him. Mathew Barzal also assisted on the goal, giving him 500 career points in his 576th game over 10 NHL seasons.
Leon Draisaitl — whose tripping penalty put the Islanders on the power play for their goal — nearly tied it with just over 30 seconds left, but his shot in close hit off the far post to the right of Sorokin.
Connor McDavid, who would've had an assist if Draisaitl's shot went in, had his 20-game points streak end. He joined Wayne Gretzky and Paul Coffey as the only three players in Oilers franchise history to have a points streak of at least 20 games.
It was the 27th career shutout for Sorokin, extending his franchise record. It was the Islanders' first shutout in Edmonton since Billy Smith also stopped 35 shots in New York's 2-0 victory in Game 1 of the 1983 Stanley Cup Final.
The Islanders, who have won four of six overall, had lost their last six games in Edmonton, dating to 2017. They were 1-12-0 against the Oilers in Edmonton since the 2007-08 season.
Connor Ingram made 17 saves for the Oilers, who have dropped three of their last four.
Islanders: Play at Calgary on Saturday.
Oilers: Play at Vancouver on Saturday night.
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AP NHL: https://www.apnews.com/NHL
New York Islanders' Matthew Schaefer (48) takes a shot on net against the Edmonton Oilers during the first period of an NHL hockey game in Edmonton, Alberta, Thursday, Jan. 15, 2026. (Timothy Matwey/The Canadian Press via AP)
Edmonton Oilers goalie Connor Ingram (39) makes a save against New York Islanders' Kyle MacLean (32) during the first period of an NHL hockey game in Edmonton, Alberta, Thursday, Jan. 15, 2026. (Timothy Matwey/The Canadian Press via AP)
New York Islanders' Anthony Duclair (11) celebrates with his teammates at the bench after a goal against the Edmonton Oilers during the third period of an NHL hockey game in Edmonton, Alberta, Thursday, Jan. 15, 2026. (Timothy Matwey/The Canadian Press via AP)
New York Islanders' Ilya Sorokin (30) makes a save the against Edmonton Oilers during the third period of an NHL hockey game in Edmonton, Alberta, Thursday, Jan. 15, 2026. (Timothy Matwey/The Canadian Press via AP)
New York Islanders' Calum Ritchie (64) checks Edmonton Oilers' Curtis Lazar (20) in front of Islanders' goalie Ilya Sorokin (30) during the second period of an NHL hockey game in Edmonton, Alberta, Thursday, Jan. 15, 2026. (Timothy Matwey/The Canadian Press via AP)