Kroger lists 73 Valley stores to be sold in merger with Albertsons

Just over six dozen Safeway and Albertsons stores in the Phoenix metro are on a list of 101 Arizona locations set to be divested under the pending Kroger-Albertsons merger.

The 73 Valley stores, which would be divested to New Hampshire-based C&S Wholesale Grocers, and the total in Arizona is a substantial increase from what was originally set at 24 grocery stores in the Valley. The previous deal was to sell 413 stores nationwide, but in April Kroger announced it had bumped that number up to 579 stores.

Cincinnati-based Kroger (NYSE: KR) — the nation’s largest operator of traditional supermarkets and the parent company of Fry’s Food Stores and Smith’s stores in Arizona — notified employees July 9 and revealed the list of stores to be sold. The transaction with C&S is contingent on completion of Kroger’s purchase of Idaho-based Albertsons— which owns Safeway stores in Arizona.

The full list, as reported by the trade publication Progressive Grocer, includes 52 Valley Safeways and 21 Albertsons locations.

The news of the expanded divestitures come as Kroger and Albertsons look to execute their merger. The sale aims to reduce overlap and maintain the competitive environment in certain markets, including Denver, Los Angeles, Phoenix and Seattle.

This story is posted in partnership with Phoenix Business Journal. Click to read the full story.