With merger, Kroger and Albertsons dominate Portland
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Portland is among the markets most likely to be affected by the merger of Kroger and Albertsons.
Why it matters: The companies are two of the country's largest food retailers, and their proposed merger during a time of food inflation has triggered scrutiny.
Driving the news: Earlier this month, S&P Global Ratings said the number of stores the combined entity would be asked to divest by the Federal Trade Commission would be close to the merger cap of 650.
- When Kroger and Albertsons struck the agreement, it was structured with the idea that the number of stores divested would be under 375.
Details: As the above chart shows, the two grocery store operators would have an outsized presence not just in Portland but up and down the West Coast, in the heart of the industrial Midwest, and in Colorado and Arizona.
Zoom in: It's those regions that would experience the divestitures, particularly local markets like Greeley, Colorado; Seattle and Portland, where together the two have more than 50% market share.
Of note: The FTC reviews retail deals such as these on a market-by-market basis.
- The agency is under a lot of political pressure to give this deal — unlikely to close for several months — a close look.