State Supreme Court refuses to block Albertsons' $4 billion payout
Albertsons may proceed with plans to pay shareholders $4 billion. The State Supreme Court denied a request from the Attorney General’s Office to review the case to block payment.
Albertsons had planned to pay shareholders last fall as part of its proposed merger with rival Kroger. But attorneys general from several states oppose the payment, arguing it would weaken Albertsons’ ability to remain financially viable while regulators review the merger.
Albertsons says the claims are meritless.
The State Supreme Court’s decision to decline review removes a legal roadblock for the grocery company.
In a statement, Attorney General Bob Ferguson says he’s disappointed with the ruling, but the merger is far from a done deal.
UFCW local unions representing grocery workers also expressed disappointment, adding that "it is now even more important that the Federal Trade Commission take swift and decisive action to block the acquisition.”
Albertsons said Tuesday it will immediately begin the process of paying the special dividend and amounts will be distributed as soon as practicable to shareholders.
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Ruby de Luna
Reporter
Ruby de Luna is a reporter with a focus on food and how it intersects with health, communities, and culture. She has also reported on health care, and immigrant communities.
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