Albertsons

Albertsons

Albertsons' special dividend gets held up again

The $4 billion payment related to the merger with Kroger will remain suspended at least until next month.

Albertsons

Washington court keeps Albertsons’ $4B payout on ice

The special dividend payout, which has been subject to legal wrangling while the grocer’s $24.6 billion merger plans with Kroger are reviewed, will be on hold at least until Nov. 17 when the next hearing will be held.

The grocer must put the brakes on its special dividend payout to shareholders while its $24.6 billion merger plans with Kroger are under review, a judge in Washington ruled late Thursday.

The state’s attorney general said giving out the special dividend would “weaken Albertsons’ ability to continue business operations and compete” amid a proposed $24.6 billion merger with Kroger. Albertsons called the suit "meritless."

One day after Washington’s attorney general sued the grocer, more states have joined in taking legal action against the retailer, saying the payout would leave it unable to compete with Kroger. The two grocers announced merger plans last month.

The grocer, which is in the process of being acquired by Kroger for $24.6 billion, reported early Tuesday that its same-store sales rose 7.4% and digital sales were up 36% during the period ended Sept. 10.

The Boise-based retailer raised its earnings forecast Tuesday, despite reporting falling margins during the first quarter.

Albertsons Cos. and Sprouts join the program for low-income shoppers, expanding the offering to 49 states and Washington, D.C.

The Boise, Idaho-based grocer’s retail media arm has partnered with The Trade Desk to enable audience and measurement solutions across the open internet.

A majority (83%) of grocery shoppers are more likely to purchase a new grocery item online if customer reviews exist for that product.