WASHINGTON D.C.: In a letter sent this week, six U.S. lawmakers urged the Federal Trade Commission (FTC) to block the proposed US$24.6-billion acquisition of grocery chain operator Albertsons by rival Kroger.

The senators involved are Senators Elizabeth Warren, Mazie Hirono, Bernie Sanders, and Cory Booker, and Representatives Summer Lee and Alexandria Ocasio-Cortez.

Kroger and Albertsons have said that they expect to complete their merger by early 2024 once the FTC completes its antitrust review.

The letter stressed that Kroger’s proposal to divest 413 stores to C&S Wholesale Grocers would negatively affect consumers, workers, and the grocery industry if the merger is allowed..

Store divestitures as a remedy to mega-mergers often fail to maintain competitive conditions because companies have the incentive to ensure that the businesses they spin off do not succeed, the senators argued.

However, other lawmakers, including congressmen Greg Landsman, Brian Fitzpatrick, and Josh Gottheimer, supported the deal and sent letters to the FTC.

In a statement, a Kroger spokesperson said, “Kroger’s merger with Albertsons will mean workers gain from $1 billion in higher wages, expanded benefits, long-term job security, and a strong unionized workforce. The merger will also mean lower prices, more choices for fresh food for customers, and more investments in our communities.”

“Albertsons merging with Kroger will expand competition, lower prices, protect union jobs, and enhance customers’ shopping experience,” a representative for the company said in a statement.

The only parties that would benefit if the deal is blocked would be Amazon, Walmart, and other large, non-union retailers, whereas a combined Kroger and Albertsons would ensure that neighborhood supermarkets can better compete against large retailers, Albertsons argued.