FOX Enterprise’ Lauren Simonetti breaks down the disappointing July retail gross sales knowledge, which fell 0.6% month-over-month. She particulars how customers are pulling again on spending and analyzes the muted influence on U.S. Treasury yields.
Safeway is closing extra shops as mother or father firm Albertsons Firms reassesses its retail footprint following the collapse of its proposed $24.6 billion merger with Kroger.
Albertsons instructed USA At the moment that the corporate had slowed its potential “portfolio optimization” efforts whereas the Kroger transaction was pending, then resumed evaluating its retailer community after the deal fell aside. That course of has included opening shops in areas the place the corporate sees long-term demand whereas making what Albertsons described to the outlet because the tough choice to shut some areas.
The broader firm closed 35 shops throughout fiscal 2025, greater than triple the ten it closed the earlier 12 months and up from eight in fiscal 2023, in accordance with Albertsons’ newest annual submitting. It opened 9 shops throughout fiscal 2025 and ended the 12 months with 2,244 areas throughout 35 states and Washington, D.C.
These closures had a measurable influence on the grocery store’s outcomes. Retailer closures, web of recent openings, diminished fiscal 2025 gross sales by $63.4 million, whereas prices related to closed shops and surplus properties climbed to $45.1 million from $15.9 million a 12 months earlier.
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Consumers stroll exterior an Albertsons grocery retailer on Feb. 26, 2024, in Las Vegas. (Ethan Miller/Getty Photographs)
Albertsons additionally continued investing in different elements of its retailer base. The corporate accomplished 94 remodels and opened 9 new shops throughout fiscal 2025 as a part of roughly $1.83 billion in capital expenditures, which additionally included funding in digital and know-how platforms.
Albertsons operates 22 grocery banners, together with Safeway, Vons, Jewel-Osco, ACME, Shaw’s and Tom Thumb, and employed roughly 280,000 staff as of Feb. 28, 2026.
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The corporate didn’t present USA At the moment with a full checklist of deliberate Safeway closures. The outlet reported that Safeway areas which have closed in 2026 embrace shops at 231 W. Jackson St. in Hayward, California; 2220 N. Coast Freeway in Newport, Oregon; and 1601 Maryland Ave. in Washington, D.C.
A buyer outlets at a Safeway retailer on June 11, 2024, in Mill Valley, California. (Justin Sullivan/Getty Photographs)
Albertsons mentioned it’s working to position as many affected staff as attainable in jobs at different shops, in accordance with USA At the moment.
The shop evaluate follows the breakdown of Albertsons’ deliberate mixture with Kroger, which was introduced in 2022 and would have created one of many nation’s largest grocery firms.
The Federal Commerce Fee sued to dam the $24.6 billion transaction, arguing that the mix would scale back competitors and will result in greater grocery costs and fewer competitors for grocery staff.
On Dec. 10, 2024, the U.S. District Court docket for the District of Oregon granted the FTC’s request for a preliminary injunction blocking the merger. The FTC introduced the problem alongside 9 state attorneys common.
A Kroger grocery retailer in Dallas, Texas, on Feb. 21, 2024. (Shelby Tauber/Bloomberg by way of Getty Photographs)
The proposed deal subsequently collapsed, setting off litigation between Kroger and Albertsons.
Albertsons sought a $600 million termination price from Kroger, whereas Kroger later filed counterclaims in Delaware disputing that it owed the fee and accusing Albertsons of undermining the regulatory course of. Albertsons has disputed Kroger’s account.
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Albertsons didn’t instantly reply to FOX Enterprise’ request for touch upon the closures.
