CNN – Kroger is set to close about 5% of its grocery stores — amounting to approximately 60 locations — over the next year and a half.
The closures come a few months after plans collapsed for a merger with rival Albertsons that would have created a massive chain. That resulted in the two companies becoming embroiled in a legal fight.
Kroger revealed in an earnings release Friday that it was taking a $100 million impairment charge on the closures, but that they would provide a “modest financial benefit” in the long term.
The company did not say which specific stores were slated for closure and isn’t adding further comment beyond the earnings report.
Affected employees will be offered positions at nearby stores, Kroger said, and it will use the money saved to invest in “customer experience” at the remaining locations. Kroger has roughly 1,200 stores spanning 16 US states …
Which Kroger stores will close?
FAST COMPANY – Kroger has not provided a list of stores that will be impacted. However, local media outlets have reported on a number of locations that have recently closed or will close in the coming months, with some citing local unions or elected officials:
Dickinson, Texas
- Location is closing in June (Houston Chronicle)
Gassaway, West Virginia
- Location is closing in August (WCHS)
The Woodlands, Texas
- Sterling Ridge location reported closed in May (Community Impact)
McKinney, Texas
- University Drive location is closing (WFAA)
Abingdon, Virginia
- Location reportedly closing in September (WFHG)
Bristol, Tennessee
- Location reportedly closing in September. (WFHG)
It’s unclear if the above locations are part of the 60 locations included in Kroger’s earnings disclosure on Friday … SOURCE.
