Kroger Shutters Dozens of Stores After Merger Collapse

The grocery giant is closing around 60 underperforming locations across the U.S. as it seeks greater efficiency.

Published on Feb. 27, 2026

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Grocery chain Kroger is in the process of shutting down around 60 underperforming stores across the U.S. after its planned $25 billion merger with rival Albertsons was blocked by regulators. The closures, which will impact roughly 5% of Kroger's 1,200 stores, are part of the company's push for greater efficiency following the failed merger.

Why it matters

Kroger's store closures come after weeks of labor disputes, the resignation of its CEO, and the collapse of its proposed acquisition of Albertsons. The move is aimed at making the company more profitable, but it will also impact communities that rely on those stores.

The details

Kroger announced the store closures in June, saying it would shutter around 60 locations over the next 18 months. The company said the closures would result in a $100 million impairment charge but would yield a "modest financial benefit." Kroger has not released a full list of the stores slated for closure, but reports indicate the impacted locations span several states, including California, Colorado, Georgia, Illinois, Indiana, Kentucky, Maryland, North Carolina, Tennessee, Texas, Virginia, West Virginia, and Wisconsin.

  • In June 2026, Kroger announced plans to close around 60 underperforming stores over the next 18 months.
  • Several Kroger locations in Texas, including stores in Houston and Spring, are scheduled to close in April 2026.

The players

Kroger

A major American grocery store chain with over 1,200 locations across the United States.

Albertsons

Another large American grocery store chain that was in talks to merge with Kroger, but the $25 billion deal was blocked by regulators.

Ron Sargent

The interim CEO of Kroger at the time of the store closure announcement.

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What they’re saying

“We see this as an opportunity to move these closed store sales to other stores and we think that should improve profitability. There's really minimal financial impact on company results as a result of these store closures. The geography is spread really around the country.”

— Ron Sargent, Interim CEO (Kroger earnings call)

What’s next

Kroger said it plans to "accelerate new store openings in 2026 and beyond" as part of its strategy following the store closures.

The takeaway

Kroger's store closures highlight the challenges facing traditional grocery chains as they navigate a rapidly changing retail landscape. The failed merger with Albertsons and the need for greater efficiency have forced Kroger to make tough decisions that will impact communities across the country.