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Egg and milk prices attacked in grocer merger case

There are multiple reasons why your bill at the grocery store continues to increase. According to USA Today, grocery prices are up about 25 percent from 2019, including about a 2.2 percent increase on average in food prices between July 2023 and July 2024. Some cities have experienced it worse than others, including Milwaukee, which saw the 10th-highest increase over the last 12 months at 1.9 percent. Higher operating and production costs, supply chain disruptions, and corporate profits are all blamed for the increases. The latter came out in court late last month as the federal court weighed a merger between Kroger Co. and Albertsons Cos. that would create the largest grocer in the country if approved. The two companies argue that combining forces is their only chance to compete against the likes of Amazon and Walmart, while opponents like the Federal Trade Commission say the lack of options could drive up prices. Late last month, Newsweek reported that Kroger’s Senior Director for Pricing Andy Groff said in an email that the parent company for MetroMarket and Pick and Save stores raised the prices of eggs and milk beyond inflation levels. This week, Kroger CEO Rodney McCullen said in federal court that they will begin lowering prices if the $24.6 billion deal is approved. Kroger and Albertson’s first announced their merger in late 2022, only to have the FTC sue to block it last February.  The case continues to be heard in U.S. Federal Court in Portland, Ore. 

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