Washington state judge orders post-closing dividend in Kroger-Albertsons merger be temporarily stopped
A judge in Washington state has ordered that the post-closing dividend in the deal to merge Kroger and Albertsons be temporarily stopped. Kroger is the parent company of King Soopers and Albertsons owns Safeway.
The two companies agreed to a deal to merge last month.
Last Friday, the attorney general of Washington filed a lawsuit to stop the initial special dividend payment, claiming the payment would affect Albertsons' ability to compete while the deal is under anti-trust review.
Albertsons denies this, stating the payment reflects its strength as a company.
