Kroger, the largest supermarket chain in the U.S., says it plans to close around 60 stores across the country over the next 18 months in a bid to improve profitability and streamline operations.

The announcement came during the company’s earnings call last Friday. While Kroger has yet to release a list of which locations will close, company leadership emphasized that the closures will be spread nationwide and that impacted employees will be offered positions at nearby stores.

“We see this as an opportunity to move sales from underperforming locations to more successful ones,” said interim Chairman and CEO Ronald Sargent. “We believe this will help improve overall profitability.”

Store Closures Come Amid Shifting Strategy

The planned closures mark a shift for Kroger, which had held off on shuttering any stores during its now-defunct merger attempt with rival grocer Albertsons. That $24.6 billion deal, announced in 2022, collapsed late last year after being blocked in court over antitrust concerns.

Sargent noted that Kroger typically evaluates store performance annually, but store closures were paused during the merger process. With that effort now behind them, the company is once again turning its focus to optimizing its footprint.

Expansion Still on the Horizon

Despite the closures, Kroger isn’t slowing down entirely. The company plans to open at least 30 new stores this year and says it will accelerate store openings in “high-growth geographies” starting next year.

The Cincinnati-based chain currently operates 2,731 stores across 35 states and Washington, D.C., under a variety of brand names including Ralphs, Fred Meyer, Smith’s, and King Soopers.

Labor Tensions Simmer

Kroger’s announcement comes at a tense moment for the company, which is facing ongoing labor unrest. Workers represented by the United Food and Commercial Workers union have raised concerns about chronic understaffing and difficult working conditions.

Union members in Southern California began picketing outside a Los Angeles Ralphs last week. Earlier this year, employees at King Soopers stores in Colorado also went on strike over similar issues.

As the company navigates a changing retail landscape and increasing pressure from labor groups, it remains to be seen how these strategic shifts will play out for both shoppers and employees.

Source: AP News – Kroger plans to close 60 US stores in 18 months to improve profits

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Snack giant Mondelez International has taken legal action against Aldi, claiming the popular grocery chain’s store-brand cookie and cracker packaging looks suspiciously similar to some of Mondelez’s biggest hits—like Chips Ahoy, Wheat Thins, and Oreos.

In a federal lawsuit filed Tuesday in Illinois, Mondelez, based in Chicago, argues that Aldi’s packaging is “likely to deceive and confuse customers,” putting its iconic brands at risk. The lawsuit seeks monetary damages and a court order to stop Aldi from selling these allegedly infringing products.

While Aldi has yet to comment on the lawsuit, the company’s U.S. arm—headquartered in Batavia, Illinois—was named as the defendant.

The Packaging Clash: Side-by-Side Similarities

Mondelez laid out a visual case in court, showing how Aldi’s packaging closely mirrors theirs. For instance, Aldi’s Thin Wheat crackers come in a gold box that looks strikingly like Mondelez’s Wheat Thins. The supermarket’s chocolate sandwich cookies and Oreos both sport nearly identical blue packaging. Even Aldi’s Golden Round crackers come in red boxes that bear a strong resemblance to Mondelez’s Ritz crackers.

Aldi’s Low-Price Strategy and Growth

Known for its no-frills, cost-cutting approach, Aldi keeps prices low by selling mostly its own private-label products. It’s one of the fastest-growing grocery chains in the U.S., with over 2,500 stores across 39 states. Just recently, Aldi announced that its current Chief Operating Officer, Atty McGrath, will step into the role of U.S. CEO starting September 1.

A History of Packaging Disputes

This isn’t Aldi’s first run-in over packaging. Last year, an Australian court ruled that Aldi had infringed copyright with its Baby Bellies snack puffs packaging, which featured a cartoon owl and colors very similar to the original brand. Earlier this year in the UK, a court sided with Thatchers cider company in a lawsuit against Aldi for using packaging design too close to Thatchers’ lemon cider.

Mondelez’s Ongoing Concerns

Mondelez says it’s repeatedly reached out to Aldi about these confusingly similar packaging designs. While Aldi has altered or dropped some products, the lawsuit claims it continues to sell others that infringe on Mondelez’s trademark and trade dress rights—specifically citing packaging for Nutter Butter, Nilla Wafers, and its Premium cracker brand.

As this legal battle unfolds, it puts a spotlight on how fiercely companies fight to protect their brand identities in the crowded snack aisle—where packaging can make all the difference in catching a shopper’s eye.

Source: AP News – Oreo maker Mondelez sues Aldi, alleging grocery chain copies its packaging to confuse customers

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