KROGER CO

Kroger Co. announced an agreement to acquire Giant Eagle, Inc., a leading family-owned food and pharmacy retailer, for approximately $1.65 billion. The consideration comprises $1.25 billion in cash and $400 million in assumed liabilities. The acquisition, which will expand Kroger's presence in several states, is expected to close in 2027, subject to regulatory approvals and potential limited store divestitures.

Kroger reported increased sales and earnings for the first quarter of 2026, with sales up 2.22% to $46.12 billion and diluted EPS rising 13.18% to $1.46. The company also finalized significant opioid settlements totaling up to $1.41 billion and formally terminated its merger agreement with Albertsons, leading to ongoing litigation over a $600 million termination fee and other damages. Net cash provided by operating activities decreased year-over-year.

Kroger reported its first quarter 2026 results, with diluted EPS rising to $1.46 from $1.29 in the prior year. Identical sales, excluding fuel, saw a 1.0% increase. The company reaffirmed its full-year 2026 guidance and highlighted progress on key priorities, including a commitment to investing in the business and returning capital to shareholders through dividends and share repurchases. Adjusted EPS and operating profit also saw year-over-year increases.

The Kroger Co. announced that Timothy A. Massa, Executive Vice President and Associate Experience Officer, will retire in the fall of 2026. Mr. Massa will continue in his current role until September 2026 and will remain an employee through July 1, 2027, to ensure a smooth transition and assist with key strategic projects. His compensation will remain unchanged, but he will not receive future annual equity grants.

Kroger announced its 2026 Annual Meeting of Shareholders will be held virtually on June 25, 2026. The proxy statement details proposals for shareholder vote, including the election of 10 director nominees, executive compensation, and an incentive plan. CEO Greg Foran shared his strategic vision focusing on efficiency, affordability, and growth in stores and online, with plans to increase new store openings by 30% in 2026 and achieve eCommerce profitability this year. The company reported strong 2025 results, including 2.9% identical sales growth without fuel and 9% EPS growth.