Photo via Fast Company
Albertsons Companies is accelerating store closures across its portfolio as it realigns its physical footprint following the December 2024 collapse of its proposed $25 billion merger with Kroger. According to Fast Company's analysis, at least 12 locations have closed or been marked for closure in early 2026, affecting multiple banner brands including Safeway, Randalls, Vons, Acme, and Balducci's across California, Texas, New Jersey, Connecticut, Nevada, and Washington, D.C.
The company had previously paused optimization efforts during the two-year merger negotiation window, but that process has now resumed as Albertsons recalibrates for independent operation. The grocer ended its 2025 fiscal year with 2,244 physical stores, representing a net decline of 26 locations. Despite current closures, Albertsons maintains it expects a net positive store count by the end of fiscal 2027, indicating a strategy of consolidation rather than wholesale retreat.
These closures underscore mounting pressures facing traditional supermarket operators competing against big-box retailers like Walmart and Costco, as well as Amazon's growing grocery footprint. Albertsons reported a $481 million net loss in its fourth quarter—heavily impacted by a $774 million opioid settlement—while identical-store sales growth languished at just 2 percent. Digital sales showed strength at 21 percent growth, but remain insufficient to offset broader margin pressures.
For Nashville-area business observers, Albertsons' struggles illustrate the consolidation pressures reshaping American retail. The company's stock has declined 27 percent over the past 12 months, and competitors like Kroger are executing similar portfolio optimizations. Albertsons has indicated it will work to place displaced associates at other locations, though the company has not disclosed total job losses or provided clarity on additional closures expected this year.
