Kroger Expands in Omaha

The Kroger Co. (Cincinnati) has reached an agreement to purchase three Albertson’s stores in the Omaha area from No Frills. The transaction is expected to be complete by early September. Financial terms were not disclosed.

Ownership of the stores — two in Omaha and one in Bellevue, Neb. — had initially been going from Albertson’s Inc. (Boise, Idaho) to No Frills, a local supermarket and pharmacy chain. So Kroger is actually purchasing the stores, which average approximately 57,600 square feet in size, from No Frills. They will become part of the company’s Dillons division, which currently operates 112 stores in Kansas, Missouri, Arkansas, Oklahoma and Nebraska, primarily under the Dillons, Baker’s and Gerbes banners. These three acquired stores will operate under the Baker’s banner.

“Omaha is an important area that offers attractive opportunities to expand our business,” said Dillons president John Bays. “The acquisition of these three stores will enable us to provide better convenience, value and service to our customers. We look forward to interviewing Albertson’s employees for potential jobs.”