The Kroger Co. (Cincinnati) has announced plans to combine its two retail divisions headquartered in Livonia, Mich., and Columbus, Ohio.
The company said the consolidation will enable it to reduce operating costs, improve administrative efficiencies and invest additional capital in the core grocery business to drive sales growth.
Kroger's Livonia division operates 113 supermarkets under the Kroger and Kessel Food Markets banners in Michigan; the Columbus division operates 116 Kroger stores in central and northwestern Ohio and parts of West Virginia.
According to Jon Flora (currently president of the Michigan division who will lead the combined division of 229 stores and will relocate to Columbus), Kroger plans to invest more than $185 million over the next three years to build, expand and remodel its Michigan store base.