Albertsons reshapes retail footprint and closes Safeway stores

Albertsons Companies is undergoing a strategic reassessment of its retail footprint following the collapse of its proposed $24.6 billion merger with Kroger. As part of this portfolio optimization, the company has resumed evaluating its store network, leading to the closure of additional Safeway locations.

During fiscal 2025, Albertsons closed 35 stores, a significant increase compared to 10 closures in the previous year and eight in fiscal 2023. These closures resulted in a $63.4 million reduction in fiscal 2025 sales. Despite these closures, the company invested approximately $1.83 billion in capital expenditures, which included 94 store remodels and the opening of nine new locations.

Albertsons currently operates 22 grocery banners, including Safeway, Vons, Jewel-Osco, ACME, Shaw’s, and Tom Thumb, employing approximately 280,000 workers.