76°F
weather icon Clear

Haggen sues Albertsons for more than $1 billion

Haggen, the Washington-based grocer that acquired the old Vons in Boulder City, is suing Albertsons for more than $1 billion in damages, the company announced Tuesday.

A complaint filed by Haggen on Tuesday in federal court alleges that Albertsons engaged in "coordinated and systematic efforts to eliminate competition and Haggen as a viable competitor in over 130 local grocery markets in five states."

In December, Haggen acquired 146 Albertsons and Safeway stores in Nevada, Washington, Oregon, California and Arizona as part of the merger between Albertsons and Safeway, Vons' parent company, which was approved by the Federal Trade Commission in late January.

The complaint also says that Albertsons made "false representations to both Haggen and the FTC about Albertsons' commitment to a seamless transformation of the stores into viable competitors under the Haggen banner."

According to the complaint, Haggen was forced to close 26 of its newly acquired stores and faces the potential closure of additional stores.

At this point in time, no layoffs or store closure is planned for the Boulder City location, said Deborah Pleva, spokesperson for the chain.

Haggen also alleged that Albertsons provided the company with misleading information that caused Haggen to raise its prices. The complaint also alleges that Albertsons deliberately overstocked perishable products at newly acquired Haggen stores, and that the company moved Haggen products into Albertsons stores.

"Albertsons' anti-competitive conduct caused significant damage to Haggen's image, brand and ability to build goodwill during its grand openings to the public," the complaint said.

The Vons in Boulder City closed June 7 and reopened as Haggen two days later.

Contact reporter Steven Slivka at sslivka@bouldercityreview.com or at 702-586-9401. Follow @StevenSlivka on Twitter.

 

 

MOST READ
LISTEN TO THE TOP FIVE HERE
THE LATEST
Council approves rate hike

Beginning this month, Boulder City residents will see a bump in their power bills.

BC Review wins six state awards

During Saturday’s Nevada Press Foundation’s annual Awards of Excellence, the Boulder City Review came away with six awards in the rural category during a ceremony at Springs Preserve in Las Vegas.

Lady Eagles remain in second place in league play

Bouncing back from their first league defeat of the season, Boulder City High School girls soccer added a pair of wins this past week to build some momentum.

Best of the Wurst

Ron Eland/Boulder City Review

The view from the hallway

September is always a busy month at Boulder City High School.

Country Store celebrates 79th year

For nearly eight decades, Grace Community Church has been the place to find that sought-after knick-knack, holiday decoration or maybe a shirt or blouse, all at a discounted price.

Cozy fall décor that works in the desert

That first day I feel a little fall chill, I always chuckle to myself thinking about the “sweata weatha” exchange between Maya Rudolph and Amy Poehler from their SNL sketch. While much of the country is pulling on sweaters, downing pumpkin lattes, and decorating for fall, we’re still wearing flip-flops and kicking on the AC.

BLM asks judge to set aside Boulder City data center approval

The agency is asking a judge to set aside its unprecedented approval so it can conduct more analysis of the controversial project. It comes weeks after the judge halted construction.

My visit with Mickey and the gang

Walt Disney once said, “I think what I want Disneyland to be most of all is a happy place – a place where adults and children can experience together some of the wonders of life, of adventure, and feel better because of it.”