These measures are part of a broader strategy to cut costs and focus on more profitable areas within its store network. The decision was shared in the company’s Q1 2025 financial report, which indicated that the closures would result in modest financial gains that will be reinvested in improving the shopping experience.
Kroger currently operates approximately 2,731 stores, so the closure of 60 locations represents about 2% of its total network. The company has not yet disclosed which specific stores will be affected but has stated that all employees from the closing locations will be offered positions at nearby stores.
Kroger spokesperson Erin Rolfes said in an email to media outlets that the list of stores to be closed would not be released at this time.
The closures come as Kroger adjusts its organizational structure in the wake of McMullen’s sudden resignation in March, following an internal investigation that revealed personal conduct not aligned with the company’s ethical policies.
Ron Sargent has stepped in as interim CEO, stating that the stores being closed were underperforming and that the move is aimed at boosting operational efficiency and profitability.
Founded in Cincinnati in 1883 by Bernard Kroger, the company has seen sustained growth for over a century, becoming a major player in the U.S. food retail sector. However, in recent years it has faced increasing competition from discount retailers, online platforms, and newer supermarket chains offering lower prices and a more modern shopping experience.
Store closures reflect broader retail trends
Kroger is not alone in this trend. In recent years, many supermarket chains around the world have reduced their physical footprints to focus on digital platforms and smaller, more specialized store formats. This reflects changing consumer habits, with more shoppers opting for online purchases or seeking more personalized in-store experiences.
On the other hand, Kroger has also announced plans to invest between $3.6 billion and $3.8 billion in capital this year (approximately €3.3 to €3.5 billion), with funding going toward new store construction, as well as expansion and remodeling of existing locations.
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These investments aim to strengthen Kroger’s presence in key markets and adapt to evolving consumer demands. This network adjustment follows two rounds of layoffs involving non-store staff, as part of a broader effort to improve operational efficiency.
Kroger emphasizes that these changes are part of its strategy to remain competitive in a rapidly evolving retail environment. In summary, the company is undergoing a period of transformation — closing unprofitable stores, reshaping leadership, and investing heavily in infrastructure to position itself for the future.