Kroger will close 60 stores nationwide as sales fall and costs rise

Image Credit: Matthew Rutledge from Seattle, WA - CC BY 2.0/Wiki Commons

Kroger is preparing to shut down roughly 60 supermarkets across the United States, a sweeping retrenchment that reflects falling sales in some aisles and rising costs across the business. The closures, which will roll out over the next 18 months, will reshape local grocery competition in dozens of communities and test how far shoppers are willing to travel, or switch chains, for their weekly food run.

I see this as more than a routine pruning of underperforming locations. The company is trying to protect its margins in a tougher environment, even as it invests in automation and online fulfillment that are not yet paying off as planned, and that tension is now landing squarely on store workers and customers.

The scale of the 60-store pullback

The core of Kroger’s plan is straightforward: the company intends to close about 60 underperforming stores by the end of 2026, a figure it has repeated across earnings commentary and regulatory disclosures. Executives framed the move as a way to improve profitability and free up capital for stronger markets, describing the targeted locations as laggards that no longer justify the rent, labor and inventory costs tied to a full-service supermarket footprint, a strategy that aligns with Kroger plans to close about 60 underperforming. In its initial national announcement, the company said it would shutter close to 60 locations across its various banners over roughly the next year and a half, signaling that this is a coordinated restructuring rather than a handful of isolated exits, as reflected in the description that Kroger closing around 60 stores nationwide.

As the news filtered down to individual communities, more detailed lists of affected locations began to surface, showing how widely the closures are spread across the company’s national footprint. Reports compiled earlier in the summer described how more Kroger-owned locations were shuttering across the country as employees and customers learned that their neighborhood stores were on the chopping block, a pattern captured in coverage noting that Kroger stores closing list had grown as local announcements rolled out. Follow up reporting emphasized that Kroger is closing 60 stores and that the list of confirmed shutdowns continues to evolve as corporate decisions are communicated to workers and city officials, with one national roundup stressing that Kroger is closing 60 stores and that more names are being added as the company finalizes its timetable.

Where the closures are hitting and who is affected

From a shopper’s perspective, the most immediate question is where these 60 closures will land and how they will change access to groceries in specific neighborhoods. Mapping of the company’s plans shows that Kroger will move forward with the shutdown of around 60 stores nationwide, a number that represents only a small percentage of its total footprint but still translates into a significant disruption in certain cities and suburbs, as illustrated by a visual breakdown that noted Kroger will move forward with the closures even though they account for a limited percent of its total footprint. Local coverage has highlighted how several Kroger-owned grocery stores in different regions are slated to shut down, with one national broadcast outlet summarizing that Kroger recently announced plans to close locations identified through reporting partnerships with the Indianapolis Star and 25 News Now, underscoring that Kroger recently announced plans that reach into multiple states.

For workers and nearby small businesses, the closures mean more than a change in where to buy milk and produce. Each store supports a web of union and nonunion jobs, from cashiers and department managers to overnight stockers and security guards, and when a location goes dark those paychecks either move to other branches or disappear. Lists of confirmed store closures have stressed that several Kroger supermarkets and related banners are affected, with one national summary noting that Here is the list so far of locations shutting down nationwide and that several Kroger sites are included, a reminder that Here the impact is being tallied store by store. For nearby strip malls and service providers that rely on grocery traffic, the loss of an anchor tenant can mean fewer customers walking past their doors, a ripple effect that tends to show up in sales data months after the final closing sale banners come down.

Why Kroger says it has to close stores

Behind the store-by-store decisions is a broader story about how the economics of selling food have shifted since the pandemic. In its communications with reporters, the company has pointed to a mix of softer sales in some markets and higher operating costs, from wages to utilities and shrink, as reasons that certain locations no longer make financial sense. Director of Media Relations and Corporate Communications Erin Rolfes told one outlet in an email response that the company is facing pressures that many retailers share, describing a landscape where some stores are absorbing hits that companies can no longer afford, a sentiment captured in coverage quoting the Director of Media Relations explaining why certain locations are being evaluated. On an earnings call earlier this year, executives also framed the closures as part of a disciplined portfolio review, arguing that pruning weaker stores would help the chain compete more effectively where it has stronger market share.

Independent analysis has described the company as facing “one hit after another” in some regions, from local competition to changing shopper habits that favor discount formats and online ordering. Reporting in early July noted that Kroger is closing 60 stores after a series of setbacks, tying the decision to both macroeconomic headwinds and company specific challenges that have eroded profitability in certain banners, a narrative reflected in coverage headlined Why Kroger is closing 60 stores and summarized in a piece that stated that Why Kroger is making these cuts is rooted in cumulative financial strain. Another analysis published on Jul 3, 2025, emphasized that impending closures were announced late the prior month in a quarterly earnings report, explaining that Kroger planned to close 60 stores over the next 18 months and that executives said on the earnings call that the move was necessary to align costs with revenue trends, a sequence captured in a breakdown that described how Impending closures were framed as a response to financial realities.

How the closures fit into a larger cost-cutting strategy

When I look at the timing and scope of the 60-store retrenchment, it is clear that Kroger is not just trimming real estate but rethinking how it allocates capital between traditional supermarkets and newer bets on automation and e-commerce. The same leadership team that is shuttering underperforming stores is also closing some of its automated delivery infrastructure, a sign that the company is willing to walk away from expensive experiments that are not delivering the expected returns. The company said on Nov 17, 2025, that it would close three automated delivery fulfillment sites and incur a $2.6 billion charge tied to that decision, a figure that underscores how costly it can be to pivot away from large scale technology investments, as detailed in a report that noted $2.6 billion in related charges. Taken together, the store closures and fulfillment center shutdowns show a company trying to reset its cost base while still chasing growth in higher margin categories and channels.

That broader strategy helps explain why the company is comfortable exiting some neighborhoods even as it invests in others. Executives have signaled that capital freed up from closing weaker stores will be redirected into remodels, new formats and digital capabilities in markets where Kroger sees stronger long term potential, a pattern that aligns with its stated goal of improving performance across the portfolio. At the same time, the decision to pull back from certain automated facilities suggests that the company is recalibrating its approach to online grocery, perhaps leaning more on store based fulfillment and partnerships rather than large standalone hubs, a shift that will influence how quickly shoppers in different regions can get delivery or pickup orders. For communities losing both a physical store and access to some of the company’s newer services, the net effect is a contraction in presence that could open the door for rivals, from regional chains to warehouse clubs and dollar stores, to capture displaced demand.

What shoppers and communities should watch next

For customers who rely on Kroger banners for weekly staples, the most practical step now is to check whether their local store appears on the growing lists of confirmed closures and to understand the timeline for any shutdown. National roundups have been tracking which locations are affected and when they are expected to close, with one widely cited list explaining that more reports of Kroger-owned locations shuttering across the country are appearing as employees and customers learn of the decisions, a process described in coverage that noted that More stores are being added as information becomes public. For communities that already struggle with food access, local officials and advocacy groups will be watching closely to see whether other grocers step in, whether smaller independent markets can fill the gap, or whether residents are left with longer drives and higher transportation costs to reach full service supermarkets.

From a policy and labor perspective, the closures will also test how effectively local governments and unions can negotiate for worker protections, retraining or transfers within the company. Some municipalities may offer incentives to attract replacement tenants or to persuade the company to keep certain locations open, while labor groups will push for severance, recall rights and support for displaced employees. As the map of affected stores becomes clearer, I expect more detailed debates over land use, competition and food security to emerge in city council meetings and state legislatures, especially in regions where Kroger has been a dominant player. For now, the only certainty is that the decision to close 60 stores, layered on top of a costly reset in automated fulfillment, marks a significant turning point in how one of the country’s largest grocers balances growth ambitions with the hard math of operating in a higher cost, slower growth environment.

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