Judge Won't Block Whole Foods Merger

[Omaha Steve]

Source: Associated Press

WASHINGTON (AP) — A federal judge Thursday gave the go-ahead for grocer Whole Foods Market Inc. to buy rival Wild Oats Markets Inc., rejecting government arguments the deal would stifle competition and lead to higher prices.

The judge denied the Federal Trade Commission's request to temporarily block the $565 million deal. U.S. District Judge Paul L. Friedman's reasoning was detailed in a 93-page court document that was sealed because it contains corporate secrets.

The FTC could appeal the ruling and could ask the court to delay the closing of the transaction, pending the appeal.

Jeffrey Schmidt, the FTC's director of competition, said agency officials are "reviewing our options." He declined to commit to a specific action.

Read more: http://money.excite.com/jsp/nw/nwdt_rt_top.jsp?news_id=ap-d8r2doo81&

[MADem]

1. Two overpriced food stores merging--so what, really.

They both charge WAY too much for their shit. Trader Joe's is a much better value.

[candice]

4. Read the labels though...TJ buys from China...

...I've stopped buying from either except for a few items...discovered my local farmers' market...much better, much fresher.

[MADem]

7. We don't use TJ for all of our shopping, just the odd unique stuff.

We actually have a local grocer in a local "grocery store" (not a supermarket, just a few aisles, with "normal" lighting) where we buy most of our stuff, which is, itself, largely bought locally or regionally if available (the fresh stuff, anyway).

[Warpy]

2. That explains the gloom I felt at Wild Oats today

They're all afraid Whole Paycheck will close their store.

Getting treated better as employees doesn't mean much when you're out of a job.

[otohara]

3. I Have 3 Wild Oats Near Me

I'm guessing Whole Paycheck will close 2.

[donheld]

12. It's not what they Wild Oats employees tell us.

They are happy about this. They tell us Wild Oats would not have survived without this sale.

[JI7]

5. Whole Foods already charges a lot, i wonder if they would lose customers if they raised

prices.

[Nutmegger]

6. A Bushy appointee?

I use to shop at both stores, but not anymore due to price. However, I really think it's a shame that the consumer is going to get less choice due to this merger. I'm so tired of all these companies lumping up. In the end, we're the ones that lose.

[Justice]

8. wow government has egg on its face

This whole case has been nasty and ugly - and now the FTC is rebuffed.

I remember when the courts blocked Staples from buying one of the other big box office supply stores - office depot I think. The government argued and the court agreed that although lots of stores sold pencils and paperclips, there were only a couple that were big box office supply. So the court looked at the market as only big box stores selling office supply stuff, not as all the stores that sold pencils and paperclips. I also thought this Whole Foods case would be have a similiar result, for similiar reasons - dedicated all natural/organic grocery stores = not all stores that sell some organic products.

And we cannot even read the decision to understand how the court rationalized the difference!

[MADem]

9. Well, I think it could be also the fact that STAPLES makes a BUNDLE off the US government

They have massive contracts with a number of agencies, including the Pentagon.

Of course, if President Romney has his way, he'll fix that--Staples is one of HIS babies, which is why they don't get my custom!

I live not far from a couple of massive Super-supermarts that have "organic sections" that are almost as large as the Wild Oats not far from me. And their prices, for the same shit, is much less.

[Javaman]

10. yay!!!

welcome to the world of the dumbing down of america's food!!!

You all know that whole foods is behind the bill currently snailing it's way through congress to redefine what is organic correct?

welcome to the wal-martinization of whole foods, who by the way, has ex walmart board members on it's own board. funny how that works.

5 years from now...

get cheap shit from walmart

get "organic" food from whole foods.

buy local. support CSA's. support local farms.

it's gonna be that way anyway soon enough.

right now corporate america is in a big race to grab all they can before fuel costs blow sky high and the price of everything balloons higher than it is now.

[Eugene]

11. FTC files appeal to block Whole Foods merger

Source: Reuters

FTC files appeal to block Whole Foods merger

By Diane Bartz
Reuters
Friday, August 17, 2007; 2:26 PM

WASHINGTON (Reuters) - U.S. antitrust authorities asked
a federal court for permission to temporarily block organic
grocer Whole Foods Market Inc.'s (WFMI.O) merger with
rival Wild Oats Markets Inc. (OATS.O), a spokesman for
the Federal Trade Commission said on Friday.

The Federal Trade Commission also asked Judge Paul
Friedman of the U.S. District Court for the District of
Columbia to delay the order he issued on Thursday
allowing the $565 million deal to go ahead.

The FTC also filed a appeal on Friday to the U.S. Court
of Appeals for the District of Columbia requesting that the
merger be stopped while the agency determine if it would
be a violation of U.S. antitrust statutes.

-snip-

Read more: http://www.washingtonpost.com/wp-dyn/content/article/2007/08/17/AR2007081701074.html

[Endangered Specie]

13. Higher prices, thats why I call them Whole-Bank-Account Foods.