What: Kroger has been involved in a legal action claiming it has contributed to the US opioid crisis.

Why it is important: The more involved department stores will be in health and wellness, the more they will ahve to be cautious with the implication of their actions.

Kroger, a major grocery chain, has agreed to a $1.2 billion settlement with states, local governments, and Native American tribes over claims that its retail pharmacies contributed to the opioid crisis by inadequately monitoring opioid prescriptions. The settlement will be paid over 11 years, starting in December, with an additional $177 million for legal fees to be paid over six years. Although Kroger did not admit any wrongdoing, it joins other pharmacy chains like Walgreens, CVS Health, and Walmart, who have made similar settlements totaling about $13 billion. The funds from these settlements are being used to support opioid abuse victims and purchase opioid overdose reversal drugs. Despite the settlement, Kroger intends to proceed with its merger with Albertsons and plans to divest over 400 stores to address antitrust regulator concerns.

Kroger pays USD 1.2bn to settle opioid claims