The Kroger supermarket chain intends to reduce grocery prices by $1 billion upon completion of the proposed $25 billion merger with its smaller competitor, Albertsons, as confirmed by a company spokesperson on Thursday.

Previously, Kroger had committed to lowering grocery prices by $500 million at Albertsons locations.

The news was initially reported by Bloomberg News earlier in the day.

The supermarket mega-merger, initially announced in October 2022, was anticipated to establish a grocery empire comprising over 4,000 stores. However, the deal has encountered multiple antitrust lawsuits due to concerns that it could potentially increase grocery prices. The first challenge was raised by the Washington State Attorney General.

The proposed merger was temporarily halted last month pending a ruling from the Colorado District Court on a lawsuit filed to block the deal. The trial is scheduled to commence on September 30, as stated by State Attorney General Phil Weiser.