KROGER PROVIDES ENHANCED BENEFITS TO MILITARY RESERVISTS CALLED TO ACTIVE DUTY
Health Care Benefits and Wage Differentials Extended for Three Months

CINCINNATI, OH, January 3, 2002 -- The Kroger Co. (NYSE: KR) today announced an enhanced military leave policy for employees called to active duty as a result of America’s response to the September 11 terrorist attacks.

Kroger has extended medical and prescription coverage for three months for reservists called to active military service. In addition, the Company will make up the difference between Kroger pay and military pay for three months.

All employees who have been called, or will be called, to serve between September 11, 2001 and December 31, 2002 are eligible for these benefits. To date, 49 employees have been called to active duty since September 11.

“We are proud of our Kroger associates who have been called to serve our country,” said Joseph A. Pichler, Kroger chairman and chief executive officer. “These enhanced benefits will provide important financial stability to their families during a difficult period.”

Headquartered in Cincinnati, Ohio, Kroger is one of the nation’s largest retail grocery chains. At the end of the third quarter, the Company operated 2,401 supermarkets and multi-department stores in 32 states under approximately two dozen banners, including Kroger, Ralphs, Fred Meyer, Food 4 Less, King Soopers, Smith’s, Fry’s and Fry’s Marketplace, Dillon, QFC and City Market. Kroger also operates 790 convenience stores, 426 fine jewelry stores, 177 supermarket fuel centers and 41 food processing plants.

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