KROGER INCREASES QUARTERLY DIVIDEND 15.4%

CINCINNATI, Ohio, March 15, 2007 – The Kroger Co. (NYSE: KR) announced today that its Board of Directors increased the amount of its quarterly dividend to $0.075 per share. The dividend will be paid on June 1, 2007, to shareholders of record as of the close of business on May 15, 2007.

This is the first increase in the quarterly dividend since the Board initiated the dividend program last year. The new quarterly dividend represents a 15.4% increase from the $0.065 per share amount the Board instituted on June 1, 2006.

“In keeping with the objectives outlined when the dividend policy was initiated last year, Kroger’s Board increased the dividend after considering the Company’s overall results, the needs of the business and the interest of shareholders,” said David B. Dillon, Kroger chairman and chief executive officer. “This increase in the quarterly dividend reinforces the Board’s confidence in our strategic plan.”

Headquartered in Cincinnati, Ohio, Kroger is one of the nation’s largest retail grocery chains. The Company focuses its charitable efforts on hunger relief, K-12 education, women’s health initiatives and local organizations in the communities it serves. At the end of the fourth quarter of fiscal 2006, the Company operated (either directly or through its subsidiaries) 2,468 supermarkets and multi-department stores in 31 states under two dozen local banners including Kroger and Kroger Marketplace, Ralphs, Fred Meyer, Food 4 Less, King Soopers, Smith’s and Smith’s Marketplace, Fry’s and Fry’s Marketplace, Dillons, QFC and City Market. Kroger also operated (either directly or through subsidiaries, franchise agreements, or operating agreements) 779 convenience stores, 412 fine jewelry stores, 631 supermarket fuel centers and 42 food processing plants. For more information about Kroger, please visit our web site at www.kroger.com.

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