KROGER ANNOUNCES NEW $1 BILLION STOCK REPURCHASE PROGRAM

CINCINNATI, Ohio, June 26, 2007 – The Kroger Co. (NYSE: KR) announced today that its Board of Directors has authorized the repurchase of
$1 billion of Kroger common stock.

The timing of the repurchases will vary according to market conditions.
This repurchase program replaces the $500 million stock buyback announced in May 2006.

Kroger has reduced its net total debt to EBITDA ratio from 2.8 to 1.8 since January 2000, a reduction of 1.0 times EBITDA. Based on this progress, Kroger now plans to use free cash flow to repurchase shares and pay dividends while maintaining a solid investment grade rating. Kroger’s investment grade rating remains important as the Company executes its strategy. The Company believes maintaining a solid investment grade rating provides the best cost of capital and the flexibility to execute its growth strategy in a competitive and consolidating industry.

"The new share repurchase program reflects our confidence in the Company's Customer 1st strategic plan and our belief that Kroger shares represent an attractive investment opportunity," said David B. Dillon, Kroger chairman and chief executive officer.

Headquartered in Cincinnati, Ohio, Kroger is one of the nation’s largest retail grocery chains. In 2006, the Company donated $150 million to help hunger relief efforts across the country, raise awareness of breast cancer, and support local schools and organizations in the communities it serves. At the end of the first quarter of fiscal 2007, the Company operated (either directly or through its subsidiaries) 2,458 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, 408 fine jewelry stores, 652 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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This press release contains certain forward-looking statements about the future performance of the Company. These statements are based on management’s assumptions and beliefs in light of the information currently available to it. Such statements are indicated by the words “plans,” “will,” “guidance,” and “believe.” Increased competition, weather and economic conditions, interest rates, goodwill impairment, the success of programs designed to increase our identical supermarket sales without fuel, and labor disputes, particularly as the Company seeks to manage increases in health care and pension costs, could materially affect our identical supermarket sales growth, earnings per share, and earnings per share growth. These same factors could affect the extent to which our strategic plan is successful and the extent to which we are able to create value for our shareholders by improving our customers’ loyalty, repurchasing stock, and paying cash dividends. Earnings per share and earnings per share growth also will be affected by the number of shares outstanding and our success in reducing the number of shares outstanding. Our plans to use free cash flow to repurchase shares and to pay dividends will depend on our ability to generate free cash flow, which will be affected by all of the factors identified above, and the extent to which those repurchases can be made and dividends be paid while still maintaining a solid investment grade rating. These forward-looking statements are subject to uncertainties and other factors that could cause actual results to differ materially. We assume no obligation to update the information contained herein. Please refer to Kroger’s reports and filings with the Securities and Exchange Commission for a further discussion of these risks and uncertainties.

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