, Basis of Presentation and Principles of Consolidation

             The Kroger Co. (the “Company”) was founded in 1883 and incorporated in 1902.  As of January 28, 2006, the Company was one of the largest retailers in the United States based on annual sales.  The Company also manufactures and processes food for sale by its supermarkets.  The accompanying financial statements include the consolidated accounts of the Company and its subsidiaries.  Significant intercompany transactions and balances have been eliminated.

     Fiscal Year


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