Jan 8 (Reuters) - Albertsons ( ACI ) missed

third-quarter sales expectations on Wednesday, as intense

competition from bigger retailers such as Walmart and Kroger ( KR )

offering heavy discounts and promotions hurt demand.

Albertsons ( ACI ), which has sued Kroger ( KR ) after the grocer

terminated their $25 billion deal, saw quarterly net sales rise

to $18.78 billion, from $18.56 billion a year earlier. Analysts

on average were expecting $18.82 billion, according to data

compiled by LSEG.