05:18 PM EST, 12/11/2024 (MT Newswires) -- Kroger ( KR ) late Wednesday said it has authorized a new $7.5 billion stock buyback, which includes an accelerated share repurchase program for around $5 billion of its shares.

The new authorization replaces the grocery company's existing $1 billion repurchase program, it said.

The company, which earlier Wednesday terminated its proposed merger with Albertson's (ACI), also said it was starting the process of redeeming $4.7 billion in senior notes it issued in August to help fund the now-scuttled deal.

Kroger ( KR ) will repay bondholders at 101% of the notes' face value, along with any accrued and unpaid interest up to the day prior to a special mandatory redemption date, it said. Additionally, the company will cancel the exchange program it created to redeem Albertson's outstanding debt.

Kroger ( KR ) said it remains committed to lower costs for shoppers and will use a portion of its financial resources to cut prices by an unspecified amount. The company and Albertson's previously had pledged to reduce prices at their stores in a bid to win support for their merger.