07:53 AM EDT, 10/30/2024 (MT Newswires) -- The chief executive officer of Loblaw Cos. Ltd. ( LBLCF ) is committing to eliminate exclusivity clauses in store leases that prevent competitors from setting up shop nearby -- if other grocery retailers agree to do the same, The Globe and Mail is reporting.

It noted the move comes as the federal Competition Bureau is preparing to enforce new limits on the practice, and as Canada's largest grocer seeks to rebuild trust with Canadians after coming under fire for not doing enough to curb soaring food inflation in recent years.

"We're looking to take the lead here because we would of course like to improve our reputation, to be seen as those who give most value back to Canadians," Loblaw ( LBLCF ) CEO Per Bank told The Globe and Mail in an exclusive interview on Tuesday.

Bank said that if other retailers agree, Loblaw ( LBLCF ) would retroactively give up all exclusivity arrangements in existing leases, as well as future ones. This "will lead to more stores and more discount stores in general for Canadians. So, they will get a better offer, and we will have a more competitive landscape," Bank said.

(Market Chatter news is derived from conversations with market professionals globally, and/or from other media sources. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)