Kroger Settlement: $1.37 Billion Opioid Payout and Required Changes

The Kroger opioid settlement is a $1.37 billion national agreement, finalized on November 4, 2024, that resolves claims by 30 state attorneys general and thousands of local governments accusing the company’s pharmacies of failing to catch and stop suspicious opioid prescriptions. Kroger will pay the money out over 11 years, and every dollar directed to governments must be spent on opioid remediation. The company did not admit wrongdoing.1Illinois Attorney General. Attorney General Raoul Announces Bipartisan National Opioid Settlement With Kroger for Over $1 Billion Is Now Final2Los Angeles Times. California Finalizes $122 Million Opioid Settlement Agreement With Grocery Giant Kroger

What the Lawsuits Alleged

States argued that Kroger, unusual among pharmacy defendants, operated as both a wholesale distributor and a retail chain, which put it in a position to see excessive opioid orders coming and going. The complaints said it didn’t act on what it saw.3The New York Times. Kroger Opioid Settlement

Kentucky’s filing spelled out the theory in numbers. Between 2006 and 2019, the state alleged, more than 100 Kroger pharmacies in Kentucky dispensed about 11 percent of all opioid pills sold in the state — roughly 444 million doses. The state said Kroger reported zero suspicious orders from its Kentucky stores between 2007 and 2014 and dispensed prescriptions that lacked a legitimate medical purpose, ignoring red flags like unusually large orders and cash payments for opioid-benzodiazepine combinations.4Spectrum News 1. Kentucky Attorney General Kroger5Kentucky Attorney General. Commonwealth of Kentucky v. The Kroger Co., Complaint

How the $1.37 Billion Breaks Down

The global settlement amount is $1,372,800,000. Within that:

  • Up to $1.2 billion goes to state and local government opioid remediation.
  • Up to $148.8 million covers private attorney fees.
  • Up to $16 million covers state attorneys general fees and costs.
  • $8 million is set aside for further remediation.

An additional $36 million is designated for Native American tribes and is administered separately from the state pool.6National Opioid Settlement. Kroger Multistate Settlement Agreement2Los Angeles Times. California Finalizes $122 Million Opioid Settlement Agreement With Grocery Giant Kroger

Payment Schedule

Payments are due on March 31 of each year for 11 years, starting in 2024. The pre-tax amount runs about $140 million per year for the first six years and drops to roughly $110 million per year for the remaining five.7Opioid Settlement Tracker. Global Settlement Tracker The initial agreement in principle was announced on September 8, 2023, and the finalized deal took effect in November 2024.8National Opioid Settlement. Kroger Co. Settlement

Who Gets the Money

The settlement covers 33 eligible states plus the District of Columbia, which is essentially the footprint where Kroger and its subsidiaries operate. If your state isn’t on that list, the national deal doesn’t reach it. Each state’s share follows a formula in the agreement, but the number a state actually receives depends on how many of its cities and counties sign on, whether the state qualifies for incentive payments, and other variables.1Illinois Attorney General. Attorney General Raoul Announces Bipartisan National Opioid Settlement With Kroger for Over $1 Billion Is Now Final9National Opioid Official Settlement. State Allocation Amounts

Local governments participate by signing subdivision participation forms, and in many states by adopting an intrastate allocation agreement that sets how money is split between the state and its cities and counties. Sign-on deadlines varied by state. Texas subdivisions had until December 29, 2024; Washington’s eligible local governments had until August 12, 2024.10Texas Attorney General. Global Opioid Settlement11Washington Attorney General. Kroger Opioid Settlement

Every dollar going to a state or local government has to be used for opioid remediation. That covers treatment, prevention, recovery services, first-responder support, and related public health programs. It’s not general revenue.

Individuals Are Not Paid

This is a government settlement. Patients, families, and individuals affected by opioid use don’t file claims and don’t receive payments through this deal. Money flows to state agencies and local governments, which then fund abatement programs. If you’re looking for personal compensation, the Kroger opioid settlement is not the mechanism.

Sample State Allocations

Publicly disclosed amounts give a sense of the range across participating states:

Tribal Allocation

The $36 million tribal pool is handled on its own track. Tribes must file a participation form by the deadline set for each individual settlement and file an annual report confirming that funds are being used for opioid abatement. Tribes that received distributions in 2025 had to complete a Tribal Opioid Abatement Use Report by January 31, 2026, to stay eligible for future payments.15Tribal Opioid Settlements. Tribal Opioid Settlements

What Kroger Has to Change

The settlement is not only money. Kroger pharmacies are required to monitor, report, and share data about suspicious activity tied to opioid prescriptions. The reporting timelines, oversight, and compliance auditing sit in an exhibit to the settlement rather than the main text.16Colorado Attorney General. Finalize $1.37 Billion Nationwide Opioid Settlement With Kroger

Kentucky’s Separate Deal

Kentucky did not join the national settlement. Attorney General Russell Coleman sued Kroger in Bullitt County Circuit Court in February 2024, and by October 2024 the parties agreed to a $108.4 million settlement payable over 14 years. Annual payments start at roughly $6.4 million and rise to about $8.4 million in the final years. Half of the money is distributed to Kentucky cities and counties, and half goes to the Kentucky Opioid Abatement Advisory Commission. The Kentucky deal was contingent on the national settlement taking effect, and the consent judgment was finalized in early 2025.17Kentucky Attorney General. Commonwealth of Kentucky v. The Kroger Co., Consent Judgment4Spectrum News 1. Kentucky Attorney General Kroger

How It Compares to Other Pharmacy Deals

At $1.37 billion, Kroger’s payout is smaller than Walgreens’ reported $4.7 billion opioid settlement but still ranks among the largest pharmacy-chain agreements. In a separate line of litigation, the Sixth Circuit in February 2025 vacated a $650 million judgment against CVS, Walgreens, and Walmart, holding that Ohio’s product liability law does not allow public nuisance claims in the opioid context. That ruling did not affect the Kroger deal, which is a negotiated settlement rather than a court judgment.7Opioid Settlement Tracker. Global Settlement Tracker