Balint Urges FTC to Block $29.1 Billion Sysco-Restaurant Depot Merger

BRATTLEBORO, VT – Representative Becca Balint (VT-AL) joined Congressman Tim Kennedy (NY-26) and other colleagues in sending a letter to the Federal Trade Commission (FTC) urging rejection of Sysco Corporation’s proposed $29.1 billion acquisition of Jetro Restaurant Depot. Members warned that the merger would reduce competition, drive up costs for independent restaurants, and threaten small businesses that anchor local economies across the nation. Across the country, independent restaurants are already facing mounting financial pressure, with food costs up 38 percent nationwide since 2019 and nearly half of restaurant operators reporting that their businesses were unprofitable in 2025. Sysco’s acquisition of Restaurant Depot would eliminate a critical source of price competition, leaving independent restaurant owners with fewer options to control costs and putting additional pressure on businesses already struggling to keep prices affordable for their customers. “Independent restaurants are already struggling because of rising food costs,” said Rep. Becca Balint. “By buying Restaurant Depot, Sysco would eliminate a key source of competition that independent restaurants rely on to get a fair price on food and supplies. That means higher costs for local restaurants and more expensive meals for working families. We need regulators to be serious about pushing back against this wave of corporate consolidation so that people can afford to live their lives and so our small, local businesses can have a fair shot.” “Independent restaurants are part of the fabric of Western New York. They employ our neighbors, support local suppliers, and give our communities places to come together. These small businesses are already being squeezed by rising food prices and operating costs, and they cannot afford another hit,” said Rep. Kennedy. “This merger would put even more power in the hands of a major distributor while taking away one of the few tools independent restaurants have to keep their costs down. When competition disappears, small businesses pay the price and those costs ultimately reach the families sitting down at the table. The FTC must stand up for independent businesses, protect competition, and reject this deal.” “Independent restaurants are operating on razor-thin margins, and Restaurant Depot is one of the few tools they have to check broadline prices and keep their costs in line. We are grateful to Congressman Tim Kennedy for his leadership urging the FTC to reject Sysco's proposed acquisition of Restaurant Depot. When competition disappears from the supply chain, the consequences reach well beyond a restaurant’s doors putting farmers, local artisans and the economic stability of communities at risk.” Erika Polmar, Executive Director, Independent Restaurant Coalition Lawmakers underscored the importance of protecting competition as families and small businesses continue to face affordability challenges. Allowing further consolidation in the foodservice supply chain would leave independent restaurants with fewer choices and less leverage to manage costs, threatening the local businesses and jobs that communities depend on. Background Restaurant Depot operates 167 warehouse locations across 35 states, serving more than 725,000 independent restaurants and foodservice operators. Its cash-and-carry model allows restaurant owners to compare prices directly with traditional wholesale distributors like Sysco and negotiate more competitive terms. This proposed acquisition would place both distribution channels under the same corporate ownership, eliminating an important check on pricing in the foodservice supply chain. Independent restaurants employ approximately 11 million workers nationwide and support more than five million additional jobs across supply chains that include farms, fisheries, dairies, equipment suppliers, and specialty food producers. By hiring locally, purchasing from local suppliers, and banking with local financial institutions, these businesses help sustain the communities they serve. The FTC has previously recognized the competitive risks of consolidation in foodservice distribution: in 2015, the Commission opposed Sysco’s proposed acquisition of US Foods, arguing that the merger would substantially reduce competition and likely increase prices for restaurants. After a federal district court granted the FTC’s request for a preliminary injunction, the companies abandoned the deal. Full text of the letter can be found here . ###