PLEASANTON, Calif.,- Grocery chains Safeway and Albertsons are set to merge by the end of this year, according to a joint announcement by the two companies Thursday.

Albertsons spokesperson Christine Wilcox said no store closures are expected as a result of the merger. In Grant County, there are Safeway stores in Moses Lake and Ephrata."We're taking a look at all of our operations with the goal of growing our business in mind, not shrinking it," she said in a statement. "No store closures are expected as a result of the transaction, nor do we expect any store-level layoffs."

Albertsons' parent, AB Acquisition, which is controlled by Cerberus Capital Management, will acquire all outstanding shares of Safeway as a result of the merger agreement.

The merger is expected to close in the fourth quarter of 2014, pending the satisfaction of customary closing conditions, including approval of the merger by the holders of a majority of the outstanding shares of Safeway common stock.

If the merger fails to close, Albertsons would be required to pay Safeway $400 million.

Albertsons current Chief Executive Officer Bob Miller will become the combined company's executive chairman, while Safeway President and CEO Robert Edwards will become the combined company's president and CEO, according to the announcement.

The merger will create a chain with more than 2,400 stores, 27 distribution facilities and 20 manufacturing plants with a combined workforce of more than 250,000 employees.

Wilcox, Albertsons' spokesperson, also said Albertsons does not currently plan to convert any of Safeway's brands to Albertsons brands.

Safeway operates Safeway, Vons, Pavillion's, Randall's, Tom Thumb and Carrs stores. The company currently operates 1,335 stores in 20 states and the District of Columbia.

Albertsons operates 1,075 stores in 29 states. Their brands include ACME, Albertsons, Jewel-Osco, Lucky, Shaws, Star Market and Super Saver as well as stores under the United Family of stores.

The new company's network of more than 2,400 stores will still operate under those same brands, Wilcox said.

According to Miller, the merger will give both companies the opportunity to better serve their customers by adapting to evolving shopping preferences in various regions across the country.

"Working together will enable us to create cost savings that translate into price reductions for our customers," he said in a statement. "Together, we will be able to respond to local needs more quickly and deliver outstanding products at the lowest price, more efficiently than ever before."