The Funeral Consumers Alliance (FCA) sent a letter to the Federal Trade Commission (FTC) on Thursday. It warned against the US$1.4 billion acquisition of Stewart Enterprises by Service Corporation International (SCI). Such an acquisition would make the SCI the largest funeral homes and cemetery operator nationwide. If pushed through, more than 2,000 funeral homes and cemeteries would be transferred to its ownership from Stewart Enterprises. As a result, prices will go up and competition diminished.
According to Josh Slocum, the FCA's executive director, "SCI has devoured the other funeral home chains over the past several years and now is the king of the hill in most major metropolitan markets. And the results have not been good for consumers. These mergers have led to higher prices and deteriorating service." Slocum added, "Especially when it has faced less competition, SCI has increased prices and we can expect more of the same if this merger occurs."
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