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DENVER—It’s been more than two months since contracts for about 17,000 unionized Colorado grocery workers at Safeway, King Soopers and Albertsons expired.

On Tuesday, Safeway was resuming talks with United Food and Commercial Workers Local 7 for new contracts to replace ones that ran out May 9.

In the meantime, Safeway and Kroger Co.’s King Soopers and City Market chains have agreed to extend the old contracts until Aug. 15.

The union says the chains are making money and can afford to keep benefits strong. Grocers have said they are competing with nonunion chains like Wal-Mart as health care costs rise and the stock market pummels pension fund portfolios.

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