On June 29, 2015, Sysco Corp. announced that it was pulling the plug on its $3.5 billion proposed merger with US Foods Inc. The news comes less than a week after a Washington, D.C., federal judge concluded that the Federal Trade Commission (FTC) likely could prove that the merger would thwart competition. In February, the FTC sued to block the transaction, citing as the key issue the fact that the two companies were the top broadline food distributors in the country and the only two players capable of servicing customers that operate nationwide. Sysco and US Foods argued a different market definition that would have included a host of other types of food suppliers. Regardless, when the D.C. federal judge granted the FTC’s preliminary injunction to block the deal, the parties dismantled the merger. Sysco will have to pay US Foods a $300 million breakup fee.