Good Lifestyle

Store closures have wreaked havoc on many companies in recent years - and popular pharmacies channels have certainly not been spared from the retail apocalypse. In 2021, CVS announced its intention to 900 store shutter At the end of 2o24. Then, more recently, Walgreens revealed that it was Plan to close 450 locations too. Now another large pharmacy company could climb in the mixture. Read the rest to find out why Rite Aid would close nearly 500 stores in front of bankruptcy.

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Rite Aid is currently looking for a way to overcome its clear difficulties. The pharmacy giant fights more $ 3.3 billion in debt And more than 1,000 federal proceedings, according to Wall Street's journal . At the end of August, the media indicated that Rite Aid was already preparing to file for bankruptcy in the coming weeks to cover his debt expenses and his legal allegations pending according to which he gets from Opioid prescription analgesics. AE0FCC31AE342FD3A1346EBB1F342FCB

A bankruptcy deposit in Chapter 11 would restore the debt of the company - which would include its current legal liabilities , CNN reported at the time. But Rite Aid told the media in August that it "does not comment on rumors and speculation".

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Rite Aid's bankruptcy plans are progressing now, according to a new report Since Wall Street's journal . The media reported on September 22 that the company is currently negotiating with creditors on the terms of a plan that would include the liquidation of certain stores, according to people familiar with the process.

One of the people said Wall Street's journal This AID Rite proposed the idea of closing 400 to 500 bankrupt stores. This would have an impact on a substantial part of around 2,100 company pharmacies in the United States, according to the media.

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Better life Contacted Rite AID on potential closures, and we will update this story with their answer. But in a comment at Forbes Regarding news , a company spokesperson confirmed that nothing had yet been decided.

"Since the conversations remain in the process, no decision has been made for the moment and we focus on reaching an agreement with our financial stakeholders who will make you laughter," said the spokesperson for Rite Aid Forbes .

People familiar with bankruptcy talks were told Wall Street's journal That a group of bonds, however, leans towards a large number of stores. Thus, although the two parties are still under discussion on the exact number, it is likely that many locations will end up being closed anyway.

This news comes then that a number of Rite Aid stores have already closed in recent years. In 2022, the company indicated that it planned to close 145 "non -profitable" locations to help "to considerably reduce costs". Then, in July 2023, Rite Aid confirmed that he had just closed 25 additional stores during its first quarter of the new exercise, Forbes reported.

The leaders of Rite Aid also indicated at the time that they did not have more store closings, because the company continued to see financial losses, according to the media. "We constantly examine the performance of stores, in particular those who do not have much rental life on the lease and determining if we have the opportunity to continue to maximize the profitability and efficiency of the fleet", Rite Aid CFO and Executive Vice-President Matthew Schroeder told analysts during a profits call in July, by Forbes .

Schroeder added: "I would expect that we continue to do so. As much profitability as possible while maintaining the presence in communities and giving access to our customers and communities."

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