Bankruptcy and Financial Restructuring
, facing its second bankruptcy in two years, plans to close over 300 stores, significantly reducing its footprint from approximately 1,200 locations. The company aims to secure $1.94 billion in new financing and pursue a strategic sale of its assets.
The pharmacy chain's financial woes have been attributed to long-term challenges, including tighter profit margins on prescriptions, increased theft, and competition from online and discount retailers.
Store Closures and Impact on Customers
Specific closures include 47 locations across , , , , New Jersey, and New York, with significant layoffs in New Jersey ahead of the closures.
Rite Aid is transferring prescription records to rival pharmacies, aiming for a smooth transition, although there's no guarantee that customer files will end up at nearby stores, particularly in rural areas.