Pennsylvania Pharmacy Chain's Drastic Measures: Bankruptcy Plan Spells Potential Closure for 500 Stores
Struggling pharmacy chain Rite Aid could close up to 500 stores as it negotiates with creditors over a bankruptcy plan.
Rite Aid was founded in Pennsylvania in 1965 and is headquartered in Philadelphia. Rite Aid operates more than 2,330 stores in 17 U.S. states, but this number is declining.
The chain recently closed a raft of stores- 145 closed in 2022, and 25 have closed this year. It appears this number is set to grow.
The Wall Street Journal reports, "The Philadelphia-based company faces more than $3.3 billion in debt and over a thousand federal lawsuits," and "has proposed to close roughly 400 to 500 stores in bankruptcy, and either sell or let creditors take over its remaining operations."
A RiteAid spokesperson issued a statement today.
"Given the conversations remain ongoing, no decisions have been made at this time and we are focused on reaching an agreement with our financial stakeholders that will make Rite Aid stronger. “We are confident we are taking the right steps to help us succeed, both now and in the future.”
Are you concerned about the future of the Rite Aid business? Do you fear too many retail stores are closing?
Please leave your thoughts in the comments section below and share this article with others so more people can join the discussion.
To keep up with all the latest business and retail developments in Pennsylvania and the United States, please click on the follow button!