CVS, Walgreens, And Rite Aid Closing Thousands Of Stores

For decades, drugstore chains saturated US cities, suburbs, and small towns with new stores. However, they are now closing thousands of stores, leaving gaps in communities for essential medicines and products.

This comes amidst walkouts by Walgreens pharmacists and technicians across the country, and at CVS stores in Kansas City, protesting low pay and understaffed stores. I Photo: ajay_suresh

Researchers have found that pharmacy closures pose health risks, including older adults failing to take their medication, as reported by Nathaniel Meyersohn for CNN Business.

Rite Aid, the third-largest standalone pharmacy chain, filed for bankruptcy on Sunday and is expected to close approximately 400 to 500 of its roughly 2,200 stores. Rite Aid faced challenges from larger rivals, a $3.3 billion debt load, and costly legal battles related to its alleged role in fueling the opioid crisis.

This comes amidst walkouts by Walgreens pharmacists and technicians across the country, and at CVS stores in Kansas City, protesting low pay and understaffed stores.

Rite Aid's bankruptcy reflects the long-term struggles in the retail pharmacy industry. The majority of drugstores' sales come from filling prescriptions, but profits in this segment have declined in recent years due to lower reimbursement rates for prescription drugs.

The front end of drugstores, where they sell snacks and household essentials, also faces pressure. CVS, Walgreens, and Rite Aid are closing some locations as they face increased competition for these items from Amazon, big-box stores with pharmacies like Walmart, and Dollar General in rural areas.

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