Rite Aid Files For Bankruptcy, Plans To Close 154 Stores

Rite Aid to shutter 154 stores nationwide as record inflation, debt payments, and lawsuits push chain into bankruptcy

Rite Aid has filed for Chapter 11 bankruptcy protection due to record inflation, mounting debt, lawsuits, and declining sales.
Rite Aid plans to close 154 stores initially, primarily on the East and West Coasts, in an effort to restructure and reduce its debt which is currently over $8.6 billion.
The company has proposed to either sell the sites of the closing stores or have creditors take them over and has plans to transfer employees to other locations when possible.
Rite Aid will secure $3.45 billion in new financing to provide liquidity as it faces its financial obstacles. The company aims to transform initiatives that will advance their financial foundation.
The closure is feared to lead to 'pharmacy deserts' in some areas, particularly in low-income, Black and Latinx neighborhoods, and rural areas, which will negatively impact access to medicines and care.