Overview

• Rite Aid has filed for Chapter 11 bankruptcy for the second time in under two years, citing ongoing financial struggles and restricted vendor payment terms.
• The company plans to close facilities in Pennsylvania, including its Valley Green Office and Collaboration Center, with job cuts starting immediately on May 5, 2025.
• CEO Matthew Schroeder attributed the financial challenges to economic downturns, increased supplier and landlord costs, and unsuccessful attempts to secure additional capital.
• As of Monday, approximately 1,240 Rite Aid stores remain operational, though more closures may occur as part of the restructuring process.
• Court documents from its previous bankruptcy reveal unresolved payment disputes, including over $32,400 owed to a merchandise vendor, Cape Sales.