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BOSTON (WBZ NewsRadio) – After conducting a rigorous assessment of its store base during its Third Quarter, pharmacy giant Rite Aid said it is closing a number of stores.
On Tuesday, the company announced that they have implemented a store closure program that is focused on reducing costs, driving improved profitability and ensuring a healthy foundation to build upon in 2022.
As a result of this ongoing review, Rite Aid is closing 63 stores. The company hopes that by having the right stores in the right locations, the closure will “provide an annual EBITDA benefit of approximately $25 million.”
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The closures began in November and the company says associates impacted by these closures are being offered transfer opportunities.
“The review work will continue," Rite Aid wrote, "and the Company anticipates the number of closures to increase as it finalizes the review over the next several months."
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The exact locations of the closing stores have not been identified. Rite Aid has approximately 2,500 stores across 19 states, so the closures amounts to just 2% of its retail footprint.
Rite Aid’s announcement comes after CVS Health recently said they were closing 900 stores over the next three years. CVS has said the closures were sparked by "consumer buying patterns" and that they will begin next spring.
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