PHILADELPHIA PA – How many, if any, of local Rite Aid Pharmacy stores may close as a result of the Philadelphia-based company’s restructuring bankruptcy filing Sunday? The firm hasn’t said yet. But, in a media release, it acknowledged it would assess “its footprint and close additional under-performing stores.”
Overall the company and its subsidiaries or affiliates employ more than 6,100 pharmacists, and operate more than 2,100 pharmacies across 17 states. Currently Rite Aid has retail operations in Pottstown, North Coventry, Douglassville, Royersford, Phoenixville, and Pennsburg.
Rite Aid filed paperwork to participate in a “Chapter 11” bankruptcy. It’s a court-supervised process under which the company negotiates with its creditors to reduce debt, improve its financial footing, and find a way to stay in business.
The company additionally named a restructuring expert, Jeffrey S. Stein, as chief executive officer, chief restructuring officer, and a member of its board of directors. Former Interim CEO Elizabeth Burr, who has served in that role since January 2023, will continue as a board member.
Rite Aid, in its statement, said it had already received a “commitment for $3.45 billion in new financing to support its business operations. It also reported it had reached an “agreement in principle with key creditors on the terms of its financial restructuring plan.”