Retail Chain Acquires 63 Former Rite Aid Locations

CVS Pharmacy has successfully acquired 63 former Rite Aid locations across three states. The announcement made on Wednesday marks a significant expansion for CVS in the drugstore sector.

Details of the Acquisition

These stores, previously operating under Rite Aid and Bartell Drugs, are located in Idaho, Oregon, and Washington. It is noteworthy that Rite Aid acquired Bartell Drugs in 2020, which now adds to CVS’s operational portfolio.

Customer Transition and Employment Boost

• CVS has obtained the prescription records of 626 former Rite Aid and Bartell Drugs pharmacies in 15 states.
• Approximately nine million customers from these chains have transitioned to CVS.
• To enhance service capabilities, CVS has hired over 3,500 former Rite Aid and Bartell employees.

Operational Enhancements

CVS has made targeted investments in its existing locations. These enhancements include increasing staffing support, boosting recruitment efforts, and improving training programs. Such measures are aimed at ensuring that CVS teams are well-prepared to provide excellent service to all customers, whether they are existing or new.

Background of Rite Aid

In May, Rite Aid filed for Chapter 11 bankruptcy for the second time. This led to the closure of all over 1,200 of its stores. The last two Rite Aid pharmacies shut their doors on September 29, located in Bainbridge Island, Washington, and Bend, Oregon.

Considerations for Store Purchases

CVS stated that the decision to purchase certain stores and prescription files was driven by the goal of maintaining community convenience and ongoing access to essential medications. Most CVS locations that received the prescription files are within three miles of former Rite Aid locations, with nearly half situated within just a mile.

CVS’s Current Position in the Pharmacy Sector

As of June 30, CVS operates approximately 9,000 pharmacy locations, in addition to over 1,000 walk-in and primary care medical clinics. This acquisition strengthens CVS’s footprint in the pharmacy market.

Historical Context of Rite Aid

Rite Aid was established in 1962, starting with a single store named the Thrift D Discount Center in Scranton. At its peak, the company operated over 4,600 stores across 31 states and Washington, D.C. Historically based in East Pennsboro Township, Rite Aid moved its headquarters to Philadelphia in 2022.