Close Menu
  • Homepage
  • Local News
  • India
  • World
  • Politics
  • Sports
  • Finance
  • Entertainment
  • Business
  • Technology
  • Health
  • Lifestyle
Facebook X (Twitter) Instagram
  • Contact
  • Privacy Policy
  • Terms & Conditions
  • DMCA
Facebook X (Twitter) Instagram Pinterest
JHB NewsJHB News
  • Local
  • India
  • World
  • Politics
  • Sports
  • Finance
  • Entertainment
Let’s Fight Corruption
JHB NewsJHB News
Home»Finance»Rite Aid prepares bankruptcy filing, store closures amid opioid lawsuits
Finance

Rite Aid prepares bankruptcy filing, store closures amid opioid lawsuits

August 26, 2023No Comments3 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
Rite Aid prepares bankruptcy filing, store closures amid opioid lawsuits
Share
Facebook Twitter LinkedIn Pinterest Email

Ceremony Support (RAD) inventory fell greater than 50% Friday after The Wall Road Journal reported the retail pharmacy is getting ready to file for Chapter 11 chapter because it faces mounting prices associated to opioid lawsuits.

A supply accustomed to the matter confirmed to Yahoo Finance that chapter planning is underway, with a part of that plan prone to embody shuttering greater than 400 shops.

Requested about chapter preparations on Friday, Ceremony Support stated, “We don’t touch upon rumors and hypothesis.”

Over the previous 12 months, the corporate’s inventory has misplaced 90% of its worth. The corporate’s market cap as of Friday stood at $41 million, Yahoo Finance knowledge confirmed.

In a press release to Yahoo Finance, Ceremony Support stated: “We now have closed 239 shops since 2021. Like all retail companies, we commonly overview every of our places to make sure we’re assembly the wants of our prospects, communities and the general enterprise.”

In 2022, the corporate closed a deliberate 145 shops, with extra anticipated this 12 months. Within the newest quarter ended June 3, Ceremony Support closed 27 shops. As of June 3, it operated 2,284 pharmacy places.

The preparations come after the corporate was sued by the US authorities in April over its failure to detect what the Division of Justice referred to as “purple flags” round its filling of prescriptions for opioids and different painkillers.

A chapter submitting would record these opioid claimants as unsecured claimants, in response to the Journal. Moreover, the chapter may assist Ceremony Support reject lease funds at shops it plans to shut, a typical tactic utilized in retail chapter to restrict prices. The Journal additionally famous Friday the corporate is going through over a thousand federal lawsuits that had been consolidated in Ohio.

LOS ANGELES, CALIFORNIA - DECEMBER 21: The Rite Aid logo is displayed outside a Ride Aid store on December 21, 2022 in Los Angeles, California. Rite Aid Corp. shares were down almost 14 percent in midday trading after the pharmacy chain announced a third quarter revenue loss while lowering its full fiscal year revenue guidance.  (Photo by Mario Tama/Getty Images)

The Ceremony Support brand is displayed outdoors a Journey Support retailer on December 21, 2022 in Los Angeles, California. (Photograph by Mario Tama/Getty Photos)

In April, Ceremony Support’s interim CEO, Elizabeth Burr, stated on the corporate’s earnings convention name in response to a query about opioid litigation, “I believe it’s extremely tough, as you possibly can think about, to foretell litigation. And all we are able to let you know is that what we’re going through may be very in step with everyone else within the trade is going through.”

In its annual report filed in Might, Ceremony Support stated, “Though we imagine we’ve enough sources of liquidity to fulfill our anticipated necessities for working capital, debt service and capital expenditures by means of no less than the subsequent twelve months, the prices related to these authorized proceedings are inconceivable to estimate with certainty, may exceed any relevant insurance coverage protection, and will considerably affect such liquidity.”

Income in Ceremony Support’s most up-to-date quarter, the primary quarter of its fiscal 12 months 2024, fell about 7% to $5.65 billion. Its web loss within the quarter totaled $306 million.

Observe Josh @_JoshSchafer and @AnjKhem.

Click on right here for the most recent inventory market information and in-depth evaluation, together with occasions that transfer shares

Learn the most recent monetary and enterprise information from Yahoo Finance



Source link

aid bankruptcy closures filing lawsuits opioid prepares Rite store
Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

3 Magnificent Dividend Stocks Down 19% to 48% I’m Buying Right Now for My Daughter’s Portfolio

May 9, 2025

Sanofi exec tells biotechs not to scrimp on clinical trial design

May 8, 2025

BlackRock to order senior managers back to office five days a week – reports

May 8, 2025

Software provider EPAM raises annual forecasts, announces CEO change

May 8, 2025
Add A Comment
Leave A Reply Cancel Reply

Editors Picks

Ta’Niya Latson, MiLaysia Fulwiley adore South Carolina star Raven Johnson’s graduation snaps

May 9, 2025

Marco Rubio Speaks To S Jaishankar, Emphasises Need For “Immediate De-escalation”

May 9, 2025

Florida Nurse’s Shocking Excuse After Being ‘Caught Raping Her Stepson’

May 9, 2025

India–UK trade deal text expected in 3 months; No MIP on UK Whisky: Official | Business News

May 9, 2025
Popular Post

New Images Show Young Girls on Epstein’s Island

At $121 Million, Rare Painting Sets “World Record” For Surreal Work Of Art

Kevin Spacey faces civil trial on sexual assault claims

Subscribe to Updates

Get the latest news from JHB News about Bangalore, Worlds, Entertainment and more.

JHB News
Facebook X (Twitter) Instagram Pinterest
  • Contact
  • Privacy Policy
  • Terms & Conditions
  • DMCA
© 2025 Jhb.news - All rights reserved.

Type above and press Enter to search. Press Esc to cancel.