Rite Aid will shutter 53 more locations after it filed for Chapter 11 bankruptcy and announced it will close locations last year, according to April bankruptcy court filings obtained by Becker's.
"In connection with the court-supervised process, we notified the court of certain underperforming stores we are closing to further reduce rent expense and strengthen overall financial performance," the spokesperson told Becker's. "At this time, we have not made or confirmed any decisions on additional specific store closures as part of our financial restructuring process."
Here is what ASCs need to know about the closures:
1. In October, Camp Hill, Pa.-based Rite Aid said it will close 154 stores in more than 10 states to save on rent costs.
2. The October filings said 40 of the planned closures were Pennsylvania locations, and many stores in California and New York will also close as the company aims to shed about $4 billion in debt.
3. The company filed for Chapter 11 bankruptcy protection in October and reported it secured $3.45 billion from lenders to fund operations throughout the bankruptcy process.
3. The April filings revealed plans to shutter locations in Pennsylvania, New Jersey, New York, Ohio, California, Massachusetts, Michigan, Virginia and Maryland.
4. Rite Aid declined to comment on the number of stores closing; it currently has approximately 1,700 locations across 16 states.