Rite Aid Announces Plan To Close 60-Plus Stores

CONNECTICUT — Rite Aid announced Tuesday a plan to close close 63 stores in an effort to shave about $25 million off its books.

The announcement was made Tuesday as part of the pharmacy retailer's third-quarter earnings report for the 2022 fiscal year.

The report showed that revenues from continuing operations increased 1.8 percent, to $6.23 billion, compared to the prior year's third-quarter revenues from continuing operations of $6.12 billion. The company, however, posted a third-quarter net loss from continuing operations of $36.1 Million, or 67 cents per share, compared to the prior year's third-quarter net income of $4.3 million or 8 cents per share.

The fate of just what stores in Connecticut are doomed was not clear because no specific locations were cited in the narrative. Some stores closed last month and the closings will continue in the fiscal year, according to the announcement.

An accompanying statement said, "Today, we also announced the first phase of a store closure program to reduce costs, drive improved profitability and ensure that we have a healthy foundation to grow from, with the right stores in the right locations, for the communities we serve and for our business. We have identified an initial 63 stores for closure that is expected to provide an annual EBITDA benefit of approximately $25 million."

Rite Aid has approximately 2,500 stores across 19 states. The closures amount to about 2 percent of Rite Aid's retail footprint.

There are about 20 locations in Connecticut.