Unable to absorb the potential cost of federal, state and private lawsuits over allegations that it, along with other drugstore chains, oversupplied prescription painkillers, Rite Aid filed for bankruptcy protection over the weekend.
The Chapter 11 filing puts Rite Aid's exposure to the opioid liability suits temporarily on hold as the retailer attempts to restructure more than $3 billion of existing debt, according to a report in the Wall Street Journal.
Rite Aid, which has already closed more than 200 stores over the past two years, is expected to shutter several hundred more as part of the restructuring. The company hasn't determined how many, but it has rejected 168 store leases as part of the bankruptcy filing, WSJ reported.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
