Rite Aid, one of the well-known retail pharmacy chains in the US, has confirmed it will close 68 more stores as part of its ongoing Chapter 11 bankruptcy process. This decision was revealed in a court filing on May 9, following the company’s bankruptcy announcement on May 5, 2025.
The closures are part of a bigger plan to restructure operations, reduce financial pressure, and improve overall business performance.
Why Is Rite Aid Closing Stores?
Rite Aid, which runs around 1,240 locations across 15 states, has been facing increasing financial challenges. The company cited rising debt, economic struggles in retail and healthcare, and legal issues, especially those related to opioid lawsuits, as reasons for its current situation.
Industry competition is another big factor. Larger pharmacy chains like CVS and Walgreens have been tough to compete with, putting more pressure on Rite Aid’s profits and operations.
What’s the Plan Moving Forward?
Rite Aid is focusing on a restructuring strategy to stabilize the business. This includes:
- Shutting down underperforming stores
- Selling some locations to new buyers
- Transferring prescriptions to nearby pharmacies to avoid disrupting customer care
- Preserving jobs for as many employees as possible
CEO Matt Schroeder said in a statement, “Our key priorities are ensuring uninterrupted pharmacy services for our customers and preserving jobs for as many associates as possible.”
The company has also secured $1.94 billion in new financing, which will help keep stores running during this transition.
Will Pharmacy Services Still Be Available?
Yes, Rite Aid has confirmed that customers can still access pharmacy services in open locations and online. That includes:
- Prescription refills
- Vaccinations and immunizations
- Everyday health and wellness products
If a store near you is closing, Rite Aid promises to notify customers in advance and help transfer prescriptions to nearby pharmacies so there’s no break in service.
Impact on Employees and Customers
Employees working in stores marked for closure will continue to receive their pay during the process. The company is also trying to relocate or retain staff wherever possible, depending on the store’s future.
Customers affected by the closures can check the Rite Aid Store Locator Tool on their website to see if their local branch is closing or staying open.
What Happens Next?
While this is a major development, the 68 newly listed closures are just one phase of Rite Aid’s broader restructuring. The company has not ruled out more closures in the future as it tries to become financially stable.
This marks Rite Aid’s second bankruptcy filing in less than two years, showing just how tough the retail pharmacy business has become in today’s market. Other chains like Walgreens are also reducing store numbers, proving that the entire industry is under pressure.
Rite Aid’s decision to close more stores is part of a difficult but necessary move to keep the company afloat. While customers in some areas may lose their local store, the company is taking steps to ensure that prescriptions and pharmacy services are not interrupted. With new funding in place and a focus on saving jobs and continuing services, Rite Aid is working to come out stronger after bankruptcy. But as the retail pharmacy space continues to evolve, the future remains uncertain.