Walgreens Boots Alliance plans to close 1,200 stores over the next three years, with 500 closures set for next year, due to low drug reimbursement rates and slower consumer spending.
They are carefully reviewing 800 others.
On Tuesday, the Deerfield, Illinois-based company said it would shutter roughly 14% of its U.S. locations and redeploy the majority of the workers impacted. “We are in a turnaround,” Tim Wentworth, the drugstore chain’s CEO, told an earnings call.
“The closure of so many stores is emblematic of a company that is in trouble and is trying to course correct,” commented Neil Saunders, managing director of GlobalData. “Walgreens spent years building its business through acquisitions and completely neglected the fundamentals of its stores and its retail operations,” the analyst added.
Walgreens cut prices on 1,300 products across its U.S. stores in May, following other retailers’ efforts to appeal to inflation-weary customers.
Pharmacies—both independent locations and retail chains—are closing around the country amid low reimbursement rates for pharmacy care and low dispensing fees for Medicaid enrollees.
Like its competitors, Walgreens is feeling the impact as millions of Americans have lost health insurance since the end of a pandemic policy that guaranteed Medicaid coverage during the health emergency. After Medicaid enrollment ballooned during the pandemic, millions have been moved out of the healthcare program for low-income Americans. An SVP and the company’s chief pharmacy officer, Rick Gates, noted a dynamic “where they have not picked up coverage as quickly.”
Walgreens is leaving New York City due to crime.
Walgreens/Duane Reade had 235 stores in New York and now has 82. They will close select stores in Manhattan and the city in general (in high-crime areas).
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Didn’t Walgreens support demoncrats? Go woke, go broke.
We haven’t seen closures like this since the financial crisis of 2008. That time it was another Democrat, Clinton who set a collapse in motion. What is it with these guys? They are hell bent on destroying America. Stop this madness.
Vote Trump!
Things will get much worse!
A society that cannot understand the need for “Medicare For All” will Implode. Corporations are Greedcentric and only concerend with Gross Profit. They pay bottom dollar ( for gross profit ) and skimp on Helthcare Completely. This has Bad Conequences on the Economy! Impoverished Consumers cannot Consume. Most Employers -Like Walmart- actually tell their employees to apply for government welfare and they have no shame about it.
During the Pandemic Government proved that they can do the Job Better. I recall people telling me they were making $600.00 more a month then when they were working! I am independent; because I told the WORLD to S…. ….. …….K !!! Decades Ago! So … I did not get JACK from the Goverment!
However, it shows that without Government you
re all Toast. Keep believing in the Corproate Monopoly that has Your Souls and Government; because they hate you and will abuse you for their amusement. Youre seeing the beginnings now! Just Sayin … I could not stand being around people or Corporate World; because youre all so GD Boring! I saw all this Crap coming Decades ago!And, because I am nice, Ill give you the Solution: 1-million Protesting Citizens on Wall Streets NYSE; because it will bring the whole house of cards down. They`ll give you anything you demand no matter who is in Office. You have to fight for your Rights, America, Nobody will give you Anything. Government should be serving you, not corproate America.
Congratulations Harris Biden, you are suceeding in destroyng companies that provide us with essentials. Stupidly you think that your fantasy dreams of subjective reality are the real truth, even if they do not work in a REAL world.