The Camp Hill, Pa.-based company has lagged behind its competitors for years, with most of the debt thanks to Rite Aid’s 2015 purchase of pharmacy benefit manager Envision Pharmaceutical Services, according to the Post.
Another factor weighing the company down is its locations in low-income areas, resulting in less revenue per store, according to the Post. Rite Aid CFO Matt Schroeder told the Post the company plans to close more stores and increase prescription volume in hopes to chisel away its debt.
Rite Aid completed a cash tender offer of up to $150 million June 28 to buy back its bonds at a lower price, according to a press release, which could also bolster the company’s prospects.
Read the full story here.
At the Becker's 11th Annual IT + Revenue Cycle Conference: The Future of AI & Digital Health, taking place September 14–17 in Chicago, healthcare executives and digital leaders from across the country will come together to explore how AI, interoperability, cybersecurity, and revenue cycle innovation are transforming care delivery, strengthening financial performance, and driving the next era of digital health. Apply for complimentary registration now.
