After filing for Chapter 11 bankruptcy protection, Rite Aid is selling most of its assets, including 121 Philadelphia-area stores, eight of which are in Chester County, writes Paul Schwedelson for the Philadelphia Business Journal.
The company is already laying off employees in New Jersey, according to a Worker Adjustment and Retraining Notification Act filing. However, no such notice has yet been submitted for Pennsylvania. Under the WARN Act, companies must file at least 60 days before closing facilities or conducting mass layoffs.
The company, which has about 31,000 employees nationwide, has listed 1,244 properties for sale across the country, including 1,194 retail leases and 50 owned properties.
Most of the listed properties range from 5,000 to 15,000 square feet. Other retailers could take over the leases, while buyers of owned properties may have the option to redevelop.
“We’ve been saying for years it’s very difficult for community pharmacies, the independents and the retail chains, to stay open because of the low reimbursement rates being paid by the large pharmacy benefit managers,” said Robert Frankil, executive director of the Philadelphia Association of Retail Druggists.
All Chester County properties listed are leases and will be closed and listed for sale.
Read more about Rite Aid filing for bankruptcy again and closing all Chesco lease locations in the Philadelphia Business Journal.
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