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Rite Aid will close all its stores in the Capital Region, including locations in Albany, Halfmoon, Saratoga Springs, Amsterdam, Troy, and Colonie, in the coming weeks. The closures are part of the pharmacy chain's Chapter 11 reorganization plan, marking its second bankruptcy filing in two years.
The company has struggled financially, citing insufficient inventory, strained vendor relations, and macroeconomic pressures as contributing factors. According to Albany Business Review, Rite Aid's previous bankruptcy in 2023 aimed to address these issues, but the anticipated recovery did not materialize. In a letter to customers, Rite Aid assured that pharmacy services, including prescriptions and immunizations, will remain available for the next few months, and efforts are underway to transfer customer prescriptions smoothly to other pharmacies.
Starting June 5, stores will no longer accept gift cards, returns, or exchanges. Layoffs will begin within a two-week period starting June 4. Rite Aid CEO Matt Schroeder expressed hope for potential acquisitions by national and regional buyers, although layoffs are expected as the company seeks to preserve as many jobs as possible.