WSJ: Rite Aid plans 400-500 store closures in pending bankruptcy filing

[babs]

Several people has said that the west coast stores should go back to the Payless name. That would be a huge mistake. It's been nearly 30 years since Rite Aid purchased Payless. No one under 50 remembers the name. And with the huge popular shift out west, it's even fewer. Might as well start with a new name as the Payless brand has zero cache except for us old people.

[wnetmacman]

Several people has said that the west coast stores should go back to the Payless name. That would be a huge mistake. It's been nearly 30 years since Rite Aid purchased Payless. No one under 50 remembers the name. And with the huge popular shift out west, it's even fewer. Might as well start with a new name as the Payless brand has zero cache except for us old people.

The great thing about the pharmacy business in this day and age is that the majority of business encompasses folks *over* 50. So a rename might work for them as it did bringing Lucky back.

[buckguy]

Eckerd was already beginning to flail under the JCPenney ownership, and while they were part of Rite Aid's eventual failure, it was a small part

Eckerd was quite odd---they did OK in Nashville, despite a lot of competition and having stores that seemed poorly managed---things were always physically a shambles and the staff weren't on the ball though the pricing was neither the best or worst.In Atlanta, they had nicely kept stores with no customers and were closing stores before the sale to Jean Coutu. A classmate of mine worked at Eckerd HQ in a responsible position and thought the management generally seemed inept.

[Knight]

Bondholders expected to push for even more. What regions do you think would be hardest hit?
https://nypost.com/2023/09/22/strugglin ... an-report/

How much longer could Rite Aid remain in business? It lost store count and territory after divesting locations to Walgreens.

[Alpha8472]

Payless would not do well as prices are out of control. Thrifty perhaps...

It could be a combination dollar store and pharmacy... with ice cream counters, Starbucks, and free wifi.

[Alpha8472]

It may be too late for Rite Aid now, but a change has happened for the better.

New COVID vaccinations are available now. Since the government stopped paying for free vaccines for pharmacies, the COVID vaccine prices have gone up. Now when a pharmacy gives a COVID vaccine the pharmacy can make over $130 a shot. Rite Aid should start vaccinating like crazy. Their profits will go way up. Never mind filling money losing prescriptions. Just open up Vaccination clinics. The profits are much higher than filling prescriptions.

The previous government requirement to give COVID vaccinations away for free is over. Most insurance plans cover the vaccination now at zero copay. COVID vaccinations are profitable again.

[storewanderer]

Rite Aid sold the Payless name to some independent mail order pharmacy in Oregon. It appears they have merged a couple times. https://www.linkedin.com/company/payles ... c-pharmacy
So I don't think they or any buyer of stores could immediately use that name.

Thrifty name is pretty connected to the ice cream and I expect that name to basically be sold with the ice cream and also not available to be put onto stores (unless whoever buys the ice cream is the same group who buys the stores).

Based on these creditors/bondholders it is probably all a moot point anyway.

[reymann]

i feel like what rite aid may end up doing around fresno is selling their remaining profitable stores to CVS and any rite aid store near a legacy CVS (longs) will end up closing. i have a feeling CVS will get the lion's share of the remaining profitable rite aid stores in california that either a drive thru that is near a legacy longs store or not close to another CVS store.

[veteran+]

If CVS takes the Rite Aid in West Hollywood they will destroy that store (high volume).

I would prefer Walgreens.

[SO_CAL_RETAIL_SLUT]

Rite Aid sold the Payless name to some independent mail order pharmacy in Oregon. It appears they have merged a couple times. https://www.linkedin.com/company/payles ... c-pharmacy
So I don't think they or any buyer of stores could immediately use that name.

Thrifty name is pretty connected to the ice cream and I expect that name to basically be sold with the ice cream and also not available to be put onto stores (unless whoever buys the ice cream is the same group who buys the stores).

Based on these creditors/bondholders it is probably all a moot point anyway.

At least in California, both the trade names "Thrifty" and "Payless" are used as "Thrifty Payless, Inc.". Their California pharmacy licenses at some locations is also filed as "Thrifty Payless, Inc." This way, at least in California, RAD has kept the use of the "Thrifty" and "Payless" trademark and brand names in use - and from being taken by another entity.

Someone could make an argument/case that "Thrifty Payless" trademark is not in "active" use. What saves RAD from losing the "Thrifty Payless" trade name is that certain pharmacies in California, the license is posted and displayed as "Thrifty Payless, Inc". As long as the trademark/brand name is actively being used/displayed - it belongs to RAD. No matter how small the print, as long as the "Thrifty Payless" name is displayed - in this case on their PharmD licenses that are on display, RAD keeps use of the "Thrifty Payless" name and case closed. For legal purposes, it could even be used on one shopping cart or a display, hence the "Thrifty" trademark used for ice cream. FedEx keeps their "Kinko's" trade name alive by slapping the "Kinko's" logo and brand name on every self-service copy machine located within their FedEx Office locations.

RAD has spread the locations using the "Thrifty Payless" trade name throughout the state, from San Diego to Eureka to Susanville and even little Palo Cedro.

Union bargaining agreements have also kept the "Thrifty Payless" name in use.

As far as my suggestion to keep "Thrifty", "Thrifty Drugs" and "Thrifty Ice Cream" and not use "Payless" still stands. I am certain that as much as I and others would like, "Thrifty" will not be coming back as a name of a drug/general merchandise store - but if the ever small chance the west coast stores remain, then use Thrifty Drugs.

Tell me again why RAD spent money to move from cheap rent Camp Hill to Philadelphia? Why Philly? It has the worst airport terminal of any big airline hub, the second worst is Charlotte - both American! I still think it's funny that in the RAD press release, RAD puffed it's chest about "collaborating" between Bartell Drugs, Elixir and Thrifty Ice Cream...lol

Current share price: Just a tad over a .40c a share, or a value of $21.6 million based on outstanding shares.

SO_CAL_RETAIL_SLUT