norcalriteaidclerk wrote: ↑October 6th, 2023, 1:20 pm
That Meridian,Idaho Payless actually closed within the last week or two,only outlasting the original build Wellness store(remodeled into the infamous Heyward Donigan concept)in that same town by maybe a month.
It is a terrible look to be closing your stores in Idaho's now 2nd largest city (and one of its fastest growing). This is also the part of Idaho that "transplants" would be moving into for the most part so even worse.
I am seriously suspicious this store closure program is making some mistakes in what stores it selects to close. Just like I very seriously question the North Bend, OR closure I seriously question why BOTH Meridian stores were closed.
I cannot believe BOTH Meridian Stores closed. But that older store did literally NO business. It should have closed a long time ago. I was actually surprised when I walked inside and saw a 45 degree store; I was expecting a run down unremodeled Osco.
Like I wonder if they meant to close the old store but then for some reason closed the newer store by mistake... then turned around and realized oh we didn't get the right store... we meant to get the old one... well we better close it too. So then they are left with no stores in Meridian.
Also would think they could sell those Idaho Stores to CVS...
Another Seattle area Rite Aid closure! This time it is a Rite Aid bannered store and not a Bartell Drug. The store at Renton Village closed on September 28th. This store started out as a Pay ‘n Save and became a PayLess Drug. It was also one of the original tenants of this strip mall along with a long gone Tradewell Supermarket. This store received the Welness decor and the new logo! Funny, at the end of August I was in this store and had noticed that it was getting barren. So I had asked if this store was closing and they told me it was a reset and getting ready for seasonal merchandise! I’m beginning to feel that they should just pull the plug on Rite Aid, just like they should do with Sears!
norcalriteaidclerk wrote: ↑October 6th, 2023, 1:20 pm
That Meridian,Idaho Payless actually closed within the last week or two,only outlasting the original build Wellness store(remodeled into the infamous Heyward Donigan concept)in that same town by maybe a month.
It is a terrible look to be closing your stores in Idaho's now 2nd largest city (and one of its fastest growing). This is also the part of Idaho that "transplants" would be moving into for the most part so even worse.
I am seriously suspicious this store closure program is making some mistakes in what stores it selects to close. Just like I very seriously question the North Bend, OR closure I seriously question why BOTH Meridian stores were closed.
I cannot believe BOTH Meridian Stores closed. But that older store did literally NO business. It should have closed a long time ago. I was actually surprised when I walked inside and saw a 45 degree store; I was expecting a run down unremodeled Osco.
Like I wonder if they meant to close the old store but then for some reason closed the newer store by mistake... then turned around and realized oh we didn't get the right store... we meant to get the old one... well we better close it too. So then they are left with no stores in Meridian.
Also would think they could sell those Idaho Stores to CVS...
As frightening as this may sound, retail chains absolutely do make mistakes and accidentally liquidate the wrong store. This happened at Circuit City. They opened a new format store in Moreno Valley, and intended to eventually close the original store. By the time it was ready to open the company suddenly had a cash crisis due to the 2008 financial crisis - their credit line was frozen - and they sold a wave of about 100 unprofitable stores to be liquidated. Including the brand new, 2 week old Moreno Valley location instead of the old one.
It is a terrible look to be closing your stores in Idaho's now 2nd largest city (and one of its fastest growing). This is also the part of Idaho that "transplants" would be moving into for the most part so even worse.
I am seriously suspicious this store closure program is making some mistakes in what stores it selects to close. Just like I very seriously question the North Bend, OR closure I seriously question why BOTH Meridian stores were closed.
I cannot believe BOTH Meridian Stores closed. But that older store did literally NO business. It should have closed a long time ago. I was actually surprised when I walked inside and saw a 45 degree store; I was expecting a run down unremodeled Osco.
Like I wonder if they meant to close the old store but then for some reason closed the newer store by mistake... then turned around and realized oh we didn't get the right store... we meant to get the old one... well we better close it too. So then they are left with no stores in Meridian.
Also would think they could sell those Idaho Stores to CVS...
As frightening as this may sound, retail chains absolutely do make mistakes and accidentally liquidate the wrong store. This happened at Circuit City. They opened a new format store in Moreno Valley, and intended to eventually close the original store. By the time it was ready to open the company suddenly had a cash crisis due to the 2008 financial crisis - their credit line was frozen - and they sold a wave of about 100 unprofitable stores to be liquidated. Including the brand new, 2 week old Moreno Valley location instead of the old one.
Kmart even falls into this category. As store closures ramped up, among the earliest closures were many of the newer 1990s era stores, some of which maybe lasted 10 years. Meanwhile, some of the original 1960s-1970s era Kmarts remained open a lot longer in many of the same markets. It didn't make sense to me to close the newer, nicer stores.
One of the coupon people I follow on Youtube learned today their primary Rite Aid is closing and was very upset. This is somewhere in SoCal.
Kmart voided hundreds of 1990's store leases during the early 2000's bankruptcy. The excuse was the leases were too high cost and the stores were not as profitable as the older stores. The other excuse was Wal Mart and Target were more likely to be nearby the newer stores, whereas the older stores were often in areas that retail had largely moved on from, but still had some limited customer demand, which their older stores could continue to serve, so they had less competition at the older stores. I am not saying I agree with any of this but these were the reasons the company had for dumping newer stores. Sacramento is my favorite example- nice newer stores in growing areas like Folsom, Woodland- closed. An old decrepit store on Stockton Blvd. that was very scary neighborhood that had old 80's logo signs- kept open. They did keep a newer store in Rocklin open fairly late (closed maybe 5 years ago). But there was no Target or Wal Mart anywhere near Stockton Blvd. This played out all over the place.
Now what is ironic on the Kmart side of that story is had they kept more of the newer stores, they probably would have been able to make even more money on real estate deals for Eddie.
But back to the Rite Aid topic this store closure thing is becoming ridiculous. When does it end? Why don't they just close a bunch of stores at once and get it over with?
I continue to have serious concerns they may be closing the wrong stores by mistake.
The DOJ is supposed to release an opioid lawsuit within the next 60 days for Rite Aid. It is possible they cannot file bankruptcy until that lawsuit is actually filed. But at the rate they're going dark stores alone/loss of revenue from all these closures may be the triggering event as opposed to the DOJ actually bringing forward its opioid lawsuit.
storewanderer wrote: ↑October 7th, 2023, 11:19 pm
One of the coupon people I follow on Youtube learned today their primary Rite Aid is closing and was very upset. This is somewhere in SoCal.
Kmart voided hundreds of 1990's store leases during the early 2000's bankruptcy. The excuse was the leases were too high cost and the stores were not as profitable as the older stores. The other excuse was Wal Mart and Target were more likely to be nearby the newer stores, whereas the older stores were often in areas that retail had largely moved on from, but still had some limited customer demand, which their older stores could continue to serve, so they had less competition at the older stores. I am not saying I agree with any of this but these were the reasons the company had for dumping newer stores. Sacramento is my favorite example- nice newer stores in growing areas like Folsom, Woodland- closed. An old decrepit store on Stockton Blvd. that was very scary neighborhood that had old 80's logo signs- kept open. They did keep a newer store in Rocklin open fairly late (closed maybe 5 years ago). But there was no Target or Wal Mart anywhere near Stockton Blvd. This played out all over the place.
Now what is ironic on the Kmart side of that story is had they kept more of the newer stores, they probably would have been able to make even more money on real estate deals for Eddie.
But back to the Rite Aid topic this store closure thing is becoming ridiculous. When does it end? Why don't they just close a bunch of stores at once and get it over with?
I continue to have serious concerns they may be closing the wrong stores by mistake.
The DOJ is supposed to release an opioid lawsuit within the next 60 days for Rite Aid. It is possible they cannot file bankruptcy until that lawsuit is actually filed. But at the rate they're going dark stores alone/loss of revenue from all these closures may be the triggering event as opposed to the DOJ actually bringing forward its opioid lawsuit.
I think they are in a situation where they're piecemeal liquidating stores based on their cash needs. Even if they're self liquidating they are making a cash return on the prescription files when they sell to Walgreens or CVS. They probably have a list of "go forward-keep" stores, but where we see them selling the prescriptions to competitors it's entirely possible there is behind the scenes dealing where they call their contact at Walgreens or CVS and they tell them where they're interested in acquiring files and that's why the stores are sold.
I think they are in a situation where they're piecemeal liquidating stores based on their cash needs. Even if they're self liquidating they are making a cash return on the prescription files when they sell to Walgreens or CVS. They probably have a list of "go forward-keep" stores, but where we see them selling the prescriptions to competitors it's entirely possible there is behind the scenes dealing where they call their contact at Walgreens or CVS and they tell them where they're interested in acquiring files and that's why the stores are sold.
This makes sense and what a nasty situation to be in.
I think we've seen them sell files to some grocery chains too. Or has it all been Walgreens and CVS? That would be interesting if it was always Walgreens or CVS getting the files.
I also wonder if sometimes they put stores out for file sell but then the offers come back too low so they just keep operating the store. That would explain why some very low volume stores seem to keep operating while higher volume stores close.
I think they are in a situation where they're piecemeal liquidating stores based on their cash needs. Even if they're self liquidating they are making a cash return on the prescription files when they sell to Walgreens or CVS. They probably have a list of "go forward-keep" stores, but where we see them selling the prescriptions to competitors it's entirely possible there is behind the scenes dealing where they call their contact at Walgreens or CVS and they tell them where they're interested in acquiring files and that's why the stores are sold.
This makes sense and what a nasty situation to be in.
I think we've seen them sell files to some grocery chains too. Or has it all been Walgreens and CVS? That would be interesting if it was always Walgreens or CVS getting the files.
I also wonder if sometimes they put stores out for file sell but then the offers come back too low so they just keep operating the store. That would explain why some very low volume stores seem to keep operating while higher volume stores close.
I haven't paid enough attention to where the files go, but I do recall reading where some went to grocery store pharmacies. I think it's really a controlled liquidation at this point of all non-go-forward stores, they seek offers and probably have offers then sell what they need for the cash to survive. Obviously it's going to have to end in a bankruptcy filing as I doubt they're getting many landlords who are willfully releasing them from the lease obligations.
