Why did Rite Aid close all stores across US?What we know

Rite Aid has shut down all stores across the United States following years of financial struggles and two bankruptcies.

Published on: Oct 5, 2025, 12:51:38 IST

By HT News Desk

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Rite Aid has officially closed all its stores across the United States after years of financial problems and multiple bankruptcy filings. A message on the company’s website confirmed the closures, reading, “All Rite Aid stores have now closed. We thank our loyal customers for their many years of support.” Customers can still access prescription and immunization records online, according to The Mirror report.

Why did Rite Aid close all stores across US?What we know (Rite Aid/Facebook)

Why did Rite Aid close its stores?

The pharmacy chain had been struggling for several years despite its long history in the industry. Rite Aid first filed for Chapter 11 bankruptcy protection in October 2023, which allowed it to eliminate $2 billion in debt and close hundreds of stores.

At its peak, the company operated more than 4,900 stores nationwide. By 2023, that number had dropped to around 2,000, and when the company filed for bankruptcy again in May 2025, only 1,250 locations were left. Reports said Rite Aid still owed about $2.5 billion even after a 2024 reorganization.

Earlier this year, grocery retailer Giant Eagle agreed to take over pharmacy prescriptions from 78 Rite Aid locations in Pennsylvania and Ohio.

Also read: Rite Aid store closings: Find out what it means for your prescriptions, locations to shut down

Founded in 1962 in Scranton, Pennsylvania, Rite Aid once employed around 45,000 people, including over 6,000 pharmacists. By May 2025, just 1,240 stores remained in 15 states, according to PageSix report.

The chain’s closure reflects a wider trend in the pharmacy sector. Between 2010 and 2021, nearly one-third of US drugstores shut down, according to research published in Health Affairs. CVS and Walgreens have also closed around 1,000 stores in recent years.

Rite Aid also sold its longtime ice cream brand, Thrifty Ice Cream, in an auction earlier this year. Hilrod Holdings purchased the brand for $19.2 million in July, according to USA Today.

The closure marks the end of one of America’s oldest national pharmacy chains after more than six decades in business.

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HT News Desk
Follow the latest breaking news, major developments and agenda-setting stories from India and around the world with the newsdesk at Hindustan Times. Operating round the clock, the desk brings together experienced editors, reporters and correspondents to deliver fast, accurate and contextual reporting across subjects that influence public policy, governance, business, society and international affairs. The HT News Desk covers politics, elections, government policies, the economy, business and markets, science and technology, the environment, law and order, infrastructure, education, climate issues and geopolitics, while closely tracking developments across states, institutions and global capitals. The team also leads coverage of major breaking news events, policy announcements, court proceedings, natural disasters, public emergencies and significant international developments. Reports published by the newsdesk are based on information gathered from reporters on the ground, official statements, government agencies, court records, regulatory filings, recognised institutions and other authoritative sources. Stories undergo editorial scrutiny and verification processes to ensure accuracy, fairness and relevance, and are updated as events evolve and additional information becomes available. Whether covering a key political decision in New Delhi, an economic policy shift affecting millions, a landmark court ruling or a major global event, the HT News Desk aims to provide readers with reliable, fact-based journalism that delivers not only the latest developments but also the context and analysis needed to understand their wider implications.Read More

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