63-year-old retail chain winds down in Chapter 11 bankruptcy

America's leading pharmacy chains CVS and Walgreens have reported strong performances this year through the first half of the year, despite rising labor and product costs driven by inflation, additional costs from tariffs, and increased interest rates on debt obligations.

Consumers' tendency to gravitate toward major warehouse club retailers, such as Costco and Sam's Club, for pharmaceutical purchases, supermarket pharmacies and online drug purchases from Amazon or Mark Cuban's Cost Plus Drugs, has impacted brick-and-mortar drugstore chains.

But CVS and Walgreens have taken on the competition with favorable results this year.

CVS has strong revenue results in first half

CVS reported strong second-quarter results as the company's total revenue increased by 8.4% compared to the same period year-over-year for the period ending June 30, 2025.

“Our strong performance demonstrates the continued focus we have on operational and financial improvement across our businesses, led by a significant and durable recovery at Aetna, strong retention at CVS Caremark and growth and momentum at CVS Pharmacy,” CVS CEO David Joyner said in a July 31 statement.

Walgreens also has a strong showing

Walgreens also reported recent favorable results with a 7.2% increase in third-quarter sales for the period ending May 31, 2025.

The company's 2025 fiscal year showed an increase in sales of 6.3% for the first nine months ending on the same date.

Unfortunately, drugstore chain Rite Aid finally lost the battle and will soon disappear from the retail landscape.

As Rite Aid winds down its nationwide business, it has shut down many more stores than it estimated for closing when it originally filed for bankruptcy.

Rite Aid is closing more store locations as it winds down its business operations.

Tom Werner/Getty

Rite Aid winding down and closing more stores

The iconic drugstore chain filed its 19th notice of additional store closing locations in the U.S. Bankruptcy Court for the District of New Jersey on Aug. 29, seeking approval to close seven more stores and liquidate their assets.

The additional stores increased the number of designated locations for closing in its second bankruptcy to 1,288 stores.

The deadline for objections to the additional store location closings is Sept. 8, 2025.

Rite Aid gives up after second bankruptcy filing

Rite Aid filed for Chapter 11 protection for a second time on May 5, 2025, and began closing all of its stores, which it estimated at the time to be about 1,240 locations.

The pharmacy chain filed for Chapter 11 bankruptcy for the first time on Oct. 15, 2023, and closed about 800 of its 2,100 stores at the time.

The debtor, which opened its first store in 1962, has not indicated whether any other stores remain to be closed. The retailer filed its final location closing order on July 10.

Rite Aid's 19th additional closing notice includes seven store closures in two states: Washington (4) and Oregon (3).

Rite Aid's 19th Closing Notice Store Locations:

Bainbridge Island, Wash.
Chehalis, Wash.
Ellensburg, Wash.
Ferndale, Wash.
Beaverton, Ore.
Bend, Ore.
Redmond, Ore.

Rite Aid already filed 19 other notices of store closing locations with the original notice and an additional notice on May 9 and 15 additional closing notices on May 15, May 23, May 30, two on June 6, June 13, June 20, June 27, July 3, July 11, July 18, July 21, July 25, Aug. 1, Aug. 8, Aug. 15, and Aug. 22.