A drugstore's a great thing. You wander in, stand in line for your prescription, and on the way out grab a candy bar, a magazine, milk and sunscreen... whatever little items you need to supplement your larger grocery store run. We all depend on outlets like CVS...but another big round of closures means that our local drugstore might not be there for us anymore.
Why are the pharmacies closing?
CVS spokesperson Amy Thibault told USA Today that the closures are caused by changes in population and consumer buying patterns. She said the company wants to ensure it has “the right pharmacy format in the right locations for patients." CNN says that shoplifting has played a role in reducing profits, as has lower reimbursement rates for prescription drugs. Competition from big box stores and online sites like Amazon has also taken a bite. NPR says that CVS grew too fast and opened too many stores (more than 9,000 stores nationwide) to remain sustainable: “They [CVS and Walgreens] gobbled up mom-and-pop shops and signed long-term leases for prime locations on street corners.” Finally, lawsuits over opioid sales have taken a toll. CVS must pay $5 billion over 10 years as part of their settlement, reports Taste of Country. In some locations, the pharmacy is closing, but the store itself will remain open.
How many CVS stores are closing?
According to USA Today, CVS plans to close 300 stores in 2024. This includes standalone stores and some locations within Target stores. Since 2022, CVS has already closed about 600 stores so in total it will have permanently closed 900 stores, which represents 10 percent of its holdings.
When is CVS closing?
Stores began closing in February with closures due to be finished by April.
Why is CVS closing so many locations?
CVS is closing locations because they are not profitable.
Which CVS locations will be closing?
Spokesperson Thibault declined to say, according to USA Today.
What’s been the reaction to the news?
Roughly one out of every eight pharmacies closed between 2009 and 2015, says CNN, and that has hurt low-income neighborhoods and independent pharmacies. Some pharmacists staged walk-outs in late 2023 to protest working conditions with not enough staff and limited resources, says USA Today. Customers’ prescriptions will be transferred to the next closest CVS, which may pose transportation issues. And those employees who will be out of a job (and doubtless worried about their income) will be offered comparable roles, says Thibault.
What other U.S. pharmacies are closing this year?
Well, the news isn’t good. CNN says that in addition to CVS’s 900 stores, Rite-Aid will close 500 and Walgreens will close 1,200. Many other industries are facing closures as well, like Big Lots stores and the Red Lobster restaurant chain.