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mahatmakanejeeves

(57,290 posts)
Tue Oct 27, 2015, 04:17 PM Oct 2015

Walgreens Boots Alliance nears deal to buy Rite Aid: sources

Source: Reuters, via Yahoo! Fianance

8 minutes ago

By Greg Roumeliotis and Lauren Hirsch

(Reuters) - Drugstore chain Walgreens Boots Alliance Inc (WBA.O) is nearing a deal to buy smaller peer Rite Aid Corp (RAD.N) for more than $10 billion, people familiar with the matter said on Tuesday. ... A deal would combine the second- and third-largest U.S. drugstore chains. This further consolidation of the sector is likely to attract antitrust scrutiny.

Walgreens and Rite Aid could announce an agreement as early as Wednesday, the sources said, requesting anonymity because the negotiations are confidential. Officials from both companies declined to comment.

The healthcare sector has been consolidating in recent years as companies look to beef up and bargain for lower drug prices from both manufacturers and the three largest U.S. distributors.

In part, that is because President Barack Obama’s national healthcare reform law seeks to limit spending by cutting payments in government insurance programs. Large companies that provide health benefits have also tightened their spending. ... Hospitals, drug distributors, health insurers and companies that manage pharmacy benefits all say that they need to be bigger in order to compete in this new landscape.

Read more: http://finance.yahoo.com/news/walgreens-boots-alliance-near-deal-165330737.html

23 replies = new reply since forum marked as read
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Walgreens Boots Alliance nears deal to buy Rite Aid: sources (Original Post) mahatmakanejeeves Oct 2015 OP
Great! That means only 2 pharmacies left in my town. So much for competitive pricing! Ford_Prefect Oct 2015 #1
Here is something crazy I just learned due to my dog becoming Purveyor Oct 2015 #7
It's been a great week for buying lemons houston16revival Oct 2015 #2
Walgreens v CVS hibbing Oct 2015 #3
Not surprising Blue_Adept Oct 2015 #4
Rite Aid houston16revival Oct 2015 #6
It gets worse DonCoquixote Oct 2015 #10
Serial Takeovers houston16revival Oct 2015 #14
nods DonCoquixote Oct 2015 #22
In a local town houston16revival Oct 2015 #23
Same in my town. Store in kept on the 840high Oct 2015 #12
So after this, will they be down to one employee at a time working in each store??? winstars Oct 2015 #5
They must be taking lessons from my neighborhood CVS. Codeine Oct 2015 #11
And every time we walk out of that place we feel like we've taken it in the rear davidpdx Oct 2015 #13
When did the Sherman Antitrust Act get repealed? jmowreader Oct 2015 #8
Opportunity for independent pharmacists then... mwooldri Oct 2015 #9
Re-read this again turbinetree Oct 2015 #15
wish walgreens would buy a decent bread company. ug their 'nice' brand breads are the worse. Sunlei Oct 2015 #16
Walgreens has its own beer, too, mahatmakanejeeves Oct 2015 #17
ewww, bet it smell like urine when its warm Sunlei Oct 2015 #18
I'm mainlining Nice dry-roasted peanuts. mahatmakanejeeves Oct 2015 #20
You're taking my Rite Aid from my cold, dead hands! Blue_Tires Oct 2015 #19
I know. Where else are you going to go to mahatmakanejeeves Oct 2015 #21

Ford_Prefect

(7,870 posts)
1. Great! That means only 2 pharmacies left in my town. So much for competitive pricing!
Tue Oct 27, 2015, 04:36 PM
Oct 2015

Walmart will become the default provider yet again for those who cannot afford Walgreens.

 

Purveyor

(29,876 posts)
7. Here is something crazy I just learned due to my dog becoming
Tue Oct 27, 2015, 06:17 PM
Oct 2015

diabetic.

His insulin cost 24.99 at walmart. Check prices at
walgreens, rite-aid and meijers and all prices for the exact same insulin cost a minimum of $109 with rite-aid coming in the highest at $139.

Same with his syringes. 12.99 a box of 100 versus 30.00 at meijer.

Crazy, indeed.

hibbing

(10,094 posts)
3. Walgreens v CVS
Tue Oct 27, 2015, 04:43 PM
Oct 2015

There is always Walmart in the mix too. However, in my city, a new Walgreens gets built and the next thing I know something is getting torn down across the street to build a CVS. Waiting until one of them buys the other.

Peace

Blue_Adept

(6,393 posts)
4. Not surprising
Tue Oct 27, 2015, 04:46 PM
Oct 2015

Rite Aid has always felt like the cheaper feeling place. We've got all three in town plus Walmart and Target. Rite Aid is almost perpetually empty outside of the elder folks who have been going there for decades.

houston16revival

(953 posts)
6. Rite Aid
Tue Oct 27, 2015, 05:23 PM
Oct 2015

is a Zombie retailer from the 1970s that almost went under financially
and has had chronic red ink in the past.

In the 1980s X-rated videos were rented in some Rite Aids.

http://articles.mcall.com/1985-09-08/news/2482200_1_rite-aid-video-stores-sexually-explicit-film

In the Great Recession it was infused with Wall Street Financing.

Banks and drug stores must make up 30% of retail buildings.

DonCoquixote

(13,616 posts)
10. It gets worse
Tue Oct 27, 2015, 11:21 PM
Oct 2015

Part of the reason they went down is that they would take over local chains and botch the job. For example, take the gulf coast Katz and bestoff chain, aka "K & B" based in New Orleans got so sick of Rite Aid that they purposefully avoided them, to the point where there are almost no Rite Aids in NOLA.

houston16revival

(953 posts)
14. Serial Takeovers
Wed Oct 28, 2015, 07:49 AM
Oct 2015

Rite Aid bought over the years

Rea & Derrick
Thrift Drug
Eckerd

My local independent alt pharmacy affiliated with Cardinal Health went out of business and
they referred us to Rite Aid which made no sense as the alt products disappeared.

Might have been a local one store case.

DonCoquixote

(13,616 posts)
22. nods
Wed Oct 28, 2015, 01:46 PM
Oct 2015

so not only did they dig themselves into a hole with takeovers, man y times, they botched the takeover so bad that people fleed from the Rite Aid brand. My bay area eckerds is another fine example, where people got ticked because they monkeyed aroun d with everything.

houston16revival

(953 posts)
23. In a local town
Thu Oct 29, 2015, 07:39 AM
Oct 2015

there are 3 Rite Aids and a brand new Walgreens just about completed

1 of the Rite Aids is new, the others old retail low rental space no doubt

Walgreens builds the ugliest buildings. At least CVS tries to look neighborhood friendly

Town also has pharms at Walmart, Kmart, Target, CVS

If you include the population in the surrounding 10 mile area, that's
a pharmacy for every 3,000 people.

Something's going to close at some point.

winstars

(4,219 posts)
5. So after this, will they be down to one employee at a time working in each store???
Tue Oct 27, 2015, 04:51 PM
Oct 2015

I'd swear the local Rite Aid has a cashier in the front and the Pharmacy in the rear...

And that it!

 

Codeine

(25,586 posts)
11. They must be taking lessons from my neighborhood CVS.
Tue Oct 27, 2015, 11:30 PM
Oct 2015

One person on the registers and a pharmacy tech filling bottles in the back.

davidpdx

(22,000 posts)
13. And every time we walk out of that place we feel like we've taken it in the rear
Wed Oct 28, 2015, 07:08 AM
Oct 2015

with their bad service.

Sorry, couldn't help myself on that one.

mwooldri

(10,299 posts)
9. Opportunity for independent pharmacists then...
Tue Oct 27, 2015, 10:31 PM
Oct 2015

Frankly they give better service. If the Rite Aid stores are just shuttered, especially in smaller communities, then there's room for a new entrant into the local market.

turbinetree

(24,683 posts)
15. Re-read this again
Wed Oct 28, 2015, 08:53 AM
Oct 2015

" Large companies that provide health benefits have also tightened their spending. ... Hospitals, drug distributors, health insurers and companies that manage pharmacy benefits all say that they need to be bigger in order to compete in this new landscape. "


Reminds me of this when I read this


mahatmakanejeeves

(57,290 posts)
17. Walgreens has its own beer, too,
Wed Oct 28, 2015, 09:41 AM
Oct 2015

but I've never tried it. If it were priced cheap, I would, but it's not.

Big Flats 1901 Lager Beer 12 oz. Cans, 6.0 pack

6.0 pack? You'd think that beer would be sold in integer quantities.

Let's check the reviews: Big Flats 1901

mahatmakanejeeves

(57,290 posts)
20. I'm mainlining Nice dry-roasted peanuts.
Wed Oct 28, 2015, 12:03 PM
Oct 2015

I discovered a sale with an additional coupon in the October Walgreens coupon book that brought down the price to $1 per jar. I bought out the entire store supply, carrying 12 jars home on a bicycle. When I got home, I called a friend and told him about it. He went over to his nearby Walgreens and bought out their entire supply, 13 jars.

The only problem is that I have to keep the jars out of view. If I see one that is not yet empty, I can't keep myself from reaching in and grabbing a handful.

And then another.

And then another.

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