Rite Aid facts for kids
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A Rite Aid store in Glendale, California in 2023
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Formerly
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Thrift D Discount Center (1962–1968) |
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| Public | |
| Traded as | Expert Market: RADCQ NYSE: RAD (1970–2023) |
| Industry | Retail |
| Founded | September 12, 1962 In Scranton, Pennsylvania, United States |
| Founder | Alex Grass |
| Headquarters | Philadelphia, Pennsylvania, United States |
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Number of locations
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2,271 (2023) |
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Key people
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| Products | Pharmacy, grocery store, liquor store |
| Revenue |  US$24.04 billion (FY2021) |
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Operating income
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 US$47.14 million (FY2021) |
| US$−90.9 million (FY2021) |
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| Total assets | US$9.335 billion (FY2021) |
| Total equity | US$615.2 million (FY2021) |
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Number of employees
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50,000 (2021) |
| Subsidiaries | Bartell Drugs |
Rite Aid Corporation is an American drugstore chain based in Philadelphia, Pennsylvania. It was founded in 1962 in Scranton, Pennsylvania, by Alex Grass under the name Thrift D Discount Center. It is the third-largest drugstore chain in the United States, with over 2,000 stores, and ranked No. 148 in the Fortune 500 in 2022.
After several years of growth, Rite Aid adopted its current name and debuted as a public company in 1968. Rite Aid was publicly traded on the New York Stock Exchange under the symbol RAD. In October 2023, the company filed for Chapter 11 bankruptcy. In June 2024, the Detroit Free Press reported that Rite Aid was preparing to close all remaining stores in Michigan. Soon thereafter, the chain filed a WARN notice disclosing plans to close its Waterford, Michigan distribution center in August 2024, laying off nearly 200 employees.
History
Alex Grass founded the Rite Aid chain in Scranton, Pennsylvania, in September 1962, after marrying into Harrisburg Pennsylvania's Lehrman family in the early 1950s. The first store was called Thrift D Discount Center. The store expanded into five additional states in 1965 and went public as Rite Aid in 1968. It moved to the New York Stock Exchange in 1970.
Ten years after its first store opened, Rite Aid operated 267 locations in 10 states. In 1981, Rite Aid became the third-largest retail drugstore chain in the country. 1983 marked a sales milestone of $1 billion. A 420-store acquisition along the east coast expanded Rite Aid's holdings beyond 2,000 locations.
Finances
For the second quarter of 2022, Rite Aid reported basic and diluted earnings of -1.86 per share. This is significantly down from prior quarters' report of -0.24 per share.
| Year | Revenue
in thousands USD$ |
Net income
in thousands USD$ |
Total Assets
in thousands USD$ |
Employees | Stores |
|---|---|---|---|---|---|
| 2005 | 16,715,598 | 302,478 | 5,932,583 | 71,200 | 3,356 |
| 2006 | 17,163,044 | 1,273,006 | 6,988,371 | 70,200 | 3,323 |
| 2007 | 17,399,383 | 26,826 | 7,091,024 | 69,700 | 3,333 |
| 2008 | 24,326,846 | −1,078,990 | 11,488,023 | 112,800 | 5,059 |
| 2009 | 26,289,268 | −2,915,420 | 8,326,540 | 103,000 | 4,901 |
| 2010 | 25,669,117 | −506,676 | 8,049,911 | 97,500 | 4,780 |
| 2011 | 25,214,907 | −555,424 | 7,555,850 | 91,800 | 4,714 |
| 2012 | 26,121,222 | −368,571 | 7,264,385 | 90,000 | 4,667 |
| 2013 | 25,392,263 | 118,105 | 6,985,038 | 89,000 | 4,623 |
| 2014 | 25,526,413 | 249,414 | 6,860,672 | 89,000 | 4,587 |
| 2015 | 26,528,377 | 2,109,173 | 8,777,425 | 89,000 | 4,570 |
| 2016 | 30,736,657 | 165,465 | 11,277,010 | 90,000 | 4,561 |
| 2017 | 32,845,073 | 4,053 | 11,593,752 | 88,000 | 4,536 |
| 2018 | 21,528,968 | −349,532 | 8,989,327 | 60,800 | 2,550 |
| 2019 | 21,639,557 | −666,954 | 7,591,367 | 53,100 | 2,464 |
| 2020 | 21,928,390 | −469,219 | 9,452,369 | ||
| 2021 | 24,043,240 | −100.07 | 2,451 | ||
| 2022 | 24,568,260 | −538,478 | 2,229 | ||
| 2023 | 24,091,900 | −749,936 | 2,102 |
Customer loyalty and rewards programs
The Wellness+ card is Rite Aid's free shopping rewards card that started nationwide on April 18, 2010. It became a part of the newly launched American Express-backed Plenti rewards program in May 2015, but the Plenti program was discontinued three years later. Rite Aid introduced Wellness+ BonusCash on January 1, 2018. Customers stopped receiving Plenti points; instead earning BonusCash that can only be redeemed at Rite Aid. The Plenti rewards program ended on July 10, 2018. After Plenti was discontinued, Rite Aid re-introduced the Wellness+ program.
Partnerships
General Nutrition Corporation (GNC) and Rite Aid formed a partnership in January 1999, bringing GNC mini-stores within the Rite Aid pharmacies. A partnership with Drugstore.com in June 1999 allowed customers of Rite Aid to place medical prescription orders online for same-day, in-store pickup.
Amazon announced in June 2019 that Amazon shoppers would be able to pick up their purchases at designated counters inside more than 100 Rite Aid stores across the US. The new service is called Counter and launched in the US after being used in the UK with the Next clothing chain and in Italy with Giunti Al Punto Librerie, Fermopoint and SisalPay stores.
In May of 2022, Rite Aid partnered with Homeward, a rural home care startup. Under this partnership, Medicare-eligible customers have been directed to Homeward's clinical services and have access to Homeward mobile care units.
