AI Prospecting for Rite Aid

Rite Aid is considering a second bankruptcy filing less than a year after emerging from its previous Chapter 11 bankruptcy. The company, which now operates as a private entity, may also sell part or all of its business to avoid liquidating more of its footprint, having already closed hundreds of stores and eliminated $2 billion in debt[1][3][4].

Rite Aid, having emerged from Chapter 11 bankruptcy in September 2024, is now facing financial struggles again. The company has closed over 500 pharmacies, and despite securing $2.5 billion in exit financing, it may not be on a sustainable path, prompting considerations for another restructuring or sale[5].

Rite Aid is facing significant financial challenges, including a recent $6.8 million settlement for a data breach affecting 2.2 million customers and a multi-million dollar settlement with the U.S. Department of Justice over violations of the False Claims Act and Controlled Substances Act. These issues have exacerbated the company's financial struggles, despite its recent restructuring efforts[1][3][4].