The drugstore giant Walgreens will close down 1,200 stores across the country to help stem billions of dollars in losses, the company has confirmed.
According to Chief Executive Tim Wentworth, the move is part of a $1 billion cutting spree and restructuring effort after the company reported a $3 billion loss in the last financial quarter.
However, Wentworth insisted that any serious turnaround would “take time.”
“We are confident it will yield significant financial and consumer benefits over the long term,” Wentworth told investors in an earnings call on Tuesday.
BIDENOMICS: Elections have consequences. America can’t afford four more years of Kamala Harris. Walgreens to close 1,200 stores nationwide… pic.twitter.com/KW8mqAT7gP
— @amuse (@amuse) October 15, 2024
In June, Walgreens announced plans to close a “significant” number of underperforming stores by 2027, although Tuesday’s update marks the company’s first specific projection of how many locations will be shut down.
Massive U.S. Pharmacy Chain to Close ‘Significant Share’ of Stores as Locations Struggle
“We recognize where we are is a turnaround,” Wentworth said at the time. “We recognize that we need to be focused on what are the parts of the business that we believe are contributing and have a future, and some of those need to change.”
“We continue to face a difficult operating environment, including persistent pressures on the U.S. consumer and the impact of recent marketplace dynamics which have eroded pharmacy margins,” he continued.
The most damaging of those pressures has been the consistently high inflation that has plagued the American economy since the Biden regime seized office in January 2021,
“The consumer is absolutely stunned by the absolute prices of things, and the fact that some of them may not be inflating doesn’t actually change their resistance to the current pricing,” he explained.
Wentworth also acknowledged that shoplifting has become a major issue for the company, adding that he would seek partnerships with cities to save stores by “investing in public safety so that our customers and employees feel safe.”
Walgreens is far from the only drug giant struggling in the Biden-Harris economy.
Last December, its main competitor CVS revealed that it too would seek to close 900 stores nationwide by the end of 2024 and similarly cited theft as a major issue.
CVS is closing 10% of its stores because of theft!
I’ll tell you as a retailer in NYC—it’s not people stealing bread because they’re hungry. These are coordinated and organized criminals wreaking havoc.
Helps internet companies hurts retail businesses. https://t.co/hi2YiMpniB
— John Catsimatidis Jr (@johncatsjr) September 26, 2023
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