CVS is closing 900 stores. Rite-Aid is closing 500. Walgreens announced Tuesday it plans to close 1,200 stores, meaning 1 in 7 will disappear. What is going on with America's drug stores? Walgreens and other chains overexpanded during the 1990s and 2000s to drive out competitors and draw more customers. They are now shutting down because of shifting consumer habits, competition and changes in the pharmacy industry. Around 25% of Walgreens' stores aren't profitable, CEO Tim Wentworth says, and the chain will look to close stores that are right by one another or struggling to hold down theft. Walgreens and other retailers say they have been hit by shoplifting since the pandemic, and resorted to locking up items or closing high-theft stores. But shoplifting alone doesn't explain Walgreens' problems, and the company subsequently admitted last year it 'cried too much' over the impact of the would-be scourge.
