Rite Aid Advisers Asked to Cut Their Bills as Cash Squeezed (1)

Some Rite Aid Corp. creditors have asked advisers representing the bankrupt pharmacy chain to cut their professional fees amid mounting liquidity concerns, according to people with knowledge of the situation.

The drugstore chain’s fate hangs in the balance even after cinching the terms of a global settlement with key bondholders and other creditor groups in March. Its cadre of advisers include Alvarez & Marsal,Guggenheim Securities and Kirkland & Ellis.

Rite Aid is working to line up financing to support its exit from bankruptcy court, but those efforts have hit roadblocks as some of its junior creditors and asset-based ...