Rite Aid Closes a Quarter of Stores as It Navigates Bankruptcy

Rite Aid Corp. is working to complete a deal with lenders to exit bankruptcy. But even with a rescue deal in hand, the ailing pharmacy chain is poised to to be significantly smaller.

Since filing Chapter 11 in October, Rite Aid has said it will close more than 520 locations, according to a Bloomberg News analysis of court records. The closures, which could increase, represent nearly a quarter of the 2,111 stores Rite Aid operated when it entered bankruptcy.

The closings are happening as Rite Aid continues to face competition from larger drugstore chains CVS Health Corp. and Walgreens ...