Rite Aid Investor Alleges Cover-Up of Services Segment Decline

Rite Aid Corp. executives kept touting increasing membership levels for its pharmacy benefits management program, even as those numbers were in decline, a shareholder says in a proposed class action.

Rite Aid’s stock price dropped 28% immediately after the company announced a projected membership slippage in late September, Cindy Page says. She filed her complaint Wednesday in the US District Court for the Eastern District of Pennsylvania.

The focus of the suit is the drugstore chain’s Elixir subsidiary, which offers technology and mail services, administration, discount programs, and claims adjudication as part of its pharmacy benefits program.

Rite Aid CEO ...