CVS has announced yet another store closure, affecting customers for the second time in just a few weeks. The pharmacy chain has been shutting down numerous locations nationwide since 2022.
CVS Closes Another Troy Store, Community Impacted
CVS has announced the shutdown of its pharmacy and drug store at 49 4th Street in downtown Troy, New York. The store will close permanently on June 26.
Amy Thibault, a spokesperson for CVS, spoke to local ABC affiliate News10, explaining the rationale behind the decision. "Maintaining access to pharmacy services in the communities we serve is a crucial factor we consider when deciding to close stores," she stated.
Thibault also noted that other considerations include the dynamics of the local market, changes in population, the density of stores in the area, and the availability of other CVS locations that meet community needs.
The U.S. Sun noted that customers affected by the Troy store closure will have their prescriptions transferred to another CVS located over two miles away at 461 2nd Avenue. This marks the third CVS closure in the community in just over a year, with two other locations previously closed in nearby Albany during 2023.
These closures are part of CVS's larger strategy to close 900 stores nationwide, a plan first revealed in November 2021. The company has been closing about 300 stores annually, targeting underperforming stores with declining sales.
As CVS nears the end of its large-scale closure plan, it announced in February of this year that it would sell all its stores in Puerto Rico, transferring all 22 locations to Caribe Pharmacy Holdings.
In addition to the Troy store, several other CVS locations across the United States have recently shut their doors or are scheduled to close soon.
These include a store in St. Clair Shores, Macomb, Michigan, which closed on May 9, and another in Greater Binghamton, New York, which closed on May 21.
Upcoming closures are also set for Historic Northeast in Kansas City, Missouri, on June 13 and Bulls Head in Staten Island, New York, on June 19. These closures are part of a series of nationwide adjustments the pharmacy chain is making.
CVS Health: A Timeline of Growth and Impact
According to the CVS Health website, CVS Health, originally founded as a Consumer Value Store in 1963 in Lowell, Massachusetts, has grown from a health and beauty products retailer into a giant in the healthcare industry.
The first CVS pharmacy opened in 1967 in Cranston, Rhode Island. Over the decades, CVS expanded through acquisitions, including notable buys like Peoples Drugs, Revco, and Eckerd drug stores. In 2007, the company took a significant step by acquiring Caremark, establishing itself as a leading pharmacy benefits manager.
Recent strategic moves include the 2018 acquisition of Aetna and recent purchases like Signify Health and Oak Street Health in 2023, which will further transform consumer health experiences.
CVS also played a crucial role during the COVID-19 pandemic, becoming a leading provider of testing and vaccinations.
However, CVS is not alone in scaling back its operations. Last summer, competitor Walgreens also revealed plans to close 150 stores across the US.
Then, CEO Rosalind Brewer explained that the closures were part of "taking immediate actions to optimize profitability for our US healthcare segment." Alongside the store closures, Walgreens also cut approximately 10% of its US workforce, reflecting broader industry challenges.
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