Major U.S. pharmacy chain Rite Aid said Sunday that it has filed for bankruptcy and obtained $3.45 billion in fresh financing as it carries out a restructuring plan while coping with falling sales and opioid-related lawsuits.
In 2022, Rite Aid settled for up to $30 million to resolve lawsuits alleging pharmacies contributed to an oversupply of prescription opioids. It said it had reached an agreement with its creditors on a financial restructuring plan to cut its debt and position itself for future growth and that the bankruptcy filing was part of that process.
The plan will “significantly reduce the company’s debt” while helping to “resolve litigation claims in an equitable manner,” Rite Aid said.
Individuals can do this, too. You don’t even have to be rich. It’s called Chapter 11, and it isn’t just for companies. That said, it’s just a pause while you restructure your finances and requires an approved get-well plan. Individuals would have a hard time coming up with a get-well plan that doesn’t include “get a better job” or “don’t pay off this huge debt.”