Consumer
Rite Aid Delays Key Hearing on Bankruptcy Exit, Deal to Cut Debt
- Company tells judge it hasn’t yet put final terms into writing
- Last month, company said it settled key economic disputes
A Rite Aid store in New York.
Photographer: Bing Guan/BloombergThis article is for subscribers only.
Drug store chain Rite Aid Corp. put off a key court hearing in order to complete a deal that would cut $2 billion in debt, resolve lawsuits related to opioid prescriptions and end the company’s six-month-old bankruptcy.
The company needs more time to put a series of agreements into writing, company bankruptcy attorney Aparna Yenamandra said during a brief court hearing Thursday. Rite Aid had been scheduled to ask a federal judge next week to approve its reorganization plan, which is built on a series of deals the company is now trying to complete.