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Ceremony Assist is shuttering 53 extra shops in 9 states throughout the US as a part of the company’s bankruptcy proceedings, in line with latest court docket filings.
Shops are closing in California, Maryland, Massachusetts, Michigan, New Jersey, New York, Ohio, Pennsylvania and Virginia.
In keeping with Reuters, Ceremony Assist acquired permission from a chapter decide on March 28 to start voting on a chapter restructuring plan that will flip over many of the firm’s fairness to its bondholders whereas nonetheless leaving open the potential for a sale.
The corporate filed for chapter in October in an try to handle excessive debt.
The submitting aimed toward shutting down poor-performing locations and promoting off “non-core enterprise items,” Reuters reported.
The preliminary checklist of retailer closures stood at 154 and has continued to develop all through the chapter proceedings.
Ceremony Assist has denied any wrongdoing however can also be nonetheless finalizing some settlements thought of key to the restructuring course of, together with an settlement associated to a Justice Division probe of the pharmacy’s opioid gross sales, in line with Reuters.
However legal professionals for the corporate mentioned it is able to solicit votes from bondholders, who’re the vital voting class in its chapter.
No different group might be entitled to vote in Ceremony Assist’s chapter, and the bondholders’ votes are due Monday.
A Ceremony Assist spokesperson mentioned through e-mail to FOX Enterprise the corporate doesn’t present the media with a listing of shops slated to shut, however “we notified the court docket of sure underperforming shops we’re closing to additional scale back hire expense and strengthen general monetary efficiency.”
The court docket filings didn’t give a timetable for the closures, according to WJW-TV.
Ceremony Assist expects to hunt closing court docket approval of its restructuring on April 22.
It acquired chapter court docket approval to promote its pharmacy profit firm, Elixir, in January.
Ceremony Assist’s first full-service pharmacy opened in 1962 in Scranton, Pennsylvania, in line with the corporate’s web site.
It now operates roughly 1,700 retail pharmacy places in 16 states with a workforce of 45,000.
