- New Rite Aid group VP pharmacy initiatives and clinical services to oversee Wellness Ambassador program
- Rite Aid posts $71.5 million profit in third quarter 2014
- Rite Aid introduces interactive higi health stations across the chain
- Green Equity Investors exchanges nearly 1.9 million shares of Rite Aid preferred stock for common stock
- Rite Aid Health Alliance aims at strengthening patient engagement
CAMP HILL, Pa. Shortly after announcing initiatives for its credit facilities, Rite Aid late Monday released the terms of an offering of $650 million aggregate principal amount of 8% senior secured notes due 2020.
The notes will be unsecured, unsubordinated obligations of Rite Aid and will be guaranteed by substantially all of Rite Aid's subsidiaries. The guarantees will be secured on a senior lien basis. The proceeds of the offering will be used, together with available cash, to repay and retire Rite Aid's $648 million Tranche 4 Term Loan due 2015 under its senior secured credit facility, and to fund related fees and expenses.
The notes offering is expected to close on Aug. 16, subject to customary closing conditions.
Following the release, Fitch Ratings assigned "BB-/RR1" ratings to Rite Aid's senior secured notes and declaring the rating outlook as stable, citing the drug store chain's "significant high leverage, limited capital for investment and operating statistics," adding that the rating "also reflects Rite Aid's strong market share position as the third largest U.S. drug retailer and management's concerted efforts to improve the productivity of its store base and manage liquidity through working capital reductions and other cost cutting initiatives."