Walgreens acquires remainder of Alliance Boots; will keep HQ in the Chicago area
- A new holding company to be formed in connection with the transaction will be named Walgreens Boots Alliance, and will include four divisions: Walgreen Co. (the largest drug store chain in the United States); Boots (the U.K. and Republic of Ireland’s leading pharmacy-led health and beauty retailer); Pharmaceutical Wholesale and International Retail (including Alliance Healthcare, Europe’s largest pharmaceutical wholesaler); and Global Brands. In addition, the combined company is establishing a cross-divisional global pharmacy market access group;
- Upon closing, the combined enterprise will blend senior management from both companies, including Walgreens president, CEO and board member Greg Wasson who will be president and CEO of Walgreens Boots Alliance, and Stefano Pessina, executive chairman of Alliance Boots, who will be executive vice chairman of the combined company responsible for strategy and M&A reporting to Wasson, and chairman of a new strategy committee of the board of directors;
- Jim Skinner will serve as the non-executive chairman of the board of directors for the combined company;
- The Walgreens Boots Alliance holding company will be headquartered in the Chicago area, while Walgreens operations will remain headquartered in Deerfield, Ill. Boots operations also will remain headquartered at its current location in Nottingham, U.K.;
- The company is outlining a new three-year “Next Chapter” plan through fiscal 2017 that sets strategic goals for the combined company. The plan reflects significant value-creating opportunities for the combined enterprise to drive long-term shareholder value;
- In conjunction with its strategic plan, the company is establishing a new adjusted earnings per share goal for fiscal 2016 of $4.25 to $4.60;
- The adjusted EPS goal includes accelerated cost reduction initiatives that target $1 billion in savings by the end of fiscal 2017 to establish an efficient global enterprise; and
- Walgreens board of directors also authorized a new capital allocation policy that includes a $3 billion share repurchase program through the end of fiscal 2016. In addition, the board declared a 7.1% quarterly dividend increase to 33.75 cents per share.
- Ornella Barra, chief executive wholesale and brands of Alliance Boots, will become EVP of Walgreens Boots Alliance and president and chief executive of global wholesale and international retail;
- Jeff Berkowitz, president of Walgreens Boots Alliance Development, will serve as EVP of Walgreens Boots Alliance and president of pharma and global market access, which will include responsibility for specialty pharmacy;
- Alex Gourlay, Walgreens president of customer experience and daily living, will become EVP Walgreens Boots Alliance and president of Walgreens;
- Tim McLevish, previously announced as Walgreens EVP and CFO, will serve in that role in a global capacity for Walgreens Boots Alliance;
- Ken Murphy, managing director of Health & Beauty International and Brands of Alliance Boots, will serve as EVP of Walgreens Boots Alliance and president of global brands;
- Simon Roberts, managing director of Health & Beauty, UK and the Republic of Ireland of Alliance Boots, will serve as EVP Walgreens Boots Alliance and president of Boots;
- Tom Sabatino, Walgreens chief administrative officer and general counsel, will serve as EVP and global chief legal and administrative officer of Walgreens Boots Alliance;
- Tim Theriault, chief information, innovation and improvement officer at Walgreens, will assume the role of EVP and global chief information officer of Walgreens Boots Alliance; and
- Kathleen Wilson-Thompson, Walgreens chief human resources officer, will become EVP and global chief human resources officer of Walgreens Boots Alliance.
- A differentiated retail experience that transforms the retail model for health and wellness and changes the way women shop for beauty;
- Integrated pharmacy and health care that advance the role of pharmacists and provide access to innovative healthcare services; and
- Global pharmaceutical services that reinvent the pharmaceutical value chain and deliver a seamless specialty pharmacy model.
- Investing across core businesses at suitable returns to drive organic growth;
- Pursuing strategic opportunities, including mergers and acquisitions, that are consistent with the company’s strategy, meet its return requirements, are accretive and drive long-term growth;
- Maintaining a strong balance sheet and financial flexibility with a commitment to solid investment grade credit ratings to govern future capital allocation; and
- Returning cash to shareholders by targeting a 30% to 35% percent long-term dividend payout ratio and a new $3 billion share repurchase authorization through the end of fiscal 2016.
These decisions by the Board and senior management team make the Walgreens Boots Alliance the current leader in developing a global approach to healthcare, offering both online and community-based services to tens of millions of customers--something that Walmart, Google and Apple has been unable to match in their efforts to transform the delivery of health services. Further, the decision to remain domiciled in the United States reflects a wisdom (not exhibited by another, major, Midwest healthcare company) which will continue to pay huge dividends for Walgreens in the future. Ron Hammerle, Chairman Health Resources, Ltd. Tampa, Florida
Report: Man admitted to hospital for Ebola ‘unlikely’ to have disease
NEW YORK — New York City's Department of Health and Mental Hygiene said a man who was tested for Ebola at Mount Sinai Hospital is "unlikely" to have the virus. The patient was admitted to the hospital early Monday with a fever and gastrointestinal problems. He recently visited a West African country where Ebola was reported, according to the Washington Post.
Two Americans who contracted the disease while overseas in Liberia are currently being treated with an experimental drug that seems to be improving their conditions, according to a report. They are receiving treatment in Atlanta.
The Centers for Disease Control took to twitter on Monday afternoon to answer quetions from Twitter users surrounding the transmission of the disease, the risk of the disease spreading in the United States, and other concerns.
— CDC (@CDCgov) August 4, 2014
— CDC (@CDCgov) August 4, 2014
No comments found
Cheerwine, Avett Brothers team up to benefit community organizations
SALISBURY, N.C. — Cheerwine, a soft drink brand, will partner with the Avett Brothers to host the third annual Legendary Giveback, a benefit concert. The previous events raised more than $100,000, which benefited Lowcountry Food Bank, St. Jude Children's Research Hospital and Kids First of the Carolinas.
The date and location of the event will be announced in September. In the meantime, the Avett Brothers and Cheerwine are urging consumers to support the community organization of their choice by visiting Cheerwine.com/GiveBack.
"Cheerwine is privileged to again join forces with the Avett Brothers, whose musical talent is only surpassed by their generosity and community-focused values,” said Tom Barbitta, SVP of marketing and sales for Cheerwine. “What puts this band in the ‘great’ category is what they do when no one is watching. It’s an honor to present Legendary Giveback 3, turning on more people to the band’s music and hopefully many more to the idea of community service and charitable giving.”
From now until Nov. 1, consumers across the country who buy a specially marked two-liter bottle or 12-pack of Cheerwine will have a chance to win prizes, which include Cheerwine and Avett Brothers merchandise.
“We’re excited to be part of Legendary Giveback 3 and partner again with Cheerwine to encourage thousands more people to give back to their communities,” said Scott Avett, lead singer and co-founder of the band. “This has become one of our favorite events of the year, a chance to get together and say thank you to thousands of people who give selflessly to improve the lives of others.”
No comments found