July 3 Rite Aid Corp (RAD.N), the No. 3 U.S.
drugstore chain, said June sales at stores open at least one
year fell 0.4 percent, hurt by lower sales at its Brooks and
Pharmacy same-store sales dropped 0.5 percent, hurt by
generic drug introductions and the switch of allergy medicine
Zyrtec to over-the-counter status, while front-end same store
sales fell 0.2 percent.
Two analysts, on average, expected a 0.5 percent drop in
June same-store sales, with a 0.5 percent fall in front-end
sales and a 0.7 decrease in pharmacy sales, according to
Thomson Reuters Estimates.
June same-store sales include the acquisition of the Brooks
and Eckerd stores, which Rite Aid bought in 2007 to compete
better with larger rivals Walgreen Co WAG.N and CVS Caremark
Walgreen reported a 3.4 percent rise in June same-store
sales on Wednesday. It also said pharmacy same-store sales were
hurt by the introduction of generic drugs and the shift of
Zyrtec to over-the-counter status. Rite Aid said excluding the
Brooks and Eckerd stores, June same-store sales rose 2.6
percent over the prior-year period, with pharmacy same-store
sales rising 2.5 percent and front-end same-store sales growing
Prescription revenue accounted for 66.5 percent of total
sales for June. Total sales fell 2.5 percent to $2.02 billion,
the company said.
Shares of the Camp Hill, Pennsylvania-based company were up
about 1.5 percent at $1.38 in early morning trade on the New
York Stock Exchange.
(Reporting by Anne Pallivathuckal in Bangalore; Editing by