### CVS to Close Five New York Locations Amidst Nationwide Downsizing

CVS Pharmacies is set to close five of its stores in New York State this year as part of a sweeping plan that will shutter 271 locations across the United States by 2025. This move is part of a larger initiative by the pharmacy giant to streamline its operations and restructure its business model.

The New York locations slated for closure include stores in North Tonawanda, Staten Island, Manhattan, and two in Albany. Specifically, the Albany stores are located at 153 Central Avenue and 1026 Madison Avenue, the Manhattan store is at 1241 Lexington Avenue, the North Tonawanda store is at 955 Payne Avenue, and the Staten Island store is at 1654 Richmond Avenue.

These closures are part of a broader strategy to optimize CVS's business, which has seen the company close about 900 stores between 2022 and 2024. According to a CVS spokesperson, the decision to shutter these locations was driven by factors such as population shifts, consumer buying patterns, store and pharmacy density, pharmacy care access, and community health needs.

CVS aims to simplify its business model and generate annual savings exceeding $500 million through this downsizing. Despite closing numerous stores, the company plans to open 30 new pharmacy locations this year, many of which will be located inside Target stores. As of the end of 2024, CVS operated around 9,000 locations nationwide.

The downsizing trend is not unique to CVS. Other major pharmacy chains like Walgreens and Rite Aid are also scaling back their footprints. Walgreens has announced plans to close over 1,200 stores, including locations in New York, while Rite Aid is undergoing a significant reduction, following its bankruptcy filings in October 2023 and spring 2024.

Rite Aid's financial woes have led to nearly $4 billion in debt and multiple lawsuits related to its role in the opioid crisis. The company has already sold the pharmacy operations of more than 1,000 stores to competitors including CVS, Walgreens, Albertsons, Kroger, and Giant Eagle. CVS is set to acquire 625 Rite Aid pharmacies and 64 full stores, pending approval from a federal bankruptcy court in New Jersey.

As CVS, Walgreens, and Rite Aid all scale back, the retail pharmacy sector is facing a dramatic transformation influenced by online competitors, changes in consumer behavior, and ongoing financial pressures.