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CVS Health announced that it is planning to close down 900 drugstores across the country over the next three years. The closures, which represent just under 10% of the company's 10,000 stores, will begin in the spring of 2022.
CVS said it will close 300 stores a year over the next three years as it tries to refocus on providing health services and its digital growth. The company did not give details on what stores will close or how many employees are expected to lose their jobs.
CEO Karen Lynch said that the decision does not mean that CVS is abandoning the retail model, and the drugstores are still an integral part of the company's future.
"Our retail stores are fundamental to our strategy and who we are as a company," she said in a news release. "We remain focused on the competitive advantage provided by our presence in thousands of communities across the country, which complements our rapidly expanding digital presence."
Going forward, CVS will focus on three different types of stores. Some stores will provide primary care services, while others will be known as HealthHubs, which will offer a wide variety of medical products and provide other health and wellness services. Other stores will remain as they are, offering a pharmacy and basic groceries.