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Walgreens Buys Carle Retail Pharmacies

The Carle Foundation is selling its pharmacy division to Walgreens.

The drug store's purchase of Carle RxExpress will mean four of its pharmacy locations will close in the next two months. By May 31st, Carle pharmacies on Urbana's Cunningham Avenue and Windsor Road will close, along with the location in Danville. In June, Carle's South Clinic location will consolidate with main lobby pharmacy at Carle Hospital. The remaining six will stay open under the Walgreens banner, and Carle's remaining inventory will transfer to nearby Walgreens locations.

Carle Foundation Executive Vice President John Snyder said the retail pharmacy industry has become more competitive, with new consolidations. He said Walgreens can offer discounts on generics and 90-day prescriptions that Carle can't sustain. But Snyder said consumers using Carle pharmacy locations won't see a change in service.

"They have quite a bit of experience in taking over hospital pharmacies, as well as medical office building pharmacies," he said. "They don't run them like typical Walgreens stores. They do recognize there's a difference. Their plan is to run them basically as they're run now with the same hours, and hopefully the same staff."

Snyder says Walgreens has committed to hiring about 80-percent of Carle's 76 pharmacy workers, and will interview all who apply. He said other employees with the necessary skills will be offered the chance to transfer to other jobs at Carle, while remaining workers will receive a severance package. But Walgreens spokeswoman Tiffany Washington said there wasn't a specific figure, only saying that a 'large majority' or Carle RxExpress employees would still have positions at the pharmacies.

Financial terms of the sale weren't disclosed. Proceeds from the sale will go towards the purchase of new hospital facilities and equipment.

Categories: Business, Economics, Health