Headlines

Phar-Mor is No-Mor

Investment group, including CVS and Giant Eagle, will buy all assets from bankrupt drug retailer

Published

22 years ago

July 18, 2002

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Phar-Mor Corp. (Youngstown, Ohio), bankrupt discount drug chain, has selected a winning bid to purchase its assets.

The retailer's remaining 73 stores will be closed as part of the roughly $141 million transaction.

The winning bid came from a joint venture including retailers CVS Corp. (Woonsocket, R.I.) and Giant Eagle Inc. (Pittsburgh). CVS is one of the nation's largest drug chains, with 4175 stores. It fills more prescriptions than any other drugstore chain and runs neck-and-neck with Walgreen (Deerfield, Ill.) in total sales. Giant Eagle operates some 145 supermarkets and has more than 60 franchisees in Maryland, western Pennsylvania, Ohio and northern West Virginia.

Phar-Mor once operated nearly 300 stores, but closed more than 200 units after entering Chapter 11 in 1992. It emerged from bankruptcy protection in 1995, only to re-file in 2001.