MONSEY, NY, Sept. 29, 2022 (GLOBE NEWSWIRE) — The law firm Wohl & Fruchter LLP is investigating whether Rite Aid Corporation WHEEL (“Rite Aid”) has violated federal securities laws. If you have suffered losses as a result of today’s sharp fall in RAD’s price and have questions about your legal rights, please contact us at the link below to discuss your options free of charge:

https://wohl Fruchter.com/cases/rite-aid-corporation/

Alternatively, you can contact us by phone at 866-833-6245 or email at alerts@wohl Fruchter.com.

Why is there an investigation?

Elixir is a wholly owned subsidiary of Rite Aid, providing pharmacy benefit management (PBM) services, Medicare-approved prescription drug plans, mail-order and specialty pharmacy solutions, and prescription drug discount programs to millions of members nationwide.

On June 10, 2022, Rite Aid filed a letter with the Securities and Exchange Commission (“SEC”) from Rite Aid President and Chief Executive Officer Heyward Donigan, stating, among other things, that “[o]Our Elixir account and sales teams are gaining momentum and we are working more efficiently by consolidating functions. And the market is taking notice – we’ve added 34,000 people covered by Elixir’s PBM services since January 1, 2022, and many more are on the way. And we just won the renewal of our largest health insurance customer in a very competitive bidding process.”

Donigan then told analysts on a June 23, 2022 conference call that “the sales season is still ongoing and we have nearly 1 million lives left in the pipeline through January 1, 2023.” Chris DuPaul, Elixir’s Chief Operating Officer, added, “We continue to expect the strongest sales season we’ve had at Elixir in several years.

However, on September 29, 2022, Rite Aid announced a $252.2 million charge for goodwill impairment related to the Elixir…