TargetExpress format is in the works
NEW YORK — Target Corp. has signed a lease to open a 20,000-sq.-ft. location in Minneapolis that will serve as a test of a new format called TargetExpress, the New York Times reported. The new unit, considerably smaller than CityTarget’s 80,000- to 125,000-sq.-ft. footprint, would be the chain’s smallest store to date.
The test store will be located in the base of an apartment building currently under construction near the University of Minnesota campus, the report said. It is scheduled to open in late summer, with grocery items, health and beauty products, a pharmacy and an edited assortment of basic clothing, home decor and electronics.
Albertsons to shutter 26 locations
BOISE, Idaho — Albertsons has confirmed that it plans to shutter 26 locations.
“This is part of our typical review cycle, and after reviewing store performance, we determined that these stores could not be positioned for future profitability, with the exception of the two stores in Acme that were closed for underperformance. The two Acme stores were closed because the leases are expiring,” the company said in a statement sent to Drug Store News.
The closures include 22 locations that are part of Albertson’s LLC, as well as two Acme and two Shaw’s locations that are part of New Albertsons Inc. Albertsons LLC and New Albertsons Inc. are part of AB Acquisition.
CVS Caremark completes acquisition of Coram
WOONSOCKET, R.I. — CVS Caremark has completed the acquisition of Coram, the specialty infusion services and enteral nutrition business unit of Apria Healthcare Group.
Coram is one of the nation’s largest providers of infusion services, caring for approximately 165,000 patients annually. Coram has 4,600 employees, including 600 nurses, 350 pharmacists and 250 dietitians, operating primarily through 85 branch locations and six centers of excellence for patient intake.
"With the acquisition of Coram, we have expanded our competitive offerings in specialty services," Jon Roberts, president of CVS Caremark Pharmacy Services, said. "From a capabilities perspective, no other organization brings the range of specialty assets, the depth of experience and integration of care that the combination of CVS Caremark and Coram can deliver."
With Coram, CVS Caremark will have resources to more effectively manage the cost of specialty drugs, including infused therapies, whether they are covered through the medical or the pharmacy benefit. According to CVS Caremark, for patients this means better clinical outcomes, while payors will see lower total health care costs.
Coram is expected to generate approximately $1.4 billion in revenues during the first 12 months following the close of the deal. Including one-time transaction and integration costs, as well as the interest associated with the $2 billion of senior notes issued to fund this transaction, the transaction is expected to have an immaterial impact on CVS Caremark’s overall financial results in 2014. The transaction is expected to add 3 cents to 5 cents to the company’s adjusted earnings per share in 2015, the first full year following the close of the deal.