Rite Aid advisers have been instructed to reduce their expenses due to limited cash flow.

Reported 6 months ago

Rite Aid Corp. creditors are requesting its advisers to reduce their fees due to liquidity concerns amidst the pharmacy chain's bankruptcy. The company is working on securing financing for its exit from bankruptcy court, but junior creditors and lenders are questioning its liquidity. Rite Aid has postponed a court hearing to finalize a debt-cutting deal and is facing challenges in paying routine bills, as seen when a supplier demanded $1 million for plastic pots. The company's bankruptcy has incurred high professional fees, putting a strain on its cash flow.

Source: YAHOO

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