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Rite Aid To Divest Gardiner Store, As Attorneys General, FTC Settle Merger
June 14, 2007
Attorney General Steve Rowe announced today that as a condition of its acquisition of numerous Brooks and Eckerd retail pharmacy outlets, Rite Aid will be required to divest or spin off the Brooks Pharmacy located at 397 Water Street in Gardiner. The same agreement also applies to 22 other stores located in states from New Hampshire to Virginia. Rite Aid is acquiring the stores from a Canadian company, The Jean Coutu Group. The divestitures are being required as part of a settlement entered into by Rite Aid with the Federal Trade Commission and the Attorneys General of seven states, including Maine. The settlement is reflected in a Consent Decree approved today in Kennebec County Superior Court.
Rowe explained, "We joined with the other states and the Federal Trade Commission to determine the impact this acquisition would have on consumers and determined that Rite Aid's purchase of the Brooks Pharmacy in Gardiner would substantially reduce competition in the local market." While it must divest the Gardiner store, Rite Aid is acquiring five other Maine outlets located in Bangor, Brewer, Freeport, Kittery and Waterville. Rowe praised the FTC's cooperative approach to the investigation. "It's a partnership," he stated. "The FTC provides important resources; our office provides the knowledge of local markets." The Maine Attorney General's office has an active merger review program, and encourages parties contemplating or wishing to provide information concerning a merger or acquisition to contact its antitrust section.
FRANCIS ACKERMAN, ASSISTANT ATTORNEY GENERAL CONTACT: (207) 626 8847