Anything other than the usual store closings?
4 replies (most recent on top)
Which they claimed they weren't doing, even nowhere but CVS was covered.
This is a big deal in a R state. It was always a bit sketchy to have a PBM own stores and then direct people with healthcare coverage to their pharmacies.
Other states will follow.
BTW, the bill is now law. I don't think the market has priced this in or investors have really taken notice about how big of deal this could be. The board has explored breaking up the company with several investment banks, but this might be the tip of the iceberg for a spin-off.
https://www.kark.com/news/state-news/cvs-shares-statement-after-arkansas-bill-restricting-pbms-from-owning-pharmacies-is-signed-into-law/
Arkansas is asking CVS to choose either PBM or Retail. Bill is on the governor's desk. Executives are s**tting their pants right now afraid it will spread to other states, which it definitely will. The exposure in the state for retail is pretty low (23 stores), so execs don't really care about the loss in Arkansas as much about the precedent it sets about breaking up their anti-consumer, pro-shareholder vertical integration model.
https://www.supermarketnews.com/legislation-regulatory-news/cvs-could-have-pbm-trouble-via-arkansas-bill