JULY 15, 2024
Can Walgreens save itself? Executives are scrambling to find a profitable path forward for a pharmacy model deemed ‘not sustainable’ By Katherine Davis
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view of the entire business, both of which were kick-started by CEO Tim Wentworth. The turnThe outlook for Walgreens around moves are intended to Boots Alliance continued to darkboost profits and investors’ conen as its chief executive recently fidence, but so far, there’s little presented investors with an unevidence the plan is working or certain future besieged by chalwill pay dividends anytime soon. lenges, including a core pharmaExecutives said headwinds, parcy business that’s unsustainable Tim Wentworth ticularly in its largest segments, in its current form. The Deerfield-based company’s stock slid are expected to last into next year. “The question now is: Is the turnaround 25% on June 27 after disclosing disappointing third-quarter earnings and revealing the going to be slow or nonexistent?” said Erik pharmacy giant intends to shrink its foot- Gordon, clinical professor at the Universiprint, write down assets and try to narrow its ty of Michigan’s Ross School of Business. With lower-than-anticipated earnings focus on profitable parts of the business. The poor performance comes amid a $1 billion cost-cutting plan and a strategic reSee WALGREENS on Page 24
Airlines navigate diversity commitments Assaults on airline equity efforts move into the legal realm, but supporters say they will keep trying to expand opportunities I PAGE 11
Oscar Munoz
Theresa Claiborne
Doug Parker
Scott Kirby
VOL. 47, NO. 27 l COPYRIGHT 2024 CRAIN COMMUNICATIONS INC. l ALL RIGHTS RESERVED
MICHAEL FASSNACHT After 30-plus years of managing a successful career, former CEO of World Business Chicago shares advice. PAGE 2
RETAIL A co-founder of Dom’s Kitchen & Market discusses what went wrong. PAGE 3