 | |
| Walgreens | |
| Formerly | Walgreen Drug Co. (1901–1931) Walgreen Drug Stores (1931–1948) Walgreen's (1948–1955) |
| Company type | Subsidiary |
| NYSE: WAG | |
| Industry | Retail |
| Founded | 1901; 124 years ago (1901), inChicago, Illinois,U.S. |
| Founder | Charles Rudolph Walgreen |
| Headquarters | 200 Wilmot Road,, United States |
Area served | United States |
Key people | |
| Products |
|
2,091,000,000 (2010)  | |
| Parent | Walgreens Boots Alliance |
| Website | walgreens |
| Footnotes / references [2] | |
Walgreens is an Americanpharmacy store chain and the second largest in the United States, behindCVS Health'sCVS Pharmacy.[3] It specializes in filling prescriptions, health and wellness products, health information, and photo services.[4] As of March 2025, the company operated more than 8,700 stores in the U.S.[5]
It was founded inChicago in 1901, and is headquartered in theChicago suburb ofDeerfield, Illinois. On December 31, 2014, Walgreens acquired Switzerland and UK-basedAlliance Boots, and formed a newholding company,Walgreens Boots Alliance. Walgreens became a subsidiary of the new company, which retained its Deerfield headquarters and trades on theNasdaq under the symbol WBA.[6] In 2021 the company was one of several pharmacy chains found by a federal jury to have substantially contributed to theopioid crisis.
Walgreens began in 1901, whenCharles Rudolph Walgreen purchased a small food front store on the corner of Bowen and Cottage Grove Avenues in Chicago, where he had worked as a pharmacist.[7]His energy and enthusiasm soon led to new ideas and ambitious expansion. For example, he manufactured his own line of drug products to ensure high quality and low prices. By 1913, Walgreens had grown to four stores onChicago's South Side. It opened its fifth in 1915 and four more in 1916. By 1919, there were 20 stores in the chain.
As a result ofalcohol prohibition, the 1920s were a successful time for Walgreens. Although alcohol was illegal, Walgreens sold prescription whiskey.[8] This prescribed alcohol was sold at inflated price, which was much higher than the pricing at the bathtub or the speakeasy.[9] In 1922, the company introduced amaltedmilkshake, which led to its establishing ice cream manufacturing plants.[10] A Walgreens employee named Ivar Coulson modified the basic malted milk recipe by adding scoops of vanilla ice cream.[11][12] The milkshake was sold at $0.20 and Walgreens became the place to "hang out".[10] The next year, Walgreens began opening stores away from residential areas. In the mid-1920s, there were 44 stores with annual sales of $1.2 million combined. Walgreens had also expanded by then intoMinnesota,Missouri, andWisconsin. By 1930, it had 397 stores with annual sales of $4 million. This expansion partly was attributed to selling prescribed alcohol, mainly whiskey, which Walgreen often stocked under the counter, as accounted in Daniel Okrent'sLast Call: The Rise and Fall of Prohibition.[13]
The stock market crash in October 1929 and subsequentGreat Depression did not greatly affect the company. By 1934, Walgreens was operating 601 stores in 30 states. After Walgreen died in 1939, his sonCharles R. Walgreen Jr. took over the chain until his retirement. The Charles R. Walgreen Jr. years were relatively prosperous but lacked the massive expansion seen in the early part of the century. In 1946, Walgreens purchasedSanborns, one ofMexico's largest pharmacy and department store chains, from Frank Sanborn (Walgreens sold Sanborns toGrupo Carso in 1982).[14] Charles "Cork" R. Walgreen III took over after Walgreen Jr.'s retirement in the early 1950s and modernized the company by switching tobarcode scanning. The company also created larger-sized Walgreens Superstores and purchased theGlobe Discount City chain ofbig-box stores from United Mercantile, Inc. in the 1960s. The Walgreen family was not involved in senior management of the company for a short time after Walgreen III retired. In the 1980s Walgreens owned and operated a chain of casual family restaurants/pancake houses calledWag's. Walgreens sold most of these toMarriott Corp. in 1988,[15] and by 1991 the chain was out of business. In 1986, Walgreens acquired the MediMart chain from Stop & Shop.[16] Kevin P. Walgreen was made a vice-president in 1995 and promoted to senior vice president of store operations in 2006.[17]
On July 12, 2006,David Bernauer stepped down as CEO of Walgreens and was replaced by company presidentJeff Rein, who was later namedchief executive officer andchairman of the board. That year, Walgreens acquired theHappy Harry's chain inDelaware,Pennsylvania,Maryland, andNew Jersey.[18] In 2007, Walgreens acquiredHal Rosenbluth's Take Care Health Systems, a chain of quick-care clinics, for an undisclosed amount.[19] On October 10, 2008, Rein abruptly quit as CEO and was replaced by Alan G. McNally as chairman and acting CEO.[20] On January 26, 2009,Gregory Wasson was named CEO effective February 1, 2009.[21]
In 2010, Walgreens acquired New York City-area chainDuane Reade for $1.075 billion, including debt, and continued to use the Duane Reade name on some stores in the New York City metropolitan area.[22] In March 2011, Walgreens acquiredDrugstore.com for $409 million.[23] On June 19, 2012, Walgreens paid $6.7 billion for a 45% interest inAlliance Boots.[24] That year, Walgreens acquiredMid-South drugstore chain operating under theUSA Drug, Super D Drug, May's Drug, Med-X, and Drug Warehouse banners.[25]
In 2011 Walgreens announced it would end its relationship with Express Scripts,[26] aprescription benefits manager. A coalition of minority groups, led byAl Sharpton's National Action Network,[27] sent letters urging CEO Gregory Wasson to reconsider. Groups sending letters were National Hispanic Christian Leadership Conference,[28] the Congress of Racial Equality,[29] Hispanic Leadership Fund[30] and others. In 2012, Walgreens announced that it would continue to participate in Express Scripts.
In July 2013, Walgreens had attempted to acquire Toronto-basedShoppers Drug Mart, which would have marked Walgreen's first expansion into Canada and outside the U.S., but ultimately acquired byLoblaw Companies.[31] Later on September 10, 2013, Walgreens announced it had acquiredKerr Drug.[32] In August 2014, Walgreens purchased the remaining 55% ofAlliance Boots. The combined company became known as theWalgreens Boots Alliance and was headquartered in Chicago.[33][34] In December of that year, Walgreens purchased the Almus Pharmaceutical generic brand.[35] Also that year, Walgreens acquiredFarmacias Benavides.[36] On July 28, 2016, Walgreens announced it would shut downDrugstore.com, as well as Beauty.com, to focus on its own Walgreens.com website.[37] On September 19, 2017, theFederal Trade Commission (FTC) approved Walgreens' fourth attempt to purchase Rite Aid, with 1,932 stores, for $4.38 billion.[38]
In February 2020, Walgreens announced the appointment of Richard Ashworth as president, but he left within the year. Before the appointment, he served as president of operations for Walgreens.[39][40][additional citation(s) needed]
On June 27, 2024, Walgreens said it would close a "significant portion" of its 8,600 U.S. locations within three years as it struggled to keep up with a fast-changing retail pharmacy industry. The company said 25 percent, or around 2,150 of its stores were underperforming and would be considered for closure. It did not identify any closure locations.[41]
In December 2024, Walgreens Boots Alliance was in talks to sell itself to private equity firmSycamore Partners.[42]
In March 2025, Walgreens announced it had finalized a deal withSycamore Partners to go private for an equity value of $10 billion.[43]
By 2024, 78 percent of Americans lived within five miles of a Walgreen’s.[44]
Walgreens's corporate headquarters is inDeerfield, Illinois.[45][46] Walgreens has had a technology office inChicago since 2010. It serves as their digital hub.[47]
In November 2010, Walgreens filed atrademark infringementlawsuit against theWegmans supermarket chain, claiming the "W" in the Wegman's logo was too similar to Walgreens's.[48] The suit was settled in April 2011, with Wegmans agreeing to discontinue use of its "W" logo by June 2012, although the supermarket retained the right to use the "Wegmans" name in script.[49] According to Jo Natale, Wegmans director of media relations, "The cost of making relatively minor changes to a limited number of products was much less than the cost of litigating this case to the end."[50]
In the summer of 2014, a corporate relocation to Switzerland was considered as part of a merger with Alliance Boots, a European drugstore chain.[51] This drew controversy as many consumers felt that it was an attempt attax inversion. On August 5, 2014, Walgreens announced that it would not relocate its headquarters.
It announced it was closing 150 locations in the U.S. (plus 300 in the UK) in June 2023.[52]
In its 2009 business model, Walgreens are freestanding corner stores, with the entrance on the street with the mosttraffic flow, figuratively making it a "corner drugstore" similar to how many independent pharmacies evolved. Many stores have a drive-through pharmacy.[53]
Most freestanding stores have a similar look and layout, including a bigger and more spacious layout than certain stores in major cities. Newer buildings have a more modern design than older stores. Some stores in major cities, such asNew York andChicago, have multiple floors, most notably theirflagship stores. Behind the front registers aretobacco products andalcoholic beverages. Some stores do not sell these products, e.g.,New Jersey stores that do not sell alcohol andMassachusetts stores that do not sell tobacco.[54]
In March 2008, Walgreens settled a lawsuit with theEqual Employment Opportunity Commission (EEOC) that alleged the company discriminated against African Americans for $24 million.[55] The settlement was split between the 10,000 African-American employees of the company.[55] In the agreement, Walgreens avoided any admission of guilt.
The decree, one of the largest monetary settlements in a race case by the EEOC, provides for the payment of over $24 million to a class of thousands of African American workers and orders comprehensive injunctive relief designed to improve the company's promotion and store assignment practices.
In September 2011, Walgreens settled a lawsuit with the EEOC that claimed that a store improperly terminated a worker with diabetes for eating a package of the store's food while working to stop a hypoglycemia attack.[56]
In June 2008, after Walgreens was sued for drug fraud—"switching dosage forms on three medications without doctor approvals in order to boost profits"—it agreed to stop these actions and pay $35 million to the federal government, 42 states, and theCommonwealth ofPuerto Rico.[57][58][59]
Also in June 2008, Walgreens "agreed to pay $35 million to the U.S. and 42 states and Puerto Rico for overcharging state Medicaid programs by filling prescriptions with more expensive dosage forms of ranitidine, a generic form of Zantac, and fluoxetine, a generic form of Prozac."[60][61]
In 2009, Walgreens threatened to leave the Medicaid program, the state and federal partnership to provide health insurance coverage to the poor, in Delaware over reimbursement rates. Walgreens was the largest pharmacy chain in the state and the only chain to make such a threat.[62] The state of Delaware and Walgreens reached an agreement on payment rates and the crisis was averted.[63]
In 2010, Walgreens stopped accepting Medicaid in Washington state, leaving its one million Medicaid recipients unable to use Medicaid to pay for their prescriptions filled at these 121 stores.[64]
On April 20, 2012, theU.S. Department of Justice announced that Walgreens agreed to pay $7.9 million in a settlement. The fine related to allegations of violations of the federal Anti-Kickback Statute and the False Claims Act regarding beneficiaries of federal health care programs.[65]
In January 2019, Walgreens Boots Alliance Inc. agreed to pay more than $269 million to settle federal and state lawsuits that accused the corporation of overbilling federal healthcare programs.[66] In September 2024, it agreed to another $106 million to settle whistleblower claims it billed federal programs for prescriptions that were temporarily bottled, but never picked up by patients.[67]
 | This section needs to beupdated. Please help update this article to reflect recent events or newly available information.(November 2022) |
Walgreens was named in a lawsuit by theUnited Food and Commercial Workers Unions and Employers Midwest Health Benefits Fund in the Northern District Court of Illinois in January 2012. The suit alleged that Walgreens andPar Pharmaceutical violated theRacketeer Influenced and Corrupt Organizations Act[68] in "at least two widespread schemes to overcharge" for generic drugs.[60]
The lawsuit alleges drugstore chain Walgreen and generic pharmaceutical maker Par established a partnership in which Par manufactured and/or marketed generic versions of antacid Zantac and antidepressant Prozac in dosage forms that weren't subject to private and governmental reimbursement limitations.It further said Walgreen purchased those dosage forms from Par at a cost substantially higher than the widely prescribed dosage forms and then "systematically and unlawfully filled its customers' prescriptions with Par's more expensive products rather than the inexpensive dosage forms that were prescribed by physicians."
In September 2012, the U.S.Drug Enforcement Administration (DEA) accused Walgreens of endangering public safety and barred the company from shipping oxycodone and other controlled drugs from itsJupiter, Florida, distribution center. The DEA said that Walgreens failed to maintain proper controls to ensure that it did not dispense drugs to addicts and drug dealers. The DEA also said that six of Walgreens' Florida pharmacies ordered in excess of one million oxycodone pills a year. In contrast, in 2011 the average pharmacy in the U.S. ordered 73,000 oxycodone tablets a year according to the DEA. One Walgreens pharmacy in Fort Myers, Florida, ordered 95,800 pills in 2009, but by 2011, this number had jumped to 2.2 million pills in one year. Another example was a Walgreens pharmacy in Hudson, Florida, a town of 34,000 people near Clearwater, that purchased 2.2 million pills in 2011, the DEA said. Immediate suspension orders are an action taken when the DEA believes a registrant, such as a pharmacy or a doctor, is "an imminent danger to the public safety." All DEA licensees "have an obligation to ensure that medications are getting into the hands of legitimate patients," said Mark Trouville, former DEA special agent in charge of the Miami Field Division. "When they choose to look the other way, patients suffer and drug dealers prosper."
The Jupiter, Florida, distribution center, which opened in 2001, is one of 12 such distribution centers owned by Walgreens. Since 2009, Walgreens' Jupiter facility has been Florida's largest distributor of oxycodone, the DEA said. Over the past three years, its market share has increased, and 52 Walgreens are among the top 100 oxycodone purchasers in the state, the DEA said.[69]
In 2013,United States AttorneyWifredo Ferrer said Walgreens committed "an unprecedented number" of recordkeeping and dispensing violations. Walgreens was fined $80 million, the largest fine in the history of the Controlled Substances Act at that time.[70]
In November 2021, a federal jury found that Walgreens, along withCVS andWalmart, "had substantially contributed to" theopioid crisis.[71] The trial lasted six weeks with the jury returning a verdict finding the pharmacies liable. It was the first trial where pharmacy companies defended themselves amid the opioid epidemic.[72]
In May 2022, Walgreens agreed to pay a settlement of $683 million to the state of Florida concerning opioid sales. Walgreens did not admit to wrongdoing as part of the settlement.[73]
In August 2022, the state of Tennessee sued Walgreens, alleging that the pharmacy fueled the state's opioid epidemic by failing to maintain effective controls against abuse of the prescription painkiller. The lawsuit claims that Walgreens willfully flooded the market with an oversupply of prescription narcotics in violation of public nuisance and consumer protection laws.[74][75]
In August 2022, a federal judge inCleveland awarded $650 million toLake County andTrumbull County in a opiod suit that includedCVS andWalmart. Lawyers representing the counties said the companies were responsible for $3.3 billion in damages. Two other companies,Rite Aid andGiant Eagle, were also sued by the counties but settled before trial for an undisclosed amount.[76]
Wisconsin'sDepartment of Agriculture, Trade and Consumer Protection fined Walgreens over differences between shelf price and scanned price and for signage in 2012. In 2013, Walgreens paid a $29,241 fine.[77]
The New York State Attorney General announced in April 2016 that a settlement was reached in the complaint that Walgreens used misleading advertising and overcharged consumers. Walgreens would pay $500,000 in penalties, fees and costs, and change advertising and other practices.[78]
A judge in Kansas City, Missouri, ordered Walgreens to pay a $309,000 fine for pricing discrepancies in 2015.[79]
In December 2012, a judge ordered Walgreens to pay $16.57 million to settle a lawsuit claiming that over 600 stores were illegally dumping hazardous waste and unlawfully disposing of customer records containing confidential medical information.[80]
ASanta Clara County Superior Court judge allowed Walgreens to pay $2.25 million in January 2018 to resolve aconsumer protection lawsuit brought by Bay Area prosecutors alleging that the company sold expired baby food, infant formula, and over-the-counter drugs. The suit also alleged that Walgreens violated state law by charging more than the lowest-posted or -advertised price for items.[81]
In June 2018, a staff pharmacist at a Walgreens inPeoria, Arizona, refused to give a woman medication to end her pregnancy. The medication was prescribed by a doctor after tests revealed that the pregnancy would end in a miscarriage. The woman said she was left "in tears and humiliated". Walgreens responded that its policy "allows pharmacists to step away from filling a prescription for which they have a moral objection".[82][83]
In September 2018, Walgreens agreed to pay $34.5 million to settle aU.S. Securities and Exchange Commission (SEC) investigation on charges of misleading investors on financial targets. The SEC alleged that former CEO Greg Wasson and then-CFO Wade Miquelon acted "negligently" in giving financial estimates.[84]
In January 2019, Walgreens paid $269.2 million for two separate counts of defrauding the federal and 39 state governments in over-billing schemes.[85]
In February 2020, Walgreens agreed to pay $7.5 million to settle a consumer protection lawsuit accusing the company of placing people's health at risk by permitting an unlicensed person to work as apharmacist without an adequate background check. This person had handled over 745,000 prescriptions and filled over 100,000 prescriptions for controlled substances. The State of California, Alameda County, and Santa Clara County all took part in the investigation.[86] When it was asked by the California Board of Pharmacy during the investigation, Walgreens was unable to furnish a copy of her employment application. Although there are records that the person had attended classes in a university pharmacy program, there are no records that she had completed her degree requirements that would allow her to take the pharmacist licensing exams.[87]
In March 2021, a class action against Walgreens resulted in a settlement of $4.5 million. Walgreens was accused ofwage theft and labor law violations of its employees in California between 2010 and 2017, including that Walgreens "rounded down employees' hours on their timecards, required employees to pass through security checks before and after their shift without compensating them for time worked, and failed to pay premium wages to employees who were denied legally required meal breaks."[88][89][90][91]
In September 2021, a Walgreens pharmacist in Baltimore, Maryland, accidentally gave a 4-year-old girl a full adult dosage of thePfizer–BioNTech COVID-19 vaccine instead of the intendedInfluenza vaccine. So far, the girl has not suffered any major side effects. A Walgreens spokesperson said such mistakes are "extremely rare" and that the company's top priority is patient safety.[92]
A few weeks later, a Walgreens pharmacist in Evansville, Indiana, accidentally gave a 4-year-old boy, a 5-year-old girl, and their parents a full adult dosage each of the Pfizer vaccine instead of intended flu vaccine. Unlike the Maryland girl, both Indiana children instantly got sick enough that the parents took them to a pediatric cardiologist for treatment. At the time of the injections, the FDA had not yet approved the use of the Pfizer vaccine to children under age 12. Although Pfizer was in the process of seeking approval for use in children ages 5 to 11 with the dosage that would be one third that for an adult, it had not asked permission to vaccinate children ages 4 and younger. Walgreens refused to comment on the case when requested by news media.[93][94]
In January 2023, Walgreens, in addition toCVS, announced their intentions to start dispensingmifepristone, one of the two drugs used in amedication abortion, following a change in regulations from theFood and Drug Administration.[95] The offering of abortion pills atpharmacies such as Walgreens has caused major political turmoil, and has resulted in numerousprotests in-front of the pharmacies.[96]
After receiving their certification to do so, Walgreens started offering abortion pills at a few of their locations. However, numerousattorneys general in conservative states sent advisories to Walgreens to not sell abortion pills within their state. Walgreens conceded, which caused criticism from numerousabortion-rights activists.[97]
California GovernorGavin Newsom announced that the state would no longer be doing business with Walgreens due to the company's response to conservative states on abortion pills.[98]
In 2022, Walgreens dropped task-based metrics for pharmacy staff performance due to concerns that speed KPIs were putting patient safety at risk.[99][100][101][102]
| Brand | Product |
|---|---|
| Almus Pharmaceuticals | Medication |
| Be Jolly | Holiday |
| Big Roll | Toilet Paper |
| Botanics | Skincare |
| Complete Home | Household |
| CYO | Cosmetics |
| Certainty | Incontinence |
| Dashing | Holiday |
| Finest Nutrition | Vitamins |
| Infinitive | Electronics |
| Liz Earle | Skincare (UK) |
| Modern Expressions | Holiday |
| Nice! | Groceries |
| No. 7 | Skincare |
| Patriot Candles | Candles |
| PetShoppe | Pets |
| Playright | Toys |
| Sleek MakeUP | Cosmetics |
| Smile & Save | Paper Towels |
| Soap & Glory | Cosmetics |
| Soltan | Sunscreen (UK) |
| Well at Walgreens | Healthcare |
| Well Beginnings | Baby |
| West Loop | Clothing |
| Wexford | Office Supplies |
| YourGoodSkin | Skincare |
Although milkshakes andmalted milk had been around for some time before, Walgreens has claimed credit for the popularization of the maltedmilkshake (or at least its version of it, invented byIvar "Pop" Coulson in 1922).[104]
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