After the deal collapsed, Rite Aid overhauled its board of directors with three new members replacing existing directors. It also separated the CEO and chairman positions, naming director Bruce Bodaken as chairman and leaving John Standley in place as CEO. Standley, who joined Rite Aid in 1999 as executive VP and CFO, left the company for three years to become CEO of Pathmark, before rejoining the drug chain in 2008 as president and COO. In 2010, he was elevated to chief executive and two years later added the title of chairman.
In accordance with the NYSE’s rules, Rite Aid has six months from the receipt of the notice to regain compliance with the NYSE’s price condition or until the company’s next annual meeting of stockholders if stockholder approval is required, as would be the case to effectuate a reverse stock split, to cure the share price non-compliance. During this time period, Rite Aid’s common stock will continue to be listed and trade on the NYSE as usual. Rite Aid is currently in compliance with all other NYSE continued listing standard rules.
Rite Aid said it intends to pursue measures to cure the share price non-compliance, including through a reverse stock split of the company’s common stock, subject to stockholder approval no later than at Rite Aid’s next annual meeting, if such action is necessary to cure the share price non-compliance.
Under NYSE rules, Rite Aid can regain compliance at any time during the six-month cure period if on the last trading day of any calendar month during the cure period Rite Aid has a closing share price of at least $1.00 and an average closing share price of at least $1.00 over the 30 trading-day period ending on the last trading day of that month or on the last day of the cure period.
Rite Aid had fiscal 2018 annual revenues of $21.5 billion.