Walgreens reports $75 million of looting damage

  • A worker cleans up broken glasses at a Walgreens store damaged from protests in Oakland, Calif., over the Memorial Day death of George Floyd, a handcuffed black man in police custody in Minneapolis.

    A worker cleans up broken glasses at a Walgreens store damaged from protests in Oakland, Calif., over the Memorial Day death of George Floyd, a handcuffed black man in police custody in Minneapolis. (AP File Photo/Jeff Chiu)

  • Walgreens Boots Alliance reported damage related to looting cost the Deerfeild-based national drugstore chain at least $75 million during the company's third quarter.

    Walgreens Boots Alliance reported damage related to looting cost the Deerfeild-based national drugstore chain at least $75 million during the company's third quarter. AP file photo

 
 
Updated 7/14/2020 11:16 AM

Damage related to looting cost Walgreens Boots Alliance at least $75 million, offering a look at the cost of U.S. unrest for one of the nation's largest retailers.

Deerfield-based Walgreens said the estimate includes store damage and lost inventory through May, when the company's fiscal third quarter ended, according to a filing with the Securities and Exchange Commission. Store closures during protests also hurt sales, the company said.

 

Demonstrations, most of which were peaceful, surged across the U.S. in May following the killing of George Floyd by police in Minneapolis. Some were accompanied by looting. With about 9,300 locations in the U.S., Walgreens is one of the largest U.S. retailers by store count.

The company "continues to monitor developments and assess the degree of the damage and expects additional charges to be incurred in subsequent periods associated with these events," Walgreens said in the filing.

Walgreens gave an unusually detailed assessment of the cost associated with the unrest. The retail industry is also grappling with unprecedented shutdowns and a sudden shift in consumer behavior following the outbreak of COVID-19.

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