“The company’s cash needs over the next several years, including with respect to litigation and debt refinancing, were important considerations as part of the decision to suspend the dividend,” Walgreens said in a statement.
If found liable, Walgreens could face civil penalties of up to $80,850 for each unlawful prescription, according to the Justice Department. And they are accused of MILLIONS of unlawful prescriptions.
The other way around, go bankrupt and then be bought out. Potential buyers love a fire sale.
Both. We are getting bought out and going bankrupt.
Setting aside so much money for litigation is an indication of many more skeletons in the Walgreens closet. Go ahead and spend all our money on consultants and lawyers...... and underpay our store employees while they work like crazy....
The official communication did not say suspended dividend will be used to reinvest in the stores. The primary reasons given were paying for litigation and debt repayment. Good wishful thinking!
LOL... that last comment is an absolute joke.
Suspending the dividend is probably the best thing we have done in recent memory. It will give the company money to reinvest in our stores. Tim had previously mentioned that there are big plans in the work to refresh store layouts and remodel the locations we're keeping open. This is likely a big part of how Walgreens is going to pay for that.
Run an unethical business and get sued for millions and billions. Then cut the shareholder dividend to pay for litigation. You will not find another company that is so poorly run.
Are we going bankrupt or getting bought out?