[KARAH RUCKER]

WALGREENS C-E-O TIM WENTWORTH SAYS THE COMPANY’S ADDED SECURITY EFFORTS TO PREVENT THEFT LIKE LOCKING UP YOUR FAVORITE ITEMS BEHIND GLASS DOORS HAVE BACKFIRED OVER THE YEARS.

THE REVELATION COMING DURING AN EARNINGS CALL WITH INVESTORS THIS WEEK AS HE CALLED THE PHARMACY GIANT’S ANTI-THEFT STRATEGIES “LARGELY INEFFECTIVE.”

[TIM WENTWORTH]

“IT IS A HAND-TO-HAND COMBAT BATTLE STILL UNFORTUNATELY, BUT IT DOES IMPACT HOW SALES WORK BECAUSE WHEN YOU LOCK THINGS UP, FOR EXAMPLE, YOU DON’T SELL AS MANY OF THEM. WE’VE KIND OF PROVEN THAT CONCLUSIVELY.”

[KARAH RUCKER]

AFTER REPORTING A MORE THAN 50 PERCENT INCREASE IN SHRINK OR LOST INVENTORY IN 2020 AND 2021, THE COMPANY INVESTED IN ADDED SECURITY, INCLUDING SECURITY GUARDS IN SOME STORES.

NOW, WENTWORTH SAYS WALGREENS IS RENEWING ITS FOCUS ON CUSTOMER EXPERIENCE WHILE BALANCING IT WITH ANTI-THEFT EFFORTS.

WENTWORTH DID NOT GO INTO DETAILS ABOUT THE NEW ANTI-THEFT EFFORTS OR IF IT WILL MEAN AN END TO YOUR FAVORITE ITEMS BEING LOCKED UP.

ONLY SAYING THE DRUGSTORE CHAIN IS TAKING “CREATIVE” STEPS TO ADDRESS RETAIL THEFT AND IMPROVE CUSTOMER EXPERIENCE.

DESPITE THE CHALLENGES WITH ANTI-THEFT POLICY, THE PHARMACY GIANT OUTPERFORMED FIRST QUARTER EARNINGS EXPECTATIONS.

WENTWORTH ATTRIBUTED THE BETTER-THAN-EXPECTED NUMBERS TO A REVAMPED FOCUS ON CUSTOMERS NEEDS AND EXPANDING OFFERINGS OF HEALTH AND WELLNESS PRODUCTS.

THE COMPANY SAYS THE STRATEGIC CLOSURES OF SOME STORES ALSO HELPED WITH IMPROVED PERFORMANCE.

WENTWORTH ALSO REVEALED WALGREENS PLANS TO CLOSE AROUND 450 ADDITIONAL UNDERPERFORMING STORES THIS YEAR AND FURTHER IMPROVE ITS LINE OF HEALTH AND WELLNESS PRODUCTS. THE COMPANY REPORTEDLY OPERATES MORE THAN EIGHT-THOUSAND STORES IN THE U.S. AND PUERTO RICO.

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FOR STRAIGHT ARROW NEWS– I’M KARAH RUCKER.