Flagstaff is located in northern Arizona and now the center will be closing. There has been a lot of speculation if Walgreens will stay headquartered in the US or move to the UK or Switzerland.
So What Avenue Will Walgreens Take, A Tax Inversion and Move to the UK or Reduction in Costs, Which Means Lay Offs And/Or Closures To Bolster the Value of The Stock?
Last year Walgreens had 75.2 billion in revenue and 2.8 billion in profits. Remember too these folks bring in about 1 - 2 billion in revenue from selling data which would be part of of the 75 billion in revenue. In addition Senator Dick Durbin wrote a letter to the chairman of Walgreens stating they were turning their backs on the US should they decide to move. Well they have to finance their stock buy backs and reductions and cut backs are part of that as they are pretty leveraged these days if they stay in the US. The company is also suing CVS and Rite Aid over IP software patents.
Walgreens Cashing in Big In the Data Selling Epidemic Arena–Incentives Connected to Apps and Devices That Sell, Re-Query and Re-Sell Our Data And Data Profiles
In addition to save money last year all employees were moved to a private health insurance exchange for their benefits that is run by an investor relations firm. Sounds like things are headed to be a little toxic around Walgreens. BD
Walgreens Plans to Move 180,000 Employees Over to Insurance Exchange Managed By AON Consultants, Risk Management, Re-Insurance, Kidnap and Ransom Coverage…And So On
Walgreens announced it will be closing its distribution center in Flagstaff, leaving 345 people wondering what they're going to do as the company slowly lays them all off by April of next year.
The community is now scrambling to do what it can to keep as many of those workers in town.
"This is the biggest one we've ever had in Flagstaff," said Coconino County Career Center Director Carol Curtis.
The distribution center in Flagstaff was once thought to be an employer that would be around for good. The city even named the road it's on Walgreens Street.
Curtis says the news made the Coconino County Career Center's rapid-response team spring into action.