New Rite Aid (RADCQ) 10-Q/A25 Jul 242024 Q2 Quarterly report (amended)Financial data

Company Profile

Document and Entity Information

Document and Entity Information - shares	6 Months Ended
Document and Entity Information - shares	Sep. 02, 2023	Jul. 22, 2024
Cover [Abstract]
Document Type	10-Q/A
Document Quarterly Report	true
Document Period End Date	Sep. 02, 2023
Document Transition Report	false
Entity File Number	1-5742
Entity Registrant Name	RITE AID CORP
Entity Incorporation, State or Country Code	DE
Entity Tax Identification Number	23-1614034
Entity Address, Address Line One	PO Box 3165
Entity Address, City or Town	Harrisburg
Entity Address, State or Province	PA
Entity Address, Postal Zip Code	17105
City Area Code	717
Local Phone Number	761-2633
Entity Current Reporting Status	No
Entity Interactive Data Current	Yes
Entity Filer Category	Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		55,974,015
Entity Central Index Key	0000084129
Current Fiscal Year End Date	--03-02
Document Fiscal Year Focus	2024
Document Fiscal Period Focus	Q2
Amendment Flag	true
Amendment Description	Rite Aid Corporation ("Rite Aid," the "Company," "we," "us," and "our") is filing this Amendment No. 1 on Form 10-Q/A (this "Amendment" or "Form 10-Q/A") to our Quarterly Report on Form 10-Q for the quarter ended September 2, 2023, which was filed with the Securities and Exchange Commission (the "SEC") on October 17, 2023 (the "Original Form 10-Q") to make certain changes, as described below. Subsequent to the issuance of the Company's consolidated financial statements as of and for the fiscal year ended March 4, 2023, management evaluated the materiality of a misstatement related to the Company's historical accounting for closed store liabilities in accordance with changes in ASC 420, Exit or Disposal Cost Obligations. Based on their evaluation, management concluded the misstatement is not material to the Company's previously issued consolidated financial statements as of and for each of the three fiscal years ended March 4, 2023 and each of the interim and year-to-date periods then ended, (collectively the "previously issued financial statements"). However, due to the discovery of this error, we reevaluated the effectiveness of our internal control over financial reporting ("ICFR") as of March 4, 2023 and identified a material weakness in our ICFR. For a more detailed description of this material weakness, refer to Part I, Item 4,"Controls and Procedures." This Amendment therefore amends our assessment of our disclosure controls and procedures to indicate that they were not effective as of September 2, 2023 because of this material weakness. In conjunction with filing this Amendment, we determined it was appropriate to revise the previously issued financial statements and the related notes thereto to reflect the impact of the immaterial misstatement in the periods impacted. For additional information and a more detailed discussion, refer to Note 17 Revision of Previously Issued Consolidated Financial Statements. The revised consolidated financial statements for the fiscal years ended March 4, 2023, February 26, 2022 and February 27, 2021 can be found in Item 8 "Financial Statements and Supplementary Data" of the Company's Annual Report on Form 10-K/A, filed with the SEC on July 25, 2024 (the "Fiscal 2023 10-K/A"). The revised condensed consolidated financial statements for the quarterly periods ended June 3, 2023 and May 28, 2022 can be found in Item 1 "Financial Statements" of the Company's June 3, 2023 amended Form 10-Q/A, filed with the SEC on July 25, 2024 (the "Q1 2023 10-Q/A"). The revised condensed consolidated financial statements for the thirteen and twenty-six week periods ended September 2, 2023 and August 27, 2022 are provided in Item 1 of this amended Quarterly Report on Form 10-Q/A. This following Items of the Original Form 10-Q have been amended as set forth in this Form 10-Q/A: • Part I, Item 1. "Financial Statements" • Part I, Item 2. "Management's Discussion and Analysis of Financial Condition and Results" • Part I, Item 4. "Controls and Procedures" • Part II, Item 1A. "Risk Factors." In addition, Part II, Item 6 "Exhibits" of the Original Form 10-Q also has been amended to include new certifications by our Chief Executive Officer and Chief Financial Officer pursuant to Sections 302 and 906 of the Sarbanes-Oxley Act of 2002. The new certifications are attached to this Amendment as Exhibits 31.1, 31.2, and 32. The other Items of the Original Form 10-Q have not been amended and, accordingly, have not been repeated in this Amendment. The only changes to the Original Form 10-Q are related to the matters described above. Except as described above, this Amendment does not amend, update, or change any other item or disclosure in the Original Form 10-Q and does not purport to reflect any information or event subsequent to the filing thereof. As such, this Amendment speaks only as of the date the Original Form 10-Q was filed, and the Company has not undertaken herein to amend, update, or change any information contained in the Original Form 10-Q to give effect to any event following the date of filing of the Original Form 10-Q, other than as expressly indicated in this Amendment. Accordingly, this Amendment should be read in conjunction with the Original Form 10-Q and any subsequent filing with the SEC.

CONDENSED CONSOLIDATED BALANCE

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 02, 2023	Mar. 04, 2023
Current assets:
Cash and cash equivalents	$ 92,926	$ 157,151
Accounts receivable, net	1,472,755	1,149,958
Inventories, net of LIFO reserve of $554,932 and $539,932	1,993,873	1,900,744
Prepaid expenses and other current assets	179,099	93,194
Total current assets	3,738,653	3,301,047
Property, plant and equipment, net	790,001	907,771
Operating lease right-of-use assets	2,239,043	2,497,206
Goodwill	90,436	507,936
Other intangibles, net	201,572	250,112
Deferred tax assets	12,368	12,368
Other assets	53,879	50,922
Total assets	7,125,952	7,527,362
Current liabilities:
Current maturities of long-term debt and lease financing obligations	3,773,356	6,332
Accounts payable	1,428,286	1,494,611
Accrued salaries, wages and other current liabilities	876,719	709,891
Current portion of operating lease liabilities	422,233	502,403
Total current liabilities	6,500,594	2,713,237
Long-term debt, less current maturities		2,925,258
Long-term operating lease liabilities	2,373,953	2,372,943
Lease financing obligations, less current maturities	11,718	12,580
Other noncurrent liabilities	147,869	97,577
Total liabilities	9,034,134	8,121,595
Commitments and contingencies
Stockholders' deficit:
Common stock, par value $1 per share; 75,000 shares authorized; shares issued and outstanding 56,486 and 56,629	56,486	56,629
Additional paid-in capital	5,920,361	5,917,964
Accumulated deficit	(7,870,177)	(6,553,974)
Accumulated other comprehensive loss	(14,852)	(14,852)
Total stockholders' (deficit) equity	(1,908,182)	(594,233)
Total liabilities and stockholders' deficit	$ 7,125,952	$ 7,527,362

CONDENSED CONSOLIDATED BALANC_2

CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) shares in Thousands, $ in Thousands	Sep. 02, 2023	Mar. 04, 2023
CONDENSED CONSOLIDATED BALANCE SHEETS
Inventories, net of LIFO reserve	$ 554,932	$ 539,932
Common stock, par value (in dollars per share)	$ 1	$ 1
Common stock, shares authorized	75,000	75,000
Common stock, shares issued	56,486	56,629
Common stock, shares outstanding	56,486	56,629

CONDENSED CONSOLIDATED STATEMEN

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 02, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Revenues	$ 5,646,081	$ 5,901,069	$ 11,299,243	$ 11,915,652
Costs and expenses:
Cost of revenues	4,550,485	4,746,574	9,025,121	9,564,428
Selling, general and administrative expenses	1,458,466	1,193,553	2,713,689	2,411,482
Facility exit and impairment charges	300,525	47,271	320,217	89,092
Goodwill and intangible asset impairment charges	295,490	252,200	446,990	252,200
Interest expense	72,658	52,533	137,878	100,652
Gain on debt modifications and retirements, net		(41,312)		(41,312)
Gain on sale of assets, net	(24,087)	(29,001)	(32,280)	(58,197)
Total costs and expenses	6,653,537	6,221,818	12,611,615	12,318,345
Loss before income taxes	(1,007,456)	(320,749)	(1,312,372)	(402,693)
Income tax expense	2,338	11,967	3,831	15,464
Net loss	(1,009,794)	(332,716)	(1,316,203)	(418,157)
Computation of loss attributable to common stockholders:
Net loss attributable to common stockholders - basic	(1,009,794)	(332,716)	(1,316,203)	(418,157)
Net loss attributable to common stockholders - diluted	$ (1,009,794)	$ (332,716)	$ (1,316,203)	$ (418,157)
Basic loss per share:
Basic loss per share	$ (18.26)	$ (6.10)	$ (23.83)	$ (7.68)
Diluted loss per share:
Diluted loss per share	$ (18.26)	$ (6.10)	$ (23.83)	$ (7.68)

CONDENSED CONSOLIDATED STATEM_2

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 02, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
Net loss	$ (1,009,794)	$ (332,716)	$ (1,316,203)	$ (418,157)
Defined benefit pension plans:
Amortization of net actuarial losses included in net periodic pension cost, net of $0 and $0 income tax expense
Change in fair value of interest rate cap
Total other comprehensive income
Comprehensive loss	$ (1,009,794)	$ (332,716)	$ (1,316,203)	$ (418,157)

CONDENSED CONSOLIDATED STATEM_3

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Parenthetical) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 02, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
Amortization of net actuarial losses included in net periodic pension cost, net of income tax expense	$ 0	$ 0	$ 0	$ 0

CONDENSED CONSOLIDATED STATEM_4

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS' DEFICIT - USD ($) shares in Thousands, $ in Thousands	Common Stock	Additional Paid-In Capital	Accumulated Deficit	Accumulated Other Comprehensive Loss	Total
BALANCE - beginning of period at Feb. 26, 2022	$ 55,752	$ 5,910,299	$ (5,834,786)	$ (15,437)	$ 115,828
BALANCE (in shares) at Feb. 26, 2022	55,752
Increase (Decrease) in Stockholders' Deficit
Net loss			(85,441)		(85,441)
Comprehensive loss					(85,441)
Issuance of restricted stock	$ 61	(61)
Issuance of restricted stock (in shares)	61
Exchange of restricted shares for taxes	$ (63)	(490)			(553)
Exchange of restricted shares for taxes (in shares)	(63)
Cancellation of restricted stock	$ (127)	127
Cancellation of restricted stock (in shares)	(127)
Amortization of restricted stock balance		3,324			3,324
Stock-based compensation expense		201			201
Amortization of performance-based incentive plans		(190)			(190)
BALANCE - end of period at May. 28, 2022	$ 55,623	5,913,210	(5,920,227)	(15,437)	33,169
BALANCE (in shares) at May. 28, 2022	55,623
BALANCE - beginning of period at Feb. 26, 2022	$ 55,752	5,910,299	(5,834,786)	(15,437)	115,828
BALANCE (in shares) at Feb. 26, 2022	55,752
Increase (Decrease) in Stockholders' Deficit
Net loss					(418,157)
Comprehensive loss					(418,157)
BALANCE - end of period at Aug. 27, 2022	$ 56,580	5,915,521	(6,252,943)	(15,437)	(296,279)
BALANCE (in shares) at Aug. 27, 2022	56,580
BALANCE - beginning of period at May. 28, 2022	$ 55,623	5,913,210	(5,920,227)	(15,437)	33,169
BALANCE (in shares) at May. 28, 2022	55,623
Increase (Decrease) in Stockholders' Deficit
Net loss			(332,716)		(332,716)
Comprehensive loss					(332,716)
Issuance of restricted stock	$ 1,141	(1,141)
Issuance of restricted stock (in shares)	1,141
Exchange of restricted shares for taxes	$ (182)	(1,284)			(1,466)
Exchange of restricted shares for taxes (in shares)	(182)
Cancellation of restricted stock	$ (2)	2
Cancellation of restricted stock (in shares)	(2)
Amortization of restricted stock balance		3,323			3,323
Stock-based compensation expense		111			111
Amortization of performance-based incentive plans		1,300			1,300
BALANCE - end of period at Aug. 27, 2022	$ 56,580	5,915,521	(6,252,943)	(15,437)	(296,279)
BALANCE (in shares) at Aug. 27, 2022	56,580
BALANCE - beginning of period at Mar. 04, 2023	$ 56,629	5,917,964	(6,553,974)	(14,852)	(594,233)
BALANCE (in shares) at Mar. 04, 2023	56,629
Increase (Decrease) in Stockholders' Deficit
Net loss			(306,409)		(306,409)
Comprehensive loss					(306,409)
Issuance of restricted stock	$ 256	(256)
Issuance of restricted stock (in shares)	256
Shares issued under the performance-based incentive plans	$ 44	(44)
Shares issued under the performance-based incentive plans (in shares)	44
Exchange of restricted shares for taxes	$ (18)	(28)			(46)
Exchange of restricted shares for taxes (in shares)	(18)
Cancellation of restricted stock	$ (203)	203
Cancellation of restricted stock (in shares)	(203)
Amortization of restricted stock balance		1,201			1,201
Amortization of performance-based incentive plans		(109)			(109)
BALANCE - end of period at Jun. 03, 2023	$ 56,708	5,918,931	(6,860,383)	(14,852)	(899,596)
BALANCE (in shares) at Jun. 03, 2023	56,708
BALANCE - beginning of period at Mar. 04, 2023	$ 56,629	5,917,964	(6,553,974)	(14,852)	(594,233)
BALANCE (in shares) at Mar. 04, 2023	56,629
Increase (Decrease) in Stockholders' Deficit
Net loss					(1,316,203)
Comprehensive loss					(1,316,203)
BALANCE - end of period at Sep. 02, 2023	$ 56,486	5,920,361	(7,870,177)	(14,852)	(1,908,182)
BALANCE (in shares) at Sep. 02, 2023	56,486
BALANCE - beginning of period at Jun. 03, 2023	$ 56,708	5,918,931	(6,860,383)	(14,852)	(899,596)
BALANCE (in shares) at Jun. 03, 2023	56,708
Increase (Decrease) in Stockholders' Deficit
Net loss			(1,009,794)		(1,009,794)
Comprehensive loss					(1,009,794)
Exchange of restricted shares for taxes	$ (113)	(68)			(181)
Exchange of restricted shares for taxes (in shares)	(113)
Cancellation of restricted stock	$ (109)	109
Cancellation of restricted stock (in shares)	(109)
Amortization of restricted stock balance		1,261			1,261
Amortization of performance-based incentive plans		128			128
BALANCE - end of period at Sep. 02, 2023	$ 56,486	$ 5,920,361	$ (7,870,177)	$ (14,852)	$ (1,908,182)
BALANCE (in shares) at Sep. 02, 2023	56,486

CONDENSED CONSOLIDATED STATEM_5

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	6 Months Ended
	Sep. 02, 2023	Aug. 27, 2022
Operating activities:
Net loss	$ (1,316,203)	$ (418,157)
Adjustments to reconcile to net cash used in operating activities:
Depreciation and amortization	134,924	138,637
Facility exit and impairment charges	320,217	89,092
Goodwill and intangible asset impairment charges	446,990	252,200
LIFO charge	15,000	10,121
Gain on sale of assets, net	(32,280)	(58,197)
Change in allowances for uncollectible accounts receivable	(19,959)	(1,671)
Stock-based compensation expense	2,149	8,069
Gain on debt modifications and retirements, net		(41,312)
Changes in deferred taxes		6,133
Changes in operating assets and liabilities:
Accounts receivable	(303,973)	(211,673)
Inventories	(108,129)	(77,405)
Accounts payable	(34,299)	(43,343)
Operating lease right-of-use assets and operating lease liabilities	(33,978)	(31,713)
Other assets	(88,771)	(10,870)
Other liabilities	205,151	(61,372)
Net cash used in operating activities	(813,161)	(451,461)
Investing activities:
Payments for property, plant and equipment	(76,869)	(122,243)
Intangible assets acquired	(15,217)	(15,356)
Proceeds from dispositions of assets and investments	29,125	41,003
Proceeds from sale-leaseback transactions	5,454	45,986
Net cash used in investing activities	(57,507)	(50,610)
Financing activities:
Net proceeds from revolver	837,000	677,000
Principal payments on long-term debt	(1,978)	(152,011)
Change in zero balance cash accounts	(27,939)	(12,931)
Financing fees paid for early debt redemption	(51)	(881)
Payments for taxes related to net share settlement of equity awards	(227)	(2,019)
Deferred financing costs paid	(362)
Net cash provided by financing activities	806,443	509,158
(Decrease) increase in cash and cash equivalents	(64,225)	7,087
Cash and cash equivalents, beginning of period	157,151	39,721
Cash and cash equivalents, end of period	$ 92,926	$ 46,808

Basis of Presentation and Signi

Basis of Presentation and Significant Accounting Policies	6 Months Ended
Basis of Presentation and Significant Accounting Policies	Sep. 02, 2023
Basis of Presentation and Significant Accounting Policies
Basis of Presentation and Significant Accounting Policies	1. Basis of Presentation and Significant Accounting Policies The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X and therefore do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete annual financial statements. The accompanying financial information reflects all adjustments which are of a recurring nature and, in the opinion of management, are necessary for a fair presentation of the results for the interim periods. The results of operations for the thirteen and twenty-six week periods ended September 2, 2023 are not necessarily indicative of the results to be expected for the full year, particularly as a result of the filing of the Chapter 11 Cases. These condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Rite Aid Corporation (“Rite Aid”) and Subsidiaries (together with Rite Aid, the “Company”) Fiscal 2023 10-K/A. Going Concern As of the date the accompanying unaudited condensed consolidated financial statements were issued (the “issuance date”), management evaluated the significance of the following adverse conditions in accordance with ASC 205-40, Going Concern. As disclosed in Note 16, Subsequent Events, on October 15, 2023, the Company Parties reached an agreement in principle with the Consenting Noteholders on the terms of a financial operational restructuring, the material terms of which are set forth in the Restructuring Term Sheet. The Company filed a voluntary petition for reorganization under Chapter 11 (the “Chapter 11 filing” or “bankruptcy filing”) of the United States Bankruptcy Code in the District of New Jersey and expects to continue to manage its operations as a “debtor-in-possession” under the jurisdiction of the Bankruptcy Court and in accordance with the applicable provisions of the Bankruptcy Code and orders of the Bankruptcy Court. In general, as a debtor-in-possession, the Company is authorized to continue to operate as an ongoing business but not to engage in transactions outside the ordinary course of business without the prior approval of the Bankruptcy Court. Elixir Insurance (“EI”) was excluded from the Chapter 11 filing due to regulatory factors. The bankruptcy filing represents an adverse event that creates substantial uncertainty regarding the Company’s ability to recover its assets and satisfy its liabilities in the ordinary course of business. In this regard, while management believes the Company will be able to emerge from bankruptcy and continue to operate as a viable going concern, management can provide no assurance that: (a) the Company’s Plan may never be confirmed or become effective, (b) the Debtors’ voting creditors may reject the Plan embodying the restructuring transactions contemplated by the Restructuring Term Sheet, (c) the Bankruptcy Court may grant or deny motions in a manner that is adverse to the Company and its subsidiaries, and (d) the Chapter 11 Cases may be converted into cases under chapter 7 of the Bankruptcy Code. The transactions contemplated by the Restructuring Term Sheet are subject to approval by the Bankruptcy Court, among other conditions. Accordingly, management can provide no assurance that the transactions described therein will be consummated. While management believes the reorganization through the Chapter 11 proceedings will appropriately position the Company upon its re-emergence from bankruptcy, the commencement of these proceedings constituted an event of default (and an acceleration event) under certain of the Company’s debt agreements, for which enforcement of any remedies by the lenders have been automatically stayed as a result of the Chapter 11 proceedings. However, management can provide no assurance that the lenders will ultimately be able to exercise their remedies, which may include, among others, a cessation of the Company’s operations and liquidation of its assets. As a result of the foregoing acceleration event, all of the Company’s outstanding indebtedness, including indebtedness subject to cross-default provisions, has been classified as current debt in the accompanying unaudited condensed consolidated balance sheet of the Company as of September 2, 2023. See Note 10. Indebtedness and Credit Agreement. These uncertainties raise substantial doubt about the Company’s ability to continue as a going concern. The Company’s ability to continue as a going concern is contingent upon, among other things, its ability to, subject to the approval by the Bankruptcy Court, implement a comprehensive restructuring, successfully emerge from the Chapter 11 and generate sufficient liquidity following the Restructuring to meet its obligations and operating needs as they become due. The accompanying unaudited condensed consolidated financial statements have been prepared on the basis that the Company will continue to operate as a going concern, which contemplates that the Company will be able to realize assets and settle liabilities and commitments in the normal course of business for twelve months following the issuance date. Accordingly, the accompanying unaudited condensed consolidated financial statements do not include any adjustments that may result from the outcome of these uncertainties. Revenue Recognition The following table disaggregates the Company’s revenue by major source in each segment for the thirteen and twenty-six week periods ended September 2, 2023 and August 27, 2022: September 2, August 27, September 2, August 27, 2023 2022 2023 2022 In thousands (13 weeks) (13 weeks) (26 weeks) (26 weeks) Retail Pharmacy Segment: Pharmacy sales $ 3,319,057 $ 2,971,236 $ 6,616,031 $ 6,024,684 Front-end sales 1,124,017 1,231,590 2,291,363 2,492,796 Other revenue 27,853 28,965 55,862 59,667 Total Retail Pharmacy Segment 4,470,927 4,231,791 8,963,256 8,577,147 Pharmacy Services Segment 1,209,858 1,727,241 2,406,012 3,453,098 Intersegment elimination (34,704) (57,963) (70,025) (114,593) Total revenue $ 5,646,081 $ 5,901,069 $ 11,299,243 $ 11,915,652 The Retail Pharmacy Segment offered a chain-wide loyalty card program titled wellness+. Individual customers were able to become members of the wellness+ program. Members participating in the wellness+ loyalty card program earned points on a calendar year basis for eligible front-end merchandise purchases and qualifying prescription purchases. The wellness+ program was terminated as of July 1, 2020, with benefits earned as of that date available to be used through the end of calendar year 2020. Beginning in December 2020, the Company granted temporary extensions of benefits to certain previous members that were eligible for a discount as of the end of each previous six month period such that those prior members were eligible to continue to receive that discount on purchases made through the subsequent six months with no additional purchase requirement. New and existing customers who were not already eligible for program benefits also had the opportunity to earn additional discounts on purchases made through each six month period. A final extension was granted on December 31, 2021 through February 26, 2022 at which point all discounts were terminated. A new loyalty program, Rite Aid Rewards, was initiated on February 27, 2022. Customers that enroll in the new program earn points for each dollar spent on front of store purchases as well as for eligible pharmacy prescriptions. Points can then be converted into a “Rite Aid Rewards” coupon that can be tendered as payment in a future purchase. Each point is worth $0.002. Customers must accumulate 1,000 points and create an online account in order to convert earned points to a “Rite Aid Rewards” coupon. Unused/unconverted points expire after 90 days. Unredeemed “Rite Aid Rewards” coupons expire 30 days after conversion from points earned. Points earned pursuant to the Rite Aid Rewards program represent a performance obligation. The value of unredeemed Rite Aid Rewards points is deferred as a contract liability (included in other current liabilities). As members redeem points in the form of a Rite Aid Rewards coupon or when points or unredeemed Rite Aid Rewards coupons expire, the Retail Pharmacy Segment recognizes the redeemed/expired portion of the deferred contract liability into revenue. For the thirteen week period ended September 2, 2023, the Company recognized additional contract deferrals of $707 as a reduction of revenues. The Retail Pharmacy Segment had accrued contract liabilities of $2,560 and $2,030 as of September 2, 2023 and March 4, 2023, respectively. Recently Adopted Accounting Pronouncements In March 2020, the Financial Accounting Standards Board (“FASB”) issued ASU 2020-04, Reference Rate Reform (Topic 848) Facilitation of the Effects of Reference Rate Reform on Financial Reporting

Restructuring

Restructuring	6 Months Ended
Restructuring	Sep. 02, 2023
Restructuring
Restructuring	2. Restructuring Beginning in fiscal 2019, the Company initiated a series of plans designed to reorganize its executive management team, improve its cost structure, free up working capital, rebrand its retail pharmacy and pharmacy services business, and launch its Store of the Future format. Other strategic initiatives included the expansion of the Company’s digital business, replacing and updating the Company’s financial systems to improve efficiency, and closing unprofitable stores. In December 2022, the Company announced a new multi-year performance acceleration program, which allows it to fast-track initiatives that will improve sales, script volume and operating margins, and free up cash. This program has given the Company visibility into the profitability opportunities it can drive over the next three years by focusing on improvements and growth in its core businesses. These and future activities, including those designed to enhance the Company’s liquidity and capital structure, are expected to provide future growth opportunities, expense efficiency benefits, as well as reduce its level of corporate leverage and are reflected into its plan of reorganization. The Company also engaged professional advisors to assist with the exploration of strategic alternatives, including the filing of the Chapter 11 Cases. In connection with the Chapter 11 Cases, the Company has incurred, and expects to continue to incur, significant professional fees and other costs. As part of its reorganization, the Company expects to implement a revised business plan to bolster core strengths, address operational challenges, reinforce liquidity, reduce leverage, optimize store footprint, and address litigation. As mentioned herein, there can be no assurance as to whether the Chapter 11 Cases will be successful, including the Company’s ability to achieve its operational, strategic, and financial goals. For the thirteen week period ended September 2, 2023, the Company incurred total restructuring-related costs of $85,709, which are included as a component of SG&A. These costs are as follows: Retail Pharmacy Pharmacy Segment Services Segment Total Restructuring-related costs Severance and related costs associated with ongoing reorganization efforts (a) $ 926 $ — $ 926 Professional and other fees relating to restructuring activities (b) 82,484 2,299 84,783 Total restructuring-related costs $ 83,410 $ 2,299 $ 85,709 For the thirteen week period ended August 27, 2022, the Company incurred total restructuring-related costs of $12,805, which are included as a component of SG&A. These costs are as follows: Retail Pharmacy Pharmacy Segment Services Segment Total Restructuring-related costs Severance and related costs associated with ongoing reorganization efforts (a) $ 913 $ — $ 913 Professional and other fees relating to restructuring activities (c) 7,529 4,363 11,892 Total restructuring-related costs $ 8,442 $ 4,363 $ 12,805 For the twenty-six week period ended September 2, 2023, the Company incurred total restructuring-related costs of $163,839, which are included as a component of SG&A. These costs are as follows: Retail Pharmacy Pharmacy Segment Services Segment Total Restructuring-related costs Severance and related costs associated with ongoing reorganization efforts (a) $ 1,366 $ — $ 1,366 Professional and other fees relating to restructuring activities (b) 158,513 3,960 162,473 Total restructuring-related costs $ 159,879 $ 3,960 $ 163,839 For the twenty-six week period ended August 27, 2022, the Company incurred total restructuring-related costs of $35,451, which are included as a component of SG&A. These costs are as follows: Retail Pharmacy Pharmacy Segment Services Segment Total Restructuring-related costs Severance and related costs associated with ongoing reorganization efforts (a) $ 12,201 $ 616 $ 12,817 Professional and other fees relating to restructuring activities (c) 13,612 9,022 22,634 Total restructuring-related costs $ 25,813 $ 9,638 $ 35,451 A summary of restructuring-related liabilities associated with the programs noted above, which are included in accrued salaries, wages and other current liabilities, is as follows: Severance and related Professional and costs (a) other fees (b) Total Balance as of March 4, 2023 $ 7,658 $ 42,154 $ 49,812 Additions charged to expense 440 77,690 78,130 Cash payments (2,738) (33,962) (36,700) Balance as of June 3, 2023 $ 5,360 $ 85,882 $ 91,242 Additions charged to expense 926 84,783 85,709 Cash payments (2,052) (106,782) (108,834) Balance as of September 2, 2023 $ 4,234 $ 63,883 $ 68,117 (a) – Severance and related costs reflect severance accruals, executive search fees, outplacement services and other similar charges associated with ongoing reorganization efforts. (b) – Professional and other fees include costs incurred in connection with the identification and implementation of initiatives, including its performance acceleration programs as well as costs incurred in connection with preparation for the Chapter 11 Cases. (c) – Professional and other fees include costs incurred in connection with the identification and implementation of initiatives associated with restructuring activities .

Loss Per Share

Loss Per Share	6 Months Ended
Loss Per Share	Sep. 02, 2023
Loss Per Share
Loss Per Share	3. Loss Per Share Basic loss per share is computed by dividing loss attributable to common stockholders by the weighted average number of shares of common stock outstanding for the period. Diluted loss per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the loss of the Company, subject to anti-dilution limitations. Thirteen Week Period Ended Twenty-Six Week Period Ended September 2, August 27, September 2, August 27, 2023 2022 2023 2022 Basic and diluted loss per share: Numerator: Net loss attributable to common stockholders — basic and diluted $ (1,009,794) $ (332,716) $ (1,316,203) $ (418,157) Denominator: Basic and diluted weighted average shares 55,306 54,548 55,242 54,453 Basic and diluted loss per share $ (18.26) $ (6.10) $ (23.83) $ (7.68) Due to their antidilutive effect, 16 and 539 potential shares related to stock options have been excluded from the computation of diluted loss per share for the thirteen and twenty-six week periods ended September 2, 2023 and August 27, 2022, respectively. Also, excluded from the computation of diluted loss per share for the thirteen and twenty-six week periods ended September 2, 2023 and August 27, 2022 are restricted shares of 1,074 and 1,811, respectively, which are included in shares outstanding.

Facility Exit and Impairment Ch

Facility Exit and Impairment Charges	6 Months Ended
Facility Exit and Impairment Charges	Sep. 02, 2023
Facility Exit and Impairment Charges
Facility Exit and Impairment Charges	4. Facility Exit and Impairment Charges Facility exit and impairment charges consist of amounts as follows: Thirteen Week Period Twenty-Six Week Period Ended Ended September 2, August 27, September 2, August 27, 2023 2022 2023 2022 Impairment charges $ 290,694 $ 34,738 $ 302,432 $ 69,774 Facility exit charges 9,831 12,533 17,785 19,318 $ 300,525 $ 47,271 $ 320,217 $ 89,092 Impairment Charges These amounts include the write-down of long-lived assets at locations that were assessed for impairment because of management’s intention to relocate or close the location or because of changes in circumstances that indicated the carrying value of an asset may not be recoverable. The Company utilizes the three-level valuation hierarchy for the recognition and disclosure of fair value measurements. The categorization of assets and liabilities within this hierarchy is based upon the lowest level of input that is significant to the measurement of fair value. The three levels of the hierarchy consist of the following: ● Level 1—Inputs to the valuation methodology are unadjusted quoted prices in active markets for identical assets or liabilities that the Company has the ability to access at the measurement date. ● Level 2—Inputs to the valuation methodology are quoted prices for similar assets and liabilities in active markets, quoted prices in markets that are not active or inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the instrument. ● Level 3—Inputs to the valuation methodology are unobservable inputs based upon management’s best estimate of inputs market participants could use in pricing the asset or liability at the measurement date, including assumptions about risk. Non-Financial Assets Measured on a Non-Recurring Basis Long-lived non-financial assets are measured at fair value on a nonrecurring basis for purposes of calculating impairment using Level 2 and Level 3 inputs as defined in the fair value hierarchy. The fair value of long-lived assets using Level 2 inputs is determined by evaluating the current economic conditions in the geographic area for similar use assets. The fair value of long-lived assets using Level 3 inputs is determined by estimating the amount and timing of net future cash flows (which are unobservable inputs) and discounting them using a risk-adjusted rate of interest (which is Level 1). The Company estimates future cash flows based on its experience and knowledge of the market in which the store is located. Significant increases or decreases in actual cash flows may result in valuation changes. As further discussed in Note 1, Basis of Presentation and Significant Accounting Policies During the twenty-six week period ended September 2, 2023, long-lived assets with a carrying value of $620,106, primarily right-of-use assets in connection with stores or leased office spaces, were written down to their fair value of $317,674, resulting in an impairment charge of $302,432 of which $290,694 relates to the thirteen week period ended September 2, 2023. During the twenty-six week period ended August 27, 2022, long-lived assets with a carrying value of $86,534, primarily right-of-use assets in connection with stores or leased office spaces, were written down to their fair value of $16,760, resulting in an impairment charge of $69,774 of which $34,738 related to the thirteen week period ended August 27, 2022. If our actual future cash flows differ from our projections materially, certain stores that are either not impaired or partially impaired in the current period may be further impaired in future periods. The following table presents fair values for those assets measured at fair value on a non-recurring basis at September 2, 2023 and August 27, 2022: Fair Values Total Charges as of Twenty-Six Week Period Ended Level 1 Level 2 Level 3 Impairment Date September 2, 2023 Long-lived assets held for use $ — $ 2,653 $ 313,218 $ 315,871 $ (301,417) Long-lived assets held for sale $ — $ 1,803 $ — $ 1,803 $ (1,015) Total $ — $ 4,456 $ 313,218 $ 317,674 $ (302,432) Fair Values Total Charges as of Twenty-Six Week Period Ended Level 1 Level 2 Level 3 Impairment Date August 27, 2022 Long-lived assets held for use $ — $ 11,645 $ — $ 11,645 $ (64,942) Long-lived assets held for sale $ — $ 5,115 $ — $ 5,115 $ (4,832) Total $ — $ 16,760 $ — $ 16,760 $ (69,774) The above assets reflected in the caption ‘Long-lived assets held for sale’ have not been reclassified to assets held for sale due to their immateriality. Facility Exit Charges The Company assesses stores and distribution centers for potential closure or relocation. Decisions to close or relocate stores or distribution centers in future periods would result in inventory liquidation charges, as well as impairment of assets at these locations. When a store or distribution center is closed, the Company records executory costs for leases, as well as other store or distribution center closing and liquidation costs, when incurred. The Company calculates the liability for facility exit or disposal cost obligations to include long-term contract termination costs and costs related to the disposal of long-lived assets. The following table reflects the accrued facility exit charges: Thirteen Week Period Twenty-Six Week Period Ended Ended September 2, August 27, September 2, August 27, 2023 2022 2023 2022 Balance—beginning of period $ 1,919 $ 1,856 $ 2,228 $ 1,892 Provision for present value of executory costs for leases exited — — 155 — Changes in assumptions and other adjustments — — — — Interest accretion — — — — Cash payments (28) (29) (492) (65) Balance—end of period $ 1,891 $ 1,827 $ 1,891 $ 1,827

Fair Value Measurements

Fair Value Measurements	6 Months Ended
Fair Value Measurements	Sep. 02, 2023
Fair Value Measurements
Fair Value Measurements	5. Fair Value Measurements The Company utilizes the three-level valuation hierarchy as described in Note 4, Facility Exit and Impairment Charges, Financial instruments other than long-term indebtedness include cash and cash equivalents, accounts receivable and accounts payable. These instruments are recorded at book value, which we believe approximate their fair values due to their short term nature. In addition, as of September 2, 2023 and March 4, 2023, the Company has $4,189 and $7,457, respectively, of investments carried at amortized cost as these investments are being held to maturity, which are included as a component of prepaid expenses and other current assets. The Company believes the carrying value of these investments approximates their fair value. The fair value for Secured Overnight Financing Rate (“SOFR”) based borrowings under the Company’s senior secured credit facility is estimated based on the quoted market price of the financial instrument which is considered Level 1 of the fair value hierarchy. The fair values of substantially all of the Company’s other long-term indebtedness are estimated based on quoted market prices of the financial instruments which are considered Level 1 of the fair value hierarchy. The carrying amount and estimated fair value of the Company’s total long-term indebtedness was $3,767,350 and $3,165,382 respectively, as of September 2, 2023. The carrying amount and estimated fair value of the Company's total long-term indebtedness was $2,925,258 and $2,368,328, respectively, as of March 4, 2023.

Income Taxes

Income Taxes	6 Months Ended
Income Taxes	Sep. 02, 2023
Income Taxes
Income Taxes	6. Income Taxes The Company recorded income tax expense of $2,338 and $11,967 for the thirteen week periods ended September 2, 2023 and August 27, 2022, respectively. The Company recorded income tax expense of $3,831 and $15,464 for the twenty-six week periods ended September 2, 2023 and August 27, 2022, respectively. The effective tax rate for the thirteen week periods ended September 2, 2023 and August 27, 2022 was (0.2)% and (3.7)%, respectively. The effective tax rate for the twenty-six week periods ended September 2, 2023 and August 27, 2022 was (0.3)% and (3.8)%, respectively. The effective tax rate for the thirteen and twenty-six week periods ended September 2, 2023 was net of an adjustment of (25.3)% and (25.8)%, respectively, to adjust the valuation allowance against deferred tax assets. The effective tax rate for the thirteen and twenty-six week periods ended August 27, 2022 was net of an adjustment of 87.8% and 62.5%, respectively, to adjust the valuation allowance against deferred tax assets, primarily resulting from a Pennsylvania law change that reduced the corporate net income tax rate causing a reduction to the valuation allowance of $380,509. The Company recognizes tax liabilities in accordance with the guidance for uncertain tax positions and management adjusts these liabilities with changes in judgment as a result of the evaluation of new information not previously available. Due to the complexity of some of these uncertainties, the ultimate resolution may result in a payment that is materially different from the current estimate of the tax liabilities. The Company believes that it is reasonably possible that a decrease of up to $4,001 in unrecognized tax benefits related to state exposures may be necessary in the next twelve months; however, management does not expect the change to have a material impact on the results of operations or the financial position of the Company. The Company continues to maintain a valuation allowance against net deferred tax assets of $1,975,091 and $1,636,461, which relates to federal and state deferred tax assets that may not be realized based on the Company's future projections of taxable income at September 2, 2023 and March 4, 2023, respectively. As further discussed in Note 1, Basis of Presentation and Significant Accounting Policies , the Company concluded that there is substantial doubt about its ability to continue as a going concern. The Company considered this, as well as the impact of the Chapter 11 proceedings as part of its current evaluation of valuation allowance established for deferred tax assets for which future realization is uncertain. Additional discussion regarding the Restructuring on deferred tax assets can be found in Note 16, Subsequent Events

Medicare Part D

Medicare Part D	6 Months Ended
Medicare Part D	Sep. 02, 2023
Medicare Part D
Medicare Part D	7. Medicare Part D The Company offers Medicare Part D benefits through Elixir Insurance (“EI”), which has contracted with CMS to be a Prescription Drug Plan (“PDP”) and, pursuant to the Medicare Prescription Drug, Improvement and Modernization Act of 2003, must be a risk-bearing entity regulated under state insurance laws or similar statutes. EI is a licensed domestic insurance company under the applicable laws and regulations. Pursuant to these laws and regulations, EI must file quarterly and annual reports with the National Association of Insurance Commissioners (“NAIC”) and certain state regulators, must maintain certain minimum amounts of capital and surplus under formulas established by certain states and must, in certain circumstances, request and receive the approval of certain state regulators before making dividend payments or other capital distributions to the Company. The Company does not believe these limitations on dividends and distributions materially impact its financial position. EI is subject to minimum capital and surplus requirements in certain states. The minimum amount of capital and surplus required to satisfy regulatory requirements in these states is $7,333 as of June 30, 2023. EI was in excess of the minimum required amounts in these states as of September 2, 2023. EI is not a Debtor in the Chapter 11 Cases. The Company has recorded estimates of various assets and liabilities arising from its participation in the Medicare Part D program based on information in its claims management and enrollment systems. Significant estimates arising from its participation in this program include: (i) estimates of low-income cost subsidies, reinsurance amounts, and coverage gap discount amounts ultimately payable by CMS based on a detailed claims reconciliation that will occur in the following year; (ii) an estimate of amounts receivable from CMS under a risk-sharing feature of the Medicare Part D program design, referred to as the risk corridor; and (iii) estimates for claims that have been reported and are in the process of being paid or contested and for our estimate of claims that have been incurred but have not yet been reported. On August 12, 2021, the Company entered into a receivable purchase agreement (the “August 2021 Receivable Purchase Agreement”) with Bank of America, N.A. (the “Purchaser”). Pursuant to the terms and conditions set forth in the August 2021 Receivable Purchase Agreement, the Company sold $271,829, a portion of its calendar year 2021 CMS receivable, for $258,116, of which $239,360 was received on August 12, 2021 and the remainder was received in fiscal 2023 upon final remittance from CMS. In connection therewith, the Company recognized a loss of $13,713, which is included as a component of loss (gain) on sale of assets, net during the thirteen week period ended August 28, 2021. On August 12, 2021, concurrent with the August 2021 Receivable Purchase Agreement, the Company entered into an indemnity agreement (the “August 2021 Indemnity Agreement”), whereby the Company has agreed to indemnify, reimburse, and hold Purchaser harmless from certain liabilities and expenses actually suffered or incurred by the Purchaser resulting from the occurrence of certain events as specified in the August 2021 Indemnity Agreement. Based on its evaluation of the August 2021 Indemnity Agreement, the Company has determined that it is highly unlikely that the events covered under the August 2021 Indemnity Agreement would occur, and consequently, the Company has not recorded any indemnification liability associated with the August 2021 Indemnity Agreement. On January 24, 2022, the Company entered into a receivable purchase agreement (the “January 2022 Receivable Purchase Agreement”) with Purchaser. Pursuant to the terms and conditions set forth in the January 2022 Receivable Purchase Agreement, the Company sold $400,680, a portion of its calendar 2021 CMS receivable, for $387,035, of which $359,388 was received on January 24, 2022 and the remainder was received in fiscal 2023 upon final remittance from CMS. In connection therewith, the Company recognized a loss of $13,645, which is included as a component of loss (gain) on sale of assets, net during the thirteen week period ended February 26, 2022. On January 24, 2022, concurrent with the January 2022 Receivable Purchase Agreement, the Company entered into an indemnity agreement (the “January 2022 Indemnity Agreement”), whereby the Company has agreed to indemnify, reimburse, and hold Purchaser harmless from certain liabilities and expenses actually suffered or incurred by the Purchaser resulting from the occurrence of certain events as specified in the January 2022 Indemnity Agreement. Based on its evaluation of the January 2022 Indemnity Agreement, the Company has determined that it is highly unlikely that the events covered under the January 2022 Indemnity Agreement would occur, and consequently, the Company has not recorded any indemnification liability associated with the January 2022 Indemnity Agreement. On October 13, 2022, the Company entered into a receivable purchase agreement (the “October 2022 Receivable Purchase Agreement”) with Purchaser. Pursuant to the terms and conditions set forth in the October 2022 Receivable Purchase Agreement, the Company sold $195,487, a portion of its calendar 2022 CMS receivable, for $180,405, of which $166,917 was received on October 13, 2022. The remaining $13,488, which is included in accounts receivable, net as of September 2, 2023, is payable to the Company, subject to final CMS claim reconciliation adjustments, upon receipt of the final remittance from CMS. In connection therewith, the Company recognized a loss of $15,082, which is included as a component of (gain) loss on sale of assets, net during the thirteen week period ended November 26, 2022. On October 13, 2022, concurrent with the October 2022 Receivable Purchase Agreement, the Company entered into an indemnity agreement (the “October 2022 Indemnity Agreement”), whereby the Company has agreed to indemnify, reimburse, and hold Purchaser harmless from certain liabilities and expenses actually suffered or incurred by the Purchaser resulting from the occurrence of certain events as specified in the October 2022 Indemnity Agreement. Based on its evaluation of the October 2022 Indemnity Agreement, the Company has determined that it is highly unlikely that the events covered under the October 2022 Indemnity Agreement would occur, and consequently, the Company has not recorded any indemnification liability associated with the October 2022 Indemnity Agreement. During the thirteen week period ended November 26, 2022, the Company incurred additional fees of $1,937, which are included as a component of (gain) loss on sale of assets, net related to the sale of the 2021 CMS receivable to Bank of America. The additional fees were incurred due to a CMS delay in settling the 2021 receivable. On February 3, 2023, the Company entered into a receivable purchase agreement (the “February 2023 Receivable Purchase Agreement”) with Purchaser. Pursuant to the terms and conditions set forth in the February 2023 Receivable Purchase Agreement, the Company sold $278,390, a portion of its calendar 2022 CMS receivable, for $261,771, of which $242,562 was received on February 3, 2023. The remaining $19,209, which is included in accounts receivable, net as of September 2, 2023, is payable to the Company, subject to final CMS claim reconciliation adjustments, upon receipt of the final remittance from CMS. In connection therewith, the Company recognized a loss of $16,619, which is included as a component of (gain) loss on sale of assets, net during the fourteen-week period ended March 4, 2023. On February 3, 2023, concurrent with the February 2023 Receivable Purchase Agreement, the Company entered into an indemnity agreement (the “February 2023 Indemnity Agreement”), whereby the Company has agreed to indemnify, reimburse and hold Purchaser harmless from certain liabilities and expenses actually suffered or incurred by the Purchaser resulting from the occurrence of certain events as specified in the February 2023 Indemnity Agreement. Based on its evaluation of the February 2023 Indemnity Agreement, the Company has determined that it is highly unlikely that the events covered under the February 2023 Indemnity Agreement would occur, and consequently, the Company has not recorded any indemnification liability associated with the February 2023 Indemnity Agreement. During the fourteen-week period ended March 4, 2023, the Company incurred additional fees of $2,573, which are included as a component of (gain) loss on sale of assets, net related to the sale of the 2021 CMS receivable to Bank of America. The additional fees were incurred due to a CMS delay in settling the 2021 receivable. As of September 2, 2023 and March 4, 2023 accounts receivable, net included $32,697 due from the Purchaser, subject to final CMS claim reconciliation adjustments, upon receipt of the final remittance for the respective calendar years from CMS. As of September 2, 2023, and March 4, 2023, accounts receivable, net included $255,916 and $45,201 due from CMS. The Inflation Reduction Act of 2022 contains several provisions affecting Medicare, which will take effect over various periods of time from 2023 to 2029. Based on the Company’s current analysis of the provisions, it does not believe that this legislation will have a material impact on the financial statements. On June 4, 2023, the Company decided to exit the Medicare Part D Individual Insurance market, effective January 1, 2024. As of September 2, 2023, Elixir Insurance operated in eleven markets, with approximately 274,000 Medicare Part D Individual members. The Company expects to service its exiting members in the 2023 plan year through December 31, 2023. Additionally, the Chapter 11 Cases does not impact its ability or intent to support EI through December 31, 2023.

Manufacturer Rebates Receivable

Manufacturer Rebates Receivables	6 Months Ended
Manufacturer Rebates Receivables	Sep. 02, 2023
Manufacturer Rebates Receivables
Manufacturer Rebates Receivables	8. Manufacturer Rebates Receivables The Pharmacy Services Segment has manufacturer rebates receivables due directly from manufacturers and from our rebate aggregator of $411,549 and $357,699 included in accounts receivable, net of an allowance for uncollectible rebates of $13,280 and $8,680, as of September 2, 2023 and March 4, 2023, respectively.

Goodwill and Other Intangible A

Goodwill and Other Intangible Assets	6 Months Ended
Goodwill and Other Intangible Assets	Sep. 02, 2023
Goodwill and Other Intangible Assets
Goodwill and Other Intangible Assets	9. Goodwill and Other Intangible Assets Goodwill and indefinite-lived assets, such as certain trademarks acquired in connection with acquisition transactions, are not amortized, but are instead evaluated for impairment on an annual basis at the end of the fiscal year, or more frequently if events or circumstances indicate it may be more likely than not that the fair value of a reporting unit is less than its carrying amount. If the Company determines that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, including goodwill, the Company performs a quantitative goodwill impairment test. The fair value estimates used in the quantitative impairment test are calculated using an average of the income and market approaches. The income approach is based on the present value of future cash flows of each reporting unit, while the market approach is based on certain multiples of selected guideline public companies or selected guideline transactions. The approaches, which qualify as Level 3 within the fair value hierarchy, incorporate a number of market participant assumptions including future growth rates, discount rates, income tax rates and market activity in assessing fair value and are reporting unit specific. If the carrying amount exceeds the reporting unit’s fair value, the Company recognizes an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. In addition, the Company considers the income tax effect of any tax deductible goodwill when measuring a goodwill impairment loss. As further discussed in Note 16, Subsequent Events During the thirteen week period ended September 2, 2023, the Company completed a qualitative and quantitative impairment assessment. The quantitative assessment concluded that the carrying amount of the Pharmacy Services Segment exceeded its fair value principally due to further erosion of the future cash flow projections for fiscal years ending after fiscal 2024 due to an inability to execute management’s business strategies for the 2024 selling season. The unfavorable results of the selling season became apparent during the thirteen week period ended September 2, 2023, which resulted in lower renewals of existing customers as well as less new business earned. This resulted in goodwill and the CMS license intangible incurring impairment charges of The goodwill related to the Pharmacy Services Segment is at risk of future impairment if the fair value of this segment, and its associated assets, decrease in value due to further declines in its operating results or an inability to execute management’s business strategies. Future cash flow estimates are, by their nature, subjective, and actual results may differ materially from the Company's estimates. If the Company's ongoing cash flow projections are not met or if market factors utilized in the impairment test deteriorate, including an unfavorable change in the terminal growth rate or the weighted-average cost of capital, the Company may have to record impairment charges in future periods. During the thirteen week period ended June 3, 2023, the Company recorded a goodwill impairment charge of $151,500. As of September 2, 2023 and March 4, 2023, accumulated impairment losses for the Pharmacy Services Segment was $1,592,412 and $1,174,912, respectively. Below is a summary of the changes in the carrying amount of goodwill by segment for the twenty-six week period ended September 2, 2023: Retail Pharmacy Pharmacy Services Total Balance, March 4, 2023 43,492 464,444 507,936 Goodwill impairment — (417,500) (417,500) Balance, September 2, 2023 $ 43,492 $ 46,944 $ 90,436 The Company’s intangible assets are primarily finite-lived and amortized over their useful lives. The following is a summary of the Company’s finite-lived and indefinite-lived intangible assets as of September 2, 2023 and March 4, 2023. September 2, 2023 March 4, 2023 Remaining Remaining Weighted Weighted Gross Average Gross Average Carrying Accumulated Amortization Carrying Accumulated Amortization Amount Amortization Net Period Amount Amortization Net Period Non-compete agreements and other (a) $ 203,632 $ (184,551) $ 19,081 3 years $ 201,919 $ (182,957) $ 18,962 3 years Prescription files 1,030,619 (935,466) 95,153 5 years 1,029,665 (928,478) 101,187 5 years Customer relationships (a) 386,000 (313,062) 72,938 8 years 388,000 (306,139) 81,861 9 years CMS license 57,500 (57,500) — 0 years 57,500 (23,798) 33,702 4 years Total finite $ 1,677,751 $ (1,490,579) 187,172 $ 1,677,084 $ (1,441,372) $ 235,712 Trademarks 14,400 — 14,400 Indefinite 14,400 — 14,400 Indefinite Total $ 1,692,151 $ (1,490,579) $ 201,572 $ 1,691,484 $ (1,441,372) $ 250,112 (a) Amortized on an accelerated basis which is determined based on the remaining useful economic lives of the customer relationships that are expected to contribute directly or indirectly to future cash flows. Amortization expense for these intangible assets and liabilities was $16,590 and $33,723 for the thirteen and twenty-six week periods ended September 2, 2023, respectively. Amortization expense for these intangible assets and liabilities was $18,420 and $39,046 for the thirteen and twenty-six week periods ended August 27, 2022, respectively. The anticipated annual amortization expense for these intangible assets and liabilities is 2024—$55,339; 2025—$44,505; 2026—$34,144; 2027—$27,154 and 2028—$19,674.

Indebtedness and Credit Agreeme

Indebtedness and Credit Agreement	6 Months Ended
Indebtedness and Credit Agreement	Sep. 02, 2023
Indebtedness and Credit Agreement
Indebtedness and Credit Agreement	10. Indebtedness and Credit Agreement Following is a summary of indebtedness and lease financing obligations as of September 2, 2023 and March 4, 2023: September 2, March 4, 2023 2023 Secured Debt: Senior secured revolving credit facility due August 2026 ($2,037,000 and $1,200,000 face value less unamortized debt issuance costs of $13,467 and $16,117) 2,023,533 1,183,883 FILO Term Loan due August 2026 ($400,000 face value less unamortized debt issuance costs of $1,782 and $2,090) 398,218 397,910 2,421,751 1,581,793 Second Lien Secured Debt: 7.500% senior secured notes due July 2025 ($320,002 face value less unamortized debt issuance costs of $1,986 and $2,529) 318,016 317,473 8.000% senior secured notes due November 2026 ($849,918 face value less unamortized debt issuance costs of $9,719 and $11,259) 840,199 838,659 1,158,215 1,156,132 Unguaranteed Unsecured Debt: 7.70% notes due February 2027 ($185,691 face value less unamortized debt issuance costs of $347 and $398) 185,344 185,293 6.875% fixed-rate senior notes due December 2028 ($2,046 face value less unamortized debt issuance costs of $6 and $6) 2,040 2,040 187,384 187,333 Lease financing obligations 17,724 18,912 Total debt 3,785,074 2,944,170 Current maturities of long-term debt and lease financing obligations (3,773,356) (6,332) Long-term debt and lease financing obligations, less current maturities $ 11,718 $ 2,937,838 Credit Facility On December 20, 2018, the Company entered into a senior secured credit agreement (as amended by the First Amendment to Credit Agreement, dated as of January 6, 2020, the “Prior Credit Agreement”; and the Credit Agreement, as further amended by the Second Amendment (as defined below), the “Prior Amended Credit Agreement”), which provided for facilities consisting of a $2,700,000 senior secured asset-based revolving credit facility and a $450,000 “first-in, last-out” senior secured term loan facility, the proceeds of which were used in December 2018 to refinance its prior $2,700,000 existing credit agreement. On August 20, 2021, the Company entered into the Second Amendment to Credit Agreement (the “Second Amendment”), which, among other things, amended the Prior Credit Agreement to provide for a $2,800,000 senior secured asset-based revolving credit facility (the “Prior Senior Secured Revolving Credit Facility”) and a $350,000 “first-in, last-out” senior secured term loan facility (“Prior Senior Secured Term Loan” and together with the Prior Senior Secured Revolving Credit Facility, collectively, the “Prior Amended Facilities”). The Prior Amended Facilities extended the Company’s debt maturity profile and provided additional liquidity. Borrowings under the Prior Senior Secured Revolving Credit Facility bore interest at a rate per annum equal to, at the Company’s option, (x) a base rate (determined in a customary manner) plus a margin of between 0.25% to 0.75% or (y) an adjusted LIBOR rate (determined in a customary manner) plus a margin of between 1.25% and 1.75%, in each case based upon the Average ABL Availability (as defined in the Prior Amended Credit Agreement). Borrowings under the Prior Senior Secured Term Loan bore interest at a rate per annum equal to, at the Company’s option, (x) a base rate (determined in a customary manner) plus a margin of 1.75% or (y) an adjusted LIBOR rate (determined in a customary manner) plus a margin of 2.75%. On December 1, 2022, the Company entered into the Third Amendment to Credit Agreement (the “Third Amendment”), which, among other things, amended the Prior Amended Credit Agreement (the Prior Amended Credit Agreement, as modified by the Third Amendment, the “Existing Credit Agreement”) to provide for a $2,850,000 senior secured asset-based revolving credit facility (the “Existing Senior Secured Revolving Credit Facility”) and a $400,000 “first-in, last-out” senior secured term loan facility (the “Existing Senior Secured Term Loan” and, together with the Existing Senior Secured Revolving Credit Facility, collectively, the “Existing Facilities”), replaced the LIBOR rate with a Term SOFR-based rate as the applicable benchmark for the Existing Facilities, included COVID-19 vaccines in the borrowing base under the Existing Senior Secured Revolving Credit Facility, subject to limitations and conditions as specified in the Existing Credit Agreement, and increased the interest rate applicable to loans under the Existing Senior Secured Term Loan to (x) a base rate (determined in a customary manner) plus a margin of 2.00% or (y) an adjusted Term SOFR-based rate (determined in a customary manner) plus a margin of 3.00%. The Company is required to pay fees between 0.250% and 0.375% per annum on the daily unused amount of the commitments under the Existing Senior Secured Revolving Credit Facility, depending on Average ABL Availability (as defined in the Existing Credit Agreement). The Existing Facilities are scheduled to mature on August 20, 2026 (subject to a springing maturity if certain of the Company’s existing secured notes are not refinanced or repaid prior to the date that is 91 days prior to the stated maturity thereof). The Company’s borrowing capacity under the Existing Senior Secured Revolving Credit Facility is based upon a specified borrowing base consisting of accounts receivable, inventory and prescription files. As of September 2, 2023, the Company had approximately $2,437,000 of borrowings outstanding under the Existing Facilities and had letters of credit outstanding under the Existing Senior Secured Revolving Credit Facility in a face amount of approximately $210,198, which resulted in remaining borrowing capacity under the Existing Senior Secured Revolving Credit Facility of $602,802. If at any time the total credit exposure outstanding under the Existing Senior Secured Revolving Credit Facility exceeds the borrowing base, the Company will be required to repay amounts outstanding to eliminate such shortfall. The Existing Credit Agreement restricts the Company and all of its subsidiaries including the subsidiaries that guarantee its obligations under the Existing Facilities and the secured guaranteed notes (collectively, the “Subsidiary Guarantors”) from accumulating cash on hand in excess of $200,000 at any time when revolving loans are outstanding (not including cash located in store and lockbox deposit accounts and cash necessary to cover current liabilities). The Existing Credit Agreement also states that if at any time (other than following the exercise of remedies or acceleration of any senior obligations or second priority debt and receipt of a triggering notice by the senior collateral agent from a representative of the senior obligations or the second priority debt) either (i) an event of default exists under the Existing Facilities or (ii) availability under the Existing Senior Secured Revolving Credit Facility is less than or equal to $283,250 for three consecutive business days or less than or equal to $206,000 on any day (a “cash sweep period”), the funds in the Company’s deposit accounts will be swept to a concentration account with the senior collateral agent and will be applied first to repay outstanding revolving loans under the Existing Facilities, and then held as collateral for the senior obligations until such cash sweep period is rescinded pursuant to the terms of the Existing Facilities. With the exception of EI, substantially all of the Company’s 100% owned subsidiaries guarantee the obligations under the Existing Facilities and the secured guaranteed notes. The Company’s obligations under the Existing Facilities and the Subsidiary Guarantors’ obligations under the related guarantees are secured by (i) a first-priority lien on all of the Subsidiary Guarantors’ cash and cash equivalents, accounts receivable, inventory, prescription files (including eligible script lists), intellectual property (prior to the repayment of the Existing Senior Secured Term Loan) and certain other assets arising therefrom or related thereto (including substantially all of their deposit accounts, collectively, the “ABL priority collateral”) and (ii) a second-priority lien on all of the Subsidiary Guarantors’ equipment, fixtures, investment property (other than equity interests in subsidiaries), intellectual property (following the repayment of the Existing Senior Secured Term Loan) and all other assets that do not constitute ABL priority collateral, in each case, subject to customary exceptions and limitations. The subsidiary guarantees related to the Company’s Existing Facilities and the secured guaranteed notes are full and unconditional and joint and several. The Company has no independent assets or operations. Other than EI, the subsidiaries, including joint ventures, that do not guarantee the Existing Facilities and applicable notes, are minor. The Existing Credit Agreement allows the Company to have outstanding, at any time, up to an aggregate principal amount of $1,500,000 in secured second priority debt, split-priority debt, unsecured debt and disqualified preferred stock in addition to borrowings under the Existing Facilities and existing indebtedness, provided that not in excess of $750,000 of such secured second priority debt, split-priority debt, unsecured debt and disqualified preferred stock shall mature or require scheduled payments of principal prior to 90 days after the latest maturity date of any Term Loan or Other Revolving Commitment (each as defined in the Existing Credit Agreement) (excluding bridge facilities allowing extensions on customary terms to at least the date that is 90 days after such date). Subject to the limitations described in the immediately preceding sentence, the Existing Credit Agreement additionally allows the Company to issue or incur an unlimited amount of unsecured debt and disqualified preferred stock so long as a Financial Covenant Effectiveness Period (as defined in the Existing Credit Agreement) is not in effect; provided, however, that certain of the Company’s other outstanding indebtedness limits the amount of unsecured debt that can be incurred if certain interest coverage levels are not met at the time of incurrence or other exemptions are not available. The Existing Credit Agreement also contains certain restrictions on the amount of secured first priority debt the Company is able to incur. The Existing Credit Agreement also allows for the voluntary repurchase of any debt or other convertible debt, so long as the Existing Facilities are not in default and the Company maintains availability under its revolver of more than $375,950. The Existing Credit Agreement has a financial covenant that requires the Company to maintain a minimum fixed charge coverage ratio of 1.00 to 1.00 (i) on any date on which availability under the Existing Senior Secured Revolving Credit Facility is less than $206,000 or (ii) on the third consecutive business day on which availability under the Existing Senior Secured Revolving Credit Facility is less than $257,500 and, in each case, ending on and excluding the first day thereafter, if any, which is the 30th consecutive calendar day on which availability under the revolver is equal to or greater than $257,500. As of September 2, 2023, the availability under the Existing Senior Secured Revolving Credit Facility was at a level that did not trigger the Existing Credit Agreement’s financial covenant. The Existing Credit Agreement also contains covenants which place restrictions on the incurrence of debt, the payments of dividends, the making of investments, sale of assets, mergers and acquisitions and the granting of liens. The Existing Credit Agreement provides for customary events of default including nonpayment, misrepresentation, breach of covenants and bankruptcy. It is also an event of default if the Company fails to make any required payment on debt having a principal amount in excess of $50,000 or any event occurs that enables, or which with the giving of notice or the lapse of time would enable, the holder of such debt to accelerate the maturity or require the repayment, repurchase, redemption or defeasance of such debt. As of September 2, 2023, the Company was in full compliance with the provisions and covenants associated with its debt agreements. The commencement of the Chapter 11 proceedings constituted an event of default that accelerated the Company’s obligations under the Unguaranteed Notes and the Secured Notes. Accordingly, all long-term debt was classified as current on the unaudited condensed consolidated balance sheet as of September 2, 2023. However, any efforts to enforce payment obligations under the debt instruments are automatically stayed as a result of the Chapter 11 proceedings. See Note 16, Subsequent Events DIP ABL Credit Agreement As further discussed in Note 16, Subsequent Events DIP ABL Borrower DIP ABL Loan Parties DIP ABL Credit Agreement DIP ABL Lenders DIP ABL Agent DIP Revolving Facility DIP FILO Facility DIP ABL Facilities The DIP ABL Facilities will mature on the date that is twelve months from the Closing Date. The interest rate applicable to loans under the DIP Revolving Facility is an adjusted Term SOFR-based rate (determined in a customary manner) plus a margin of 3.25%. Additionally, the Company is required to pay a fee of 0.50% per annum on the daily unused amount of the commitments under the DIP Revolving Facility. The interest rate applicable to loans under the DIP FILO Facility is an adjusted Term SOFR-based rate (determined in a customary manner) plus a margin of 5.25%, which margin is subject to downward adjustment to 4.75% upon the occurrence of certain paydown events, and a 1.00% upfront fee payable upon the Closing Date. The DIP ABL Credit Agreement includes customary negative covenants for debtor-in-possession loan agreements of this type, including covenants limiting the DIP ABL Borrower and its restricted subsidiaries’ ability to, among other things, incur additional indebtedness, create liens on assets, make investments, loans, advances or guarantees, engage in mergers, consolidations, sales of assets and acquisitions and pay dividends and distributions, in each case subject to customary exceptions for debtor-in-possession loan agreements of this type. The DIP ABL Credit Agreement also includes representations and warranties, mandatory prepayments, affirmative covenants and events of default customary for financings of this type. Certain bankruptcy-related events are also events of default, including, but not limited to, the dismissal by the Bankruptcy Court of any of the Chapter 11 Cases, the conversion of any of the Chapter 11 Cases to a case under chapter 7 of the Bankruptcy Code, the appointment of a trustee pursuant to chapter 11 of the Bankruptcy Code, and certain other events related to the impairment of the DIP ABL Lenders’ rights or liens granted under the DIP ABL Credit Agreement. DIP Term Loan Credit Agreement As further discussed in Note 16, Subsequent Events DIP Term Loan Borrower DIP Term Loan Parties DIP Term Loan Credit Agreement DIP Credit Agreements DIP Term Loan Lenders DIP Term Loan Agent DIP Term Loan Facility DIP Facilities The DIP Term Loan Facility will mature on the date that is twelve months from the Closing Date. The interest rate applicable to loans under the DIP Term Loan Facility is an adjusted Term SOFR-based rate (determined in a customary manner) plus a margin of 7.50%. The DIP Term Loan Credit Agreement includes customary negative covenants for debtor-in-possession loan agreements of this type, including covenants limiting the DIP Term Loan Borrower and its restricted subsidiaries’ ability to, among other things, incur additional indebtedness, create liens on assets, make investments, loans, advances or guarantees, engage in mergers, consolidations, sales of assets and acquisitions and pay dividends and distributions, in each case subject to customary exceptions for debtor-in-possession loan agreements of this type. The DIP Term Loan Credit Agreement also includes representations and warranties, mandatory prepayments, affirmative covenants and events of default customary for financings of this type. Certain bankruptcy-related events are also events of default, including, but not limited to, the dismissal by the Bankruptcy Court of any of the Chapter 11 Cases, the conversion of any of the Chapter 11 Cases to a case under chapter 7 of the Bankruptcy Code, the appointment of a trustee pursuant to chapter 11 of the Bankruptcy Code, and certain other events related to the impairment of the DIP Term Loan Lenders’ rights or liens granted under the DIP Term Loan Credit Agreement. In connection with the Chapter 11 Cases, the Debtors filed the DIP Motion seeking Bankruptcy Court approval of their entry into and performance under the DIP Credit Agreements and use of cash collateral, as well as certain related relief [Docket No. 38]. The Debtors the Bankruptcy Court has approved the DIP Motion on an interim basis from the bench, pending entry of a revised interim Order, which the Debtors expect to be entered in the immediate term. The Debtors will seek the Bankruptcy Court’s approval of the DIP Motion on a final basis in the coming weeks. Fiscal 2023 and 2024 Transactions On June 13, 2022, the Company commenced a series of cash tender offers to purchase up to $150,000 aggregate principal amount of the Company’s 7.500% Secured Notes, 8.000% Secured Notes, 7.70% Notes due 2027 (the “7.70% Notes”) and 6.875% Notes due 2028 (the “6.875% Notes,” together with the 7.70% Notes, the “Unguaranteed Notes”), subject to prioritized acceptance levels, a subcap of $100,000 with respect to the 7.500% Secured Notes and proration. On June 29, 2022, pursuant to an early settlement, the Company purchased an aggregate principal amount of $114,942 of its 7.500% Secured Notes, $51,695 aggregate principal amount of its 7.70% Notes and $26,955 aggregate principal amount of its 6.875% Notes. In connection therewith, the Company recorded a gain on debt retirement of $41,312, which included unamortized debt issuance costs. The debt repayment and related gain on debt retirement is included in the results of operations and cash flows during the second quarter of fiscal 2023. On November 3, 2022, the Company announced the commencement of a cash tender offer to purchase up to $200,000 aggregate purchase price (not including any accrued and unpaid interest) of the Company’s 7.500% Secured Notes, subject to proration. On November 30, 2022, pursuant to an early settlement, the Company purchased an aggregate principal amount of $160,497 of its 7.500% Secured Notes and on December 9, 2022, pursuant to the final settlement, the Company purchased an additional aggregate principal amount of $4,559 of its 7.500% Secured Notes. In connection therewith, the Company recorded a gain on debt retirement of $38,978, which includes unamortized debt issuance costs. The debt repayment and related gain on debt retirement is included in the results of operations and cash flows during the third quarter of fiscal 2023. On December 1, 2022, the Company entered into the Third Amendment in order to, among other things, increase the aggregate principal amount of commitments under the Existing Senior Secured Revolving Credit Facility from $2,800,000 to $2,850,000 and increase the aggregate principal amount of loans outstanding under the Existing Senior Secured Term Loan from $350,000 to $400,000. As a result of the Third Amendment, the Company has increased its liquidity by $100,000. In connection therewith, the Company recorded a loss on debt modification and retirement of $148, which includes unamortized debt issuance costs. The related loss on debt modification and retirement is included in the results of operations and cash flows during the fourth quarter of fiscal 2023. Maturities The commencement of the Chapter 11 proceedings constituted an event of default that accelerated the Company’s obligations under the Unguaranteed Notes and the Secured Notes (without any action on the part of such noteholders). Accordingly, all long-term debt was classified as current on the unaudited condensed consolidated balance sheet as of September 2, 2023. However, any efforts to enforce payment obligations under the debt instruments are automatically stayed as a result of the Chapter 11 proceedings. See Note 16, Subsequent Events

Leases

Leases	6 Months Ended
Leases	Sep. 02, 2023
Leases
Leases	11. Leases The Company leases most of its retail stores and certain distribution facilities under noncancelable operating The following table is a summary of the Company’s components of net lease cost for the thirteen and twenty-six week periods Thirteen Week Period Ended Twenty-Six Week Period Ended September 2, 2023 August 27, 2022 September 2, 2023 August 27, 2022 Operating lease cost $ 148,896 $ 157,956 $ 301,568 $ 317,801 Financing lease cost: Amortization of right-of-use asset 775 863 1,594 1,672 Interest on long-term finance lease liabilities 454 503 921 1,004 Total finance lease costs $ 1,229 $ 1,366 $ 2,515 $ 2,676 Short-term lease costs 2,086 585 1,310 1,042 Variable lease costs 44,646 43,652 90,879 86,297 Less: sublease income (3,104) (3,393) (5,841) (6,616) Net lease cost $ 193,753 $ 200,166 $ 390,431 $ 401,200 Supplemental cash flow information related to leases for the twenty-six week periods ended September 2, 2023 and August 27, 2022: Twenty-Six Week Period Ended September 2, 2023 August 27, 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows paid for operating leases $ 330,492 $ 350,177 Operating cash flows paid for interest portion of finance leases 921 1,004 Financing cash flows paid for principal portion of finance leases 1,969 1,940 Right-of-use assets obtained in exchange for lease obligations: Operating leases 163,569 155,710 Finance leases — — Supplemental balance sheet information related to leases as of September 2, 2023 and March 4, 2023 (in thousands, except lease term and discount rate): September 2, March 4, 2023 2023 Operating leases: Operating lease right-of-use asset $ 2,239,043 $ 2,497,206 Short-term operating lease liabilities $ 422,233 $ 502,403 Long-term operating lease liabilities 2,373,953 2,372,943 Total operating lease liabilities $ 2,796,186 $ 2,875,346 Finance leases: Property, plant and equipment, net $ 12,674 $ 13,576 Current maturities of lease financing obligations $ 6,006 $ 6,332 Lease financing obligations, less current maturities 11,718 12,580 Total finance lease liabilities $ 17,724 $ 18,912 Weighted average remaining lease term Operating leases 7.3 7.5 Finance leases 8.0 8.0 Weighted average discount rate Operating leases 7.5 % 6.5 % Finance leases 10.5 % 9.0 % The following table summarizes the maturity of lease liabilities under finance and operating leases as of September 2, 2023: September 2, 2023 Finance Operating Fiscal year Leases Leases (1) Total 2024 (remaining twenty-six weeks) $ 5,301 $ 335,247 $ 340,548 2025 5,048 622,993 628,041 2026 1,883 500,523 502,406 2027 1,500 472,118 473,618 2028 1,500 399,881 401,381 Thereafter 10,174 1,280,351 1,290,525 Total lease payments 25,406 3,611,113 3,636,519 Less: imputed interest (7,682) (814,927) (822,609) Total lease liabilities $ 17,724 $ 2,796,186 $ 2,813,910 (1) – Future operating lease payments have not been reduced by minimum sublease rentals of $23 million due in the future under noncancelable leases. During the thirteen and twenty-six week the Company During the thirteen and twenty-six week the Company Additionally, certain of the Company’s lease obligations and other outstanding contracts include events of default, cross default or cross acceleration provisions, which could result in rights to accelerate or terminate obligations, including upon the commencement of the Chapter 11 proceedings. However, the exercise or enforcement of any remedies have been automatically stayed as a result of such proceedings

Retirement Plans

Retirement Plans	6 Months Ended
Retirement Plans	Sep. 02, 2023
Retirement Plans
Retirement Plans	12. Retirement Plans Net periodic pension expense (income) for the thirteen and twenty-six August 27, 2022 Defined Benefit Defined Benefit Pension Plan Pension Plan Thirteen Week Period Ended Twenty-Six Week Period Ended September 2, August 27, September 2, August 27, 2023 2022 2023 2022 Service cost $ 73 $ 107 $ 146 $ 214 Interest cost 1,581 1,263 3,162 2,527 Expected return on plan assets (1,474) (1,402) (2,948) (2,804) Net periodic pension expense (income) $ 180 $ (32) $ 360 $ (63) The Company is not required to make any contributions to its company-sponsored pension plans in fiscal 2024 but may make contributions to the extent such contributions are beneficial to the Company. The Company did not make any contributions to its company-sponsored pension plans in the first half of fiscal 2024.

Segment Reporting

Segment Reporting	6 Months Ended
Segment Reporting	Sep. 02, 2023
Segment Reporting
Segment Reporting	13. Segment Reporting The Company has two reportable segments, Retail Pharmacy Segment and Pharmacy Services Segment. The Retail Pharmacy Segment’s primary business is the sale of prescription drugs and related consultation to its customers. Additionally, the Retail Pharmacy Segment sells a full selection of health and beauty aids and personal care products, seasonal merchandise and a large private brand product line. The Pharmacy Services Segment offers a full range of pharmacy benefit management services including plan design and administration, formulary management and claims processing. Additionally, the Pharmacy Services Segment offers specialty and mail order services, and drug benefits to eligible beneficiaries under the federal government’s Medicare Part D program. The Company’s chief operating decision makers are its Chief Executive Officer, Chief Financial Officer and several other members of the Executive Leadership Team, (collectively the “CODM”). The CODM has ultimate responsibility for enterprise decisions. The CODM determines, in particular, resource allocation for, and monitors performance of, the consolidated enterprise, the Retail Pharmacy Segment and the Pharmacy Services Segment. The Retail Pharmacy and Pharmacy Services Segment managers have responsibility for operating decisions, allocating resources and assessing performance within their respective segments. The CODM relies on internal management reporting that analyzes enterprise results on certain key performance indicators, namely, revenues, gross profit, and Adjusted EBITDA. The following is balance sheet information for the Company’s reportable segments: Retail Pharmacy Pharmacy Services Eliminations (1) Consolidated September 2, 2023: Total Assets $ 5,530,289 $ 1,605,604 $ (9,941) $ 7,125,952 Goodwill 43,492 46,944 — 90,436 March 4, 2023: Total Assets $ 5,487,845 $ 2,049,107 $ (9,590) $ 7,527,362 Goodwill 43,492 464,444 — 507,936 (1) As of September 2, 2023 and March 4, 2023, intersegment eliminations include intersegment accounts receivable of $9,941 and $9,590 , respectively, that represents amounts owed from the Pharmacy Services Segment to the Retail Pharmacy Segment that are created when Pharmacy Services Segment customers use Retail Pharmacy Segment stores to purchase covered products. The following table is a reconciliation of the Company’s business segments to the consolidated financial statements for the thirteen and twenty-six week periods ended September 2, 2023 and August 27, 2022 Retail Pharmacy Intersegment Pharmacy Services Eliminations (1) Consolidated Thirteen Week Period Ended September 2, 2023: Revenues $ 4,470,927 $ 1,209,858 $ (34,704) $ 5,646,081 Gross Profit 978,602 116,994 — 1,095,596 Adjusted EBITDA (2) (26,477) 43,186 — 16,709 Depreciation and amortization 56,985 12,044 — 69,029 LIFO charge 7,500 — — 7,500 Stock-based compensation expense 773 295 — 1,068 Additions to property and equipment and intangible assets 37,894 6,689 — 44,583 August 27, 2022: Revenues $ 4,231,791 $ 1,727,241 $ (57,963) $ 5,901,069 Gross Profit 1,043,036 111,459 — 1,154,495 Adjusted EBITDA (2) 31,484 47,065 — 78,549 Depreciation and amortization 56,679 11,885 — 68,564 LIFO charge 10,121 — — 10,121 Stock-based compensation expense 4,496 239 — 4,735 Additions to property and equipment and intangible assets 46,343 5,832 — 52,175 Twenty-Six Week Period Ended September 2, 2023: Revenues $ 8,963,256 $ 2,406,012 $ (70,025) $ 11,299,243 Gross Profit 2,065,465 208,657 — 2,274,122 Adjusted EBITDA (2) 43,572 64,852 — 108,424 Depreciation and amortization 112,454 22,470 — 134,924 LIFO charge 15,000 — — 15,000 Stock-based compensation expense 1,496 653 — 2,149 Additions to property and equipment and intangible assets 78,333 13,753 — 92,086 August 27, 2022: Revenues $ 8,577,147 $ 3,453,098 $ (114,593) $ 11,915,652 Gross Profit 2,140,393 210,831 — 2,351,224 Adjusted EBITDA (2) 105,166 73,513 — 178,679 Depreciation and amortization 112,787 25,850 — 138,637 LIFO charge 10,121 — — 10,121 Stock-based compensation expense 7,598 471 — 8,069 Additions to property and equipment and intangible assets 124,894 12,705 — 137,599 (1) Intersegment eliminations include intersegment revenues and corresponding cost of revenues that occur when Pharmacy Services Segment customers use Retail Pharmacy Segment stores to purchase covered products. When this occurs, both the Retail Pharmacy and Pharmacy Services Segments record the revenue on a stand-alone basis. (2) See “Adjusted EBITDA, Adjusted Net Income (Loss), Adjusted Net Income (Loss) per Diluted Share and Other Non-GAAP Measures” in Management’s Discussion and Analysis of Financial Condition and Results for additional details. The following is a reconciliation of net loss to Adjusted EBITDA for the thirteen and twenty-six August 27, 2022 September 2, August 27, September 2, August 27, 2023 2022 2023 2022 (13 weeks) (13 weeks) (26 weeks) (26 weeks) Net loss $ (1,009,794) $ (332,716) $ (1,316,203) $ (418,157) Interest expense 72,658 52,533 137,878 100,652 Income tax expense 2,338 11,967 3,831 15,464 Depreciation and amortization 69,029 68,564 134,924 138,637 LIFO charge 7,500 10,121 15,000 10,121 Facility exit and impairment charges 300,525 47,271 320,217 89,092 Goodwill and intangible asset impairment charges 295,490 252,200 446,990 252,200 Gain on debt modifications and retirements, net — (41,312) — (41,312) Stock-based compensation expense 1,068 4,735 2,149 8,069 Restructuring-related costs 85,709 12,805 163,839 35,451 Inventory write-downs related to store closings 8,414 1,094 10,471 9,049 Litigation and other contractual settlements 205,041 20,093 216,091 38,364 Gain on sale of assets, net (24,087) (29,001) (32,280) (58,197) Other 2,818 195 5,517 (754) Adjusted EBITDA $ 16,709 $ 78,549 $ 108,424 $ 178,679

Commitments, Contingencies and

Commitments, Contingencies and Guarantees	6 Months Ended
Commitments, Contingencies and Guarantees	Sep. 02, 2023
Commitments, Contingencies and Guarantees
Commitments, Contingencies and Guarantees	14. Commitments, Contingencies and Guarantees Legal Matters and Regulatory Proceedings The Company is regularly involved in a variety of legal matters including arbitration, litigation (and related settlement discussions), audits by counter parties under our contracts, and other claims, and is subject to regulatory proceedings including audits, inspections, inquiries, investigations, and similar actions by health care, insurance, pharmacy, tax and other governmental authorities arising in the ordinary course of its business, including, without limitation, the matters described below. Subject to applicable bankruptcy law, substantial damages are sought from the Company in virtually all of these matters, even if a specific amount is not specified. The Company records accruals for outstanding legal matters and applicable regulatory proceedings when it believes it is probable that a loss has been incurred, and the amount can be reasonably estimated. The Company evaluates on a quarterly basis, developments in legal matters and regulatory proceedings that could affect the amount of any existing accrual or that warrant an accrual. If a loss contingency is not both probable and estimable, the Company typically does not establish an accrued liability. Unless specifically noted otherwise, with respect to the litigation and other legal proceedings described below, the Company is unable to estimate the amount or range of reasonably possible loss due to the inherent difficulty of predicting the outcome of and uncertainties at the current stage of such litigation and legal proceedings. The Company’s accruals for certain outstanding legal matters or regulatory proceedings are considered material, individually and in the aggregate, to the Company’s consolidated financial position. This includes most significantly the accruals taken for the Humana and Schmuckley matters described below, as well as other matters. Additionally, unfavorable or unexpected outcomes in outstanding legal matters or regulatory proceedings could exceed any accrual and impact the Company’s financial position. Further, even if the Company were successful in its legal proceedings, the Company may incur significant costs and expenses defending itself or others that it is required to indemnify, and such costs and expenses may not be subject to or may exceed reimbursement pursuant to any applicable insurance. Such proceedings may also require significant attention of management. The Company’s contingencies are subject to significant uncertainties, many of which are beyond the Company’s control, including, among other factors: (i) the stage of any proceeding and delays in scheduling; (ii) whether class or collective action status is sought and the likelihood of a class being certified; (iii) the outcome of pending or potential appeals, motions and settlement discussions; (iv) the range and magnitude of potential damages, fines or penalties, which are often unspecified or indeterminate; (v) the impact of discovery on the matter; (vi) whether novel or unsettled legal theories are at issue or advanced; (vii) whether there are significant factual issues to be resolved including findings made by juries; (viii) the exercise of discretion in enforcement actions including in the case of certain government agency investigations, whether a qui tam lawsuit (“whistleblower” action) has been filed and whether the government agency makes a decision to intervene in the lawsuit following investigation; (ix) changes in priorities following any change in political administration at the state or federal level; and/or (x) the impact, results and settlements of similar claims made against competitors and other industry participants. Additionally, the Company may determine that a settlement is in its best interest, even if it believes that it has meritorious defenses and has not previously accrued for the matter. Employment Litigation. The Company is currently a defendant in several lawsuits filed in courts in California that contain allegations regarding violations of the California Business and Professions Code, various California employment laws and regulations, industry wage orders, wage-and-hour laws, rules and regulations pertaining primarily to the classification of certain positions as exempt from overtime requirements, failure to pay premiums for missed meals and rest periods, failure to provide accurate wage statements, and failure to reimburse business expenses (collectively, the “California Cases”). Some of the California Cases purport or may be determined to be class actions or representative actions under the California Private Attorneys General Act and seek substantial damages and penalties. In August 2022, the Company agreed to settle a putative class action regarding reimbursement for cell phone and mileage expenses for shift supervisors and managers/assistant managers for $1.29 million, which remains subject to court approval. A previously-settled putative wage and hour class action brought on behalf of drivers and other ice cream plant associates for million has been paid and resolved. The Company has also reached an agreement in principle to resolve a putative employment collective and class action filed in federal court in New York, which raises similar allegations in addition to others about the payment frequency for certain employees (the “New York Case”). The Company has aggressively defended itself and challenged the merits of these employment lawsuits and, where applicable, allegations that the lawsuits should be certified as class or representative actions. Usual and Customary Litigation. The Company is named as a defendant in a number of lawsuits, including the cases below, that allege that the Company’s retail stores overcharged for prescription drugs by not submitting the price available to members of the Rite Aid’s Rx Savings Program as the pharmacy’s usual and customary price, and related theories. The Company is defending itself against these claims. The Company is a defendant in a putative consumer class action lawsuit in the United States District Court for the Southern District of California captioned Byron Stafford v. Rite Aid Corp Robert Josten v. Rite Aid Corp On February 6, 2019, Humana, Inc., filed a claim pursuant to a binding arbitration provision of the parties’ agreement alleging that the Company improperly submitted various usual and customary overcharges by failing to report its Rx Savings Program prices as its usual and customary prices to Humana. An arbitration hearing was held in this matter in November 2021. On April 22, 2022, the arbitrator issued an Opinion and Final Award against the Company for breach of contract awarding Humana $122.6 million, which includes $40.7 million in prejudgment interest (the “Arbitration Award”). The Company continues to believe that the Arbitration Award contains a number of significant factual and legal errors. On June 20, 2022, the Company both opposed Humana’s effort to confirm the Arbitration Award and petitioned the United States District Court for Western District of Kentucky (the “court”) for vacatur of the Arbitration Award, as is its right under the Federal Arbitration Act (“FAA”). Argument on Humana’s petition to confirm the Arbitration Award and the Company’s motion for vacatur of the Arbitration Award was held May 10, 2023. On August 4, 2023, the court issued a decision denying the Company’s motion for vacatur and granting Humana’s petition to confirm the Arbitration Award. At this time, the Company has accrued $136.8 million in regards to the Arbitration Award damages plus post-judgment interest. The Company entered into an agreement with Humana that tolled the enforcement of the judgment until October 15, 2023. The Company is a defendant in two consolidated lawsuits pending in the United States District Court for the District of Minnesota filed in 2020 by various Blue Cross/Blue Shield plans that operate in eight different states (North Carolina, North Dakota, Alabama, Utah, Minnesota, Oregon, Washington and New Jersey) alleging that the Company improperly submitted various usual and customary overcharges to several Pharmacy Benefit Managers, all but one of which are not owned by plaintiffs, with which Rite Aid and the insurers had independent contracts. On May 22, 2023, the Company won a defense verdict in the jury trial of a lawsuit filed in Delaware state court in 2019 by multiple Centene entities alleging that the Company overcharged for prescriptions by improperly reporting usual and customary prices. The court denied the Centene entities’ request for post-trial relief and the deadline has passed for Centene to appeal. The Company is defending a similar lawsuit filed in 2022 by WellCare in Florida state court. Drug Utilization Review and Code 1 Litigation In June 2012, qui tam Controlled Substances Litigation, Audits and Investigations The Company, along with various other defendants, is named in multiple opioid-related lawsuits filed by counties, cities, municipalities, Native American tribes, hospitals, third-party payers, and others across the United States. In December 2017, the U.S. Judicial Panel on Multidistrict Litigation (“JPML”) consolidated and transferred more than a thousand federal opioid-related lawsuits that name the Company as a defendant to the multi-district litigation (“MDL”) pending in the United States District Court for the Northern District of Ohio under In re National Prescription Opiate Litigation terminated, and additional such cases may be filed and the Company is exploring possible avenues for resolving some or all of its portfolio of opioids-related litigation, although no assurance can be given that the litigation will be resolved to the parties’ mutual satisfaction, or that a resolution will not include a monetary payment, and that the payment will not be material. The Company also has received warrants, subpoenas, CIDs, and other requests for documents and information from, and is being investigated by, the federal and state governments regarding opioids and other controlled substances. The Company has been cooperating with and responding to these investigatory inquiries. As previously disclosed, on December 13, 2022, a qui tam complaint filed by three former Rite Aid pharmacy personnel (Andrew White, Mark Rosenberg, and Ann Wegelin) (collectively, “ qui tam On February 23, 2023, the following states, which were listed in the Complaint, declined to intervene: Colorado, Connecticut, Delaware, Florida, Georgia, Illinois, Indiana, Louisiana, Maryland, Massachusetts, Michigan, Nevada, New Hampshire, New Jersey, New York, North Carolina, Oklahoma, Rhode Island, Tennessee, Texas, Vermont, Virginia, Washington and the District of Columbia. California subsequently did not intervene. On March 13, 2023, the United States Department of Justice filed its complaint in the federal District Court for the Northern District of Ohio against Rite Aid (“DOJ’s Complaint”) alleging violations of the federal False Claims Act and Controlled Substances Act related to the dispensing of controlled substances, primarily opioids. DOJ’s Complaint seeks damages under the False Claims Act, civil penalties under the Controlled Substances Act, damages in connection with alleged payment by mistake (on behalf of Federal Healthcare Programs), and damages in connection with alleged unjust enrichment. The Company has filed a motion to dismiss DOJ’s Complaint to which DOJ has responded. The qui tam relators voluntarily dismissed their complaint. The parties are engaging in discussions to explore the possibility of resolving the matter, although no assurance can be given that the matter will be resolved to the parties’ mutual satisfaction, or that a resolution will not include a monetary payment, and that the payment will not be material. In April 2019, the Company initiated a coverage action styled Rite Aid Corporation et al. v. ACE American Ins. Co. et al Miscellaneous Litigation and Investigations. Following the Company’s response to a 2020 CID from the Federal Trade Commission (“FTC”) with respect to consumer protection laws, the Company is seeking to negotiate a resolution with the FTC. The allegations relate to certain business practices that the Company has not engaged in for nearly three years, and the Company currently believes that any resolution of that CID would not likely require a monetary payment. During the course of the Company’s discussions with the FTC Staff in connection with its response to that CID, the FTC Staff also requested certain information from the Company related to compliance with the Company’s 2010 FTC Consent Order. The Company cooperated with the request, however, the FTC Staff informed the Company that absent an agreed resolution, it would recommend that the FTC file a complaint against the Company for violation of the Consent Order, including a request for a monetary payment and other relief. The FTC has now combined the two matters, requested additional information related to privacy and data security matters, and is seeking a single resolution of all open matters, such that discussions related to one matter may affect the ability to resolve another. Discussions continue about a potential agreed resolution, although no assurance can be given that the matter will be resolved to the parties’ mutual satisfaction, or that a resolution will not include a monetary payment, and that the payment will not be material. The Company has received CIDs from the Department of Justice related to the Medicare Part D plan sponsored by a subsidiary of the Company. The Company is also defending a lawsuit asserting numerous claims based on allegations surrounding the Company’s use of a certain font including in the Company’s rebranded logo, where the parties have engaged in a mediation process which remains ongoing. The Company is defending of which involves a data security incident. The Rite Aid Employee Benefit Administration Committee (“EBAC”) received a letter from the Department of Labor alleging EBAC had violated ERISA in its management of the Rite Aid Master Retirement Savings Trust as to a specific investment. Discussions are underway about a potential agreed resolution, although no assurance can be given that the matter will be resolved to the parties’ mutual satisfaction, or that a resolution will not include a monetary payment, and that the payment will not be material. The Company is defending a putative shareholder class action now captioned In re Rite Aid Securities Litigation Page . The matter names Rite Aid Corporation and certain executives individually as defendants and raises claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 related to alleged misstatements and omissions concerning the growth of Holland v. Rite Aid Corporation et al. . The matter names Rite Aid Corporation and certain former and current executives individually as defendants and raises claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 related to the DOJ’s Complaint and alleged misstatements and omissions concerning the Company’s Effect of Automatic Stay Subject to certain exceptions under the Bankruptcy Code, the filing of the Company Parties’ Chapter 11 Cases automatically stayed the continuation of most legal proceedings or the filing of other actions against or on behalf of the Company Parties or their property to recover on, collect or secure a claim arising prior to the Petition Date or to exercise control over property of the Company Parties’ bankruptcy estates, unless and until the Bankruptcy Court modifies or lifts the automatic stay as to any such claim. Notwithstanding the general application of the automatic stay described above, there are certain exceptions to the automatic stay.

Supplementary Cash Flow Data

Supplementary Cash Flow Data	6 Months Ended
Supplementary Cash Flow Data	Sep. 02, 2023
Supplementary Cash Flow Data
Supplementary Cash Flow Data	15. Supplementary Cash Flow Data Twenty-Six Week Period Ended September 2, 2023 August 27, 2022 Cash paid for interest $ 128,544 $ 94,557 Cash payments (refunds) for income taxes, net $ 3,541 $ (10,359) Equipment financed under capital leases $ 832 $ 1,235 Gross borrowings from revolver $ 2,119,000 $ 1,838,000 Gross repayments to revolver $ 1,282,000 $ 1,161,000 Significant components of cash provided by Other Liabilities of $205,151 for the twenty-six Cash used in Other Assets of $88,771 for the twenty-six week period ended September 2, 2023 is comprised primarily of prepaid rent and property insurance.

Subsequent Events

Subsequent Events	6 Months Ended
Subsequent Events	Sep. 02, 2023
Subsequent Events.
Subsequent Events	16. Subsequent Events Commitments, Contingencies and Guarantees Certain litigation matters occurred during the twenty-six week period ended September 2, 2023 or prior, but had subsequent updates through the issuance of this report. See further discussion in Note 14. Restructuring Term Sheet On October 15, 2023, the Company Parties reached an agreement in principle with the Consenting Noteholders on the terms of a financial and operational restructuring, the material terms of which are set forth in the Restructuring Term Sheet. Under the Restructuring Term Sheet, the Consenting Noteholders have agreed, subject to certain terms and conditions, to support the Restructuring of the existing debt of, existing equity interests in, and certain other obligations of the Company Parties, pursuant to the Plan to be filed in the Chapter 11 Cases. Capitalized terms used but not otherwise defined in this “Restructuring Term Sheet” section of this Current Report on Form 10-Q have the meanings given to them in the Restructuring Term Sheet and the Plan, as applicable. Elixir Insurance (“EI”) was excluded from the Chapter 11 filing. The Plan will be based on the restructuring transactions set forth in the Restructuring Term Sheet (such transactions described in, and in accordance with the Restructuring Agreement and the Term Sheet, the “Restructuring Transactions”), which, among other things, contemplates: ● each holder of a claim on account of the DIP ABL Facility shall receive, in full satisfaction of its claim, (a) in the event of a Plan Restructuring, its allocated share of the Exit ABL Facility, or (b) in the event of a Credit Bid Transaction or an Alternative Sale Transaction, either, at the DIP ABL Lenders’ discretion, (i) payment in full, in Cash, or (ii) its allocated share of the Exit ABL Facility; ● each holder of a claim on account of the DIP FILO Facility shall receive, in full satisfaction of its claim, (a) in the event of a Plan Restructuring, its allocated share of the Exit FILO Term Loan Facility, or (b) in the event of a Credit Bid Transaction or an Alternative Sale Transaction, either, at the DIP FILO Lenders’ discretion, (i) payment in full, in Cash, or (ii) its allocated share of the Exit FILO Term Loan Facility; ● each holder of a DIP Term Loan Claim shall receive, in full and final satisfaction of its claim, payment in full, in Cash; ● to the extent any allowed ABL Facility Claim remains outstanding on the Effective Date, each holder of an ABL Facility claim shall receive, in full and final satisfaction of its claim, either payment in full, in Cash, or reinstatement of the Allowed ABL Facility Claim under the Exit ABL Facility; ● to the extent any allowed FILO Term Loan Facility Claim remains outstanding on the Effective Date, each holder of a FILO Term Loan Facility Claim shall receive, in full and final satisfaction of its claim, either payment in full, in Cash, of all ABL Facility Claims, or reinstatement of the Allowed FILO Term Loan Facility Claims under the FILO Term Loan Facility; ● each holder of an allowed Senior Secured Notes Claim, in full satisfaction of its claim, shall receive (a) in the event of a Plan Restructuring, [(i) 100% of the common equity (the “New Common Stock”) of New Rite Aid, subject to dilution by the Management Incentive Plan, and any equity-linked securities issued to the holders of allowed General Unsecured Claims, plus (ii) its pro rata share of the takeback facility, if applicable; or (b) in the event the Restructuring Transaction is not a Plan Restructuring, [its pro rata share of the Distributable Proceeds, if any, pursuant to the Waterfall Recovery]]; ● each holder of an allowed General Unsecured Claim, in full satisfaction of its claim, subject to (A) the DIP Term Loan Claims, the ABL Facility Claims, and the FILO Term Loan Facility Claims being satisfied in full, in Cash, or such other treatment acceptable to the DIP Lenders and / or the ABL Lenders and the FILO Lenders, as applicable, in their sole discretion, and (B) the satisfaction of any Allowed Adequate Protection Claims, shall receive [[__]% of an equity-linked instrument in New Rite Aid (form and terms to be determined), calculated as of the Effective Date and equal to the product of a formula calculated as the (midpoint value of owned real estate not encumbered prior to the Petition Date, less the costs and expenses to be paid by, or estimated to be paid by, the Debtors’ Estates to administer the Chapter 11 Cases) divided by (the sum of the numerator plus the total amount (including principal and accrued but unpaid interest) of the equitized Senior Secured Notes Claims)]; ● each Intercompany Claim shall be, at the option of the Debtors, reinstated, set off, settled, distributed, contributed, cancelled, or released without any distribution on account of such Intercompany Claim, or such other treatment as is reasonably determined by the Debtors; ● each Intercompany Interest shall be, at the option of the Debtors, reinstated, set off, settled, distributed, contributed, cancelled, or released without any distribution on account of such Intercompany Interest, or such other treatment as is reasonably determined by the Debtors; ● all Existing Equity Interests in Rite Aid will be cancelled and extinguished, and Holders of Existing Equity Interests in Rite Aid shall receive no recovery on account of such Interests; and ● Section 510(b) Claims shall be discharged, cancelled, released, and extinguished without any distribution to Holders of such Claims. The Restructuring Term Sheet contains milestones for the progress of the Chapter 11 Cases (the “Milestones”), which include the dates by which the Debtors are required to, among other things, obtain certain orders of the Court and consummate the Debtors’ emergence from bankruptcy. Among other dates set forth in the Restructuring Term sheet, the agreement contemplates that the Court shall have entered an order confirming the Plan no later than [__] months after the Petition Date. Although the Company intends to pursue the Restructuring as contemplated by the Restructuring Term Sheet, there can be no assurance that the Company will be successful in entering into a Restructuring Support Agreement on the terms set forth in the Restructuring Term Sheet and the terms of the Restructuring Support Agreement and Plan may be subject to material change. In addition, the transactions contemplated by the Restructuring Term Sheet are subject to approval by the Bankruptcy Court, among other conditions. Accordingly, no assurance can be given that the transactions described therein will be consummated on the expected terms, if at all. The Company has significant deferred tax assets, including NOLs. The impact of the Restructuring on the Company’s NOLs will depend on whether the Restructuring is structured as (i) a taxable disposition of substantially all of the assets and/or subsidiary stock of the Company, (ii) a recapitalization of the Company, or (iii) some other alternative structure. If structured as a taxable disposition, the Company anticipates that NOLs of the Company (if any) remaining after the Restructuring will not be available to the Company after consummating the Restructuring. If structured as a recapitalization, the Company anticipates that it will experience an ownership change, and thus NOLs of the Company (if any) remaining after the Restructuring will be subject to limitation, such that the Company may not derive all of the benefits of any such remaining NOLs after consummating the Restructuring. However, the application of the rules under IRC Section 382(l)(5) could mitigate such limitation and protect the continued existence of the Company’s NOLs. There is uncertainty as to whether the Company would qualify for the benefits of IRC 382(l)(5). As stated previously in the income tax footnote, the Company will continue to monitor all available evidence related to deferred tax assets for which future realization is uncertain. The transactions contemplated by the Restructuring Term Sheet are subject to approval by the Bankruptcy Court, among other conditions. Accordingly, no assurance can be given that the transactions described therein will be consummated. Chapter 11 Restructuring Voluntary Petitions for Reorganization To implement the Plan, on the Petition Date, the Company Parties filed the Chapter 11 Cases under the Bankruptcy Code in the Bankruptcy Court. Each Company Party will continue to operate its business as a “debtor in possession” under the jurisdiction of the Bankruptcy Court and in accordance with the applicable provisions of the Bankruptcy Code and the orders of the Bankruptcy Court. The Chapter 11 Cases are being jointly administered under the caption In re Rite Aid Corporation, et al. . Documents and other information available on such website are not part of this document and shall not be deemed incorporated by reference in this document. To ensure the Company Parties’ ability to continue operating in the ordinary course of business and minimize the effect of the Restructuring on the Company Parties’ customers and employees, the Company Parties filed with the Bankruptcy Court motions seeking a variety of “first-day” relief, including authority to pay employee wages and benefits, and pay vendors and suppliers for all goods and services, each of which was approved on an interim basis by the Bankruptcy Court. In addition, the Company filed with the Bankruptcy Court (a) a motion seeking approval of the DIP Financing in the form of the DIP Credit Agreements (as defined and described below), and (b) a motion seeking approval of certain procedures relating to the marketing and auction (if necessary) of all or some of the Company’s assets. At the Debtors’ “first day hearing” on October 16, 2023, the Bankruptcy Court approved all first day relief from the bench, pending entry of the revised forms of order. The Company filed the revised forms of order to the Bankruptcy Court immediately following the first day hearing, and the Company expects that the Bankruptcy Court will enter the orders approving the first day relief in the immediate term. Effect of Chapter 11 Cases & Automatic Stay on Pre-Petition Debt Obligations The commencement of the Chapter 11 Cases above constituted an event of default that accelerated substantially all of the Company’s obligations under the documents governing the Existing Credit Facilities, the Guaranteed Notes, and the Unguaranteed Notes, among others. Indeed, the Company’s debt instruments and agreements described within this Quarterly Report provide that, as a result of the commencement of the Chapter 11 Cases, the principal amount, together with accrued and unpaid fees and interest thereon, and in the case of the indebtedness outstanding under the senior notes, premium, if any, thereon, shall be immediately due and payable. Accordingly, all long-term debt was classified as current on the unaudited condensed consolidated balance sheet as of September 2, 2023. However, any efforts to enforce payment obligations under the debt instruments are automatically stayed as a result of the Chapter 11 Cases and the creditors’ rights in respect of the debt instruments are subject to the applicable provisions of the Bankruptcy Code. Additionally, in connection with the Chapter 11 Cases, the Company has incurred, and expects to continue to incur, significant professional fees and other costs in connection with the Chapter 11 Cases. There can be no assurance that the Company’s current liquidity is sufficient to allow us to satisfy our obligations related to the Chapter 11 Cases or to pursue confirmation of the Plan. McKesson Corporation On October 14, 2023, McKesson Corporation (“McKesson”) sent notice to the Company purporting to terminate the Eleventh Amendment to Supply Agreement by and between Rite Aid Corporation and McKesson Corporation, dated as of February 28, 2019 (the “McKesson Corporation Supply Agreement”) based on the occurrence of a termination event. The Company and McKesson have negotiated an agreement in principle to ensure no disruption to the Company’s business and operations, which agreement in principle includes a reservation of rights for both parties as to the purported termination. To the extent such agreement in principle is not executed, is not approved by the Bankruptcy Court, or is approved but subsequently terminates, the Company would vigorously contest such purported termination as null, void, and without effect. Subsequently, to the extent (a) such termination is not rescinded or (b) the Company does not prevail as to the invalidity of the termination event, the termination of the McKesson Corporation Supply Agreement may result in a material adverse impact on the Company’s business and operations. Elixir Stalking Horse APA On October 15, 2023, Hunter Lane, LLC, a subsidiary of the Company, and certain of Hunter Lane, LLC’s subsidiaries (collectively, the “ Sellers Elixir Stalking Horse APA Buyer ”), pursuant to which the Buyer has agreed to purchase, subject to the terms and conditions contained therein, substantially all of the assets of the Sellers, which, collectively constitute the “Elixir Assets.” The Sellers are Debtors in the Chapter 11 Cases. The acquisition of the Elixir Assets by the Buyer pursuant to the Elixir Stalking Horse APA is subject to approval of the Bankruptcy Court and one or more auctions, if necessary, to solicit higher or otherwise better bids. On October 15, 2023, the Debtors filed a motion (the “ Bidding Procedures Motion Bidding Procedures ”), pursuant to which the Debtors will solicit and select the highest or otherwise best offer(s) for the sale or sales of the Elixir Assets and the Debtors’ retail asset portfolio. The Bidding Procedures Motion additionally seeks Bankruptcy Court approval of the Elixir Stalking Horse APA and designation of the Buyer as the “stalking horse” bidder for the Elixir Assets. The Debtors anticipate that the Bankruptcy Court will enter an order approving the relief requested in the Bidding Procedures Motion after a hearing scheduled for October 16. 2023. In accordance with the Bidding Procedures, if the Debtors receive any higher or otherwise better bids by November 16, 2023, the Debtors expect to conduct an auction for the Elixir Assets by November 20, 2023. As the stalking horse bidder, the Buyer’s offer to purchase the Elixir Assets, as set forth in the Elixir Stalking Horse APA, serves as the minimum or bid floor on which the Debtors, their creditors, other stakeholders, and other bidders may rely. Other interested bidders will be permitted to participate in the auction for the Elixir Assets, if, in accordance with the Bidding Procedures, such interested bidders submit qualifying offers that are higher or otherwise better than the stalking horse bid. Under the terms of the Elixir Stalking Horse APA, the Buyer has agreed, subject to Bankruptcy Court approval and absent any higher or otherwise better bid, to acquire the Elixir Assets from the Sellers for $575 million (the “ Purchase Price ”), subject to certain adjustments in accordance with the terms and conditions of the Elixir Stalking Horse APA, plus the assumption of specified liabilities related to the Elixir Assets. If the Sellers receive a better or otherwise higher bid and the Bankruptcy Court approves the Sellers’ consummation of an alternative sale of the Elixir Assets to any purchaser other than the Buyer, the Sellers will pay the Buyer a break-up fee and reimbursement of certain expenses associated with the negotiation, drafting, and execution of the Elixir Stalking Horse APA, not to exceed Adoption of Accounting Standards Codification ("ASC") 852 - Reorganizations For periods occurring after the Petition Date, the Company will adopt Financial Accounting Standards Board ASC Topic 852 - Reorganizations, which specifies the accounting and financial reporting requirements for entities reorganizing through Chapter 11 bankruptcy proceedings. These requirements include distinguishing transactions associated with the reorganization separate from activities related to the ongoing operations of the business. The Company is currently assessing whether or not it qualifies for fresh start accounting upon emergence from Chapter 11. If the Company were to meet the requirements to adopt the fresh start accounting rules, its assets and liabilities would be recorded at fair value as of the fresh start reporting date, which may differ materially from the recorded values of assets and liabilities on its unaudited condensed consolidated balance sheets. Shareholder Matters On September 28, 2023, the Company received a written notification (the “Notice”) from the NYSE stating that the Company is no longer in compliance with NYSE continued listing standards set forth in Section 802.01B (the “Minimum Market Capitalization Standard”) and Section 802.01C (the “Minimum Stock Price Standard”) of the NYSE’s Listed Company Manual due to the fact that (i) the Company’s average total market capitalization over a consecutive 30 trading-day period was less than $50,000 and, at the same time, its stockholders’ equity was less than $50,000; and (ii) the average closing price of the Company’s common stock was less than $1.00 per share over a consecutive 30 trading-day period. In accordance with the NYSE’s rules, on October 12, 2023, the Company provided the NYSE with notice of its receipt of the notification and of its current intention to pursue measures to cure the deficiencies. The Company has six months from receipt of the notice to regain compliance with the NYSE’s Minimum Stock Price Standard, or until the Company’s next annual meeting of stockholders if stockholder approval is required, and eighteen months from receipt of the notice to regain compliance with the NYSE’s Minimum Market Capitalization Standard. The Company has forty-five days from receipt of the Notice to submit a business plan that demonstrates compliance with the Minimum Market Capitalization Standard within such eighteen months cure period. Upon receipt of such plan, the NYSE would have up to forty-five days to review and determine whether the Company has made a reasonable demonstration of its ability to come into conformity with the relevant standards within the cure period. The NYSE may either accept the plan, at which time the Company would be subject to ongoing quarterly monitoring for compliance with the plan, or the NYSE may not accept the plan and the Company would be subject to suspension and delisting proceedings (earlier than the cure periods noted above). On October 16, 2023, the NYSE announced that it had determined to commence proceedings to delist the Company’s common stock from the NYSE. Trading in the Company’s common stock was immediately suspended. The NYSE reached its decision that the Company’s common stock is no longer suitable for listing pursuant to the NYSE Listed Company Manual Section 802.01D after the Company’s October 16, 2023 disclosure that the Company commenced the Chapter 11 Cases. The Company expects that such delisted securities may be subject to trading in the OTC market.

Revision of Previously Issued C

Revision of Previously Issued Consolidated Financial Statements	6 Months Ended
	Sep. 02, 2023
Revision of Previously Issued Consolidated Financial Statements
Revision of Previously Issued Consolidated Financial Statements	17. Revision of Previously Issued Consolidated Financial Statements Subsequent to the issuance of the Company’s consolidated financial statements as of and for the fiscal year ended March 4, 2023, management evaluated the materiality of a misstatement in accordance with the U.S. SEC Staff’s Accounting Bulletin Nos. 99, Materiality (“SAB 99”) and 108, Considering the Effects of Prior Year Misstatements when Quantifying Misstatements in Current Year Financial Statements (“SAB 108”). The misstatement pertains to the Company’s historical accounting for closed store liabilities. Based on their evaluation, management concluded the misstatement is not material to the Company’s previously issued consolidated financial statements as of and for each of the three fiscal years ended March 4, 2023 and each of the interim and year-to-date periods then ended, (collectively the “previously issued financial statements”). However, as prescribed by SAB 108, in conjunction with the re-issuance of the Company’s previously issued financial statements, the misstatement has been corrected as an immaterial revision of the accompanying condensed consolidated financial statements as of and for each of the thirteen and twenty-six week periods ended September 2, 2023 and August 27, 2022 and the related notes hereto. A summary of the nature of the misstatement and its impact on the Company’s previously issued financial statements is summarized as follows. The Company adopted ASC 842, Leases, (“ASC 842”) on the first day of fiscal year 2020 under the alternative transition method as permissible under ASC 842. As part of this adoption, the Company elected the practical expedients, as permitted under the transition guidance, which included, among other things, the ability to carry forward existing lease classifications. Based on this election, the Company appropriately eliminated the majority of its closed store and lease exit liabilities as of the date of adoption, which had been accrued in accordance with ASC 420, Exit or Disposal Cost Obligations, (“ASC 420”). Moreover, due to the Company’s practical expedients election, variable costs, consisting primarily of real estate taxes and common area maintenance expenses, associated with store closures that occur subsequent to the adoption of ASC 842 may no longer be accrued under ASC 420, but rather recognized as expense as they are incurred. Due to an oversight in their evaluation of an amendment to ASC 420 as a result of the adoption of ASC 842, management determined that the Company incorrectly continued to accrue estimated costs associated with store closures as a liability subsequent to the date of adoption, rather than recognize the costs as they are incurred. The impact of the misstatement resulted in an overstatement of these costs, which have historically been classified within Facility exit and impairment charges in the Company’s Condensed Consolidated Statements of Operations, and an overstatement of store closure liabilities, which have historically been classified within Accrued salaries, wages and other current liabilities (current portion) and Other noncurrent liabilities (long-term portion) in the Company’s Condensed Consolidated Balance Sheets. A summary of revisions to the Company’s previously reported financial statements is presented below. As of and for the thirteen week period ended September 2, 2023 Previously As (In 000’s, except per share amounts) Reported Adjustment Revised Balance Sheet: Accrued salaries, wages, and other current liabilities $ 894,079 $ (17,360) $ 876,719 Total current liabilities 6,517,954 (17,360) 6,500,594 Other noncurrent liabilities 188,597 (40,728) 147,869 Total liabilities 9,092,222 (58,088) 9,034,134 Accumulated deficit (7,928,265) 58,088 (7,870,177) Total stockholders’ (deficit) equity (1,966,270) 58,088 (1,908,182) Statements of Operations and Comprehensive Loss: Facility exit and impairment charges $ 310,761 $ (10,236) $ 300,525 Loss before income taxes (1,017,692) 10,236 (1,007,456) Net loss (1,020,030) 10,236 (1,009,794) Comprehensive loss (1,020,030) 10,236 (1,009,794) Basic and diluted loss per share (18.44) 0.18 (18.26) As of and for the thirteen week period ended August 27, 2022 Previously As (In 000’s, except per share amounts) Reported Adjustment Revised Balance Sheet: Accrued salaries, wages, and other current liabilities $ 729,561 $ (13,676) $ 715,885 Total current liabilities 2,818,767 (13,676) 2,805,091 Other noncurrent liabilities 151,616 (26,443) 125,173 Total liabilities 8,703,523 (40,119) 8,663,404 Accumulated deficit (6,293,062) 40,119 (6,252,943) Total stockholders’ (deficit) equity (336,398) 40,119 (296,279) Statements of Operations and Comprehensive Loss: Facility exit and impairment charges $ 45,845 $ 1,426 $ 47,271 Loss before income taxes (319,323) (1,426) (320,749) Net loss (331,290) (1,426) (332,716) Comprehensive loss (331,290) (1,426) (332,716) Basic and diluted loss per share (6.07) (0.03) (6.10) As of and for the twenty-six week period ended September 2, 2023 Previously As (In 000’s, except per share amounts) Reported Adjustment Revised Balance Sheet: Accrued salaries, wages, and other current liabilities $ 894,079 $ (17,360) $ 876,719 Total current liabilities 6,517,954 (17,360) 6,500,594 Other noncurrent liabilities 188,597 (40,728) 147,869 Total liabilities 9,092,222 (58,088) 9,034,134 Accumulated deficit (7,928,265) 58,088 (7,870,177) Total stockholders’ (deficit) equity (1,966,270) 58,088 (1,908,182) Statements of Operations and Comprehensive Loss: Facility exit and impairment charges $ 330,762 $ (10,545) $ 320,217 Loss before income taxes (1,322,917) 10,545 (1,312,372) Net loss (1,326,748) 10,545 (1,316,203) Comprehensive loss (1,326,748) 10,545 (1,316,203) Basic and diluted loss per share (24.02) 0.19 (23.83) Statement of Cash Flows: Net loss $ (1,326,748) $ 10,545 $ (1,316,203) Facility exit and impairment charges 330,762 (10,545) 320,217 As of and for the twenty-six week period ended August 27, 2022 Previously As (In 000’s, except per share amounts) Reported Adjustment Revised Balance Sheet: Accrued salaries, wages, and other current liabilities $ 729,561 $ (13,676) $ 715,885 Total current liabilities 2,818,767 (13,676) 2,805,091 Other noncurrent liabilities 151,616 (26,443) 125,173 Total liabilities 8,703,523 (40,119) 8,663,404 Accumulated deficit (6,293,062) 40,119 (6,252,943) Total stockholders’ (deficit) equity (336,398) 40,119 (296,279) Statements of Operations and Comprehensive Loss: Facility exit and impairment charges $ 112,416 $ (23,324) $ 89,092 Loss before income taxes (426,017) 23,324 (402,693) Net loss (441,481) 23,324 (418,157) Comprehensive loss (441,481) 23,324 (418,157) Basic and diluted loss per share (8.11) 0.43 (7.68) Statement of Cash Flows: Net loss $ (441,481) $ 23,324 $ (418,157) Facility exit and impairment charges 112,416 (23,324) 89,092

Basis of Presentation and Sig_2

Basis of Presentation and Significant Accounting Policies (Policies)	6 Months Ended
	Sep. 02, 2023
Basis of Presentation and Significant Accounting Policies
Basis of Presentation	The accompanying unaudited condensed consolidated financial statements have been prepared in accordance with generally accepted accounting principles in the United States of America for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X and therefore do not include all of the information and footnotes required by accounting principles generally accepted in the United States of America for complete annual financial statements. The accompanying financial information reflects all adjustments which are of a recurring nature and, in the opinion of management, are necessary for a fair presentation of the results for the interim periods. The results of operations for the thirteen and twenty-six week periods ended September 2, 2023 are not necessarily indicative of the results to be expected for the full year, particularly as a result of the filing of the Chapter 11 Cases. These condensed consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Rite Aid Corporation (“Rite Aid”) and Subsidiaries (together with Rite Aid, the “Company”) Fiscal 2023 10-K/A.
Going Concern	Going Concern As of the date the accompanying unaudited condensed consolidated financial statements were issued (the “issuance date”), management evaluated the significance of the following adverse conditions in accordance with ASC 205-40, Going Concern. As disclosed in Note 16, Subsequent Events, on October 15, 2023, the Company Parties reached an agreement in principle with the Consenting Noteholders on the terms of a financial operational restructuring, the material terms of which are set forth in the Restructuring Term Sheet. The Company filed a voluntary petition for reorganization under Chapter 11 (the “Chapter 11 filing” or “bankruptcy filing”) of the United States Bankruptcy Code in the District of New Jersey and expects to continue to manage its operations as a “debtor-in-possession” under the jurisdiction of the Bankruptcy Court and in accordance with the applicable provisions of the Bankruptcy Code and orders of the Bankruptcy Court. In general, as a debtor-in-possession, the Company is authorized to continue to operate as an ongoing business but not to engage in transactions outside the ordinary course of business without the prior approval of the Bankruptcy Court. Elixir Insurance (“EI”) was excluded from the Chapter 11 filing due to regulatory factors. The bankruptcy filing represents an adverse event that creates substantial uncertainty regarding the Company’s ability to recover its assets and satisfy its liabilities in the ordinary course of business. In this regard, while management believes the Company will be able to emerge from bankruptcy and continue to operate as a viable going concern, management can provide no assurance that: (a) the Company’s Plan may never be confirmed or become effective, (b) the Debtors’ voting creditors may reject the Plan embodying the restructuring transactions contemplated by the Restructuring Term Sheet, (c) the Bankruptcy Court may grant or deny motions in a manner that is adverse to the Company and its subsidiaries, and (d) the Chapter 11 Cases may be converted into cases under chapter 7 of the Bankruptcy Code. The transactions contemplated by the Restructuring Term Sheet are subject to approval by the Bankruptcy Court, among other conditions. Accordingly, management can provide no assurance that the transactions described therein will be consummated. While management believes the reorganization through the Chapter 11 proceedings will appropriately position the Company upon its re-emergence from bankruptcy, the commencement of these proceedings constituted an event of default (and an acceleration event) under certain of the Company’s debt agreements, for which enforcement of any remedies by the lenders have been automatically stayed as a result of the Chapter 11 proceedings. However, management can provide no assurance that the lenders will ultimately be able to exercise their remedies, which may include, among others, a cessation of the Company’s operations and liquidation of its assets. As a result of the foregoing acceleration event, all of the Company’s outstanding indebtedness, including indebtedness subject to cross-default provisions, has been classified as current debt in the accompanying unaudited condensed consolidated balance sheet of the Company as of September 2, 2023. See Note 10. Indebtedness and Credit Agreement. These uncertainties raise substantial doubt about the Company’s ability to continue as a going concern. The Company’s ability to continue as a going concern is contingent upon, among other things, its ability to, subject to the approval by the Bankruptcy Court, implement a comprehensive restructuring, successfully emerge from the Chapter 11 and generate sufficient liquidity following the Restructuring to meet its obligations and operating needs as they become due. The accompanying unaudited condensed consolidated financial statements have been prepared on the basis that the Company will continue to operate as a going concern, which contemplates that the Company will be able to realize assets and settle liabilities and commitments in the normal course of business for twelve months following the issuance date. Accordingly, the accompanying unaudited condensed consolidated financial statements do not include any adjustments that may result from the outcome of these uncertainties.
Revenue Recognition	Revenue Recognition The following table disaggregates the Company’s revenue by major source in each segment for the thirteen and twenty-six week periods ended September 2, 2023 and August 27, 2022: September 2, August 27, September 2, August 27, 2023 2022 2023 2022 In thousands (13 weeks) (13 weeks) (26 weeks) (26 weeks) Retail Pharmacy Segment: Pharmacy sales $ 3,319,057 $ 2,971,236 $ 6,616,031 $ 6,024,684 Front-end sales 1,124,017 1,231,590 2,291,363 2,492,796 Other revenue 27,853 28,965 55,862 59,667 Total Retail Pharmacy Segment 4,470,927 4,231,791 8,963,256 8,577,147 Pharmacy Services Segment 1,209,858 1,727,241 2,406,012 3,453,098 Intersegment elimination (34,704) (57,963) (70,025) (114,593) Total revenue $ 5,646,081 $ 5,901,069 $ 11,299,243 $ 11,915,652 The Retail Pharmacy Segment offered a chain-wide loyalty card program titled wellness+. Individual customers were able to become members of the wellness+ program. Members participating in the wellness+ loyalty card program earned points on a calendar year basis for eligible front-end merchandise purchases and qualifying prescription purchases. The wellness+ program was terminated as of July 1, 2020, with benefits earned as of that date available to be used through the end of calendar year 2020. Beginning in December 2020, the Company granted temporary extensions of benefits to certain previous members that were eligible for a discount as of the end of each previous six month period such that those prior members were eligible to continue to receive that discount on purchases made through the subsequent six months with no additional purchase requirement. New and existing customers who were not already eligible for program benefits also had the opportunity to earn additional discounts on purchases made through each six month period. A final extension was granted on December 31, 2021 through February 26, 2022 at which point all discounts were terminated. A new loyalty program, Rite Aid Rewards, was initiated on February 27, 2022. Customers that enroll in the new program earn points for each dollar spent on front of store purchases as well as for eligible pharmacy prescriptions. Points can then be converted into a “Rite Aid Rewards” coupon that can be tendered as payment in a future purchase. Each point is worth $0.002. Customers must accumulate 1,000 points and create an online account in order to convert earned points to a “Rite Aid Rewards” coupon. Unused/unconverted points expire after 90 days. Unredeemed “Rite Aid Rewards” coupons expire 30 days after conversion from points earned. Points earned pursuant to the Rite Aid Rewards program represent a performance obligation. The value of unredeemed Rite Aid Rewards points is deferred as a contract liability (included in other current liabilities). As members redeem points in the form of a Rite Aid Rewards coupon or when points or unredeemed Rite Aid Rewards coupons expire, the Retail Pharmacy Segment recognizes the redeemed/expired portion of the deferred contract liability into revenue. For the thirteen week period ended September 2, 2023, the Company recognized additional contract deferrals of $707 as a reduction of revenues. The Retail Pharmacy Segment had accrued contract liabilities of $2,560 and $2,030 as of September 2, 2023 and March 4, 2023, respectively.
Recently Adopted Accounting Pronouncements	Recently Adopted Accounting Pronouncements In March 2020, the Financial Accounting Standards Board (“FASB”) issued ASU 2020-04, Reference Rate Reform (Topic 848) Facilitation of the Effects of Reference Rate Reform on Financial Reporting

Basis of Presentation and Sig_3

Basis of Presentation and Significant Accounting Policies (Tables)	6 Months Ended
	Sep. 02, 2023
Basis of Presentation and Significant Accounting Policies
Schedule of revenues	September 2, August 27, September 2, August 27, 2023 2022 2023 2022 In thousands (13 weeks) (13 weeks) (26 weeks) (26 weeks) Retail Pharmacy Segment: Pharmacy sales $ 3,319,057 $ 2,971,236 $ 6,616,031 $ 6,024,684 Front-end sales 1,124,017 1,231,590 2,291,363 2,492,796 Other revenue 27,853 28,965 55,862 59,667 Total Retail Pharmacy Segment 4,470,927 4,231,791 8,963,256 8,577,147 Pharmacy Services Segment 1,209,858 1,727,241 2,406,012 3,453,098 Intersegment elimination (34,704) (57,963) (70,025) (114,593) Total revenue $ 5,646,081 $ 5,901,069 $ 11,299,243 $ 11,915,652

Restructuring (Tables)

Restructuring (Tables)	6 Months Ended
Restructuring (Tables)	Sep. 02, 2023
Restructuring
Schedule of restructuring-related costs	Retail Pharmacy Pharmacy Segment Services Segment Total Restructuring-related costs Severance and related costs associated with ongoing reorganization efforts (a) $ 926 $ — $ 926 Professional and other fees relating to restructuring activities (b) 82,484 2,299 84,783 Total restructuring-related costs $ 83,410 $ 2,299 $ 85,709 Retail Pharmacy Pharmacy Segment Services Segment Total Restructuring-related costs Severance and related costs associated with ongoing reorganization efforts (a) $ 913 $ — $ 913 Professional and other fees relating to restructuring activities (c) 7,529 4,363 11,892 Total restructuring-related costs $ 8,442 $ 4,363 $ 12,805 Retail Pharmacy Pharmacy Segment Services Segment Total Restructuring-related costs Severance and related costs associated with ongoing reorganization efforts (a) $ 1,366 $ — $ 1,366 Professional and other fees relating to restructuring activities (b) 158,513 3,960 162,473 Total restructuring-related costs $ 159,879 $ 3,960 $ 163,839 Retail Pharmacy Pharmacy Segment Services Segment Total Restructuring-related costs Severance and related costs associated with ongoing reorganization efforts (a) $ 12,201 $ 616 $ 12,817 Professional and other fees relating to restructuring activities (c) 13,612 9,022 22,634 Total restructuring-related costs $ 25,813 $ 9,638 $ 35,451
Schedule of restructuring-related liabilities	Severance and related Professional and costs (a) other fees (b) Total Balance as of March 4, 2023 $ 7,658 $ 42,154 $ 49,812 Additions charged to expense 440 77,690 78,130 Cash payments (2,738) (33,962) (36,700) Balance as of June 3, 2023 $ 5,360 $ 85,882 $ 91,242 Additions charged to expense 926 84,783 85,709 Cash payments (2,052) (106,782) (108,834) Balance as of September 2, 2023 $ 4,234 $ 63,883 $ 68,117 (a) – Severance and related costs reflect severance accruals, executive search fees, outplacement services and other similar charges associated with ongoing reorganization efforts. (b) – Professional and other fees include costs incurred in connection with the identification and implementation of initiatives, including its performance acceleration programs as well as costs incurred in connection with preparation for the Chapter 11 Cases. (c) – Professional and other fees include costs incurred in connection with the identification and implementation of initiatives associated with restructuring activities .

Loss Per Share (Tables)

Loss Per Share (Tables)	6 Months Ended
Loss Per Share (Tables)	Sep. 02, 2023
Loss Per Share
Schedule of calculation of basic and diluted loss per share	Thirteen Week Period Ended Twenty-Six Week Period Ended September 2, August 27, September 2, August 27, 2023 2022 2023 2022 Basic and diluted loss per share: Numerator: Net loss attributable to common stockholders — basic and diluted $ (1,009,794) $ (332,716) $ (1,316,203) $ (418,157) Denominator: Basic and diluted weighted average shares 55,306 54,548 55,242 54,453 Basic and diluted loss per share $ (18.26) $ (6.10) $ (23.83) $ (7.68)

Facility Exit and Impairment _2

Facility Exit and Impairment Charges (Tables)	6 Months Ended
Facility Exit and Impairment Charges (Tables)	Sep. 02, 2023
Facility Exit and Impairment Charges
Schedule of amounts relating to facility exit and impairment charges	Thirteen Week Period Twenty-Six Week Period Ended Ended September 2, August 27, September 2, August 27, 2023 2022 2023 2022 Impairment charges $ 290,694 $ 34,738 $ 302,432 $ 69,774 Facility exit charges 9,831 12,533 17,785 19,318 $ 300,525 $ 47,271 $ 320,217 $ 89,092
Schedule of fair value of long-lived assets measured on non-recurring basis	Fair Values Total Charges as of Twenty-Six Week Period Ended Level 1 Level 2 Level 3 Impairment Date September 2, 2023 Long-lived assets held for use $ — $ 2,653 $ 313,218 $ 315,871 $ (301,417) Long-lived assets held for sale $ — $ 1,803 $ — $ 1,803 $ (1,015) Total $ — $ 4,456 $ 313,218 $ 317,674 $ (302,432) Fair Values Total Charges as of Twenty-Six Week Period Ended Level 1 Level 2 Level 3 Impairment Date August 27, 2022 Long-lived assets held for use $ — $ 11,645 $ — $ 11,645 $ (64,942) Long-lived assets held for sale $ — $ 5,115 $ — $ 5,115 $ (4,832) Total $ — $ 16,760 $ — $ 16,760 $ (69,774)
Schedule of closed store and distribution center charges related to new closures, changes in assumptions and interest accretion	Thirteen Week Period Twenty-Six Week Period Ended Ended September 2, August 27, September 2, August 27, 2023 2022 2023 2022 Balance—beginning of period $ 1,919 $ 1,856 $ 2,228 $ 1,892 Provision for present value of executory costs for leases exited — — 155 — Changes in assumptions and other adjustments — — — — Interest accretion — — — — Cash payments (28) (29) (492) (65) Balance—end of period $ 1,891 $ 1,827 $ 1,891 $ 1,827

Goodwill and Other Intangible_2

Goodwill and Other Intangible Assets (Tables)	6 Months Ended
Goodwill and Other Intangible Assets (Tables)	Sep. 02, 2023
Goodwill and Other Intangible Assets
Summary of the changes in the carrying amount of goodwill	Retail Pharmacy Pharmacy Services Total Balance, March 4, 2023 43,492 464,444 507,936 Goodwill impairment — (417,500) (417,500) Balance, September 2, 2023 $ 43,492 $ 46,944 $ 90,436
Schedule of indefinite-lived intangible assets	September 2, 2023 March 4, 2023 Remaining Remaining Weighted Weighted Gross Average Gross Average Carrying Accumulated Amortization Carrying Accumulated Amortization Amount Amortization Net Period Amount Amortization Net Period Non-compete agreements and other (a) $ 203,632 $ (184,551) $ 19,081 3 years $ 201,919 $ (182,957) $ 18,962 3 years Prescription files 1,030,619 (935,466) 95,153 5 years 1,029,665 (928,478) 101,187 5 years Customer relationships (a) 386,000 (313,062) 72,938 8 years 388,000 (306,139) 81,861 9 years CMS license 57,500 (57,500) — 0 years 57,500 (23,798) 33,702 4 years Total finite $ 1,677,751 $ (1,490,579) 187,172 $ 1,677,084 $ (1,441,372) $ 235,712 Trademarks 14,400 — 14,400 Indefinite 14,400 — 14,400 Indefinite Total $ 1,692,151 $ (1,490,579) $ 201,572 $ 1,691,484 $ (1,441,372) $ 250,112 (a) Amortized on an accelerated basis which is determined based on the remaining useful economic lives of the customer relationships that are expected to contribute directly or indirectly to future cash flows.
Schedule of finite-lived intangible assets	September 2, 2023 March 4, 2023 Remaining Remaining Weighted Weighted Gross Average Gross Average Carrying Accumulated Amortization Carrying Accumulated Amortization Amount Amortization Net Period Amount Amortization Net Period Non-compete agreements and other (a) $ 203,632 $ (184,551) $ 19,081 3 years $ 201,919 $ (182,957) $ 18,962 3 years Prescription files 1,030,619 (935,466) 95,153 5 years 1,029,665 (928,478) 101,187 5 years Customer relationships (a) 386,000 (313,062) 72,938 8 years 388,000 (306,139) 81,861 9 years CMS license 57,500 (57,500) — 0 years 57,500 (23,798) 33,702 4 years Total finite $ 1,677,751 $ (1,490,579) 187,172 $ 1,677,084 $ (1,441,372) $ 235,712 Trademarks 14,400 — 14,400 Indefinite 14,400 — 14,400 Indefinite Total $ 1,692,151 $ (1,490,579) $ 201,572 $ 1,691,484 $ (1,441,372) $ 250,112 (a) Amortized on an accelerated basis which is determined based on the remaining useful economic lives of the customer relationships that are expected to contribute directly or indirectly to future cash flows.

Indebtedness and Credit Agree_2

Indebtedness and Credit Agreement (Tables)	6 Months Ended
Indebtedness and Credit Agreement (Tables)	Sep. 02, 2023
Indebtedness and Credit Agreement
Summary of indebtedness and lease financing obligations	September 2, March 4, 2023 2023 Secured Debt: Senior secured revolving credit facility due August 2026 ($2,037,000 and $1,200,000 face value less unamortized debt issuance costs of $13,467 and $16,117) 2,023,533 1,183,883 FILO Term Loan due August 2026 ($400,000 face value less unamortized debt issuance costs of $1,782 and $2,090) 398,218 397,910 2,421,751 1,581,793 Second Lien Secured Debt: 7.500% senior secured notes due July 2025 ($320,002 face value less unamortized debt issuance costs of $1,986 and $2,529) 318,016 317,473 8.000% senior secured notes due November 2026 ($849,918 face value less unamortized debt issuance costs of $9,719 and $11,259) 840,199 838,659 1,158,215 1,156,132 Unguaranteed Unsecured Debt: 7.70% notes due February 2027 ($185,691 face value less unamortized debt issuance costs of $347 and $398) 185,344 185,293 6.875% fixed-rate senior notes due December 2028 ($2,046 face value less unamortized debt issuance costs of $6 and $6) 2,040 2,040 187,384 187,333 Lease financing obligations 17,724 18,912 Total debt 3,785,074 2,944,170 Current maturities of long-term debt and lease financing obligations (3,773,356) (6,332) Long-term debt and lease financing obligations, less current maturities $ 11,718 $ 2,937,838

Leases (Tables)

Leases (Tables)	6 Months Ended
Leases (Tables)	Sep. 02, 2023
Leases
Schedule of components of net lease cost	Thirteen Week Period Ended Twenty-Six Week Period Ended September 2, 2023 August 27, 2022 September 2, 2023 August 27, 2022 Operating lease cost $ 148,896 $ 157,956 $ 301,568 $ 317,801 Financing lease cost: Amortization of right-of-use asset 775 863 1,594 1,672 Interest on long-term finance lease liabilities 454 503 921 1,004 Total finance lease costs $ 1,229 $ 1,366 $ 2,515 $ 2,676 Short-term lease costs 2,086 585 1,310 1,042 Variable lease costs 44,646 43,652 90,879 86,297 Less: sublease income (3,104) (3,393) (5,841) (6,616) Net lease cost $ 193,753 $ 200,166 $ 390,431 $ 401,200
Schedule of supplemental cash flow information related to leases	Twenty-Six Week Period Ended September 2, 2023 August 27, 2022 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows paid for operating leases $ 330,492 $ 350,177 Operating cash flows paid for interest portion of finance leases 921 1,004 Financing cash flows paid for principal portion of finance leases 1,969 1,940 Right-of-use assets obtained in exchange for lease obligations: Operating leases 163,569 155,710 Finance leases — —
Schedule of supplemental balance sheet information related to leases	September 2, March 4, 2023 2023 Operating leases: Operating lease right-of-use asset $ 2,239,043 $ 2,497,206 Short-term operating lease liabilities $ 422,233 $ 502,403 Long-term operating lease liabilities 2,373,953 2,372,943 Total operating lease liabilities $ 2,796,186 $ 2,875,346 Finance leases: Property, plant and equipment, net $ 12,674 $ 13,576 Current maturities of lease financing obligations $ 6,006 $ 6,332 Lease financing obligations, less current maturities 11,718 12,580 Total finance lease liabilities $ 17,724 $ 18,912 Weighted average remaining lease term Operating leases 7.3 7.5 Finance leases 8.0 8.0 Weighted average discount rate Operating leases 7.5 % 6.5 % Finance leases 10.5 % 9.0 %
Schedule of minimum lease payments, financing leases	September 2, 2023 Finance Operating Fiscal year Leases Leases (1) Total 2024 (remaining twenty-six weeks) $ 5,301 $ 335,247 $ 340,548 2025 5,048 622,993 628,041 2026 1,883 500,523 502,406 2027 1,500 472,118 473,618 2028 1,500 399,881 401,381 Thereafter 10,174 1,280,351 1,290,525 Total lease payments 25,406 3,611,113 3,636,519 Less: imputed interest (7,682) (814,927) (822,609) Total lease liabilities $ 17,724 $ 2,796,186 $ 2,813,910 (1) – Future operating lease payments have not been reduced by minimum sublease rentals of $23 million due in the future under noncancelable leases.
Schedule of minimum lease payments, operating leases	September 2, 2023 Finance Operating Fiscal year Leases Leases (1) Total 2024 (remaining twenty-six weeks) $ 5,301 $ 335,247 $ 340,548 2025 5,048 622,993 628,041 2026 1,883 500,523 502,406 2027 1,500 472,118 473,618 2028 1,500 399,881 401,381 Thereafter 10,174 1,280,351 1,290,525 Total lease payments 25,406 3,611,113 3,636,519 Less: imputed interest (7,682) (814,927) (822,609) Total lease liabilities $ 17,724 $ 2,796,186 $ 2,813,910 (1) – Future operating lease payments have not been reduced by minimum sublease rentals of $23 million due in the future under noncancelable leases.

Retirement Plans (Tables)

Retirement Plans (Tables)	6 Months Ended
Retirement Plans (Tables)	Sep. 02, 2023
Retirement Plans
Summary of net periodic pension expense for the defined benefit plans	Defined Benefit Defined Benefit Pension Plan Pension Plan Thirteen Week Period Ended Twenty-Six Week Period Ended September 2, August 27, September 2, August 27, 2023 2022 2023 2022 Service cost $ 73 $ 107 $ 146 $ 214 Interest cost 1,581 1,263 3,162 2,527 Expected return on plan assets (1,474) (1,402) (2,948) (2,804) Net periodic pension expense (income) $ 180 $ (32) $ 360 $ (63)

Segment Reporting (Tables)

Segment Reporting (Tables)	6 Months Ended
Segment Reporting (Tables)	Sep. 02, 2023
Segment Reporting
Schedule of balance sheet information for the Company's reportable segments	Retail Pharmacy Pharmacy Services Eliminations (1) Consolidated September 2, 2023: Total Assets $ 5,530,289 $ 1,605,604 $ (9,941) $ 7,125,952 Goodwill 43,492 46,944 — 90,436 March 4, 2023: Total Assets $ 5,487,845 $ 2,049,107 $ (9,590) $ 7,527,362 Goodwill 43,492 464,444 — 507,936 (1) As of September 2, 2023 and March 4, 2023, intersegment eliminations include intersegment accounts receivable of $9,941 and $9,590 , respectively, that represents amounts owed from the Pharmacy Services Segment to the Retail Pharmacy Segment that are created when Pharmacy Services Segment customers use Retail Pharmacy Segment stores to purchase covered products.
Schedule of reconciliation of the Company's business segments to the condensed consolidated financial statements	Retail Pharmacy Intersegment Pharmacy Services Eliminations (1) Consolidated Thirteen Week Period Ended September 2, 2023: Revenues $ 4,470,927 $ 1,209,858 $ (34,704) $ 5,646,081 Gross Profit 978,602 116,994 — 1,095,596 Adjusted EBITDA (2) (26,477) 43,186 — 16,709 Depreciation and amortization 56,985 12,044 — 69,029 LIFO charge 7,500 — — 7,500 Stock-based compensation expense 773 295 — 1,068 Additions to property and equipment and intangible assets 37,894 6,689 — 44,583 August 27, 2022: Revenues $ 4,231,791 $ 1,727,241 $ (57,963) $ 5,901,069 Gross Profit 1,043,036 111,459 — 1,154,495 Adjusted EBITDA (2) 31,484 47,065 — 78,549 Depreciation and amortization 56,679 11,885 — 68,564 LIFO charge 10,121 — — 10,121 Stock-based compensation expense 4,496 239 — 4,735 Additions to property and equipment and intangible assets 46,343 5,832 — 52,175 Twenty-Six Week Period Ended September 2, 2023: Revenues $ 8,963,256 $ 2,406,012 $ (70,025) $ 11,299,243 Gross Profit 2,065,465 208,657 — 2,274,122 Adjusted EBITDA (2) 43,572 64,852 — 108,424 Depreciation and amortization 112,454 22,470 — 134,924 LIFO charge 15,000 — — 15,000 Stock-based compensation expense 1,496 653 — 2,149 Additions to property and equipment and intangible assets 78,333 13,753 — 92,086 August 27, 2022: Revenues $ 8,577,147 $ 3,453,098 $ (114,593) $ 11,915,652 Gross Profit 2,140,393 210,831 — 2,351,224 Adjusted EBITDA (2) 105,166 73,513 — 178,679 Depreciation and amortization 112,787 25,850 — 138,637 LIFO charge 10,121 — — 10,121 Stock-based compensation expense 7,598 471 — 8,069 Additions to property and equipment and intangible assets 124,894 12,705 — 137,599 (1) Intersegment eliminations include intersegment revenues and corresponding cost of revenues that occur when Pharmacy Services Segment customers use Retail Pharmacy Segment stores to purchase covered products. When this occurs, both the Retail Pharmacy and Pharmacy Services Segments record the revenue on a stand-alone basis. (2) See “Adjusted EBITDA, Adjusted Net Income (Loss), Adjusted Net Income (Loss) per Diluted Share and Other Non-GAAP Measures” in Management’s Discussion and Analysis of Financial Condition and Results for additional details.
Schedule of reconciliation of net loss to Adjusted EBITDA	September 2, August 27, September 2, August 27, 2023 2022 2023 2022 (13 weeks) (13 weeks) (26 weeks) (26 weeks) Net loss $ (1,009,794) $ (332,716) $ (1,316,203) $ (418,157) Interest expense 72,658 52,533 137,878 100,652 Income tax expense 2,338 11,967 3,831 15,464 Depreciation and amortization 69,029 68,564 134,924 138,637 LIFO charge 7,500 10,121 15,000 10,121 Facility exit and impairment charges 300,525 47,271 320,217 89,092 Goodwill and intangible asset impairment charges 295,490 252,200 446,990 252,200 Gain on debt modifications and retirements, net — (41,312) — (41,312) Stock-based compensation expense 1,068 4,735 2,149 8,069 Restructuring-related costs 85,709 12,805 163,839 35,451 Inventory write-downs related to store closings 8,414 1,094 10,471 9,049 Litigation and other contractual settlements 205,041 20,093 216,091 38,364 Gain on sale of assets, net (24,087) (29,001) (32,280) (58,197) Other 2,818 195 5,517 (754) Adjusted EBITDA $ 16,709 $ 78,549 $ 108,424 $ 178,679

Supplementary Cash Flow Data (T

Supplementary Cash Flow Data (Tables)	6 Months Ended
Supplementary Cash Flow Data (Tables)	Sep. 02, 2023
Supplementary Cash Flow Data
Schedule of supplementary cash flow data	Twenty-Six Week Period Ended September 2, 2023 August 27, 2022 Cash paid for interest $ 128,544 $ 94,557 Cash payments (refunds) for income taxes, net $ 3,541 $ (10,359) Equipment financed under capital leases $ 832 $ 1,235 Gross borrowings from revolver $ 2,119,000 $ 1,838,000 Gross repayments to revolver $ 1,282,000 $ 1,161,000

Revision of Previously Issued_2

Revision of Previously Issued Consolidated Financial Statements (Tables)	6 Months Ended
	Sep. 02, 2023
Revision of Previously Issued Consolidated Financial Statements
Schedule of revisions to the previously reported financial statements	Previously As (In 000’s, except per share amounts) Reported Adjustment Revised Balance Sheet: Accrued salaries, wages, and other current liabilities $ 894,079 $ (17,360) $ 876,719 Total current liabilities 6,517,954 (17,360) 6,500,594 Other noncurrent liabilities 188,597 (40,728) 147,869 Total liabilities 9,092,222 (58,088) 9,034,134 Accumulated deficit (7,928,265) 58,088 (7,870,177) Total stockholders’ (deficit) equity (1,966,270) 58,088 (1,908,182) Statements of Operations and Comprehensive Loss: Facility exit and impairment charges $ 310,761 $ (10,236) $ 300,525 Loss before income taxes (1,017,692) 10,236 (1,007,456) Net loss (1,020,030) 10,236 (1,009,794) Comprehensive loss (1,020,030) 10,236 (1,009,794) Basic and diluted loss per share (18.44) 0.18 (18.26) Previously As (In 000’s, except per share amounts) Reported Adjustment Revised Balance Sheet: Accrued salaries, wages, and other current liabilities $ 729,561 $ (13,676) $ 715,885 Total current liabilities 2,818,767 (13,676) 2,805,091 Other noncurrent liabilities 151,616 (26,443) 125,173 Total liabilities 8,703,523 (40,119) 8,663,404 Accumulated deficit (6,293,062) 40,119 (6,252,943) Total stockholders’ (deficit) equity (336,398) 40,119 (296,279) Statements of Operations and Comprehensive Loss: Facility exit and impairment charges $ 45,845 $ 1,426 $ 47,271 Loss before income taxes (319,323) (1,426) (320,749) Net loss (331,290) (1,426) (332,716) Comprehensive loss (331,290) (1,426) (332,716) Basic and diluted loss per share (6.07) (0.03) (6.10) Previously As (In 000’s, except per share amounts) Reported Adjustment Revised Balance Sheet: Accrued salaries, wages, and other current liabilities $ 894,079 $ (17,360) $ 876,719 Total current liabilities 6,517,954 (17,360) 6,500,594 Other noncurrent liabilities 188,597 (40,728) 147,869 Total liabilities 9,092,222 (58,088) 9,034,134 Accumulated deficit (7,928,265) 58,088 (7,870,177) Total stockholders’ (deficit) equity (1,966,270) 58,088 (1,908,182) Statements of Operations and Comprehensive Loss: Facility exit and impairment charges $ 330,762 $ (10,545) $ 320,217 Loss before income taxes (1,322,917) 10,545 (1,312,372) Net loss (1,326,748) 10,545 (1,316,203) Comprehensive loss (1,326,748) 10,545 (1,316,203) Basic and diluted loss per share (24.02) 0.19 (23.83) Statement of Cash Flows: Net loss $ (1,326,748) $ 10,545 $ (1,316,203) Facility exit and impairment charges 330,762 (10,545) 320,217 Previously As (In 000’s, except per share amounts) Reported Adjustment Revised Balance Sheet: Accrued salaries, wages, and other current liabilities $ 729,561 $ (13,676) $ 715,885 Total current liabilities 2,818,767 (13,676) 2,805,091 Other noncurrent liabilities 151,616 (26,443) 125,173 Total liabilities 8,703,523 (40,119) 8,663,404 Accumulated deficit (6,293,062) 40,119 (6,252,943) Total stockholders’ (deficit) equity (336,398) 40,119 (296,279) Statements of Operations and Comprehensive Loss: Facility exit and impairment charges $ 112,416 $ (23,324) $ 89,092 Loss before income taxes (426,017) 23,324 (402,693) Net loss (441,481) 23,324 (418,157) Comprehensive loss (441,481) 23,324 (418,157) Basic and diluted loss per share (8.11) 0.43 (7.68) Statement of Cash Flows: Net loss $ (441,481) $ 23,324 $ (418,157) Facility exit and impairment charges 112,416 (23,324) 89,092

Basis of Presentation and Sig_4

Basis of Presentation and Significant Accounting Policies - Sales (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 02, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022
Product Class
Revenues	$ 5,646,081	$ 5,901,069	$ 11,299,243	$ 11,915,652
Intersegment elimination
Product Class
Revenues	(34,704)	(57,963)	(70,025)	(114,593)
Retail Pharmacy Segment
Product Class
Other revenue	27,853	28,965	55,862	59,667
Revenues	4,470,927	4,231,791	8,963,256	8,577,147
Retail Pharmacy Segment \| Pharmacy sales
Product Class
Revenues	3,319,057	2,971,236	6,616,031	6,024,684
Retail Pharmacy Segment \| Front end sales
Product Class
Revenues	1,124,017	1,231,590	2,291,363	2,492,796
Pharmacy Services Segment
Product Class
Revenues	$ 1,209,858	$ 1,727,241	$ 2,406,012	$ 3,453,098

Basis of Presentation and Sig_5

Basis of Presentation and Significant Accounting Policies - Narrative (Details)		1 Months Ended
	Feb. 27, 2022 USD ($) Point	Dec. 31, 2020	Sep. 02, 2023 USD ($)	Mar. 04, 2023 USD ($)
Revenue Recognition
Accrued contract liabilities			$ 707,000
Wellness plus program
Revenue Recognition
Loyalty discount eligibility period		6 months
Rite aid rewards program \| Retail Pharmacy Segment
Revenue Recognition
Value of each reward point earned	$ 0.002
Minimum points required for conversion into rewards \| Point	1,000
Threshold period for expiry of unconverted points	90 days
Threshold period for expiry of unredeemed rewards	30 days
Accrued contract liabilities			$ 2,560,000	$ 2,030,000

Restructuring (Details)

Restructuring (Details) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
Restructuring (Details) - USD ($) $ in Thousands	Sep. 02, 2023	Jun. 03, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022
Restructuring related costs
Total restructuring-related costs	$ 85,709		$ 12,805	$ 163,839	$ 35,451
Term of profitability opportunities				3 years
Total restructuring-related costs \| Selling, general and administrative expenses
Restructuring related costs
Total restructuring-related costs	85,709		12,805	$ 163,839	35,451
Total restructuring-related costs \| Accrued salaries, wages and other current liabilities
Restructuring related costs
Balance-beginning of period	91,242	$ 49,812		49,812
Additions charged to expense	85,709	78,130
Cash payments	(108,834)	(36,700)
Balance-end of period	68,117	91,242		68,117
Severance and related costs \| Selling, general and administrative expenses
Restructuring related costs
Total restructuring-related costs	926		913	1,366	12,817
Severance and related costs \| Accrued salaries, wages and other current liabilities
Restructuring related costs
Balance-beginning of period	5,360	7,658		7,658
Additions charged to expense	926	440
Cash payments	(2,052)	(2,738)
Balance-end of period	4,234	5,360		4,234
Professional and other fees \| Selling, general and administrative expenses
Restructuring related costs
Total restructuring-related costs	84,783		11,892	162,473	22,634
Professional and other fees \| Accrued salaries, wages and other current liabilities
Restructuring related costs
Balance-beginning of period	85,882	42,154		42,154
Additions charged to expense	84,783	77,690
Cash payments	(106,782)	(33,962)
Balance-end of period	63,883	$ 85,882		63,883
Retail Pharmacy Segment \| Total restructuring-related costs \| Selling, general and administrative expenses
Restructuring related costs
Total restructuring-related costs	83,410		8,442	159,879	25,813
Retail Pharmacy Segment \| Severance and related costs \| Selling, general and administrative expenses
Restructuring related costs
Total restructuring-related costs	926		913	1,366	12,201
Retail Pharmacy Segment \| Professional and other fees \| Selling, general and administrative expenses
Restructuring related costs
Total restructuring-related costs	82,484		7,529	158,513	13,612
Pharmacy Services Segment \| Total restructuring-related costs \| Selling, general and administrative expenses
Restructuring related costs
Total restructuring-related costs	2,299		4,363	3,960	9,638
Pharmacy Services Segment \| Severance and related costs \| Selling, general and administrative expenses
Restructuring related costs
Total restructuring-related costs					616
Pharmacy Services Segment \| Professional and other fees \| Selling, general and administrative expenses
Restructuring related costs
Total restructuring-related costs	$ 2,299		$ 4,363	$ 3,960	$ 9,022

Loss Per Share (Details)

Loss Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 02, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022
Numerator:
Net loss attributable to common stockholders - basic	$ (1,009,794)	$ (332,716)	$ (1,316,203)	$ (418,157)
Net loss attributable to common stockholders - diluted	$ (1,009,794)	$ (332,716)	$ (1,316,203)	$ (418,157)
Denominator:
Basic weighted average shares	55,306	54,548	55,242	54,453
Diluted weighted average shares	55,306	54,548	55,242	54,453
Basic loss per share:
Basic loss per share	$ (18.26)	$ (6.10)	$ (23.83)	$ (7.68)
Diluted loss per share:
Diluted loss per share	$ (18.26)	$ (6.10)	$ (23.83)	$ (7.68)
Incentive Stock options
Antidilutive securities excluded from computation of income per share
Shares excluded from the computation of diluted income (loss) per share	16	539	16	539
Unvested Restricted stock
Antidilutive securities excluded from computation of income per share
Shares excluded from the computation of diluted income (loss) per share	1,074	1,811	1,074	1,811

Facility Exit and Impairment _3

Facility Exit and Impairment Charges (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 02, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022
Lease termination and impairment charges
Facility exit and impairment charges	$ 300,525	$ 47,271	$ 320,217	$ 89,092
Impairment charges
Lease termination and impairment charges
Facility exit and impairment charges	290,694	34,738	302,432	69,774
Facility exit charges
Lease termination and impairment charges
Facility exit and impairment charges	$ 9,831	$ 12,533	$ 17,785	$ 19,318

Facility Exit and Impairment _4

Facility Exit and Impairment Charges - Fair value (Details) - Nonrecurring basis - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 02, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022
Revenues from External Customers and Long-Lived Assets [Line Items]
Long-lived assets held, impairment charges			$ (301,417)	$ (64,942)
Long-lived assets held for sale, impairment charges			(1,015)	(4,832)
Total	$ (290,694)	$ (34,738)	(302,432)	(69,774)
Carrying value of long-lived assets	620,106	86,534	620,106	86,534
Level 1
Revenues from External Customers and Long-Lived Assets [Line Items]
Fair value of Long-lived assets held for use
Fair value of Long-lived assets held for sale
Total
Level 2
Revenues from External Customers and Long-Lived Assets [Line Items]
Fair value of Long-lived assets held for use	2,653	11,645	2,653	11,645
Fair value of Long-lived assets held for sale	1,803	5,115	1,803	5,115
Total	4,456	16,760	4,456	16,760
Level 3
Revenues from External Customers and Long-Lived Assets [Line Items]
Fair value of Long-lived assets held for use	313,218		313,218
Fair value of Long-lived assets held for sale
Total	313,218		313,218
Fair Value
Revenues from External Customers and Long-Lived Assets [Line Items]
Fair value of Long-lived assets held for use	315,871	11,645	315,871	11,645
Fair value of Long-lived assets held for sale	1,803	5,115	1,803	5,115
Total	$ 317,674	$ 16,760	$ 317,674	$ 16,760

Facility Exit and Impairment _5

Facility Exit and Impairment Charges - Closed Store Liability rollforward (Details) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
	Sep. 02, 2023	Jun. 03, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022
Closed store liability
Provision for present value of executory costs for leases exited	$ 85,709		$ 12,805	$ 163,839	$ 35,451
Facility Exit Charges
Closed store liability
Balance-beginning of period	1,919	$ 2,228	1,856	2,228	1,892
Provision for present value of executory costs for leases exited				155
Changes in assumptions and other adjustments
Interest accretion			0
Cash payments	(28)		(29)	(492)	(65)
Balance-end of period	$ 1,891	$ 1,919	$ 1,827	$ 1,891	$ 1,827

Fair Value Measurements (Detail

Fair Value Measurements (Details) - USD ($) $ in Thousands	Sep. 02, 2023	Mar. 04, 2023
Other Financial Instruments
Held to maturity investments	$ 4,189	$ 7,457
Level 1
Other Financial Instruments
Carrying value of total long-term indebtedness	3,767,350	2,925,258
Estimated fair value of total long-term indebtedness	$ 3,165,382	$ 2,368,328

Income Taxes (Details)

Income Taxes (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
Income Taxes (Details) - USD ($) $ in Thousands	Sep. 02, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022	Mar. 04, 2023
Income Taxes
Income tax expense	$ 2,338	$ 11,967	$ 3,831	$ 15,464
Overall tax rate impact percent	(0.20%)	(3.70%)	(0.30%)	(3.80%)
Valuation allowance to offset the current year deferred state tax benefits (as a percent)	(25.30%)	87.80%	(25.80%)	62.50%
Adjustments to valuation allowance			$ (380,509)
Decrease in unrecognized tax benefits related to state exposures	$ 4,001		4,001
Valuation allowance against net deferred tax assets	$ 1,975,091		$ 1,975,091		$ 1,636,461

Medicare Part D (Details)

Medicare Part D (Details) $ in Thousands

3 Months Ended

6 Months Ended

Feb. 03, 2023 USD ($)

Oct. 13, 2022 USD ($)

Jan. 24, 2022 USD ($)

Aug. 12, 2021 USD ($)

Sep. 02, 2023 USD ($) item individual

Jun. 03, 2023 USD ($)

Mar. 04, 2023 USD ($)

Nov. 26, 2022 USD ($)

Aug. 27, 2022 USD ($)

Feb. 26, 2022 USD ($)

Aug. 28, 2021 USD ($)

Sep. 02, 2023 USD ($) item individual

Aug. 27, 2022 USD ($)

Jun. 30, 2023 USD ($)

Statutory Accounting Practices [Line Items]

Accounts receivable, net

$ 1,472,755

$ 1,149,958

$ 1,472,755

Medicare Part D

Loss (gain) on sale of assets, net

(24,087)

$ (29,001)

(32,280)

$ (58,197)

Goodwill, impairment charges

266,000

$ 151,500

417,500

Receivable Purchase Agreements

Statutory Accounting Practices [Line Items]

Accounts receivable, net

32,697

August 2021 Receivable Purchase Agreement

Medicare Part D

Amount of receivables sold under Receivable Purchase Agreement

$ 271,829

Sale price for receivables sold

258,116

Receipts from sale of receivables

$ 239,360

Loss on sale of receivable

$ 13,713

October 2022 Receivable Purchase Agreement

Statutory Accounting Practices [Line Items]

Accounts receivable, net

13,488

Medicare Part D

Amount of receivables sold under Receivable Purchase Agreement

$ 195,487

Sale price for receivables sold

180,405

Receipts from sale of receivables

$ 166,917

Loss on sale of receivable

$ 1,937

Loss (gain) on sale of assets, net

$ 15,082

January 2022 Receivable Purchase Agreement

Medicare Part D

Amount of receivables sold under Receivable Purchase Agreement

$ 400,680

Sale price for receivables sold

387,035

Receipts from sale of receivables

$ 359,388

Loss on sale of receivable

$ 13,645

February 2023 Receivable Purchase Agreement

Statutory Accounting Practices [Line Items]

Accounts receivable, net

19,209

Medicare Part D

Amount of receivables sold under Receivable Purchase Agreement

$ 278,390

Sale price for receivables sold

261,771

Receipts from sale of receivables

$ 242,562

Loss (gain) on sale of assets, net

16,619

Most Current Receivable Purchase Agreement

Medicare Part D

Loss on sale of receivable

2,573

EI (Elixir Insurance)

Statutory Accounting Practices [Line Items]

Minimum amount of capital and surplus required by regulatory requirements

$ 7,333

Accounts receivable, net

$ 255,916

$ 45,201

$ 255,916

Medicare Part D

Number of markets | item

Number of individual members | individual

274,000

Manufacturer Rebates Receivab_2

Manufacturer Rebates Receivables (Details) - Pharmacy Services Segment - USD ($) $ in Thousands	Sep. 02, 2023	Mar. 04, 2023
Manufacturer Rebates Receivables
Manufacturer rebates receivables	$ 411,549	$ 357,699
Manufacturers Rebates Receivables
Manufacturer Rebates Receivables
Allowance for uncollectible accounts	$ 13,280	$ 8,680

Goodwill and Other Intangible_3

Goodwill and Other Intangible Assets - Narrative (Details) - USD ($) $ in Thousands	3 Months Ended			6 Months Ended
	Sep. 02, 2023	Jun. 03, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022	Mar. 04, 2023
Goodwill, impairment charges	$ 266,000	$ 151,500		$ 417,500
Goodwill and intangible asset impairment charges	295,490		$ 252,200	446,990	$ 252,200
CMS license
Impairment of intangible assets	29,490
Pharmacy Services Segment
Accumulated impairment losses	$ 1,592,412			1,592,412		$ 1,174,912
Goodwill, impairment charges				$ 417,500

Goodwill and Other Intangible_4

Goodwill and Other Intangible Assets - Goodwill (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 02, 2023	Jun. 03, 2023	Sep. 02, 2023
Carrying amount of goodwill
Beginning Balance		$ 507,936	$ 507,936
Goodwill impairment	$ (266,000)	(151,500)	(417,500)
Ending Balance	90,436		90,436
Retail Pharmacy Segment
Carrying amount of goodwill
Beginning Balance		43,492	43,492
Ending Balance	43,492		43,492
Pharmacy Services Segment
Carrying amount of goodwill
Beginning Balance		$ 464,444	464,444
Goodwill impairment			(417,500)
Ending Balance	$ 46,944		$ 46,944

Goodwill and Other Intangible_5

Goodwill and Other Intangible Assets - Intangibles (Details) - USD ($) $ in Thousands	Sep. 02, 2023	Mar. 04, 2023
Finite Lived And Indefinite Lived Intangible Assets By Major Class
Gross Carrying Amount, Finite	$ 1,677,751	$ 1,677,084
Total Accumulated Amortization, Finite	(1,490,579)	(1,441,372)
Total Net, finite	187,172	235,712
Gross Carrying Amount, Total	1,692,151	1,691,484
Net, Total	201,572	250,112
Trademarks
Finite Lived And Indefinite Lived Intangible Assets By Major Class
Total Accumulated Amortization, Indefinite Lived
Net Carrying Amount, Indefinite Lived	14,400	14,400
Gross Carrying Amount, Indefinite Lived	14,400	14,400
Noncompete agreements and other
Finite Lived And Indefinite Lived Intangible Assets By Major Class
Gross Carrying Amount, Finite	203,632	201,919
Total Accumulated Amortization, Finite	(184,551)	(182,957)
Total Net, finite	$ 19,081	$ 18,962
Remaining Weighted Average Amortization Period	3 years	3 years
Prescription files
Finite Lived And Indefinite Lived Intangible Assets By Major Class
Gross Carrying Amount, Finite	$ 1,030,619	$ 1,029,665
Total Accumulated Amortization, Finite	(935,466)	(928,478)
Total Net, finite	$ 95,153	$ 101,187
Remaining Weighted Average Amortization Period	5 years	5 years
Customer relationships
Finite Lived And Indefinite Lived Intangible Assets By Major Class
Gross Carrying Amount, Finite	$ 386,000	$ 388,000
Total Accumulated Amortization, Finite	(313,062)	(306,139)
Total Net, finite	$ 72,938	$ 81,861
Remaining Weighted Average Amortization Period	8 years	9 years
CMS license
Finite Lived And Indefinite Lived Intangible Assets By Major Class
Gross Carrying Amount, Finite	$ 57,500	$ 57,500
Total Accumulated Amortization, Finite	$ (57,500)	(23,798)
Total Net, finite		$ 33,702
Remaining Weighted Average Amortization Period	0 years	4 years

Goodwill and Other Intangible_6

Goodwill and Other Intangible Assets - Unfavorable lease intangibles and amortization expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 02, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022
Goodwill and Other Intangible Assets
Amortization expense for intangible assets and liabilities	$ 16,590	$ 18,420	$ 33,723	$ 39,046
Anticipated annual amortization expense for intangible assets and liabilities
2024	55,339		55,339
2025	44,505		44,505
2026	34,144		34,144
2027	27,154		27,154
2028	$ 19,674		$ 19,674

Indebtedness and Credit Agree_3

Indebtedness and Credit Agreement - Indebtedness and lease financing obligations (Details) - USD ($) $ in Thousands	Sep. 02, 2023	Mar. 04, 2023	Jun. 13, 2022
Indebtedness and credit agreements
Lease financing obligations	$ 17,724	$ 18,912
Total debt	3,785,074	2,944,170
Less: Current maturities of long-term debt and lease financing obligations	(3,773,356)	(6,332)
Long-term debt and lease financing obligations, less current maturities	11,718	2,937,838
Senior Secured Debt
Indebtedness and credit agreements
Long-term debt	2,421,751	1,581,793
Senior secured revolving credit facility due August 2026
Indebtedness and credit agreements
Long-term debt	2,023,533	1,183,883
Principal	2,037,000	1,200,000
Unamortized debt issuance costs	13,467	16,117
FILO term loan due August 2026
Indebtedness and credit agreements
Long-term debt	398,218	397,910
Principal	400,000	400,000
Unamortized debt issuance costs	1,782	2,090
Second Lien Secured Debt
Indebtedness and credit agreements
Long-term debt	1,158,215	1,156,132
7.5% senior secured notes due July 2025
Indebtedness and credit agreements
Long-term debt	$ 318,016	$ 317,473
Debt instrument, stated interest rate (as a percent)	7.50%	7.50%	7.50%
Principal	$ 320,002	$ 320,002
Unamortized debt issuance costs	1,986	2,529
8.0% senior secured notes due November 2026
Indebtedness and credit agreements
Long-term debt	$ 840,199	$ 838,659
Debt instrument, stated interest rate (as a percent)	8%	8%	8%
Principal	$ 849,918	$ 849,918
Unamortized debt issuance costs	9,719	11,259
Unguaranteed Unsecured Debt
Indebtedness and credit agreements
Long-term debt	187,384	187,333
7.7% notes due February 2027
Indebtedness and credit agreements
Long-term debt	$ 185,344	$ 185,293
Debt instrument, stated interest rate (as a percent)	7.70%	7.70%	7.70%
Principal	$ 185,691	$ 185,691
Unamortized debt issuance costs	347	398
6.875% fixed-rate senior notes due December 2028
Indebtedness and credit agreements
Long-term debt	$ 2,040	$ 2,040
Debt instrument, stated interest rate (as a percent)	6.875%	6.875%	6.875%
Principal	$ 2,046	$ 2,046
Unamortized debt issuance costs	$ 6	$ 6

Indebtedness and Credit Agree_4

Indebtedness and Credit Agreement - Credit Facility (Details) - USD ($) $ in Thousands			6 Months Ended
	Dec. 01, 2022	Aug. 20, 2021	Sep. 02, 2023	Dec. 20, 2018
Rite Aid Lease Management Company
Credit facility
Ownership interest (as a percent)			100%
Senior secured revolving credit facility due December 2023
Credit facility
Maximum borrowing capacity				$ 2,700,000
FILO term loan due December 2023
Credit facility
Maximum borrowing capacity				450,000
FILO term loan due August 2026
Credit facility
Maximum borrowing capacity	$ 400,000	$ 350,000
FILO term loan due August 2026 \| Maximum
Credit facility
Threshold availability on the third consecutive business day			$ 257,500
FILO term loan due August 2026 \| LIBOR
Credit facility
Percentage points added to the reference rate		2.75%
FILO term loan due August 2026 \| Citibank's base rate
Credit facility
Percentage points added to the reference rate	2%	1.75%
FILO term loan due August 2026 \| SOFR
Credit facility
Percentage points added to the reference rate	3%
Senior secured revolving credit facility due August 2026
Credit facility
Maximum borrowing capacity	$ 2,850,000	$ 2,800,000
Period triggering springing maturity	91 days
Outstanding borrowings			2,437,000
Letters of credit outstanding			210,198
Additional borrowing capacity			602,802
Maximum amount of accumulated cash on hand			200,000
Amount of debt allowed to be outstanding			1,500,000
Cash sweep, 3-day minimum threshold			283,250
Cash sweep, 1-day minimum threshold			206,000
Threshold amount of debt			$ 750,000
Number of days relating to debt threshold			90 days
Minimum principal balance for which non-payment causes default			$ 50,000
Senior secured revolving credit facility due August 2026 \| Minimum
Credit facility
Credit facility commitment fee (as a percent)	0.25%
Additional borrowing capacity			$ 375,950
Fixed charge coverage ratio			1
Threshold availability on thirtieth consecutive day			$ 257,500
Senior secured revolving credit facility due August 2026 \| Maximum
Credit facility
Credit facility commitment fee (as a percent)	0.375%
Threshold availability on revolving credit facility to trigger fixed charge coverage requirements			$ 206,000
Senior secured revolving credit facility due August 2026 \| LIBOR \| Minimum
Credit facility
Percentage points added to the reference rate		1.25%
Senior secured revolving credit facility due August 2026 \| LIBOR \| Maximum
Credit facility
Percentage points added to the reference rate		1.75%
Senior secured revolving credit facility due August 2026 \| Citibank's base rate \| Minimum
Credit facility
Percentage points added to the reference rate		0.25%
Senior secured revolving credit facility due August 2026 \| Citibank's base rate \| Maximum
Credit facility
Percentage points added to the reference rate		0.75%
Senior secured revolving credit facility due January 2020
Credit facility
Maximum borrowing capacity				$ 2,700,000

Indebtedness - DIP ABL Credit A

Indebtedness - DIP ABL Credit Agreement (Details) - DIP ABL Credit Agreement - Subsequent Events $ in Millions	Oct. 15, 2023 USD ($)
Indebtedness and credit agreements
Aggregate principal amount	$ 3,250
Revolving credit facility
Indebtedness and credit agreements
Aggregate principal amount	$ 2,850
Unused commitment fee percentage	0.50%
Revolving credit facility \| SOFR
Indebtedness and credit agreements
Interest rate margin	3.25%
DIP FILO Facility
Indebtedness and credit agreements
Aggregate principal amount	$ 400
DIP FILO Facility \| SOFR
Indebtedness and credit agreements
Interest rate margin	5.25%
Interest rate margin adjustment	4.75%
Upfront fee payable (as a percent)	1%

Indebtedness - DIP Term Loan Cr

Indebtedness - DIP Term Loan Credit Agreement (Details) - DIP Term Loan Credit Agreement - Subsequent Events $ in Millions	Oct. 15, 2023 USD ($)
Indebtedness and credit agreements
Aggregate principal amount	$ 200
SOFR
Indebtedness and credit agreements
Interest rate	7.50%

Indebtedness and Credit Agree_5

Indebtedness and Credit Agreement - Transactions (Details) - USD ($) $ in Thousands			3 Months Ended		6 Months Ended
	Dec. 09, 2022	Jun. 13, 2022	Mar. 04, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022	Dec. 01, 2022	Nov. 30, 2022	Nov. 03, 2022	Jun. 29, 2022	Aug. 20, 2021
Indebtedness and credit agreements
Gain (loss) on debt modifications and retirements, net		$ 41,312		$ 41,312		$ 41,312
6.875% fixed-rate senior notes due December 2028
Indebtedness and credit agreements
Debt instrument, stated interest rate (as a percent)		6.875%	6.875%		6.875%
Face amount of debt repurchased										$ 26,955
7.7% notes due February 2027
Indebtedness and credit agreements
Debt instrument, stated interest rate (as a percent)		7.70%	7.70%		7.70%
Face amount of debt repurchased										51,695
7.5% senior secured notes due July 2025
Indebtedness and credit agreements
Debt instrument, stated interest rate (as a percent)		7.50%	7.50%		7.50%
Debt instrument, subcap amount		$ 100,000
Gain (loss) on debt modifications and retirements, net	$ 38,978
Face amount of debt repurchased	$ 4,559	$ 150,000						$ 160,497	$ 200,000	$ 114,942
7.70% senior secured notes due 2027
Indebtedness and credit agreements
Debt instrument, stated interest rate (as a percent)		7.70%
6.875% senior secured notes due 2028
Indebtedness and credit agreements
Debt instrument, stated interest rate (as a percent)		6.875%
8.0% senior secured notes due November 2026
Indebtedness and credit agreements
Debt instrument, stated interest rate (as a percent)		8%	8%		8%
Senior secured credit facility
Indebtedness and credit agreements
Gain (loss) on debt modifications and retirements, net			$ (148)
Liquidity							$ 100,000
FILO term loan due August 2026
Indebtedness and credit agreements
Maximum borrowing capacity							400,000				$ 350,000
Senior secured revolving credit facility due August 2026
Indebtedness and credit agreements
Maximum borrowing capacity							$ 2,850,000				$ 2,800,000

Leases (Details)

Leases (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
Leases (Details) - USD ($) $ in Thousands	Sep. 02, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022
Property, Plant and Equipment [Line Items]
Operating lease cost	$ 148,896	$ 157,956	$ 301,568	$ 317,801
Financing lease cost:
Amortization of right-of-use asset	775	863	1,594	1,672
Interest on long-term finance lease liabilities	454	503	921	1,004
Total finance lease costs	1,229	1,366	2,515	2,676
Short-term lease costs	2,086	585	1,310	1,042
Variable lease costs	44,646	43,652	90,879	86,297
Less: sublease income	(3,104)	(3,393)	(5,841)	(6,616)
Net lease cost	$ 193,753	$ 200,166	$ 390,431	$ 401,200
Buildings \| Minimum
Property, Plant and Equipment [Line Items]
Initial terms of noncancellable operating leases	5 years		5 years
Initial terms of noncancellable finance leases	5 years		5 years
Buildings \| Maximum
Property, Plant and Equipment [Line Items]
Initial terms of noncancellable operating leases	22 years		22 years
Initial terms of noncancellable finance leases	22 years		22 years
Equipment \| Minimum
Property, Plant and Equipment [Line Items]
Initial terms of noncancellable operating leases	3 years		3 years
Equipment \| Maximum
Property, Plant and Equipment [Line Items]
Initial terms of noncancellable operating leases	10 years		10 years

Leases - Supplemental cash flow

Leases - Supplemental cash flow information related to leases (Details) - USD ($) $ in Thousands	6 Months Ended
	Sep. 02, 2023	Aug. 27, 2022
Cash paid for amounts included in the measurement of lease liabilities:
Operating cash flows paid for operating leases	$ 330,492	$ 350,177
Operating cash flows paid for interest portion of finance leases	921	1,004
Financing cash flows paid for principal portion of finance leases	1,969	1,940
Right-of-use assets obtained in exchange for lease obligations:
Operating leases	163,569	155,710
Finance leases

Leases - Supplemental BS Inform

Leases - Supplemental BS Information (Details) - USD ($) $ in Thousands	Sep. 02, 2023	Mar. 04, 2023
Operating leases:
Operating lease right-of-use assets	$ 2,239,043	$ 2,497,206
Short-term operating lease liabilities	422,233	502,403
Long-term operating lease liabilities	2,373,953	2,372,943
Total operating lease liabilities	2,796,186	2,875,346
Finance leases:
Property, plant and equipment, net	790,001	907,771
Current maturities of lease financing obligations	$ 6,006	$ 6,332
Finance Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration]	Long-term Debt and Capital Lease Obligations, Current	Long-term Debt and Capital Lease Obligations, Current
Lease financing obligations, less current maturities	$ 11,718	$ 12,580
Total finance lease liabilities	$ 17,724	$ 18,912
Weighted average remaining lease term
Operating leases (in years)	7 years 3 months 18 days	7 years 6 months
Finance leases (in years)	8 years	8 years
Weighted average discount rate
Operating leases (as a percent)	7.50%	6.50%
Finance leases (as a percent)	10.50%	9%
Finance Leased Assets
Finance leases:
Property, plant and equipment, net	$ 12,674	$ 13,576

Leases - Maturity of lease liab

Leases - Maturity of lease liabilities under finance and operating leases (Details) - USD ($) $ in Thousands	Sep. 02, 2023	Mar. 04, 2023
Finance Leases
2024 (remaining twenty-six weeks)	$ 5,301
2025	5,048
2026	1,883
2027	1,500
2028	1,500
Thereafter	10,174
Total lease payments	25,406
Less: imputed interest	(7,682)
Total finance lease liabilities	17,724	$ 18,912
Operating Leases
2024 (remaining twenty-six weeks)	335,247
2025	622,993
2026	500,523
2027	472,118
2028	399,881
Thereafter	1,280,351
Total lease payments	3,611,113
Less: imputed interest	(814,927)
Total operating lease liabilities	2,796,186	$ 2,875,346
Minimum sublease rentals	23,000
Finance and Operating Leases
2024 (remaining twenty-six weeks)	340,548
2025	628,041
2026	502,406
2027	473,618
2028	401,381
Thereafter	1,290,525
Total lease payments	3,636,519
Less: imputed interest	(822,609)
Total lease liabilities	$ 2,813,910

Leases - Sale Leaseback (Detail

Leases - Sale Leaseback (Details) $ in Thousands	3 Months Ended		6 Months Ended
Leases - Sale Leaseback (Details) $ in Thousands	Sep. 02, 2023 USD ($) facility	Aug. 27, 2022 USD ($) store facility	Sep. 02, 2023 USD ($) facility	Aug. 27, 2022 USD ($) store facility
Sale Leaseback Transaction
Number of facilities in sale/leaseback \| facility	3	3	3	3
Sale/leaseback proceeds	$ 5,454	$ 45,986	$ 5,454	$ 45,986
Gain (loss) on sale-leaseback transactions	$ (706)	$ 23,313	$ (706)	$ 23,313
Retail Store
Sale Leaseback Transaction
Number of stores sold \| store		1		1
Leaseback term	15 years	15 years	15 years	15 years
Distribution Center
Sale Leaseback Transaction
Leaseback term		3 years		3 years

Retirement Plans - Net periodic

Retirement Plans - Net periodic expense (income) (Details) - Defined Benefit Pension Plan - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 02, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022
Net periodic pension expense
Service cost	$ 73	$ 107	$ 146	$ 214
Interest cost	$ 1,581	$ 1,263	$ 3,162	$ 2,527
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Interest Cost, Statement of Income or Comprehensive Income [Extensible Enumeration]	Selling, General and Administrative Expense	Selling, General and Administrative Expense	Selling, General and Administrative Expense	Selling, General and Administrative Expense
Expected return on plan assets	$ (1,474)	$ (1,402)	$ (2,948)	$ (2,804)
Defined Benefit Plan, Net Periodic Benefit (Cost) Credit, Expected Return (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration]	Selling, General and Administrative Expense	Selling, General and Administrative Expense	Selling, General and Administrative Expense	Selling, General and Administrative Expense
Net periodic pension expense (income)	$ 180	$ (32)	$ 360	$ (63)

Segment Reporting - Balance She

Segment Reporting - Balance Sheet information (Details) $ in Thousands	6 Months Ended
	Sep. 02, 2023 USD ($) segment	Mar. 04, 2023 USD ($)
Segment Reporting
Number of reportable segments \| segment	2
Total Assets	$ 7,125,952	$ 7,527,362
Goodwill	90,436	507,936
Accounts receivable	1,472,755	1,149,958
Retail Pharmacy Segment
Segment Reporting
Goodwill	43,492	43,492
Pharmacy Services Segment
Segment Reporting
Goodwill	46,944	464,444
Operating Segments \| Retail Pharmacy Segment
Segment Reporting
Total Assets	5,530,289	5,487,845
Goodwill	43,492	43,492
Operating Segments \| Pharmacy Services Segment
Segment Reporting
Total Assets	1,605,604	2,049,107
Goodwill	46,944	464,444
Intersegment elimination
Segment Reporting
Total Assets	(9,941)	(9,590)
Goodwill
Accounts receivable	$ 9,941	$ 9,590

Segment Reporting - Revenues (D

Segment Reporting - Revenues (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Sep. 02, 2023	Aug. 27, 2022	Sep. 02, 2023	Aug. 27, 2022
Segment Reporting
Revenues	$ 5,646,081	$ 5,901,069	$ 11,299,243	$ 11,915,652
Gross Profit	1,095,596	1,154,495	2,274,122	2,351,224
Adjusted EBITDA	16,709	78,549	108,424	178,679
Depreciation and amortization	69,029	68,564	134,924	138,637
LIFO charge	7,500	10,121	15,000	10,121
Stock-based compensation expense	1,068	4,735	2,149	8,069
Additions to property and equipment and intangible assets	44,583	52,175	92,086	137,599
Retail Pharmacy Segment
Segment Reporting
Revenues	4,470,927	4,231,791	8,963,256	8,577,147
Operating Segments \| Retail Pharmacy Segment
Segment Reporting
Revenues	4,470,927	4,231,791	8,963,256	8,577,147
Gross Profit	978,602	1,043,036	2,065,465	2,140,393
Adjusted EBITDA	(26,477)	31,484	43,572	105,166
Depreciation and amortization	56,985	56,679	112,454	112,787
LIFO charge	7,500	10,121	15,000	10,121
Stock-based compensation expense	773	4,496	1,496	7,598
Additions to property and equipment and intangible assets	37,894	46,343	78,333	124,894
Operating Segments \| Pharmacy Services Segment
Segment Reporting
Revenues	1,209,858	1,727,241	2,406,012	3,453,098
Gross Profit	116,994	111,459	208,657	210,831
Adjusted EBITDA	43,186	47,065	64,852	73,513
Depreciation and amortization	12,044	11,885	22,470	25,850
Stock-based compensation expense	295	239	653	471
Additions to property and equipment and intangible assets	6,689	5,832	13,753	12,705
Intersegment elimination
Segment Reporting
Revenues	(34,704)	(57,963)	(70,025)	(114,593)
Gross Profit
Adjusted EBITDA
Depreciation and amortization
LIFO charge
Stock-based compensation expense
Additions to property and equipment and intangible assets

Segment Reporting - Adjusted EB

Segment Reporting - Adjusted EBITDA (Details) - USD ($) $ in Thousands		3 Months Ended				6 Months Ended
	Jun. 13, 2022	Sep. 02, 2023	Jun. 03, 2023	Aug. 27, 2022	May 28, 2022	Sep. 02, 2023	Aug. 27, 2022
Segment Reporting
Net loss		$ (1,009,794)	$ (306,409)	$ (332,716)	$ (85,441)	$ (1,316,203)	$ (418,157)
Interest expense		72,658		52,533		137,878	100,652
Income tax expense		2,338		11,967		3,831	15,464
Depreciation and amortization		69,029		68,564		134,924	138,637
LIFO charge		7,500		10,121		15,000	10,121
Facility exit and impairment charges		300,525		47,271		320,217	89,092
Goodwill and intangible asset impairment charges		295,490		252,200		446,990	252,200
Gain on debt modifications and retirements, net	$ (41,312)			(41,312)			(41,312)
Stock-based compensation expense		1,068		4,735		2,149	8,069
Restructuring-related costs		85,709		12,805		163,839	35,451
Inventory write-downs related to store closings		8,414		1,094		10,471	9,049
Litigation and other contractual settlements		205,041		20,093		216,091	38,364
Gain on sale of assets, net		(24,087)		(29,001)		(32,280)	(58,197)
Other		2,818		195		5,517	(754)
Adjusted EBITDA		$ 16,709		$ 78,549		$ 108,424	$ 178,679

Commitments, Contingencies an_2

Commitments, Contingencies and Guarantees (Details) $ in Thousands		1 Months Ended		6 Months Ended
	Apr. 22, 2022 USD ($)	Dec. 31, 2022 USD ($)	Aug. 31, 2022 USD ($)	Sep. 02, 2023 USD ($) lawsuit state
Commitments, Contingencies and Guarantees
Number of punitive class actions \| lawsuit				4
Number of punitive class actions involving technologies tracking consumer information \| lawsuit				3
Number of punitive class actions involving data security incident \| lawsuit				1
California Employment Litigation Claims Related To Reimbursement For Cell phone and Mileage Expenses
Commitments, Contingencies and Guarantees
Amount awarded to other party			$ 1,290
California Employment Litigation Claims Related To Wages And Hour Class Action
Commitments, Contingencies and Guarantees
Amount awarded to other party			$ 800
New York Employment Litigation Claims Related To Wages And Hour Class Action
Commitments, Contingencies and Guarantees
Amount awarded to other party		$ 6,450
Blue Cross Blue Shield Litigation
Commitments, Contingencies and Guarantees
Number of claims \| lawsuit				2
Number of states in which operated \| state				8
Humana Litigation
Commitments, Contingencies and Guarantees
Amount awarded to other party	$ 122,600
Amount of accrued damages				$ 136,800
Prejudgment interest awarded	$ 40,700
Civil Investigative Demand Regarding Code 1 Drugs
Commitments, Contingencies and Guarantees
Amount awarded to other party				$ 60,000

Supplementary Cash Flow Data (D

Supplementary Cash Flow Data (Details) - USD ($) $ in Thousands	6 Months Ended
	Sep. 02, 2023	Aug. 27, 2022
Supplementary Cash Flow Data
Cash paid for interest	$ 128,544	$ 94,557
Cash payments (refunds) for income taxes, net	3,541	(10,359)
Equipment financed under capital leases	832	1,235
Gross borrowings from revolver	2,119,000	1,838,000
Gross repayments to revolver	1,282,000	1,161,000
Significant components of cash provided by (used in) Other Liabilities (Other Assets)
Other Liabilities	205,151	(61,372)
Other Assets	$ (88,771)	$ (10,870)

Subsequent Events (Details)

Subsequent Events (Details) - Subsequent Events - USD ($) $ in Thousands	Oct. 15, 2023	Sep. 28, 2023
Minimum
Subsequent Event [Line Items]
Average total market capitalization		$ 50,000
Financial and Operational Restructuring Plan
Subsequent Event [Line Items]
Equity Interests recoverable amount	$ 0
Professional and other fees \| Financial and Operational Restructuring Plan
Subsequent Event [Line Items]
Percentage of restructuring plan	100%
Elixir Assets
Subsequent Event [Line Items]
Purchase price	$ 575,000
Maximum break-up fee and reimbursement of expenses as a percent of purchase price	3.50%

Revision of Previously Issued_3

Revision of Previously Issued Consolidated Financial Statements (Details) - USD ($) $ / shares in Units, $ in Thousands	3 Months Ended				6 Months Ended
	Sep. 02, 2023	Jun. 03, 2023	Aug. 27, 2022	May 28, 2022	Sep. 02, 2023	Aug. 27, 2022	Mar. 04, 2023	Feb. 26, 2022
LIABILITIES AND STOCKHOLDERS' DEFICIT
Accrued salaries, wages and other current liabilities	$ 876,719		$ 715,885		$ 876,719	$ 715,885	$ 709,891
Total current liabilities	6,500,594		2,805,091		6,500,594	2,805,091	2,713,237
Other noncurrent liabilities	147,869		125,173		147,869	125,173	97,577
Total liabilities	9,034,134		8,663,404		9,034,134	8,663,404	8,121,595
Accumulated deficit	(7,870,177)		(6,252,943)		(7,870,177)	(6,252,943)	(6,553,974)
Total stockholders' (deficit) equity	(1,908,182)	$ (899,596)	(296,279)	$ 33,169	(1,908,182)	(296,279)	$ (594,233)	$ 115,828
Statements of Operations and Comprehensive Loss:
Facility exit and impairment charges	300,525		47,271		320,217	89,092
Loss before income taxes	(1,007,456)		(320,749)		(1,312,372)	(402,693)
Net loss	(1,009,794)	(306,409)	(332,716)	(85,441)	(1,316,203)	(418,157)
Comprehensive income	$ (1,009,794)	$ (306,409)	$ (332,716)	$ (85,441)	$ (1,316,203)	$ (418,157)
Basic loss per share	$ (18.26)		$ (6.10)		$ (23.83)	$ (7.68)
Diluted loss per share	$ (18.26)		$ (6.10)		$ (23.83)	$ (7.68)
Statement of Cash Flows:
Net loss			$ (332,716)		$ (1,316,203)	$ (418,157)
Facility exit and impairment charges	$ 300,525		47,271		320,217	89,092
Previously Reported
LIABILITIES AND STOCKHOLDERS' DEFICIT
Accrued salaries, wages and other current liabilities	894,079		729,561		894,079	729,561
Total current liabilities	6,517,954		2,818,767		6,517,954	2,818,767
Other noncurrent liabilities	188,597		151,616		188,597	151,616
Total liabilities	9,092,222		8,703,523		9,092,222	8,703,523
Accumulated deficit	(7,928,265)		(6,293,062)		(7,928,265)	(6,293,062)
Total stockholders' (deficit) equity	(1,966,270)		(336,398)		(1,966,270)	(336,398)
Statements of Operations and Comprehensive Loss:
Facility exit and impairment charges	310,761		45,845		330,762	112,416
Loss before income taxes	(1,017,692)		(319,323)		(1,322,917)	(426,017)
Net loss	(1,020,030)				(1,326,748)	(441,481)
Comprehensive income	$ (1,020,030)		$ (331,290)		$ (1,326,748)	$ (441,481)
Basic loss per share	$ (18.44)		$ (6.07)		$ (24.02)	$ (8.11)
Statement of Cash Flows:
Net loss			$ (331,290)			$ (441,481)
Facility exit and impairment charges	$ 310,761		45,845		$ 330,762	112,416
Adjustment
LIABILITIES AND STOCKHOLDERS' DEFICIT
Accrued salaries, wages and other current liabilities	(17,360)		(13,676)		(17,360)	(13,676)
Total current liabilities	(17,360)		(13,676)		(17,360)	(13,676)
Other noncurrent liabilities	(40,728)		(26,443)		(40,728)	(26,443)
Total liabilities	(58,088)		(40,119)		(58,088)	(40,119)
Accumulated deficit	58,088		40,119		58,088	40,119
Total stockholders' (deficit) equity	58,088		40,119		58,088	40,119
Statements of Operations and Comprehensive Loss:
Facility exit and impairment charges	(10,236)		1,426		(10,545)	(23,324)
Loss before income taxes	10,236		(1,426)		10,545	23,324
Net loss	10,236				10,545	23,324
Comprehensive income	$ 10,236		$ (1,426)		$ 10,545	$ 23,324
Basic loss per share	$ 0.18		$ (0.03)		$ 0.19	$ 0.43
Statement of Cash Flows:
Net loss			$ (1,426)			$ 23,324
Facility exit and impairment charges	$ (10,236)		$ 1,426		$ (10,545)	$ (23,324)