A pharmacist holds bottles of prescription arthritis and pain medication
A pharmacist holds bottles of prescription arthritis and pain medication Vioxx at a New York City pharmacy in this file picture taken September 30, 2004. Merck & Co. has agreed to pay $4.85 billion to settle U.S. Claims of heart attacks and stokes allegedly linked to its painkiller Vioxx, the drugmaker said on November 9, 2007. Reuters/Mike Segar

Some of the franchisee pharmacists attached with Target Canada’s stores, who were hit by the sudden closure of the retail major’s Canada operations, have got a relief. The Jean Coutu Group in Canada has reportedly bought four pharmacies located in Target Canada stores.

According to a company press release, the patient records from the pharmacies located at Galeries d'Anjou, Faubourg de Boisbriand, Place Portobello in Brossard and Carrefour St-Eustache have been transferred to the Jean Coutu affiliated pharmacies. They include Marc-Andre Plante and Sylvain Couture Pharmacy, Manon Berrouard and Patrice Mayrand Pharmacy, Jean- Maurice Vandergoten and Angelo Zaccara Pharmacy in St-Eustache and Paul St-Onge, Andre St-Onge and Clement Pelletier Pharmacy at Brossard.

Big Network

Expressing its pleasure in the acquisition, the Group said it is proud to serve the new customers. "Continuing our growth to maintain our leadership position is paramount. We are pleased to announce that pharmacist owners affiliated to the Jean Coutu network have acquired these four pharmacies," stated Francois J. Coutu, President and Chief Executive Officer of The Jean Coutu Group.

Pharmacists' Dilemma

The Globe and Mail reports the frustration of Target’s franchisee pharmacists who sunk more than $50,000 into inventory, encouraged by projections of high-volume prescription sales and shopper traffic. But a year later after Target was launched, Target pharmacists were seen grappling with losses and lower revenues. They had been pleading with the retail company for a better deal.

In January, Target Canada sought bankruptcy-court protection from creditors and announced closure of its 133 stores. The limited time frame of closure of stores, by mid-May, gave little time for the pharmacists to relocate. Target also laid off 17,600 employees, after its $7-billion of investments in Canada did not show a path to profit.

The Jean Coutu Group has considerable fame in the pharmacy retail business and operates with a network of 416 franchised stores, in Canadian provinces of Quebec, New Brunswick and Ontario, under PJC Jean Coutu, PJC Clinic, PJC Health and PJC Health and Beauty brands. It employs 20,000 people. The Group also owns Pro Doc Ltd in Quebec, which is a drug manufacturing facility.

Jean Coutu Group has high expertise in pharmacy retailing, spread over many years. It operates in segments of franchising and generic drugs. In franchising segment, its business is carried out, under the banners of PJC Jean Coutu, PJC Clinique, PJC Jean Coutu Sante and PJC Jean Coutu Sante Beaute. According to Lulegacy News its distribution centres coordinate the services required for the franchisees.

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