CVS Caremark Plans to Stop Selling Tobacco
CVS Caremark ,at its more than 7,600 drugstores, is taking out the selling of tobacco to focus more on providing health care. According to the Courier and Press, it’s the second – largest drugstore chain that will phase out cigarettes, cigars and chewing tobacco by October first. This move will cost about $2 billion dollars in annual revenue but won’t affect its 2014 earnings.
CVS Caremark leaders say removing tobacco will help them grow the company’s business while working with care providers that will help customer’s health such as doctors, and hospitals. CVS Caremark Corporation have been adding clinics to their stores while delivering flu shots and other immunizations, and also expanding the care they deliver to customers.
The company declined to say what will take the place of tobacco behind cash registers. They will test some items and might expand smoking cessation products. The company’s announcement got praise from President Obama, who said in a statement that he applauded the news.