FILE PHOTO: The logo of Walgreens is seen at their Times Square

Wall Street showed its displeasure at the new deal, pushing Rite Aid shares down 30 percent to a near four year low after the announcement. The stock added to its losses, falling 7 percent on Friday.Rite Aid has been struggling with eroding profits in its pharmacy business, which sells prescription drugs, as increases in branded drug prices have slowed while reimbursement pressure for generics has intensified.think Rite Aid is going to struggle to remain relevant in the pharmacy industry, said Adam Fein, president at Pembroke Consulting, which tracks the drug distribution industry has become hyper competitive and it favors either large teams or nimble independents, and Rite Aid is buck in the middle and doesn have geographic scale anywhere, except in the North East and the West Coast.But it not all bad news for the company.Under the new deal, Rite Aid will gain access to Walgreen centralized sourcing system, allowing it to procure generic drugs at low costs for 10 years and giving its pharmacy margins a much needed boost.Walgreens, the No. Drug distributor, giving the alliance bargaining clout against drugmakers.FILE PHOTO: The logo of Walgreens is seen at their Times Square store in New York December 17, 2012.

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