Rite Aid Restates 3 Years of Profit

Rite Aid Corp. restated its last three years of earnings after a review of its accounting practices by the Securities and Exchange Commission.

The drugstore operator’s fiscal 1999 earnings were lowered by 9%, 1998 earnings were cut by 3.3% and 1997 earnings were raised slightly. Most of the last two years’ restatements were to change accounting for acquisitions, store closings or relocations.

Camp Hill, Penn.-based Rite Aid has bought several chains in recent years to keep pace with Walgreen Co. and CVS Corp., and the costs of adding, closing and revamping stores have cut into its profit.

Rite Aid said the restatements aren’t expected to affect its earnings for the current fiscal year, ending in February, when it is expected to earn $1.51 a share, based on a survey of analysts polled by First Call Corp. Rite Aid rose $1.69 to close at $26.69 on the New York Stock Exchange.