Rite Aid bankruptcy restructuring could begin by late April

Rite Aid has reached a bankruptcy settlement with all parties involved, and the case could be buttoned up by late April, reports CNBC.

The bankruptcy court hearing took place on Tuesday in Trenton, N.J., and Rite Aid attorney Aparna Yenamandra said the agreement includes the U.S. Department of Justice and drug supplier McKesson Corp.

Rite Aid was facing more than 1,600 lawsuits that accused the retailer of ignoring red flags and illegally filling opioid medication prescriptions. Yenamandra said opioid creditors also agree with the terms of the bankruptcy settlement, which were not disclosed on Tuesday.

The next step for Rite Aid is to put its bankruptcy plan up to a vote with shareholders. That could begin later this week after the retailer returns to court on Thursday to get the OK on the vote from U.S. Bankruptcy Judge Michael Kaplan.

If the plan clears the voting process, Rite Aid should receive final court approval of the bankruptcy restructuring by April 22.

Rite Aid filed for bankruptcy back in October while it faced $3.3 billion in debt. The Camp Hill, Pa.-based retailer has since closed hundreds of stores.