When CVS first announced in February that it would end the sale of tobacco products at its stores effective October 1, chief executive officer Larry Merlo said it would cost the company about $2 billion in annual sales, or about 3 percent of company revenues.
The move to end cigarette and other tobacco sales comes after years of pressure from public health advocates and groups like the American Medical Association. Retailers like CVS have been particularly criticized for the inherent conflict of making money off of fast-growing pharmacies while at the same time selling products known to harm public health.
Merlo said CVS is creating a new model for the era that follows the implementation of the Affordable Care Act.
Ending tobacco sales today boosts CVS’ ability to partner with traditional health care providers, executives said.
“The sale of tobacco in a retail pharmacy conflicts with the purpose of he health care services delivered there,” said Dr. Troyen Brennan, chief medical officer at CVS Health . “Even more important, there is evidence developing that indicates that removing tobacco products from retailers with pharmacies will lead to substantially lower rates of smoking with implications for reducing tobacco-related deaths.”
Source:
http://www.forbes.com/sites/bruceja...-sales-today-changes-name-to-reflect-new-era/
The move to end cigarette and other tobacco sales comes after years of pressure from public health advocates and groups like the American Medical Association. Retailers like CVS have been particularly criticized for the inherent conflict of making money off of fast-growing pharmacies while at the same time selling products known to harm public health.
Merlo said CVS is creating a new model for the era that follows the implementation of the Affordable Care Act.
Ending tobacco sales today boosts CVS’ ability to partner with traditional health care providers, executives said.
“The sale of tobacco in a retail pharmacy conflicts with the purpose of he health care services delivered there,” said Dr. Troyen Brennan, chief medical officer at CVS Health . “Even more important, there is evidence developing that indicates that removing tobacco products from retailers with pharmacies will lead to substantially lower rates of smoking with implications for reducing tobacco-related deaths.”
Source:
http://www.forbes.com/sites/bruceja...-sales-today-changes-name-to-reflect-new-era/