After a long tenure as chief executive of Rite Aid which ended last year, rival Walgreens Boots Alliance, Inc. (WBA) has named John Standley of president of the global firm’s Walgreens drug unit August 31. In his new post, he will lead all Walgreens operations, and will have responsibility for the development, growth and management of the business as the company continues to build on its leadership in the rapidly evolving healthcare sector.
WBA hopes that Standley, who first joined Rite Aid in 2007, will bring extensive operational experience to his role to further deliver on the company’s four key strategic priorities: creating neighborhood health destinations, driving cost transformation, accelerating digitalization and restructuring Walgreens retail offering. He will report to Alex Gourlay, co-chief operating officer of Walgreens Boots Alliance.
Standley’s new job was most recently held by Richard Ashworth who left in June to become CEO of Tivity Health, a Franklin, TN-based health and fitness organization. Ashworth, who had been with Walgreens for 28 years, was promoted to the president’s post in February 2020. He was previously VP-operations.
Additionally, WBA chief executive Stefano Pessina announced in July that he would leave his current post after a search is completed for a new CEO and a search was under way for a successor. At that time, Pessina is slated to become executive chairman. Current executive chairman James Skinner would remain of WBA’s board as a director.
“I’m very excited to join the team and lead the iconic Walgreens brand,” Standley said in a statement. “I’m looking forward to accelerating execution of the strategic vision for the future of Walgreens. My top priorities will be meeting and exceeding the needs of our customers, patients, team members and the communities we serve during these challenging times and ensuring that Walgreens fulfills its full potential as one of America’s most admired and trusted companies.”
Prior to two stints at Rite Aid Corp. (1999-2005 and 2008-2019, Standley was the chief executive officer of Pathmark Stores and has held leadership roles with Yucaipa Cos., (Fred Meyer Inc., Ralphs Grocery Co., Fred Meyer and Smith’s Food & Drug) and Fleming.
“John’s leadership experience and strong understanding of our industry and the U.S. health care markets will allow him to hit the ground running, drive our transformation and fulfill our purpose to help people lead healthier and happier lives across America,” stated Stefano Pessina, executive vice chairman and CEO of Walgreens Boots Alliance. “Walgreens’ essential role in the health care delivery system and in the lives of millions of Americans has never been more important as we continue to work our way through the pandemic together. I’m confident John will build on and grow our momentum at Walgreens and help us compete and win even more in the marketplace.”
Pessina and Standley know each other well from Walgreens’ failed attempt to buy Rite Aid in 2017 that was rebuffed by the Federal Trade commission. The two leaders re-engaged 18 months later, cutting an FTC-approved deal in which Walgreens would acquire nearly 2,000 Rite Aid stores nationally.
After that transaction was agreed to, Rite Aid sought to merge with supermarket chain Albertsons. That deal fell apart because of weak stockholder interest.
Standley becomes part of a team that faces some financial challenges, not unlike the ones he faced at Rite Aid. The company, based in Deerfield, IL, has seen the value of its stock plummet nearly 60 percent since 2016 and an attempt to go private through a $70 billion leveraged buyout late last year never gained any steam. At closing on September 2, WBA was trading at $37.17 per share. On September 2, 2015, WBA’s share price was $84.03