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Retailers, consumers and prices

Check Out Line: Your new CVS CEO will be ready in 12 months

May 12, 2010

Thomas RyanCheck out who’s checking out at CVS.

The drugstore and pharmacy benefits plan operator said CEO Thomas Ryan will leave that post a year from now. He is expected to be succeeded by COO Larry Merlo.

Ryan has presided over a great deal of change in his 12 years as CEO, including rapid expansion of the company’s store base
and the 2007 acquisition of Caremark, which helped move CVS past the role of traditional pharmacy operator and made it a larger player in health care.

But the company also faces a Federal Trade Commission investigation and probes by State Attorneys General into some of its business practices.

Also, in April, CtW Investment Group asked U.S. regulators to conduct an inquiry into what it called insider transactions by CVS executives, including Ryan. CVS said at the time that the allegations would be shown to lack merit.

CVS did not mention the FTC investigations or CtW allegations in its press release on the CEO succession plan.

Also in the basket:

Macy’s returns to profit on strong sales growth

Kraft to let  workers pick computers (Chicago Tribune)

(Reuters photo)

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