Changes coming for Walgreens?

This is news to me..but interesting! What do you think of it? Click on the title here to read the full article. I've taken excerpts out and posted here that I thought us couponers might find interesting.

Walgreens Working on Store Changes

Walgreen Co (WAG.N: Quote, Profile, Research, Stock Buzz), under pressure to define its strategy after a failed acquisition bid, is working on changes to its drugstore format and has hired consultants Booz Allen Hamilton, the company told Reuters on Tuesday.

Booz Allen consultants have been working at the company's Deerfield, Illinois headquarters, a Walgreen spokesman said. He declined to discuss details, but said the company would unveil plans to improve store operations during an October 30 analyst day.................

Walgreen could also introduce a loyalty card, spruce up its stores or do more to promote its lower-priced generic plan to help boost traffic and sales as rival CVS Caremark (CVS.N: Quote, Profile, Research, Stock Buzz) ratchets up competition, analysts said.

CVS has raised the stakes for Walgreen with its entry into pharmacy benefits in March 2007, when it bought Caremark. Just this month, CVS won out over Walgreen in its acquisition of Longs Drug Stores Corp (LDG.N: Quote, Profile, Research, Stock Buzz).

Walgreen Chief Executive Jeffrey Rein abruptly left the company on October 10, two days after it withdrew an unsolicited bid that was repeatedly rebuffed by Longs.

Meanwhile, the pharmacy industry as a whole is grappling with Wal-Mart Stores Inc and others offering cheap generic drugs and in-store health services. An economic slowdown has U.S. consumers filling fewer prescriptions to save money.

Walgreen shares have shed about 35 percent since the start of the year, compared with a 27 percent drop for CVS.

Some say Walgreen could give details of a loyalty card, a plan it has been considering.

Rival CVS has had a loyalty program for years and outlined its vision for providing health services for some time.