Content area
Full Text
PALO ATLO, CALIF. - As PlanetRx.com prepares to cease operating its main retail business and redirect its customers to once-rival Drugstore.com, only one thing can console its failed bid to dominate the on-line pharmacy industry-in the face of a drought in investment capital, it's probably better off out of the business than in it.
PlanetRx declared plans last month to withdraw from the mainstream prescription drug and health and beauty care markets in an effort to evolve its business model and focus primarily on fulfilling specialty prescriptions. The immediate impact was a staff reduction to 20, down from 200.
The news didn't come as a shock to analysts since PlanetRx was delisted from the Nasdaq market Jan. 9 after it had been struggling for most of the holiday to maintain its minimum $1 share price.
The company warned...