The ratings on CVS Caremark Corp. reflect the company's solid position in the favorably regarded drugstore industry, leading position as a pharmacy benefit management (PBM) company, diverse cash flow stream, and generally good operating performance. The company's participation in the highly competitive retail pharmacy industry, its more aggressive financial policy, possible future difficulties in retaining PBM customers, and the uncertain effect of ongoing civil and governmental investigations into the practices of PBMs all partially offset those strengths. With more than 7,000 units, CVS Pharmacy is the largest chain drug retailer in the U.S., based on store count. Prescriptions, which constitute about 68% of the company's retail revenues, continue to drive growth, and Standard&Poor's Ratings Services expects them to
