In a letter Tuesday to Health and Human Services Secretary Alex Azar, CVS chief executive Larry Merlo indicated his company received the funds as part of the CARES Act Provider Relief Fund. He said it was an automatic distribution from HHS and that CVS did not request the money.
“We have made the decision to return the funds and forgo participation in subsequent disbursements,” Merlo said. “In doing so, we hope to help HHS provide additional support to other providers who are facing significant financial challenges as a result of the pandemic.”
Still, the pandemic has weighed heavily on the company’s stock, as it has on the rest of Wall Street. Shares of CVS are down more than 14% since the beginning of the year.