On January 23, 2006, CVS announced that it had agreed to acquire the freestanding drug store operations of supermarket chain
Albertsons. The deal included the acquisition of 700 drug stores trading under the
Osco Drug and
Sav-On Drugs banners, mostly in the Midwest and Southwestern United States with primary concentration of stores in Southern California and Northern Illinois; and was formally completed on June 2, 2006. Transition of Sav-On and Osco stores to the CVS brand began shortly thereafter, and was completed by December 2006. CVS now dominates the Southern California market. Also included were
Albertsons Health'n'Home (now CVS Home Health) durable medical equipment (DME) stores. Approximately 28 CVS Home Health locations are present in Arizona, California and the Kansas City area, representing CVS' first venture into the specialized DME market.