Walgreens said Tuesday it plans to close an estimated 1,200 locations over the next three years as the company looks to recover from a difficult fiscal year. According to the Associated Press, the national drugstore chain suffered a loss of $3 billion last quarter due to continued decline in business.

The company expects to close 500 stores in the current fiscal year, which began last month. Walgreens CEO Tim Wentworth called this fiscal year a “year of realignment” in a statement, but said he expects the plan will help the company get back on its feet.

“This turnaround will take time, but we are confident it will deliver significant financial and consumer benefits over the long term,” Wentworth said.

Walgreens had previously announced plans to close 300 locations and said the latest plan included expected closures. Walgreens has not announced which locations it will close, but the company said all planned closures will take place in the U.S., where the company currently operates an estimated 8,500 stores.

In addition to closing hundreds of locations, Walgreens is also slowing plans to set up primary care clinics at various locations. Two years ago, the company planned to spend billions to expand that part of the business, but the AP reports that Walgreens may now look to sell all or part of its VillageMD clinic business.