New York (CNN Business) Rite Aid is shaking up its leadership ranks and slashing 400 jobs as the company struggles to adapt to changes in the retail and pharmacy industries.

The drug store chain said Tuesday that it will replace three top executives, including CEO John Standley, who has led Rite Aid since 2010, as well as the company's chief financial and operating officers. Standley will remain CEO until Rite Aid appoints a successor.

Rite Aid also said it would eliminate around 400 full-time corporate jobs, or 20% of the positions at the company's headquarters. Rite Aide expects to save around $55 million a year from the restructuring plan.

Rite Aid's RAD Wall Street approved of the changes.stock rose 4% during Wednesday trading — to around 70 cents a share. Rite Aid's stock fell below $1 in December.

"It is a positive in light of the intense competitive pressures the company faces," Mickey Chadha, analyst at Moody's, said of Rite Aid's moves.