Additional Coverage:
- Kroger CEO resigns from $150 billion grocery chain over ‘certain personal conduct,’ forfeiting 2024 bonus (fortune.com)
Kroger CEO Rodney McMullen Out After Probe into Personal Conduct
Cincinnati – Longtime Kroger CEO Rodney McMullen has stepped down following an investigation into his personal conduct. The supermarket giant announced the move on Monday, stating that an independent investigation, overseen by a special committee of the board, was launched following a report received on February 21st. The company emphasized that McMullen’s conduct did not impact Kroger’s financial performance or operations.
McMullen, who began his 47-year career with Kroger as a stock clerk, rose through the ranks to become CEO in 2014. He led the company through a period of significant change in the grocery industry, including the rise of online shopping and a recently abandoned attempt to merge with Albertsons.
Ronald Sargent, Kroger’s lead director and former CEO of Staples, has been appointed interim CEO and chairman while the search for a permanent replacement begins. Sargent has served on Kroger’s board since 2006 and has been lead director since 2017.
According to an SEC filing, McMullen will forfeit unvested equity and will not receive his 2024 performance bonus as part of his departure. His 2023 compensation totaled $15.7 million, including $10 million in stock awards. McMullen’s exit marks the end of a remarkable career that began in Lexington, Kentucky, and saw him become the first in his family to attend college before ultimately leading one of the nation’s largest grocery chains.