Kroger’s chairman and CEO Rodney McMullen resigned on Monday after an internal investigation of his personal conduct.
Kroger said the investigation was business-free and no peers involved, but McMullen’s actions were “contradictory to Kroger’s policies on business ethics.” press release.
McMullen has been working for the company since 1978. According to Go to the company overview page. As a part-time stocker in Kentucky, he eventually climbed the corporate ladder and was elected to the board of directors in 2003. He was elected to the role of President and Chief Operating Officer in 2009, and then CEO in 2014.
The company first recognized its concerns on February 21 and immediately launched a review overseen by a special board committee. (Related: Stellantis CEO Carlos Tavares suddenly resigns)
In November 2022, Republican Arkansas Sen. Tom Cotton confronted McMullen about Kroger’s decision to fire two workers from the Arkansas Store in 2019 after refusing to wear the logo, which he thought it represented a rainbow pride flag. The company argued that the apron featuring rainbow hearts was not intended to promote the LGTBQ movement, and that employees did not end on a religious view.
“I warned you [Big Tech companies] For years, if they silence the Conservatives and the central right voters, if they discriminated against them in their company, they should probably not ask Republican senators to carry water whenever our Democrat friends want to regulate them or block their merger,” Cotton said at a hearing of the Senate Judiciary Committee hearing between Krogel and the Grokelly Chain of Albertson.
“Sorry. Good luck.”
Senator @tomcottonar Blast awakened Kroger’s CEO because he hopes Republicans will come to their defense. pic.twitter.com/l9j82kdraa
– Townhall.com (@townhallcom) December 6th, 2022
Cotton warned his Republican colleagues about supporting companies engaged in cultural issues and hurting conservatives in the process.
That’s what the company was like order To pay $180,000 to resolve the lawsuit arising from the shooting.
The board announced that McMullen will be replaced by Ronald “Ron” Sargent as chairman and interim CEO until a new appointment is made, according to a Kroger press release. They also announced Mark Sutton as Kroger’s lead independent director.
Houston, Texas – September 9: Customers will enter Kroger’s grocery store on September 9, 2022 in Houston, Texas. Kroger stock rose 6% as the company surpassed its profit and sales expectations. (Photo: Brandon Bell/Getty Images)
“As interim CEO, I am committed to working with a proven, experienced management team and dedicated colleagues to ensure that Kroger continues to deliver exceptional value to our customers,” Sgt. in a statement.
Sgt. has been working as Kroger Director since 2006 and as lead director since 2017. Previously, he was CEO of Staples from 2002 to 2016.
Kroger does not expect this shakeup to affect the company’s financial outlook, and estimates an increase in annual adjusted earnings per share.
