Grocery retailer Kroger has announced the resignation of its chairman and CEO Rodney McMullen following an investigation into his personal conduct.
The company stated that Rodney McMullen’s conduct violated its business ethics policy, clarifying that this violation was linked to its operational, financial performance or reporting aspects and did not involve any company associates.
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Effective immediately – from 4 March 2025 – Ronald “Ron” Sargent has been appointed as interim chairman and CEO by the board of directors. Sargent will continue to serve in this role until a successor is appointed while Mark Sutton assumes the role of lead independent director.
The board is seeking a permanent CEO through a search committee and has retained a recruitment company.
Sargent said: “As interim CEO, I am committed to working alongside our proven and experienced management team and dedicated associates to ensure Kroger continues providing exceptional value for our customers.
“Kroger has been a special place throughout my retail career after spending summers in college working in stores, as well as my first ten years after business school at corporate headquarters, before more recently serving as lead independent director. My decades here have given me a full appreciation of what makes Kroger unique, and I am excited to work even more closely with this talented team. I plan to be a steady but active hand in the execution of our strategy.”
The change in CEO comes after a faction of the US trades union United Food and Commercial Workers (UFCW) called for the ousting of McMullen amidst the controversial $7.5bn stock buyback announcement.
Kroger expects year-end sales and earnings per share to surpass initial guidance.
The company will announce its full-year 2024 results and full-year 2025 outlook on 6 March 2025.
In a separate development, Albertsons has revealed its CEO succession plan, with Susan Morris appointed to take charge of the position after Vivek Sankaran retired from the post from 1 May 2025.
Morris will replace Sankaran on the company’s board of directors.
In December 2024, Albertsons and Kroger abandoned their planned merger, citing recent legal setbacks as the impetus for the dissolution of the agreement.
