Kroger’s leadership upheaval marks most turbulent year since COVID-19

3 months ago 28

Alexander Coolidge, Cincinnati Enquirer

Tue, Apr 29, 2025, 8:02 AM 3 min read

Between the abrupt March resignation of CEO Rodney McMullen, 2 changes of its main fiscal serviceman and the departure of its apical selling serviceman successful December, Kroger is seeing the biggest changes among its elder executives ranks since the COVID-19 pandemic, institution disclosures show.

Further alteration was revealed April 15 erstwhile Kroger disclosed Joe Kelley, its caput of the King Soopers & City Market part successful Colorado, was being promoted to elder vice president of retail divisions, 1 of Kroger’s apical roles overseeing store operations. He is replacing Kenny Kimball, who has been listed arsenic 1 of Kroger’s apical twelve executives for the past 3 years, who volition pb its Smith’s Food and Drug part successful Utah arsenic president.

Kroger's office successful downtown Cincinnati.

The latest power marks the 5th exit among Kroger’s apical enforcement ranks successful conscionable implicit a year. When Kroger files its yearly proxy connection adjacent month, it volition apt database 2 oregon 3 of its 5 highest-paid executives who nary longer enactment for the company. The past clip Kroger saw truthful overmuch alteration was successful 2021 erstwhile 5 apical executives near amid the COVID-19 pandemic.

Interim CEO Ron Sargent, a Kroger committee subordinate and erstwhile Staples CEO, took implicit astatine the retailer aft the abrupt exit of McMullen. CEO for much than 11 years, McMullen resigned amid an probe into his “personal conduct” that “was inconsistent” with the grocer’s argumentation of concern ethics, the grocer announced March 3.

In lawsuit you missed it: Kroger interim CEO Ron Sargent to person $4.4 cardinal via SEC filing

Sargent, 69, said connected a league telephone a fewer days aboriginal Kroger would behaviour a nationalist hunt for a successor and see some interior and outer candidates for the CEO position. The institution hasn’t fixed a timeline for naming McMullen’s imperishable successor.

Kroger disclosures amusement McMullen’s departure was hasty: The institution said it came astir aft the committee “was made aware” of the undisclosed behaviour and “immediately” hired an extracurricular lawyer to analyse 10 days earlier the resignation. The institution hasn’t offered further item astir the conduct, different than to accidental it was “not related to the company's fiscal performance, operations oregon reporting, and it did not impact immoderate Kroger associates.”

Kroger CEO Rodney McMullen testifies astir the projected monolithic market store merger with Albertsons astatine a Senate Judiciary Committee Competition Policy, Antitrust, and Consumer Rights Subcommittee proceeding connected Capitol Hill connected Nov. 29, 2022.

At Kroger the caller spate of resignations, retirements and different changes began 13 months earlier McMullen left:

On Feb. 5, 2024, Kroger’s main fiscal serviceman Gary Millerchip near the grocer to instrumentality different job. Days later, Costco Wholesale revealed the institution hired him for the aforesaid job. A reappraisal of the company’s respective proxies suggest a bully reason: Millerchip's full compensation bundle has much than doubled from $5.7 cardinal successful 2023 to $14.3 cardinal successful 2024 astatine the rank warehouse retailer.