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Kroger CEO Rodney McMullen resigns in wake of behavior investigation

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  • Kroger CEO and Chairman Rodney McMullen has resigned after an investigation into his personal conduct. Kroger, one of the largest grocery store chains in the U.S., announced the move Monday.
  • Kroger said its board became aware of the situation on Feb. 21 and immediately hired an outside independent counsel to investigate.
  • The probe found McMullen’s behavior conflicted with the company’s ethics policy.

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Kroger CEO and Chairman Rodney McMullen has resigned after an investigation into his personal conduct. Kroger, one of the largest grocery store chains in the nation, announced the move on Monday, March 3.

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The internal probe found that McMullen’s behavior conflicted with the company’s ethics policy.

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When did Kroger become aware of the situation?

Kroger’s board became aware of the situation on Feb. 21 and immediately hired an outside independent counsel to investigate.

The company said McMullen’s behavior was not related to the business and did not involve any Kroger associates, but it did not offer further details about the situation.

Who will serve in McMullen’s place?

Kroger board member Ronald Sargent will serve as the company’s interim CEO. Sargent has worked with the chain since 2006 and has served as lead director of Kroger since 2017. The company said while Sargent serves in the interim, it will conduct a search for its next CEO.

McMullen worked for Kroger since 1978, starting as a part-time stock clerk and worked his way up the company ladder, eventually becoming CEO in 2014.

His resignation comes a few months after Kroger ended a $25 billion merger plan with Albertson’s following regulatory pressure from the Biden administration.

As a result, Albertson’s sued Kroger for breach of contract, accusing its rival of killing the deal.

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[CRAIG NIGRELLI]

KROGER C-E-O AND CHAIRMAN RODNEY MCMULLEN HAS RESIGNED AFTER AN INVESTIGATION INTO HIS PERSONAL CONDUCT.

KROGER, ONE OF THE LARGEST GROCERY STORE CHAINS IN THE NATION, ANNOUNCED THE MOVE MONDAY AFTER AN INTERNAL PROBE INTO MCMULLEN’S PERSONAL CONDUCT FOUND HIS BEHAVIOR TO BE IN CONFLICT WITH THE COMPANY’S ETHICS POLICY.

KROGER SAYS ITS BOARD BECAME AWARE OF THE SITUATION IN LATE FEBRUARY AND IMMEDIATELY HIRED AN OUTSIDE INDEPENDENT COUNSEL TO INVESTIGATE.

THE COMPANY SAYS MCMULLENS BEHAVIOR IS NOT RELATED TO THE BUSINESS AND DID NOT INVOLVE ANY KROGER ASSOCIATES BUT DID NOT OFFER FURTHER DETAILS.

KROGER BOARD MEMBER RONALD SARGENT IS NOW THE INTERIM CEO.

SARGENT HAS BEEN WITH THE CHAIN SINCE 2006 AND HAS SERVED AS LEAD DIRECTOR OF KROGER SINCE 2017.

THE COMPANY SAYS WHILE SARGENT SERVES IN THE INTERIM IT WILL CONDUCT A SEARCH FOR ITS NEXT C-E-O.

MCMULLEN WAS WITH KROGER SINCE 1978, STARTING AS A PART-TIME STOCK CLERK AND WORKED HIS WAY UP THE COMPANY’S LADDER, EVENTUALLY BECOMING C-E-O IN 2014.

AS STRAIGHT ARROW NEWS PREVIOUSLY REPORTED, HIS RESIGNATION COMES A FEW MONTHS AFTER KROGER ENDED A 25-BILLION DOLLAR MERGER PLAN WITH ALBERTSON’S FOLLOWING REGULATORY PRESSURE FROM THE BIDEN ADMINISTRATION.

AS A RESULT, ALBERTSON’S SUED KROGER FOR BREACH OF CONTRACT, ACCUSING ITS RIVAL OF KILLING THE DEAL.

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