MW Kroger's stock slumps after CEO Rodney McMullen ousted following probe of personal conduct
The Kroger Co.'s stock slid 1% early Monday, after the company announced the departure of Chief Executive Rodney McMullen after a board investigation of his personal conduct.
The company $(KR)$ did not disclose what the conduct was but said it was "inconsistent with Kroger's Policy on Business Ethics." The board said it was made aware of the conduct on Feb. 21 and immediately retained outside counsel to conduct an investigation, overseen by a special committee.
"Mr. McMullen's conduct is not related to the Company's financial performance, operations or reporting, and it did not involve any Kroger associates," the board said in a statement.
Kroger has named Ronald Sargent chairman of the board and interim CEO while it conducts a search for a permanent replacement. Sargent has been a director since 2006 and has been lead director since 2017.
The company said it expects full-year same-store sales excluding fuel to be at the high end of its guidance and for adjusted per-share earnings to be slightly above the high end of its guidance.
(This is a breaking news story. Check back for updates)
-Ciara Linnane
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March 03, 2025 07:08 ET (12:08 GMT)
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