Rodney McMullen Steps Down as Kroger Chairman and CEO After Personal Conduct Investigation

Kroger Chairman and CEO Rodney McMullen has resigned after an internal investigation into his personal conduct.

Kroger, the nation’s largest grocery chain, announced on Monday that an investigation into McMullen’s personal conduct revealed behavior that was inconsistent with the company’s business ethics policy, emphasizing that it was unrelated to the business operations.

Board member Ronald Sargent will serve as chairman and interim CEO, effective immediately.

Sargent, who has been a member of Kroger’s board since 2006 and assumed the role of lead director in 2017, has an extensive background within the company, having held various positions in stores, sales, marketing, manufacturing, and strategy. Prior to his tenure at Kroger, Sargent also served as the Chairman and CEO of Staples.

McMullen, aged 64, started his journey with Kroger in 1978 as a part-time stock clerk and bagger at a store in Lexington, Kentucky. Over the years, he progressed through the ranks, taking on roles such as chief financial officer in 1995 and chief operating officer in 2009. In 2014, McMullen was appointed as Kroger’s CEO, later adding the title of chairman in the subsequent year.

Kroger said its board was made aware of the situation on Feb. 21 and immediately hired an outside independent counsel to conduct an investigation, overseen by a special board committee.

The company said that McMullen’s conduct is not related to its financial performance, operations or reporting, and did not involve any Kroger associates.

Kroger will conduct a search for its next CEO, with Sargent agreeing to remain as interim CEO until someone is appointed to the role permanently.

Shares of Kroger, based in Cincinnati, fell about 1.3% before the opening bell.