Kohl’s ousts CEO Buchanan after investigation into some vendor transactions

AP News ^ | Updated 1:39 PM CDT, May 1, 2025 | MICHELLE CHAPMAN and ANNE D’INNOCENZIO

[E. Pluribus Unum]

Kohl’s said it has terminated its new CEO Ashley Buchanan after an investigation determined that he directed the retailer to engage in vendor transactions that involved undisclosed conflicts of interest.

Kohl’s named Chairman Michael Bender as interim CEO, effective immediately. In connection with the appointment, Bender will step down as a member of the board’s audit, compensation and nominating and environmental, social and governance committee, according to the retailer’s regulatory filing.

The news comes less than four months after Buchanan, who had been previously the CEO of arts and crafts chain Michaels, took over the job on January 15. Buchanan’s appointment marks the third CEO for Kohl’s in three years as the department store struggles to reverse sluggish sales.

Kohl’s said Thursday that Buchanan’s firing is unrelated to its performance, financial reporting, results of operations and did not involve any of its other employees.

Kohl’s will conduct a search for a permanent CEO and said it will name a new chair in due course. The company couldn’t be immediately be reached for comment. Buchanan didn’t immediately return a message sent to his Linkedin account.

According to the Securities and Exchange Commission filing, Buchanan’s termination follows a probe conducted by outside counsel and overseen by the board’s audit committee. It found Buchanan had directed Kohl’s to conduct business with a vendor founded by an individual with whom Buchanan has a personal relationship on “highly unusual terms favorable to the vendor” and that he also caused Kohl’s to enter into a multimillion-dollar consulting agreement with the same individual who was a part of the consulting team.

It also found that in neither case did Buchanan disclose this relationship as required under Kohl’s code of ethics.

In connection with his termination and in accordance with the terms of his equity award agreements, Buchanan will forfeit all...

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TOPICS: Business/Economy
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[E. Pluribus Unum]

It found Buchanan had directed Kohl’s to conduct business with a vendor founded by an individual with whom Buchanan has a personal relationship on “highly unusual terms favorable to the vendor” and that he also caused Kohl’s to enter into a multimillion-dollar consulting agreement with the same individual who was a part of the consulting team.

Not that there's anything wrong with that. 🤡

[dragnet2]

They’re trying to compete with the federal government.

[BarbM]

I am glad to see Truth coming to light and seeing the mighty fall, but has everybody in power sold their souls to satin?

I suspect if all the fraudulent players came forward, the economy would collapse.

btw did you see what is happening in China? The wokers are getting mad. Time for an uprising?

[BobL]

“Kohl’s named Chairman Michael Bender as interim CEO”

I’m not going all-in on DEI is a good idea for a company in their situation.

[Wally_Kalbacken]

They are going to claw back most of his $2.5M signing bonus.

Just amazing that someone in that position could be so clueless about the ethical breach he committed.

Kohl’s was a sleepy department store adjacent to the Kohl’s grocery stores around Milwaukee in my youth. They were transformed after leaving the Kohl family’s ownership and really skyrocketed in the 1990s. I think they typified the low SKU philosophy of targeting a smaller number of different products than other stores of the same size footprint. It worked. For a while.

[FreedomPoster]

Was that wrong? Should I not have done that? I tell you, I gotta plead ignorance on this thing, because if anyone had said anything to me at all when I first started here that that sort of thing is frowned upon... you know, cause I’ve worked in a lot of offices, and I tell you, people do that all the time.

[HonkyTonkMan]

What an idiot - sounds like it was a personal engagement as well. Many of these guys are on a circuit - mid tier exec carousel. He will probably pop up to n some failing mid western corp willing to overlook the ethical situation.

Shareholders need to hold the Board accountable. 3 CEO’s in 3 years is turmoil and probably crisis mode.

[yawningotter]

Someone who heads the ESG committee is already all in on DEI and wokeism in general.

[Lizavetta]

Cashmere!