Cole’s sack CEO Ashley Buchanan violates policy, Michael Bender is elected as interim boss: Everything you need to know
Cole announced Thursday that it has placed Ashley Buchanan as CEO after an investigation showed he had violated company policies.
The investigation found that Cole said in a statement on the stock exchange that Buchanan’s engagement in supplier transactions “involved an undisclosed conflict of interest.”
Ashney Buchanan was appointed to the top position in November, replacing Tom Kingsbury.
“Mr. Buchanan’s dismissal has nothing to do with the company’s performance, financial reports, operating results and does not involve any other company personnel,” the department store chain said in its statement.
It said Buchanan is no longer a board member and the company has withdrawn its nomination for election for directors for the 2025 annual shareholder meeting.
Michael Bender appoints Cole’s interim CEO
The department store chain calls Michael Bender its interim CEO, effective immediately.
“The board will initiate a search to identify permanent CEOs and retain leading search companies to assist in the process,” Cole said.
Bender has served as a director of the company’s board of directors since July 2019 and was appointed chairman of the board in May 2024.
“Michael has served as CEO of Eyemart Express and senior roles at Walmart, L Brands and Pepsico, gaining 30 years of leadership experience in retail and consumer goods companies’ leadership experience. We look forward to continuing to work closely with Michael as Kohl’s committee chair continues to focus on operations, simplification, simplification, simplification, efficiency to improve long-term financial health and profit.”
Cole’s Q1 results
Cole also provided preliminary first-quarter results, with the company expected to report earnings on May 29.
The company has been struggling to cope with demand for several quarters due to fierce competition from e-commerce companies and large retailers such as Walmart and Costco.
According to data compiled by LSEG, Cole expects comparable sales in the first quarter to be between 4.3% and 4% compared to analysts’ average expectations of 6.34%.
The company expects a loss per share in the range of 24 cents to 20 cents, while an estimated loss of 52 cents.
Kohl’s stock has fallen 52% year to date and is up 7%.
(with Reuters input)
