In a corporate shakeup that’s got tongues wagging, the romantic partner of Kohl’s now-former CEO Ashley Buchanan has been booted from her lucrative consulting role with the retail giant. The move comes hot on the heels of Buchanan’s own abrupt exit, announced May 1, 2025, after a Wall Street Journal exposé blew the lid off allegations that he funneled business to his partner’s firm, raising thorny questions about ethics at the top.
The consulting gig, held by Buchanan’s unnamed partner, was with a firm that scored contracts with Kohl’s under what sources called dubious circumstances. The retailer, known for its sprawling department stores, confirmed the termination of the consulting agreement in a terse statement, citing a breach of its code of conduct. No names were dropped, but the statement made it clear: Kohl’s was cutting ties to douse the flames of a growing scandal. The company’s board, which had been sniffing around the allegations for weeks, didn’t mince words about its zero-tolerance stance on conflicts of interest.
Buchanan, who’d been steering Kohl’s since 2020, was shown the door after the board’s probe confirmed he’d directed business to his partner’s firm, a move that violated the company’s ethics policies. His departure was immediate, with Tom Kingsbury, a board member and former interim CEO, stepping back into the top spot while Kohl’s hunts for a permanent replacement. The retailer’s stock took a hit, dipping 3% in after-hours trading on May 1, as investors grappled with the fallout.
Details of the consulting contracts remain murky—Kohl’s isn’t spilling the beans on dollar amounts or specific deals. What’s clear is the board’s investigation, launched in April after whispers of impropriety surfaced, found enough dirt to justify swift action. The probe zeroed in on whether Buchanan’s relationship clouded his judgment, leading to deals that favored his partner’s firm over Kohl’s best interests.
The scandal lands at a rough time for Kohl’s, which has been battling sluggish sales and fierce competition from online retailers. The company, based in Menomonee Falls, Wisconsin, operates over 1,100 stores nationwide and employs about 97,000 people. Its latest earnings report, released in March, showed a 4% drop in same-store sales, underscoring the pressure Buchanan faced to turn things around.
Kohl’s has pledged to tighten its oversight, with the board vowing to review its vendor selection process to prevent future conflicts. For now, the retailer is keeping mum on whether legal action or further firings are in the cards. Kingsbury, in his first remarks as interim CEO, said the company is focused on “restoring trust” with shareholders and customers.
The consulting firm tied to Buchanan’s partner has not issued a public statement, and attempts to reach its representatives went unanswered. Kohl’s, meanwhile, is bracing for more scrutiny as it navigates the leadership void and a PR nightmare that’s far from over.