Rodney McMullen, the long-serving CEO of Kroger Co., has officially resigned following an internal investigation into his personal conduct. The company announced the news on March 3, 2025, stating that McMullen's actions were found inconsistent with Kroger’s business ethics policies. While the details of the probe remain undisclosed, Kroger clarified that the matter was not related to financial performance, reporting, or any misconduct involving employees.
Who is Rodney McMullen?
McMullen, a veteran of Kroger for more than four decades, first joined the company as a part-time stock clerk in 1978 while attending the University of Kentucky. Over the years, he climbed the corporate ladder, holding key leadership roles such as:
- Chief Financial Officer (1995–2000)
- Chief Operating Officer (2009–2013)
- Chief Executive Officer (2014–2025)
Under his leadership, Kroger expanded aggressively, acquiring competitors and investing heavily in digital transformation and supply chain improvements. His tenure also saw record-breaking revenues as the company capitalized on e-commerce and delivery services.
The Internal Investigation & Resignation
According to Kroger’s official statement, the investigation into McMullen’s conduct was conducted by an independent committee and found violations of the company’s ethical policies. However, the board emphasized that no financial or operational misconduct was involved.
Kroger’s spokesperson stated:
"Rodney McMullen has made immense contributions to Kroger, but following an internal review, the board determined that his conduct did not align with our values. We appreciate his service and leadership over the years."
The resignation follows growing scrutiny over corporate governance standards and executive accountability in large public companies.
Who is Taking Over?
With McMullen stepping down, Kroger’s Board of Directors has appointed Ronald “Ron” Sargent as interim CEO and Chairman. Sargent, a former CEO of Staples, has been on Kroger’s board since 2006.
The board has initiated a formal search for a permanent CEO, expected to be announced in the coming months.
How Did the Market React?
Following the announcement, Kroger’s stock (NYSE: KR) dropped by 2.5%, reflecting investor uncertainty over the sudden leadership change. However, analysts predict that the company’s fundamentals remain strong, and long-term growth strategies are unlikely to be affected.
Financial expert John Smith, from Morgan Stanley, commented:
"While McMullen's departure introduces short-term volatility, Kroger remains a market leader with strong financials. Investors should watch for the new leadership strategy."
Future Implications
McMullen’s exit marks a major leadership transition for Kroger, which is currently navigating increased competition from Amazon’s Whole Foods, Walmart, and Aldi. The company’s next CEO appointment will be critical in maintaining its market dominance and digital transformation efforts.