Kohl's Corp. has terminated CEO Ashley Buchanan just four months into his tenure, citing violations of company policies related to undisclosed conflicts of interest.
The abrupt leadership change adds to a string of setbacks for one of Wisconsin's largest companies.
Termination Tied to Policy Breach, Not Company Performance
In a statement released on May 1, the Menomonee Falls-based department store chain said Buchanan was dismissed after he directed the company "to engage in vendor transactions that involved undisclosed conflicts of interest." The company clarified that the decision was not tied to its financial health or operations. "Mr. Buchanan's termination is unrelated to the Company's performance, financial reporting, results of operations and did not involve any other Company personnel," the statement read.Interim Leadership Appointed After Firing Ashley Buchanan
Michael Bender, chair of Kohl's board of directors, has been appointed interim CEO while a formal search for Buchanan's replacement is underway. Bender, who has been a director at Kohl's since 2019, was named board chair in May 2024. He previously served as president and CEO of optical retailer Eyemart Express from 2018 to 2022, and held executive roles at Walmart Inc. before that. While serving as interim CEO, Bender will remain on the board but will step down from certain board committees. The company said a new board chair will be announced "in due course."\"The Board has full confidence in Michael to serve our customers and associates as Interim CEO and deliver on our commitments to our shareholders," said John Schlifske, chair of the board's Nominating and ESG Committee.A Short and Tumultuous Tenure For Ashley Buchanan
Buchanan, who assumed the role on January 15, was Kohl's third CEO in four years-a period marked by declining sales, store closures, and a plummeting stock price. Since early 2024, Kohl's stock had dropped by 50%. His exit comes shortly after the company reported bleak fourth-quarter results for 2024, including a 9.4% drop in sales and a staggering 74.2% decline in profit during the critical holiday season. Despite the short stint, Buchanan was among the highest-paid executives in Wisconsin, with a compensation package exceeding $20 million, including base salary and stock options. That amount significantly surpassed the earnings of his predecessor, Tom Kingsbury.Previous Experience and Legacy
Before joining Kohl's, Buchanan led crafts retailer Michael's Co. for four years, during which he orchestrated a deal to sell the company to private equity investors. Kohl's ranks 235th on the 2024 Fortune 500 list and remains one of the state's largest employers, with about 4,000 corporate employees in the Milwaukee area and thousands more across Wisconsin.