Retailer Kohl's announced that it has dismissed its CEO, Ashley Buchanan, "for cause" after less than four months on the job.
Buchanan became the CEO of Kohl's on Jan. 15, less than two months after the company announced that Tom Kingsbury would be stepping away as company CEO.
"An investigation conducted by outside counsel and overseen by the Audit Committee of the Board determined Mr. Buchanan violated company policies by directing the company to engage in vendor transactions that involved undisclosed conflicts of interest, which the Board determined to be cause," Kohl's said in a statement. "Mr. Buchanan's termination is unrelated to the Company's performance, financial reporting, results of operations, and did not involve any other company personnel."
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The Wall Street Journal was the first to report that Buchanan's dismissal was tied to funneling business to a romantic partner.
Buchanan joined Kohl's after serving as the CEO of Michaels from 2020 until 2024. He previously held senior executive roles at Walmart and Sam's Club during his 13 years at the company.
Following its decision to dismiss Buchanan, Kohl's elected its board chair, Michael Bender, to become its CEO on an interim basis.
Following Thursday's announcement, Kohl's stock surged 7%, but remained down 48% from the start of the year.
