Kohl’s said Monday that Michael Bender, who has served as interim CEO, would become its permanent chief executive as the department store attempts to return to sales growth.
He becomes the department store’s third CEO in about three years. This decision is effective from Sunday.
Bender, who has served as a director on Kohl’s board since July 2019, became the company’s interim CEO in May. The retailer named Bender to the role after firing CEO Ashley Buchanan after just a few months in office.
Kohl’s fired Buchanan after he said a company investigation found he had made deals with a supplier with whom he had a personal relationship. That person was Chandra Holt, a former retail executive who was romantically involved with Buchanan.
Kohl’s leadership announcement comes a day before the retailer reports third-quarter financial results. Along with management turmoil, Kohl’s faced declining sales. The company said in August that it expects net sales to decline 5% to 6% for the fiscal year.
Kohl’s has seen many changes at the top since former CEO Michelle Gass left the company in 2022 to join Levi Strauss & Co., where she later succeeded then-CEO Chip Bergh. She was followed at Kohl’s by Tom Kingsbury, then a member of the company’s board of directors, who became interim and then permanent CEO.
Michael Bender named interim CEO of Kohl’s.
Courtesy: Kohl’s
Bender, 64, previously held executive and management positions at retailers including Victoria’s Secret, Walmart and Eyemart Express. Along with his role as CEO, Bender will continue to serve on the company’s board of directors.
In a news release, board chairman John Schlifske said Kohl’s hired an outside firm and “conducted an extensive search” for the retailer’s new leader. He said Bender was the right person for the job because of his “three decades of leadership experience in retail and consumer goods companies and his deep commitment to the Kohl’s brand.”
“Over the past several months as interim CEO, Michael has proven himself to be an exceptional leader for Kohl’s – incrementally improving results, driving short- and long-term strategy, and positively impacting cultural change,” he said.
In an interview with CNBC, Bender described Kohl’s turnaround as “heading toward the middle of the inning.”
“To me, that’s a good thing because it means there’s still good work to be done and ideas and challenges to solve them,” he said.
At Kohl’s, he said customers have “a lot of enthusiasm” but also “a more discerning and free attitude about the money they spend.”
“What they want from retailers is to offer me an assortment of quality products at a price that either forces me to get off the couch or, if I want to stay on the couch, to use my phone and order from you because they represent value to me,” he said.
Over the past five years, Kohl’s shares have fallen about 53%. Since the start of the year, its stock is up nearly 12%.
—Courtney Reagan of CNBC contributed to this report