Kohl’s new CEO Ashley Buchanan has been fired for failing to disclose a conflict of interest, the company announced Thursday.

Buchanan, who joined the struggling retailer earlier this year, was terminated after an investigation found he had “violated company policies by directing the company to engage in vendor transactions that involved undisclosed conflicts of interest.”

According to the company’s board of directors, his termination was not related to the retailer’s performance, financial reporting or operations and it didn’t involve any other company personnel.

Michael Bender, the current chairman of the Kohl’s board, has been named interim CEO “effective immediately” and will lead the company until a permanent replacement is found.

While the company didn’t offer any details about the investigation into Buchanan, multiple outlets have reported that the conflicts of interest mentioned in the company’s announcement concerned a woman with whom the now-former CEO has had a romantic relationship.

Buchanan allegedly instructed Kohl’s to enter into a business deal involving Chandra Holt, the founder and CEO of Incredibrew, a specialty coffee brand, the Wall Street Journal reported, citing people familiar with the situation.

According to an SEC filing, Buchanan had directed the company to conduct business with a vendor with whom he had a personal relationship under “highly unusual terms” that were favorable to the vendor.

He also led Kohl’s to “enter into a multi-million-dollar consulting agreement wherein the same individual was a part of the consulting team.”

Holt, described as a “wellness enthusiast, mother [and a] lover of coffee and all things better for you,” confirmed she has known Buchanan for 10 years, but denied any irregularities.

“I have not received any compensation for my Incredibrew business from Kohl’s,” she told the WSJ.

Kohl’s, a Menomonee Falls, Wisconsin-headquartered retail chain, operates more than 1,100 stores in 49 states. Earlier this year, the company announced plans to close 27 locations in 15 states following 11 consecutive quarters of sales declines.

Buchanan, a former CEO of the arts and crafts retailer Michaels, took over the leadership at Kohl’s on Jan. 25, 2024. He held the position for fewer than 100 days.

https://www.nydailynews.com/2025/05/01/kohls-fires-ceo-business-deal-romantic-partner/