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Kohl’s Corporation has terminated CEO Ashley Buchanan after only 100 days on the job. This move comes on the heels of an investigation that uncovered undisclosed conflicts of interest involving vendor transactions and consulting agreements.

The Wisconsin-based retail chain announced Thursday that Buchanan’s actions violated the company’s code of ethics, and he has been removed from both his executive role and the board of directors.

The company said the decision stemmed from a months-long probe by outside counsel and was overseen by the audit committee. Kohl’s emphasized that the firing was not related to company performance, financial reporting, or the actions of other employees.

Ashley Buchanan Had Personal Ties to Vendor

According to an SEC filing, Buchanan directed the company to enter a vendor agreement under “highly unusual terms” that disproportionately favored a vendor with whom he had a personal relationship. Additionally, he authorized a multi-million-dollar consulting contract involving the same individual, failing to disclose the relationship as required.

The Wall Street Journal reported that the vendor in question was Chandra Holt, a former Walmart colleague and current founder of the coffee brand Incredibrew, with whom Buchanan was reportedly in a romantic relationship.

Kohl’s declined to offer further comment beyond the formal disclosures.

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An Expensive Exit

Buchanan's dismissal carries significant financial consequences.

Per the SEC filing, he will forfeit all equity awards and must repay a prorated portion of his $2.5 million signing bonus.

His compensation package had totaled $20 million—more than double the $9 million earned by predecessor Tom Kingsbury.

Buchanan’s now-cancelled contract included:

• A $1.475 million base salary
• A $3.75 million signing bonus
• A $2 million restricted stock grant (after one year)
• A $15 million restricted stock unit package (vested over three years)
• An annual long-term equity incentive target of at least $9 million

Interim Leadership Appointed

In response to the leadership vacuum, Kohl’s appointed board chair Michael Bender as interim CEO. Bender, who joined the board in July 2019 and became chair in May 2024, brings prior executive experience from Eyemart Express, Walmart, L Brands, and PepsiCo.

“There are no family relationships between Mr. Bender and any company director or executive officer, and no arrangements or understandings between Mr. Bender and any other person pursuant to which he was selected as an officer,” the SEC filing noted.

Kohl’s stated that a national executive search firm will be hired to identify a permanent replacement.

Analysts Raise Concerns About Kohl’s Corporate Governance

Retail industry expert Neil Saunders, managing director of GlobalData, told Fortune that Buchanan’s termination adds to the sense of instability at Kohl’s.

“While the sacking is not related to performance, it gives the impression that Kohl’s is in a perpetual state of chaos and it raises some questions about the due diligence over his appointment,” Saunders said.

Tough Times at Kohl’s

The leadership upheaval is just the latest challenge for Kohl’s, which has been navigating a turbulent retail environment and internal restructuring. Earlier this year, the company announced layoffs and plans to close 27 stores across 15 states by April.

Kohl’s also suffered a disappointing fourth quarter. The company:

• Reported a 9.4% drop in net sales
• Cut its dividend
• Adjusted its 2025 outlook to a 5–7% sales decline
• Posted earnings per share of just $0.43, far below Wall Street’s $1 forecast

The company will report its first-quarter results on May 29.

Kingsbury Missteps

Kohl’s previous CEO, Tom Kingsbury, also faced criticism for strategic missteps, including reducing inventory and shrinking the fine-jewelry segment. Kingsbury admitted in a December 2024 earnings call:

“We thought, ‘We can do more with a lot less,’” Kingsbury said. “And that didn’t work out for us.”

As Kohl’s searches for stability and leadership to regain investor confidence, the fallout from Buchanan’s short and scandalous tenure continues to cast a long shadow.