Kohl’s CEO Tom Kingsbury is stepping down, replaced by Ashley Buchanan

On By Littum

Kohl’s incoming CEO Ashley Buchanan and current CEO Tom Kingsbury.

Courtesy: Michael’s | Kohl’s

Kohl’s is getting a new CEO, its third since 2018.

The off-mall department store’s current CEO Tom Kingsbury will step down with effect from January 15. He leaves the position he held, first on a temporary basis from the end of 2022 and then permanently since the beginning of 2023.

Michaels CEO Ashley Buchanan will take the top job at Kohl’s when Kingsbury leaves, having led the craft retailer since 2020. Prior to her time at Michaels, Buchanan was with Walmart and its Sam’s Club division for 13 years.

Kohl’s shares fell about 3% in extended trading after the announcement.

At the world’s largest retailer, he held the roles of chief merchandising and chief operating officer for Walmart US e-commerce and chief merchant at Sam’s Club before that. Buchanan currently serves on the board of Macy’s but will step down from that role.

Kingsbury will remain with Kohl’s in an advisory role to Buchanan and remain on the board until he retires in May. Kohl’s does not intend to replace Kingsbury and will reduce the size of the board by one seat.

Buchanan will step in just after the critical holiday season ends and when the retailer closes its fiscal year. There is a lot of work to be done at a time when department stores are struggling to resonate with customers who have more options than ever before. While Kohl’s physical format outside the mall has isolated it a bit more than other department stores, it has had a difficult few years.

Kohl’s shares fell 17% in Kingsbury’s interim period from December 2, 2022 to February 2, 2023, and then fell another 45% since. Kingsbury has been unable to return sales to growth at Kohl’s. Its comparable store sales, a key figure for retailers, have fallen in the past 10 quarters.

Kingsbury took over as CEO after Michelle Gass left Kohl’s to become president and later CEO of Levi Strauss. Kingsbury had been a member of Kohl’s board of directors since 2021. He previously served as CEO of Burlington Stores from 2008 to 2019.