Kroger named former Walmart executive Greg Foran as its chief executive officer on Monday, 11 months after the abrupt resignation of its previous CEO.
Foran led Walmart's U.S. division for six years before departing in 2019. While there, he introduced online ordering and pickup, and accelerated Walmart's digital capabilities.
Walmart has reshaped itself into a tech-powered retail giant that has leaned heavily into automation and artificial intelligence, and it's one of the biggest competitive threats to Kroger, the largest standalone U.S. supermarket chain.
Shares of The Kroger Co. rose 6% before the opening bell Monday after Kroger said Foran would lead the company.
Walmart has become a larger challenge to Kroger and other traditional grocers as Americans increasingly pick up their groceries along with other general goods that Walmart sells. Walmart currently controls around 21% of the U.S. grocery market, compared to 8.5% for Kroger, according to the market research company Numerator.
Kroger proposed a merger with Albertsons in 2022 as a way to better compete with Walmart, Costco and others. But the Federal Trade Commission and two states — Washington and Colorado — sued to block the merger in 2024, saying it would raise prices and lower workers’ wages by eliminating competition. Judges ultimately ruled that the merger should not proceed.
Foran succeeds Ron Sargent, who has been Kroger's interim leader since former CEO Rodney McMullen resigned last March. McMullen had been Kroger's CEO since 2014 and was also the company's chairman. Kroger said he resigned after an investigation into his personal conduct, which was unrelated to the business but violated its ethics policy.
Sargent will continue to serve as Kroger’s chairman to ensure a smooth leadership transition.
“Greg is a highly respected operator who knows how to run large-scale retail businesses, strengthen store execution and lead high-performing teams,” Sargent said in a statement. “His leadership style, focus on the customer, commitment to associates, and disciplined approach to execution are the perfect fit for Kroger."
Foran, a New Zealand native, most recently served as CEO of Air New Zealand, where he also improved digital capabilities, led negotiations with the airline's union and guided it through the pandemic.
Kroger, based in Cincinnati, has 2,731 stores and 409,000 employees.
FILE - A Kroger grocery store is seen in Monroe, Ohio. (AP Photo/Jeff Dean, File)
FILE - In this Nov. 9, 2018, file photo, Walmart U.S. President and CEO Greg Foran speaks during an interview at a Walmart Supercenter in Houston. (AP Photo/David J. Phillip, File)
LONDON (AP) — British Prime Minister Keir Starmer is facing a battle to stay in post as he comes under heavy criticism for his decision in 2024 to appoint veteran politician Peter Mandelson as the British ambassador to the U.S. despite the latter's ties to late convicted sex offender Jeffrey Epstein.
Starmer’s judgment is in the spotlight like never before after the recent release of millions of pages of Epstein-related documents by the U.S. Justice Department showed how close Mandelson and Epstein were.
There’s widespread anger that the prime minister appointed Mandelson, long a key figure of Starmer's own Labour Party, to such a sensitive and high-profile post.
Starmer fired Mandelson in September after an earlier batch of emails was published showing he remained friends with Epstein after the late financier’s 2008 conviction for sex offenses involving a minor.
But the newly released emails show that Mandelson also passed on sensitive — and potentially market-moving — government information to the disgraced financier in 2009, when he was a member of the Labour Cabinet.
Starmer’s leadership has now been called into question, and several Labour lawmakers have called for him to quit. His chief of staff resigned on Sunday, taking the blame for advising Starmer to appoint Mandelson, and his communications director quit on Monday.
Many believe that is not enough to keep Starmer in the job.
The prime minister is trying to persuade his party members to back him. He has apologized to the British public and to the victims of Epstein’s sex trafficking for believing what he has termed “Mandelson’s lies.”
There are a number of ways in which Starmer could go, some more straightforward than others.
The simplest option is that Starmer announces his intention to resign, triggering an election for the Labour leadership. A resignation could possibly come if a delegation of Cabinet members tell Starmer he has lost too much support within the party or if members of his government quit in protest.
Those considered to harbor leadership ambitions include Health Secretary Wes Streeting, Home Secretary Shabana Mahood and former deputy prime minister, Angela Rayner, who had to resign last year after admitting she didn’t pay enough tax on a house purchase. An investigation into that is ongoing.
But there's no clear front-runner.
Andy Burnham, the popular mayor of Manchester who was blocked from standing at a special election in the city later this month, would not be eligible because by longstanding convention the prime minister must be a member of Parliament.
Whoever does run, the election would likely take weeks, with Starmer likely staying in post until that concludes.
If Starmer decides to resign immediately, the Cabinet and Labour’s governing body would likely pick an interim leader to be prime minister, probably someone not standing to be Labour leader. Deputy Prime Minister David Lammy could fit the bill.
Under Labour’s rules, candidates must have the support of a fifth of party lawmakers — about 80.
Those meeting that threshold would then have to receive the support of 5% of the local constituency Labour parties or at three least party affiliates, of which two must be trade unions. Affiliates are groups or organizations that are deemed to have interests consistent with those of the Labour Party; including trade unions and cooperative and socialist societies.
Eligible members of the party and affiliates will then vote for the leader using an electoral system that ranks the candidates. The winner is the first candidate to secure over 50% of the vote.
King Charles III would then invite the winner to become prime minister and form a government.
If Starmer does not resign, he could face a challenge, potentially from within his Cabinet.
Unlike the Conservative Party, which has a history of getting rid of leaders such as Margaret Thatcher in 1990 and Boris Johnson in 2022, Labour does not have that muscle memory. No Labour prime minister has ever been dislodged, though Tony Blair announced his plan to resign in 2007 after a series of low-level resignations.
Challengers would have to meet the eligibility thresholds above, but Starmer would automatically be on the ballot.
Starmer faces a series of hurdles in the weeks ahead. The first will probably be when files related to the vetting of Mandelson are published. Starmer will be hoping they show the scale of Mandelson’s lies. Should they not, that could be a point of high jeopardy for the prime minister.
Another potential pitfall could be the special election in Gorton and Denton on Feb. 26, traditionally a safe Labour seat. However, this time it will be a tough fight, with challenges from the anti-immigration Reform U.K. on the right and the Greens on the left.
The decision to bar Burnham from standing also poses a risk for Labour. Though he was blocked on the grounds that a Burnham victory would trigger a costly special election for the mayoralty in Manchester, critics claim that Starmer did not want to see a potentially dangerous rival back in the House of Commons.
After that comes a raft of elections in May. Many in Labour fear the party could lose power in Wales for the first time since the legislature was created in 1999, fall way short in Scotland and get battered in local elections in England.
It's clear that Starmer faces a difficult landscape.
And that’s barring surprise developments that could further rock his premiership.
“Events, dear boy, events,” Harold Macmillan, prime minister between 1957 and 1963, said when asked what the greatest challenges for leaders were.
FILE - President Donald Trump, left, gets a reaction from Britian's ambassador to the United States Peter Mandelson, right, as they take questions from members of the media after announcing a trade deal between U.S. and U.K. in the Oval Office of the White House, Thursday, May 8, 2025, in Washington. (AP Photo/Evan Vucci, file)
FILE - British Prime Minister Keir Starmer, right, talks with Britain's ambassador to the United States Peter Mandelson during a welcome reception at the ambassador's residence on Wednesday, Feb. 26, 2025 in Washington. (Carl Court/Pool Photo via AP, file)
Britain's Prime Minister Keir Starmer delivers a speech at Horntye Park Sports Complex in St Leonards-on-Sea, East Sussex, England, Thursday, Feb. 5, 2026. (Peter Nicholls/Pool Photo via AP)
Britain's Prime Minister Keir Starmer adjusts his glasses as he waits to deliver his speech at Horntye Park Sports Complex in St Leonards-on-Sea, East Sussex, England, Thursday, Feb. 5, 2026. (Peter Nicholls/Pool Photo via AP)
Britain's Prime Minister Keir Starmer talks with members of the audience after delivering a speech at Horntye Park Sports Complex in St Leonards-on-Sea, East Sussex, England, Thursday, Feb. 5, 2026. (Peter Nicholls/Pool Photo via AP)
