Target CEO Steinhafel to Resign following Data Breach

This article was last updated on April 16, 2022

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According to a statement issued by Target Corp., the company’s Chief Executive Officer, Gregg Steinhafel, will be stepping down from his role as chairman, president and CEO, whereas the company’s chief financial officer, John Mulligan, will serve as interim CEO as the company seeks a permanent replacement. The statement added that board member, Roxanne Austin, will serve as interim chairwoman.

Steinhafel faced grilling questions over whether the company responded quickly enough to a massive and embarrassing data breach last year and it has been trying to regain customers’ loyalty since then. The hackers stole card data and personal information from tens of millions of shoppers during the holiday season. The company’s top technology officer, Beth Jacob, have already stepped down from his position in March. The news about the colossal cyber-attack got public in December, i.e. the peak holiday shopping season, and considerably damaged the company’s reputation and its fourth-quarter sales. The company’s U.S. comparable-store sales decreased 2.5 percent in the period. Target is slated to report its latest quarterly results later this month.

In response to the attack, Target shares fell down as much as 3.3 percent to $59.98 in early trading. Overall the stock has declined almost 12 percent in the past 12 months since the attack. According to a statement issued by Target directors today, “the board is confident in the future of this company and views this transition as an opportunity to drive Target’s business forward and accelerate the company’s transformation efforts.”

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