The Ottumwa Courier

AP National

May 5, 2014

Target's Chairman and CEO out in wake of breach

NEW YORK (AP) — Target's massive data breach has now cost the company's CEO his job.

Target announced Monday that Chairman, President and CEO Gregg Steinhafel is out nearly five months after the retailer disclosed the breach, which has hurt its reputation among customers and has derailed its business.

The nation's third-largest retailer said Steinhafel, a 35-year veteran of the company and CEO since 2008, has agreed to step down, effective immediately. He also resigned from the board of directors.

A company spokesman declined to give specifics on when the decision was reached.

The departure suggests the company is trying to start with a clean slate as it wrestles with the fallout from hackers' theft of credit and debit card information on tens of millions of customers. The company's sales, profit and stock price have all suffered since the breach was disclosed.

Target, based in Minneapolis, said Chief Financial Officer John Mulligan has been appointed interim president and CEO. Roxanne S. Austin, a member of Target's board, has been named as interim nonexecutive chair of the board. Both will serve in those roles until permanent replacements are named.

Steinhafel will serve in an advisory capacity during the transition. Jim Johnson remains lead independent director on the board.

Steinhafel's tenure has been rocky. The company has struggled with its expansion into Canada, its first foray outside of the U.S. The company, known for its cheap chic clothing and home decor, also has seen uneven sales since the recession ended as it confronts fierce competition.

Under Steinhafel's leadership, the company has expanded into fresh groceries and offered a 5 percent discount to customers who use its branded debit and credit cards. But clearly the breach was a big black eye on Steinhafel's term.

"The last several months have tested Target in unprecedented ways," Steinhafel wrote in a letter to the board that was made available to The Associated Press. "From the beginning, I have been committed to ensuring Target emerges from the data breach a better company, more focused than ever on delivering for our guests."

Text Only
AP National
  • Ginsburg: Court right to void clinic buffer zones WASHINGTON (AP) — Justice Ruth Bader Ginsburg is defending a rare Supreme Court decision that put her at odds with women's rights groups. Ginsburg said the court's unanimous ruling in June that struck down the 35-foot, protest-free zone on sidewalks

    August 1, 2014

  • Poll: Foreign policy no longer Obama strong point WASHINGTON (AP) — Foreign policy used to be a bright spot in Americans' opinion of President Barack Obama. Not anymore. An Associated Press-GfK poll finds that dissatisfaction with Obama's handling of events in Ukraine, Gaza and elsewhere now matches

    August 1, 2014

  • US employers add 209K jobs, rate rises to 6.2 pct. WASHINGTON (AP) — U.S. employers extended their hiring surge into July by adding a solid 209,000 jobs. It was the sixth straight month of job growth above 200,000, evidence that businesses are gradually shedding the caution that had marked the 5-year

    August 1, 2014

  • Semi crash coats Indianapolis highway in butter INDIANAPOLIS (AP) — A semitrailer has overturned on an Indianapolis interstate, spilling what police say are 45,000 pounds of packages of butter and other dairy products. The crash happened about 3:30 a.m. Friday in the eastbound lanes of Interstate

    August 1, 2014

  • Contract talks in Met Opera labor dispute extended NEW YORK (AP) — It's a drama worthy of the Metropolitan Opera: Frantic, last-minute labor negotiations aimed at averting a lockout that threatens to stop both pay and benefits for thousands of singers, musicians, stagehands and other workers. With ju

    August 1, 2014

  • WWI aviation still alive at aerodrome in New York RHINEBECK, N.Y. (AP) — There's still a place where buzzing biplanes swoop in pursuit of German triplanes, where pilots in open cockpits let their scarves flutter in the wind. The sights and sounds of World War I flight are recreated regularly at the

    August 1, 2014

  • State Dept: 'No American is proud' of CIA tactics WASHINGTON (AP) — The State Department has endorsed the broad conclusions of a harshly critical Senate report on the CIA's interrogation and detention practices after the 9/11 attacks, a report that accuses the agency of brutally treating terror susp

    July 31, 2014

  • GOP: Lerner emails show bias against conservatives WASHINGTON (AP) — Congressional investigators say this is why they want all of Lois Lerner's emails. Newly released emails show the former IRS official referring to some right-wing Republicans as "crazies" and more, a revelation that is fueling GOP c

    July 31, 2014

  • Suing Obama: GOP-led House gives the go-ahead WASHINGTON (AP) — A sharply divided House approved a Republican plan Wednesday to launch a campaign-season lawsuit against President Barack Obama, accusing him of exceeding the bounds of his constitutional authority. Obama and other Democrats derided

    July 31, 2014

  • As US job market strengthens, many don't feel it WASHINGTON (AP) — The U.S. unemployment rate has plunged since the start of last year to a five-year low of 6.1 percent. And the July jobs report being released Friday will likely show a sixth straight month of healthy 200,000-plus gains. Yet for Do

    July 31, 2014

Obituaries
Record
Facebook
AP National