Bulletin: Dollar General Corp.'s CEO Transition Underscores Its Underperformance Issues

This report does not constitute a rating action. NEW YORK (S&P Global Ratings) Oct. 13, 2023--S&P Global Ratings today said that, in our view, the recently announced CEO transition at Dollar General Corp. underscores underperformance at the company this year, although it does not immediately change our view of the company's creditworthiness. Todd Vasos replaced Jeffrey Owen, who had been CEO since Nov. 1, 2022. Vasos served as CEO from June 2015 until Owen stepped into the role and was set to retire this year. We do not expect this change to alter the company?s announced strategy. The transition follows worse-than-expected declines in demand due to normalizing supplemental nutrition assistance program (SNAP) benefits and lower tax returns for Dollar General's

...October 13, 2023 This report does not constitute a rating action. NEW YORK (S&P Global Ratings) Oct. 13, 2023--S&P Global Ratings today said that, in our view, the recently announced CEO transition at Dollar General Corp. underscores underperformance at the company this year, although it does not immediately change our view of the company's creditworthiness. Todd Vasos replaced Jeffrey Owen, who had been CEO since Nov. 1, 2022. Vasos served as CEO from June 2015 until Owen stepped into the role and was set to retire this year. We do not expect this change to alter the company's announced strategy. The transition follows worse-than-expected declines in demand due to normalizing supplemental nutrition assistance program (SNAP) benefits and lower tax returns for Dollar General's core customers, which has hindered the company's performance. In addition, the company's inventory was poorly positioned for a meaningful decline in non-consumable demand, and it saw record levels of shrink. We anticipate...

Bulletin