Target President and CEO Gregg Steinhafel resigned Monday as the retailer continues to recover its image nearly five months after a massive holiday-season data breach.
"Today we are announcing that, after extensive discussions, the board and Gregg Steinhafel have decided that now is the right time for new leadership at Target," a company statement posted on its website Monday morning says.
Steinhafel also resigned as chairman of the board of directors. John Mulligan, Target's chief financial officer, will serve as interim president and CEO.
Steinhafel, a 35-year veteran of Target, will serve as an advisor during the transition.
In a letter to the board of directors, posted to Target's website Monday, Steinhafel said, "The last several months have tested Target in unprecedented ways. From the beginning, I have been committed to ensuring Target emerges from the data breach a better company, more focused on delivering for our guests."
Target said in December that hackers stole credit and debit card information from 40 million customers. In January it revealed that personal information like email addresses and phone numbers may have been stolen from up to an additional 70 million customers.
In the months since, Target adopted a faster timeline for switching to more secure chip-based credit and debit cards, and the payment terminals that accept them. As part of the $100 million effort, Target announced last week that it all of its store-branded cards would be reissued as MasterCard chip-and-pin cards in 2015.
Target also appointed a new chief information officer. Bob DeRodes takes over the position today after former CIO Beth Jacob resigned in March.
Target shares are down slightly in pre-market trading by 1.27% to $62.01.