Don Mulligan steps in as interim CEO amid board turmoil at Market Basket

In a significant leadership change, Don Mulligan has been appointed as the interim Chief Executive Officer of Market Basket, a prominent supermarket chain located in Massachusetts. This decision follows the termination of Arthur T. Demoulas, who was dismissed by the board of directors after a protracted struggle over control of the company. Mulligan has an extensive history with Market Basket, having joined the company 42 years ago and serving as its chief financial officer for the past 26 years. This long association has earned him the respect and admiration of both employees and the board members. The board chair, Jay Hachigian, stated that Mulligan is "the voice of consistency at Market Basket," highlighting his exceptional business acumen and deep understanding of the company's culture. The board's announcement of Mulligan's new role comes after a tumultuous period marked by tensions between Demoulas and the board, his three sisters, and a recent investigation into his conduct. The investigation, initiated by the board, alleged that Demoulas was planning a work stoppage similar to a previous boycott in 2014, which eventually led to his takeover of the company. Demoulas denounced the investigation as a "farcical cover for a hostile takeover." Despite periods of cooperation, such as mediation sessions held in Delaware, the board and Demoulas failed to reach an agreement regarding the company's future direction. As a result of this escalation, Demoulas, along with support executives and two of his children, were suspended and placed on paid leave earlier in the summer. The current board holds a significant ownership stake in Market Basket, with Demoulas owning 28.4 percent and his sisters controlling 61.3 percent of the shares, while the remaining 10.3 percent is held in trust for their children. Mulligan's appointment as interim CEO aims to ensure seamless leadership for the associates, customers, and communities relying on Market Basket. As Mulligan takes on this crucial leadership role, the community and employees of Market Basket look toward his experience and understanding to guide the company through this challenging time, aiming to stabilize operations and maintain the company's core values amidst the ongoing power struggle. His local roots and long-standing commitment to Market Basket could be instrumental in healing the rifts created by the recent upheaval, reinforcing the importance of strong leadership during this uncertain period.