In March, Rodney McMullen walked away from Kroger after nearly 50 years with the company, a sudden resignation that left $11 million in unvested stock and bonuses on the table — and more than a few questions unanswered. Now, a lawsuit tied to a celebrity wellness festival may help explain why.
McMullen, who began as a part-time stock clerk in 1978 before rising to CEO, stepped down following an internal investigation into “personal conduct” the company said was inconsistent with its ethics policies. Kroger declined to share details at the time, beyond noting it didn’t involve finances or company associates. But the matter has surfaced indirectly in an ongoing legal fight involving ’90s folk star Jewel and her business partner Trevor Drinkwater.
Jewel’s company and Drinkwater’s Inclusion Companies partnered with Kroger on the “Wellness Your Way” festivals, a multi-year effort blending music, health panels, and corporate sponsorship. Festivals ran from 2018 to 2021, with Jewel performing a dozen times and sitting on 45 panels. The plaintiffs say their informal 2018 agreement with Kroger — reached over email — promised a five-year run, with Drinkwater’s company taking the financial risk. But once the events became profitable, they allege Kroger replaced them with a firm run by the sister of a Kroger executive.
Court filings claim that executive, Colleen Lindholz, told Drinkwater the festival had become “Kroger’s premiere annual corporate event” and that McMullen wanted it as part of his legacy — along with full Kroger control. The plaintiffs say they lost $2 million in expenses and at least $5 million in profits.
McMullen isn’t a defendant, but he’s listed as a trial witness. During a deposition, he and his attorney refused to answer questions about his resignation, seeking a protective order to block what his lawyer called “embarrassing” and unrelated inquiries. In May, an Ohio judge ordered McMullen to submit a written account by August 8, including names of people involved. Whether that statement becomes public depends on how the court rules.
If the protective order is granted, McMullen’s account will remain sealed. If denied, plaintiffs’ lawyers can question him directly, potentially putting details of his exit into the trial record. That possibility is attracting attention well beyond the Jewel dispute. Albertsons, the grocery rival whose $25 billion merger with Kroger collapsed earlier this year under regulatory scrutiny, has also moved to compel disclosure. The company’s lawyers argue McMullen’s conduct could have distracted him “or conflicted with his obligations” during merger talks.
McMullen made roughly $15.7 million in 2023, according to SEC filings. His resignation cost him more than $11 million in unvested stock, options, and bonuses. Whether the lawsuits deliver answers to why he left may hinge on how two separate courts balance personal privacy against what plaintiffs call routine and relevant questions about corporate leadership. For now, much of the story remains behind closed doors — but the pressure to open them is growing.
