Chipotle Founder Leaving Company -- WSJ
March 07 2020 - 3:02AM
Dow Jones News
By Matt Grossman
This article is being republished as part of our daily
reproduction of WSJ.com articles that also appeared in the U.S.
print edition of The Wall Street Journal (March 7, 2020).
Steve Ells, the founder of Chipotle Mexican Grill Inc., is
leaving the company after 27 years as part of its leadership,
relinquishing his position of executive chairman.
Brian Niccol, the current chief executive officer, will take on
the additional title of chairman.
Mr. Ells started the casual Mexican-food chain in 1993 and
served as its CEO until 2017, when he became executive
chairman.
Under Mr. Ells's leadership, the company grew from a single shop
in Denver to a national brand with more than 2,600 restaurants and
83,000 workers. Chipotle was one of the first fast-casual
restaurants to emphasize organic and freshly prepared
ingredients.
Mr. Ells stepped down as CEO as Chipotle struggled to retain
customers amid repeated food-safety scares and rising
competition.
Mr. Niccol became Chipotle's CEO in March 2018. He began his
career at Procter & Gamble Co. and later worked as an executive
at Yum Brands Inc., where he led a rebranding for Taco Bell.
In its most recent quarter, Chipotle's same-store sales grew by
13.4% from the prior year, topping expectations. On Feb. 19, its
stock finished at $933.84, its highest-ever close.
Shares closed down $4.47, or 0.6%, at $723.08, in Friday
trading.
"Brian has proven that he is absolutely the right person to lead
Chipotle forward and I've never been more confident about the
future of this great company," Mr. Ells said in prepared
remarks.
Chipotle said Neil Flanzraich will continue to serve as lead
independent director and that board members Matthew Paull and Paul
Cappuccio will not stand for reelection at its annual meeting this
year.
--Chris Wack contributed to this article.
(END) Dow Jones Newswires
March 07, 2020 02:47 ET (07:47 GMT)
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