Craig Jelinek to step down as CEO of Costco

Costco Wholesale Corporation announced that Craig Jelinek has confirmed his intention to step down as CEO, effective Jan. 1, 2024. The board of directors has elected Ron Vachris, president and chief operating officer since February 2022, as president and CEO, effective Jan. 1, 2024.

Costco said Jelinek and Vachris have worked hand in hand over the last 21 months in Vachris' role as president and for many years before that. This is the culmination of the long-standing succession plan that Jelinek has discussed with the board.

Vachris is a Costco veteran, with over 40 years of service to the company, starting as a forklift driver, and subsequently serving in every major role related to Costco's business operations and merchandising activities. "Costco has a very strong culture and a deep bench of management talent," said Jelinek. "I have total confidence in Ron and feel that we are fortunate as a company to have an executive of his caliber to succeed me."

[Read more: Costco reports strong Q4, fiscal year 2022 results]

Jelinek will remain with Costco through April 2024, serving in an advisory role and assisting Vachris during the transition. Jelinek also will continue to serve on the board of directors and will stand for reelection at the January 2024 annual meeting.

The company also announced today that its board of directors has declared a quarterly cash dividend on Costco common stock of $1.02 per share. The quarterly dividend is payable Nov. 17, 2023, to shareholders of record at the close of business on Nov. 3, 2023.

[Read more: Costco’s March sales driven by consumers seeking essential item]

Costco currently operates 861 warehouses, including 591 in the United States and Puerto Rico, 107 in Canada, 40 in Mexico, 33 in Japan, 29 in the United Kingdom, 18 in Korea, 15 in Australia, 14 in Taiwan, five in China, four in Spain, two in France, and one each in Iceland, New Zealand and Sweden. Costco also operates e-commerce sites in the U.S., Canada, the U.K., Mexico, Korea, Taiwan, Japan and Australia.