Papa John's founder and CEO John Schnatter will step down as CEO next month only weeks after making controversial statements about NFL players and their right to protest. The company later apologized, per usual, but Schnatter will still be handing over his company.
According to The Washington Post, Schnatter will be replaced by Chief Operating Officer Steve Ritchie on Jan. 1, the company announced Thursday. Schnatter, 56, is still the company’s largest shareholder and will continue to serve as chairman of the board.
Back in November, Schnatter and Papa John's faced criticism as they blamed their sales, or lack thereof, on the protesting of the National Anthem by NFL Players. Papa John’s is a top NFL sponsor and advertiser, therefore, they felt it appropriate to blame sagging sales on the league’s “poor leadership” in response to the demonstrations during the national anthem.
He said the practice of players kneeling during the anthem to raise awareness of police brutality and social injustice hurt the NFL’s TV ratings, which in turn hurt sales of his pizza, which is advertised heavily during games. After these comments were made, the alt-right and white supremacists declared Papa John's their official pizza.
Ritchie told the Wall Street Journal that he was poised to eventually replace Schnatter when he was named company president in 2015. However, he did not specify whether the NFL controversy played a role in the timing of the transition.
“I want to put the focus back on our people and pizza,” he said.
The company’s sales growth has been slow across its North American stores in the third quarter compared with last year’s period, and therefore lowered its earnings prospects for the region. The drop in viewership of the NFL has caused Papa John's to re-evaluate their NFL Sponsorship altogether.
Do any of y'all even eat Papa John's? Asking for a friend.