The board of Tim Hortons made the announcement Wednesday. Executive chair Paul House, who once held the top job in the company, will take on the role again on a temporary basis, the board said. Tim Hortons 3-month stock chart Tim Hortons would not elaborate to CBC News on the sudden departure of the CEO. But one analyst, who did not want to be named, said Schroeder's abrupt departure appeared to be against his will.
A release from Tim Hortons hinted at the internal strife.
"Don Schroeder has made significant contributions to Tim Hortons during his 20 years of service, and although a transitional arrangement could not be reached, we appreciate his leadership as president and CEO since his appointment in 2008," interim CEO Paul House said in a release."We have a talented, experienced and highly capable executive group, and we will continue to drive execution of our established strategic growth plans and initiatives, which are designed to capitalize on market opportunities, as the board concludes the process to appoint a new CEO."
Two weeks ago, Tim Hortons reported quarterly results that missed analysts' expectations, disappointing investors. The stock price promptly tumbled by more than four per cent. At the time, Schroeder noted that Canadian same-store sales were affected by higher redemptions for food and beverage prizes in the company's popular Roll Up the Rim to Win promotional contest.
The Tim Hortons board said it was already engaged in comprehensive succession planning for the CEO position as part of its strategic planning.