Papa John's founder resigns as company chairman after slur revelation

Papa John's founder resigns as company chairman after slur revelation

Papa John's founder and former CEO John Schnatter resigned from his position as chairman of the board, one day after he admitted to using the N-word during a company conference call in May.

"Colonel Sanders called blacks n-s", Schnatter reportedly said, complaining that Kentucky Fried Chicken had not faced any backlash over Sanders' statements.

The call, which took place in May, was meant as a role-playing exercise to help Schnatter avoid future public relations messes like the one past year when he blamed the NFL's national anthem kneeling controversy for declining pizza sales.

He also allegedly stated that, in his home state of in, "people used to drag African-Americans from trucks until they died", reportedly intending for the sentiment to convey his opposition to racism.

Papa John's stock had fallen 4.8 percent by market close Wednesday.

John Schnatter quits as chairman after using racial slur during a conference call on how to handle controversial situations.

Schnatter's comments have landed the company in hot water before.

In addition, the 56-year-old resigned from the University of Louisville's board of trustees, where he had served for two years.


The media-training company working with Papa John's opted to end its business relationship with the pizza company after the call, according to Forbes.

Several of the individuals from Laundry Service found his remarks offensive and reported him to the company's owner Casey Wasserman, who then ended their contract with Schnatter's company.

Laundry Service declined to comment on the Forbes story.

Papa John's announced that it had accepted John Schnatter's resignation on Wednesday.

Major League Baseball, which counts Papa John's as a corporate sponsor, suspended its flagship branded sales campaign, Yahoo Sports reported. He added that the members of the board don't condone racism or "insensitive" language.

Schnatter, for his part, confirmed the incident to Forbes on Wednesday.

Papa John's had also been the official pizza of the National Football League, but that deal ended earlier this year.

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