Minneapolis, Caribou Coffee Co. is replacing chairman and CEO Michael J. Coles, according to the Associated Press. A regulatory filing said that in six months Coles would get $1.35 million in exchange for agreeing not to sue for "termination without good cause."
Coles will stay with the company as a director, the report said.
Caribou named Rosalyn T. Mallet as interim CEO. She previously served as company president.
Coles was hired as interim CEO at Caribou in January 2003 and got the job permanently a few months later. He became chairman in 2005.
Coles said Tuesday that he had only planned to stay at Caribou between three to five years.