John Schnatter, who founded the Papa John's pizza chain in the 1980s, is leaving the chief executive seat. 
 
 He'll stay on with the company as its chairman, the company said Thursday in a press release. Replacing him is Steve Ritchie, the current chief operating officer. The change will take effect on January 1, the company said. There was no reason given for the change in leadership. 
 
 The shakeup comes after a string of public relations debacles and slumping sales. 
 
 Papa John's is a major NFL sponsor, and Schnatter wasn't shy about sharing his thoughts about players who took a knee during the national anthem to protest the treatment of black Americans, particularly by police. 
 
 President Trump earlier this year publicly criticized players who chose to kneel, ratcheting up the controversy. 
 
 "This should have been nipped in the bud a year and a half ago," Schnatter said on a conference call with investors in November. "The controversy is polarizing the customer, polarizing the country." 
 
 During the call, he also blamed the controversy for dismal sales. 
 
 Related: Papa John's says it didn't mean to be 'divisive' on NFL protests 
 
 Backlash ensued on social media and his remarks were criticized by those who argue the players are exercising free speech and should be permitted to do so. Late-night comics lampooned Schnatter. 
 
 And, adding to the ordeal, the white supremacist website Daily Stormer floated the idea that Papa John's was the "official pizza of the alt-right." 
 
 That forced the Louisville, Kentucky-based Papa John's to issue a clarifying statement asserting, "We condemn racism in all forms," according to the Courier-Journal. 
 
 About two weeks after Schnatter made his controversial comments, the company attempted an apology on Twitter. 
 
 Related: Papa John's says NFL protests are hurting sales 
 
 "The statements made on our earnings call were describing the factors that impact our business and we sincerely apologize to anyone that thought they were divisive," the tweet read. "That definitely was not our intention." 
 
 The pizza chain said that it supports "the players' movement to create a new platform for change" but that it also believes that "as Americans, we should honor our anthem." 
 
 "We will work with the players and league to find a positive way forward. Open to ideas from all. Except neo-nazis," the company tweeted, offering a "middle finger" emoji to "those guys." 
 
 Papa John's has also faced waning sales recently. The company's stock price is down more than 30% so far this year. 
 
 Ritchie, Schnatter's replacement, joined Papa John's as a customer service rep in 1996 making $6 per hour. He went on to own a Papa John's franchise, and in 2014 he was promoted to chief operating officer. 
 
 --CNNMoney's Ahiza Garcia and Rob McLean contributed to this report. ||||| John Schnatter. REUTERS/Danny Moloshok 
 
 The controversial founder and CEO of Papa John's, John Schnatter, is stepping down, the company announced Thursday. 
 
 The company said its current president, Steve Ritchie, would replace him. 
 
 Schnatter sparked controversy in November when he slammed NFL leadership over players' kneeling during the national anthem to protest racial injustice and police brutality. 
 
 "Leadership starts at the top, and this is an example of poor leadership," Schnatter said in a call with investors. 
 
 The CEO's statements quickly inspired backlash on the left and support on the right. The Daily Stormer, a white-supremacist website, even posted an article asking whether Papa John's was the "official pizza of the alt-right" — the chain responded that it did not want "hate groups" buying its pizza. 
 
 Schnatter owns roughly 25% of Papa John's and will stay on as chairman after stepping down as CEO in January. A press release from the company said he would "pursue his personal passion for entrepreneurship, leadership development, and education." 
 
 This is not the first time Schnatter has stepped down as CEO — he did so in 2005, after a period of declining sales at the company, then returned three years later. 
 
 Michael Hickey/Getty Images 
 
 Schnatter has a history of making political statements that spark controversy. 
 
 He came under fire in 2012 for saying the Affordable Care Act, the healthcare law better known as Obamacare, would be a "lose-lose" for Papa John's franchisees and employees. Schnatter argued that it would cost Papa John's $5 million to $8 million annually and ultimately drive up the price of its pizza. 
 
 The backlash was swift, with many promising to boycott Papa John's. The company's shares slumped about 4.2% at the time, Forbes reported. 
 
 A young Schnatter. PAPA: The Story of Papa John's Pizza 
 
 Schnatter has also spoken out extensively against what he says is over-regulation. 
 
 In his 2017 book, "Papa: The Story of Papa John's Pizza," Schnatter argued that regulations were steering the US away from a system of free enterprise he believes crucial to the nation's success. 
 
 "America in 2016 is on the path to becoming what Germany was in 1867," Schnatter wrote. 
 
 Schnatter's great-grandfather immigrated to the US from Germany in 1867 as a young craftsman seeking work. The US was a land of opportunity where people were free to become successful without fear of attack or government interference, Schnatter said. 
 
 Speaking with Business Insider in January, Schnatter emphasized that he thought regulation in the US needed to be dialed back to help businesses thrive. 
 
 "You've got to have free markets with limited government, with the proper amount of regulation where you don't jam entrepreneurship," Schnatter said. 
 
 Schnatter donated $1,000 to Donald Trump's presidential campaign, though he did not publicly voice support for him. 
 
 "As far as the politics, I have no idea," Schnatter told Business Insider before Trump's inauguration. "I do think we ought to give the new administration at least a chance to either do better things or to botch it."
– The Papa John of Papa John's is stepping down as CEO of the pizza chain effective Jan. 1, CNN reports. Papa John's founder John Schnatter will stay on as chairman, the company said Thursday. No reason for Schnatter's changing role was given, but the company said he will be pursuing "his personal passion for entrepreneurship, leadership development, and education," according to Bloomberg. Schnatter will be replaced by Papa John's chief operating officer Steve Ritchie, who started at the company in 1996 as a customer-service rep making $6 an hour. Business Insider reports Schnatter, who owns about 25% of Papa John's, previously left his position in 2005 amid declining sales only to come back three years later. Not only are Papa John's sales once again declining—stock is down more than 30% this year—but the pizza chain has found itself embroiled in controversy. In November, Schnatter blamed declining sales on football players protesting the treatment of black Americans during the national anthem and the NFL not doing more to stop them. That led to an apology from the company two weeks later, but not before white supremacist website the Daily Stormer mused about Papa John's being the "official pizza of the alt-right." In response, the chain had to clarify that it didn't want "hate groups" for customers.