Worst Case Scenario
You think the worst case scenario is that the CEO looks at your grades and declines to give you an offer. But that's not the worst case. That's called "dodging a bullet", and you should literally imagine yourself as Neo bending over backwards with inhuman reflexes as you narrowly escape this potential hellhole.
The worst case scenario is that you somehow manage to get the CEO to hire you, but he turns out to be incompetent in ways which were not at first apparent to you. But the fact that he was willing to judge you entirely on your grades from 10 years ago, rather than looking at the context of your entire career up to this point should be a red flag that suggests turning around and running is an excellent strategy.
You should actually be quite thankful for this scenario, because it gives you a rare opportunity to evaluate the CEO. You take it for granted that the CEO has what you want (a company and a position to offer you) without considering that you have what they want, and they have just as much obligation to demonstrate that they deserve to have you as you have to demonstrate that you will be a good addition to the team.
It sounds like you don't have a lot of experience in industry yet, so I will give you some expert advice that was won the hard way: the person you work for (your boss) is responsible for about 80% of your "work happiness". Get a good boss, and doors will open for you (assuming hard work and strong skills). Get a bad boss, and you could be the most amazing contributor at your company, but all your accomplishments will amount to no more than throwing pearls before swine. So when you are checking out a prospective employer, do not go into the process as a beggar, willing to accept whatever shiny is on offer. By all means, ask about the compensation, perqs, coworkers, culture, benefits, etc. But do as much as you can to find out about the person you will work for. I guarantee that a good boss in a mediocre company beats a bad boss in the best company every day of the week, unless you are able to switch to a good boss (but part of being a bad boss is making it hard to leave the team).
Who's The Boss?
A good boss will listen to the whole story when you have to deliver bad news. They will consider the context, the consequences, and your track record. They will even give you political cover so that you can make a comeback, even when you screw up and make a mistake. Of course, the relationship works both ways: you need to be reliable and deliver results. You need to be a rock star that can help both of you advance. If the CEO is a good boss, they will look at your grades, listen to your story, and come to the same conclusion as you: failing a few classes was an important learning experience that helped shape the person you are today.
If the CEO has rigid, predefined thinking, then that's exactly the kind of person that will demand unrealistic results for a key project, will turn you down for raises and promotions, and will be unsympathetic when you need some leeway for personal issues. So by all means, share your grades, share your story, and judge your future boss on the response.
Finally, sharing your bad grades says something about you. It says you are confident in your accomplishments, and not ashamed of your failures. You are humble enough to discuss your failures openly, but driven enough to overcome them convincingly. For that reason, it is important not to paper over your bad grades excessively. Just tell the story straight up and let others make their judgments.
If it makes you feel any better, I never finished college, I failed multiple classes (including Statistics, TWICE!), and worked for two Fortune 500 tech companies for more than a decade. On my resume, I made clear that I was about 2 credits shy of a BS, and never bothered to include my quite pathetic GPA. Not once did a hiring manager or recruiter say those would be an impediment to receiving offers, because what they cared about is what I could do on a whiteboard in front of them, not what I did at a whiteboard 10 years ago in a classroom setting.