JC Penney’s CEO Ellison departs for Lowe’s, shares plunge

MOORESVILLE, N.C. (AP) — J.C. Penney’s CEO is leaving the company to become the top executive at Lowe’s.

The announced departure of Marvin Ellison on Tuesday sent shares of the besieged department store tumbling more than 12 percent to what may become an all-time low.

Shares of Lowe’s Cos., which has struggled to keep pace with rival Home Depot, are up more than 4 percent. Ellison spent 12 years at Home Depot Inc. before he joined J.C. Penney.

Ellison on July 2 will succeed Robert Niblock, who had previously announced plans to retire.

Ellison has been with J.C. Penney Co. for several years, but sales continue to slide. Last week, it cut its outlook for the year.