J C Penney Company Inc (NYSE:JCP) stock was down on Tuesday following news that its CEO is quitting.
Marvin Ellison, the current Chairm and and CEO of J C Penney Company Inc will no longer be the CEO of the company after June 1. However, he is stepping down from the Chairman role immediately.
J C Penney Company Inc’s Board of Directors have chosen Lead Independent Director Ronald Tysoe to take over as the Chairman of the Board. The group has also created the Office of the CEO.
Four members of the company will be serving in the Office of the CEO. They will handle the day-to-day tasks of the CEO until JCP can find a replacement for Ellison. The members of the team are CFO Jeff Davis, CCO Joe McFarland, CIO and CDO Therace Risch, as well as Executive Vice President of Supply Chain Mike Robbins.
“I want to thank Marvin for his many significant contributions to JCPenney over the past three years,” Tysoe said in a statement. “During his tenure, the Company retired $1.4 billion in debt, renewed and enhanced its revolving credit facility and has significantly strengthened the Company’s financial position.”
Ellison isn’t just stepping down as the CEO of J C Penney Company Inc for no reason. The company notes that he is leaving it behind to take up a position with Lowe’s Companies, Inc. (NYSE:LOW).
Lowe’s also released a statement today about the role that Ellison will be taking on when he joins the company next month. He is going to be taking over as the President and the CEO of LOW. This will have him replacing retiring President and CEO Robert Niblock.
JCP stock was down 5% as of noon Tuesday.
As of this writing, William White did not hold a position in any of the aforementioned securities.