J.C. Penney CEO Marvin Ellison is leaving the department store retailer to take the chief executive spot at Lowe's. Ellison, who has been guiding J.C. Penney through a turbulent period, will now help Lowe's try to catch up with archival Home Depot. The news dealt an immediate blow to J.C. Penney's own turnaround hopes; the company's stock fell 6.8% in pre-market trading to $2.33.

At J.C. Penney, Ellison has closed stores, enhanced the company's in-store partnership with beauty brand Sephora and started selling toys and appliances. And even if sales have suffered amid declining mall traffic and falling consumer interest in department stores, Ellison is largely credited with helping J.C. Penney get back to the basics after a rough CEO stint by former Apple executive Ron Johnson.

He is stepping down from his post as the company's board chairman immediately and will stay on as a director and CEO through June 1. J.C. Penney appointed a team of several leaders to head a new "office of the CEO" while the company searches for a permanent replacement.

press release "JCPenney Announces Resignation of Chairman and CEO Marvin Ellison"