Big deal: General Electric’s train engine division will combine with railroad equipment maker Westinghouse Air Brake Technologies in a deal worth $11.1 billion as GE CEO John Flannery continues to break off parts of the conglomerate. GE announced Monday it will get $2.9 billion in cash and will own 50.1 percent of the combined company. The companies’ stocks gained modestly on Monday but GE ended the week down 2.3 percent to $14.63.
Tech bump: Technology stocks on Monday had a broad rally, primarily led by Micron Technology’s news that it had raised its profit and revenue forecasts for the fiscal third quarter. Micron ended the week up 13 percent at $61.35.
Leadership change: J.C. Penney was one of the worst performers Tuesday among both small companies and retailers after announcing that Chairman and CEO Marvin Ellison will leave to become CEO of Lowe’s. He worked at Lowe’s rival Home Depot for 12 years before he was hired by J.C. Penney, which reported weak first-quarter results less than a week ago. On Tuesday, shares of the Plano, Texas-based retailer dropped to $2.35, their lowest since at least 1980. They kept falling, ending the week at $2.30.
Disappointing quarter: Ellison is joining a company that reported a mostly disappointing first quarter on Wednesday as harsh winter weather cut into the traditional spring sales season. However, Lowe’s stock surged despite the news because it also forecast stronger sales growth for the rest of the year. The retailer’s stock closed on Friday at $96.69, a 12 percent gain for the week.