Friday September 6th, 2013 - 3:10PM
Martha Stewart Living Omnimedia (MSLO) has denied recent reports suggesting the company’s relationship with JC Penney was ending. In a statement issued by MSLO obtained by HOMEWORLD BUSINESS®, the company stated, "J.C. Penney remains one of our many retail partners. Our agreement with them is in force, and we have no intention of ending it.
"We are committed to working with them to design high-quality, beautiful and affordable products for consumers around the country," MSLO added.
A recent report in the New York Post indicated that JC Penney had decided to end its relationship with Stewart, suggesting that disappointing sales and a legal battle with Macy's, had made the continued relationship between the retailer and the home furnishings diva untenable.
As previously reported in HomeWorld Business, Macy’s Inc. filed suit against J.C. Penney Co. in August 2012 regarding the rights to sell Martha Stewart-branded products. Macy’s had also filed suit against MSLO in January of 2012 to stop it from executing a sales agreement that was announced in December of 2011 with J.C. Penney. Macy’s claimed an exclusive right to sell Martha Stewart products in certain categories.
Although a New York judge hasn't yet laid out a ruling on the battle between the two retailers, according to the Post, JC Penney CEO Mike Ullman has decided not to carry Martha Stewart branded home goods.
Shares of MSLO on September 4 closed at $2.32, down 5.7%, the Post also reported, while Penney shares gained 5.3% on the same day.