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JCPenney Cuts Martha Stewart Ties

Reportedly, ceo Ullman isn’t waiting for judge’s decision

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JCPenney Co. Inc. (Plano, Texas) has reportedly terminated its relationship with the Martha Stewart brand.

The New York Post reported over the weekend that ceo Mike Ullman decided to break ties with Stewart because he felt her efforts for the chain have been disappointing from both sales and style perspectives.

The decision would come as JCPenney, Stewart and Macy’s Inc. (Cincinnati) await a judge’s decision over conflicts of interest and breaches of contract among the brand and the two retailers. JCPenney had already been barred from using Stewart’s name on categories that overlapped with products her company had provided Macy’s under their existing contractual relationship.

The JCPenney-Stewart arrangement had been part of an effort by previous ceo Ron Johnson to preempt the preexisting deal between Macy’s and Stewart.

In the end, “Ullman made the decision for the judge,” according to a source whom the Post described as having been briefed on the situation. “They definitely are not going to carry [Martha Stewart home goods] any longer, and [they are] not waiting for the court ruling.”

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