J.C. Penney to leave Martha Stewart brand

J.C. Penney to leave Martha Stewart brandRetail giant, J. C.  Penney has indicated that it is planning to leave the Martha Stewart brand after the home maven's goods recorded poor sales.

According to people closer to the matter, the retail chain is not interested in doing business with the brand as it recorded lower sales.  The retail chain is aiming to revive its business and might be planning to move on from the brand after a tug of war for the brand with rival Macy's.  Penney and Macy's were engaged in a legal battle over the brand's pre-existing partnership with Macy's.

Penney's former CEO Ron Johnson had signed a merchandising deal with Martha Stewart in 2011and believed that it would play a major role in the revival of the retail chain.  Johnson was replaced by Myron Ullman, who has decided it move away from the home-goods line for revival after it showed lower sales.

A judge is expected to announce the decision in the case within the coming days.  Macy's shares rose 1.8 per cent Thursday.  Penney shares jumped 5.3 per cent while that of Martha Stewart Living Omnimedia fell 6.1 per cent.