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" Since Stewart's name was tied to the scandal, her company has seen its stock plummet 40 percent and suffered from declining sales, financial losses and defections among its advertisers â€â€?â€â€?â€â€? On the Net: http://www But Leddy added that with Stewart still the largest shareholder, she will remain extremely influential in the company " "It allows them to say they stepped away from Martha, but still allows them to keep all options open," he said Had she not stepped down, the SEC probably would have forced her to do so, because she is a convicted felon Marketing experts offered mixed reviews on Stewart's decision to leave the board without completely severing ties to the company " The company's annual report, filed late Monday with the Securities and Exchange Commission, offered a downbeat outlook "By moving away, you regain trust Because of the trial's outcome, Martha Stewart Living Omnimedia said it could suffer substantial financial losses "They should have announced that Martha was going away for a while to deal with her problems," he said A company spokeswoman said that Stewart will continue with her annual salary of $900,000 and annual guaranteed bonus of $300,000, which remains in effect until October Seth Siegel, co-founder of The Beanstalk Group, a trademark licensing agency, said that retaining Stewart in a creative role was a "generous fig leaf that the company gave her Stewart had been expected to relinquish her board seat ever since the verdict, but reportedly had been pressing to keep some creative non-officer role Martha Stewart Clings to Creative Role Mar 16, 10:41 AM EST The business empire founded by Martha Stewart hasn't seen the last of the homemaking queen, who owns 61 percent of the company's stock and plans to retain a creative role with the company despite her conviction in a stock scandal and her departure from the board The new position means Stewart, 62, will probably remain an influential part of the company, despite an impending prison sentence that could last more than a year "I am heartsick about my personal legal situation â€â€? and deeply sorry for the pain and difficulties it has caused our employees," she said in a statement Stewart stepped down Monday as chief creative officer of Martha Stewart Living Omnimedia and resigned from the company's board Chief executive Sharon Patrick said the company and its shareholders will "benefit most if we are able to continue to take advantage of Martha's creative inspiration and capitalize on her prodigious skills and experience in the domestic arts "I look forward to continuing to collaborate on a wide range of creative ideas with the amazing, talented and hardworking people at this very special company The shuffle is the latest fallout from Stewart's March 5 conviction on charges she obstructed justice and lied to the government about why she sold stock in a pharmaceutical company just before it plummeted in 2001 Stewart resigned as chairman and CEO last June after being indicted marthastewartliving " In Stewart's new role, she will provide creative inspiration for new products; write two books, "Homekeeping" and "Baking"; and provide advice on the company's brand and strategy, the company said Stewart also will have a role in choosing her successor on the board, the company said Robert Passikoff, president of Brand Keys, a New York marketing research company, said the move will probably have mixed results com The company said it's considering rebranding some of its products, selling assets and cutting staff "I think they are walking a tight rope between her as an asset and her as a liability," said Jamelah Leddy, an analyst at McAdams Wright Ragen who owns 1,000 shares of Martha Stewart Living But she was given the new title of founding editorial director, assuring her a role in developing new products and shaping company strategy He told senators the proposed DirecTV deal combined with eased media rules "threaten to seriously harm meaningful competition between media companies His group reported Thursday that FCC officials have taken more than 2,500 trips in the last eight years, most of them paid for by the telecommunications and broadcasting industries the agency regulates " Critics including lawmakers, academics, artists and consumer advocates warn that eased ownership rules could lead to a handful of giant companies controlling what people watch, hear and read The Senate hearing was the latest in a series on media consolidation held while the FCC considers whether decades-old ownership restrictions still reflect a market altered by satellite broadcasts, cable television and the Internet , the division of General Motors that operates DirecTV " National Rifle Association members have sent thousands of post cards to the FCC in recent weeks Fiske said the shows and conferences help officials stay current on technology they regulate House Energy and Commerce Committee Chairman Billy Tauzin, R-La 8 million S "This aquisition has the potential to profoundly change the multichannel video marketplace in the United States to the ultimate benefit of all pay-TV customers," Murdoch said in testimony to the Senate Commerce, Science and Transportation Committee Murdoch Defends DirecTV Acquisition May 22, 2:25 PM EST News Corp gov 6 billion, has yet to be approved by federal regulators "There will be no decrease in the number of U "It is time for the commission to act , which owns companies including Fox and Fox News Channel, struck a deal in April to acquire 34 percent of Hughes Electronics Corp chairman Rupert Murdoch sought to assure lawmakers Thursday that his proposed acquisition of DirecTV, the nation's largest satellite television provider, would not harm competition or limit consumer choices S " Charles Lewis, director of the Center for Public Integrity, questioned whether the FCC can be objective in the ownership review Critics have asked Powell to delay the vote to allow more public discussion, but Powell has said no households " Murdoch said the merger will improve DirecTV, providing consumers with more local TV stations and better high-speed Internet access competitors News Corp , wrote lawmakers Wednesday, asking them to oppose proposed legislation requiring the FCC to keep a rule preventing a single company from owning TV stations that reach more than 35 percent of U fcc "Mr FCC spokesman David Fiske said the trips are meant to be educational and are reviewed internally to make sure they are ethical It also would eliminate many restrictions on one company owning combinations of newspapers and TV and radio stations in the same city The deal, valued at $6 The report, based on public records, details trips worth more than $250 taken by agency commissioners and staff between May 1995 and February 2003 A proposal being considered by the commission would allow companies to own more TV stations in local markets A letter from the NRA told members that "a small group of top media executives could literally silence your NRA The Federal Communications Commission rejected a proposed deal last year between DirecTV and its chief competitor, EchoStar "The FCC is currently undertaking the most thoughtful and thorough review of our nation's broadcast ownership rules in the history of their existence," Tauzin said The two Democrats say Powell is rushing to vote without properly advising the public All the trips appear to be legal under government guidelines, the report said FCC Chairman Michael Powell and the two other Republicans on the five-member commission favor easing regulations, an outcome sought by many large media companies that say the rules are outdated The commission is to vote June 2 on overhauling the rules Many lawmakers and Commerce Secretary Donald Evans back him Murdoch owns a programming juggernaut," said Gene Kimmelman, public policy director for Consumers Union, which publishes Consumer Reports magazine The total cost of the trips was $2 â€â€?â€â€?â€â€? On the Net: FCC: http://www |
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