JCPenney, MSLO amend contract
HTT Staff -- Home Textiles Today, 7/12/2012 1:55:56 PM
New York - Martha Stewart Living Omnimedia filed a notice this morning with the Securities and Exchange Commission about changes to its contract with JCPenney, which includes upping the minimum JCPenney will pay to MSLO during the 10-year term of their co-merchandising arrangement.
According to the filing, the parties have broadened the number of product categories JCP will carry in its Martha Stewart home department shop-in-shops. It also added more categories of Stewart-branded products to the list of those that will be considered non-exclusive to JCPenney.
The product categories were not identified in the filing.
As a result of the changes, JCPenney's minimum guarantee to MSLO rose $100.5 million to $282.9 million. The sum is to be paid over 10 years.
The Martha Stewart shops and a jointly developed Martha Stewart ecommerce business are scheduled to debut in 2013.