Martha Stewart Agrees to Ban on Public Company Service
Stewart is also prohibited from participating in financial reporting and disclosure, internal controls, audits, SEC filings and monitoring compliance with the federal securities laws over the next five years. Whether Stewart’s media empire needs her remains to be seen. The company recently reported improved operating results for the second quarter of this year. Specifically, it reported revenues of $67.4 million in the second quarter of 2006, a 47 percent increase over the previous year. The increase was driven primarily by growth in the company’s publishing segment, the company reported. The company’s publishing revenue grew 29 percent to $40.9 million, sparked by a 47 percent increase in pages in Martha Stewart Living and a 22 percent increase in Everyday Food.
Operating income was $6.1 million, compared to operating loss of $3.3 million in the second quarter of last year. In the second quarter of 2006, the company invested $1.7 million in the launch of Blueprint magazine, which will publish its second issue in August, followed by six more issues in 2007.