Money Minute: Penney, Martha Stewart Revise Deal; Casino Owner Probed

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As the world turns in the love triangle between Martha Stewart, J.C. Penney and Macy's. That's one of five money stories you need to know Tuesday.

Today - Season 62
Peter Kramer, NBC NewsWire via Getty ImagesMartha Stewart with host Matt Lauer on NBC's "Today" show.
J.C. Penney (JCP) and Martha Stewart Living Omnimedia (MSO) are revising their controversial marketing agreement, limiting the number of products they share. That deal has landed both companies in court on accusations that it violates an exclusive agreement Macy's has with Stewart. Macy's (M) says the changes represent a "tacit admission" that its exclusivity deal will be upheld in court.

This sounds like a movie plot, but it's for real. The owner of the famed Caesar's Palace casino in Las Vegas is under investigation for money laundering. Caesars Entertainment (CZR) confirms the probe and says it intends to cooperate with federal investigators, but it didn't have much else to say. It's not known if this had any impact on the company's decision Monday to pull out of a $1 billion casino project at a horse-racing track in Boston.

Stocks ended little changed Monday as investors held their fire ahead this morning's delayed employment report for September. The Dow Jones industrial average (^DJI) fell 7 points, the Standard & Poor's 500 index (^GPSC) was virtually flat and the Nasdaq composite index (^IXIC) gained 5 points. The tech-heavy Nasdaq is now up nearly 30 percent this year.

Shares of Netflix (NFLX) are likely to stay hot Tuesday. They've nearly quadrupled in value this year, and are set to jump some more after an upbeat earnings report. The stock has soared so much that even the company's top officials are trying to tamp down what they call "some of the euphoria." The company gained 1.3 million paying subscribers in the third quarter, giving it nearly 30 million domestic users. That puts it ahead of the long-time industry leader, HBO. Despite its growing popularity, Netflix isn't making a lot of money. It profit for the quarter totaled just $32 million -- a small fraction of what HBO makes.

And Apple (AAPL) has another well-guarded product rollout today. The widespread expectation is for an iPad makeover, probably with a bigger screen and a thinner design. The iPad mini could also get some upgrades. We're not expected any blockbuster announcements, but you never know with Apple.

-Produced by Drew Trachtenberg.


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58 Comments

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EXHAULTED RULER

There would have to be major changes for me to walk into their stores again. I usually get in one once or twice every two or three years.....Nothing changes, except the service, it get lousy-er every year.

October 22 2013 at 11:56 PM Report abuse rate up rate down Reply
Craigo

Dear DailyFinance Staff: Penney and Macy's are not a single combined entity. Why would you even try to say they are?

October 22 2013 at 9:54 PM Report abuse +1 rate up rate down Reply
Chris

About the Caesar's Entertainment Story:

Would this have anything to do with the sale of the former Harrah's in Maryland Heights, MO?

Just curious.

October 22 2013 at 9:30 PM Report abuse rate up rate down Reply
bootsnchaps60

I can recall when Marta Stewart was a big deal at Kmart. The products didn\'t appeal to me then and I\'m certainly not going to pay Macy\'s prices for them. Penny\'s can bring back Penncrest and wave bye-bye to Martha.

October 22 2013 at 9:24 PM Report abuse +2 rate up rate down Reply
billt16357

What JCP need is some good HEBREW MANAGMENT.....Get rid of the college boys trying to run this once great company

October 22 2013 at 9:17 PM Report abuse +2 rate up rate down Reply
rolltide1

when they stopped the catalog dept. i lost interest in them. they need to go back in a time warp to about 1995. I really liked jc penney then.

October 22 2013 at 8:58 PM Report abuse +3 rate up rate down Reply
jaysc219

In case the geniuses that run JC Penney haven't noticed, sales have already been dramatically scaled back for them by the consumer. And for a long time. This store is a horror chamber and it's plain scary to go in there. Why they are still in business who knows.

October 22 2013 at 7:44 PM Report abuse +1 rate up rate down Reply
metsbubbe

J.C. Penney can make a radical move by exclusively selling Made-In-America products. By doing this, you will give people hope and possibly increase American Manufacturing.

October 22 2013 at 7:17 PM Report abuse +3 rate up rate down Reply
1 reply to metsbubbe's comment
papajokr

Never happen. Especially with George Soros being a major stockholder. Soros is evil.

October 22 2013 at 10:31 PM Report abuse rate up rate down Reply
wmkeyser

Penny's need to focus BIG Time on it's internet sales. Ths is where it is happening. Get out of the brick and mortar - you don't have anything somebody needs to feel and touch in person. No, I don't want to be the CEO but an nice big thank you would do.

October 22 2013 at 6:24 PM Report abuse rate up rate down Reply
strid28

J.C PENNY s has the HIGHEST Credit CARD INTREST I use to LOVE that store !!!!!!! I spend many dollars in that store . for clinet .. which I would get the JCPENNYs CARD for BUT .. they raised there Intrest rate to %28 intrest I will NOT shop there due to this!!!!! and I called THEM .. 5 years ago to warn them, WHEN they did this ... NOR will I let anyone of MY clients PAY 28% intrest to some bank . that USES the name JCPENNYS when I called I was given the .. BS that all CCards are the same NO THEY are NOT ... so . I say JCPENNYs YOU have at %28 ripped off the america PUBLIC .. and were told . and you didnt care so .. YOU GET what you give I NO LONGER in 5 years shopped at your store GET A EVEN CREDIT CARD 28% is NUTS

October 22 2013 at 6:01 PM Report abuse +1 rate up rate down Reply
2 replies to strid28's comment
whiteoak

pay your bill in full every month and you don't have to worry about that 28%

October 22 2013 at 6:09 PM Report abuse +1 rate up rate down Reply
2 replies to whiteoak's comment
thedoo319

this is supposedly a family oriented store. i pay 14% on a master card . why dont they just hire loan shark . com to take care of their customers.

October 22 2013 at 7:01 PM Report abuse +2 rate up rate down
rdrvr1752

I'm old fashioned. Unless I'm buying a house or a car, if I can't pay cash for it I can't afford it.

October 22 2013 at 9:03 PM Report abuse +3 rate up rate down
Sheila

I am sure they cared that you will no longer shop there.

October 23 2013 at 1:23 AM Report abuse rate up rate down Reply