• This is a partial transcript from "Your World with Neil Cavuto," April 7, 2006, that was edited for clarity.

    DAVID ASMAN, GUEST HOST: Well, if you thought Martha Stewart was down for the count, think again. Since her release from prison, her business is back, and so is her stock, scoring deal after deal, with Sirius Satellite Radio, a new magazine, designing upscale homes, also grabbing six Emmy nominations for daytime TV.

    Now the Martha Stewart brand will be in Macy's, inking a deal to stock a line of home furnishings. Well, she told Neil Cavuto all about it, a lot about more, in an exclusive one-on-one interview. Here it is.


    NEIL CAVUTO, HOST: All right, with Martha Stewart.

    Now Macy's.


    CAVUTO: I think you are invading all the stores. What's so unique here?

    STEWART: Well, we are very excited that we now have the opportunity to offer uniquely designed, wonderfully made merchandise at the department store level of the retail pyramid.

    There is going to be 810 Macy's stores by September. Our contract starts immediately. We start the design process. But the merchandise will be in the stores in 2007. But this is a big deal for Martha Stewart, for our shareholders, and for the public in general, because we are going to be able to provide everyone with great product at the department store.

    CAVUTO: Well, obviously, I mean, the stock, on news of this, popped up 12, 13 percent last time.

    STEWART: Excellent.


    CAVUTO: So the Street seems to be feeling that your company is back with a vengeance. But the Street is fickle on your stock. Do you pay much attention?

    STEWART: Well, it's funny. I am no longer the CEO. Susan Lyne has taken over the reins. She is doing a wonderful job. I know you have...

    CAVUTO: You own a few shares.

    STEWART: Yes.

    I know you have talked to her a few times.

    CAVUTO: Right.

    STEWART: And I am really working with the creative teams to do these fantastic things that we are doing creatively.

    CAVUTO: But you never peek at the stock?

    STEWART: I do peek at the stock.


    STEWART: Of course I peek at the stock.

    But I'm not worried about it. I think we are well on our road to a very fine future and a full recovery from any of the problems that we experienced in the past couple years. And I am very pleased with the way everything is going.

    To partner with people like Bruce Karatz of KB Home, our homes are fantastically successful so far. I mean, we have just started, but a big, big success.

    To do that, to have Terry Lundgren of Federated understand the brand and want the brand in such a big way for Macy's, to be able to partner with EK Success on a craft business that is going to change, I think, the world of crafts.

    CAVUTO: But you just mentioned all over the income map, right? I mean, the stuff you do with Kmart obviously is going to be very different than the stuff you do with Macy's, right?

    STEWART: Oh, yes. Oh, yes. And that's the plan. It should be different.

    CAVUTO: But do you think, then, you confuse folks?

    STEWART: No, I don't think so, because when you think of designer goods, other designers have things in various places. And there's not really a confusion.

    Martha Stewart Everyday brand is Kmart. It is wonderful merchandise. We are very proud of what we have done with Kmart over the years. And now we are able to move up to a little bit more affordable luxury at the department store level. We are able to offer...

    CAVUTO: Is Neiman Marcus, Saks next? What?

    STEWART: Well, you never know.


    CAVUTO: You never know.


    STEWART: Could I ask you this? I mean, since you came out of prison, you have had no shortage of offers, no shortage of folks who want to hook up with your business, want to offer you shows, magazine joint projects. Are you surprised at that?

    STEWART: I'm pleased. I'm really pleased, because I think that, underneath everything, people understand that what we stand for is excellence in the products that we produce.

    The magazines — oh, we just had, I think, five nominations for the ASME Awards this year, two for general excellence, one for Martha Stewart Living, and one for Everyday Food, and three design awards out of six.