• This is a rush transcript from "Your World with Neil Cavuto," February 19, 2008. This copy may not be in its final form and may be updated.

    NEIL CAVUTO, HOST: Bam. Shares of Martha Stewart Living surging 70 percent. The company is snapping up most of the Emeril Lagasse empire for $45 million, plus $5 million in stock. Now, that deal includes TV shows, cookbooks, and kitchen products.

    So, what is Martha Stewart really up to? Well, we thought we would ask her. She joins us now in this exclusive chat.

    Now, we should point out, the profits at Martha Stewart Living more than doubling in the latest quarter, still shy of estimates. You know that Wall Street thing. Revenues were up 22 percent.

    Martha, good to have you.

    MARTHA STEWART, FOUNDER, MARTHA STEWART LIVING OMNIMEDIA: Yes, it is so great to be here.

    CAVUTO: Man, oh, man. You know, I was at a mall recently, not an experience I treasure, having nothing to do with how you have made this an iconic event for people. You are everywhere.

    STEWART: Good.

    CAVUTO: You are everywhere. I mean — I'm just wondering, I know you are at Kmart. I know you are at Macy's. And your brand is — is iconic. Do you ever wonder whether you are too everywhere?

    STEWART: Well, does Ralph Lauren wonder if he's every — too everywhere? I don't think so.

    I think — I think, if you have beautiful product and excellent product and practical product and useful product that is well-made, long- lived, and relatively inexpensive, then you are not too much — you are not too everywhere.

    And look at this stuff. This is showing...

    (CROSSTALK)

    CAVUTO: You always bring stuff with you. You always bring stuff.

    STEWART: I do. I do. It's show-and-tell time.

    CAVUTO: You are such a good marketer.

    STEWART: But these beautiful embroidered Trousseau linens, one of our best sellers at our new Martha Stewart collection at Macy's, gorgeous.

    CAVUTO: How much would that go for?

    STEWART: Well, the pillowcase itself is — let me see if it says the price on it here — $85.

    CAVUTO: OK.

    STEWART: It is so beautiful. Go up Madison Avenue, it will be three or four times that.

    Beautiful Wedgwood. Our line is now number one on the Macy's wedding registry. And I am very, very pleased about that, because the colors surprising, robin's egg blue borders, a beautiful green border.

    These are iconic Martha Stewart kinds of things.

    CAVUTO: And you give the final approval with this stuff, right?

    STEWART: Oh, yeah. I...

    CAVUTO: If it doesn't pass muster with you, it's not getting out there?

    STEWART: Well, what I like to say all the time to my wonderful design team and wonderful creative people is, do you want it? And if the answer is no, then pretty much we hope it won't get in the line.

    CAVUTO: All right. But most people are not as finicky as you, right?

    STEWART: Well...

    CAVUTO: So, if it passes a test with you, I guess...

    STEWART: Well, you have to be finicky.

    CAVUTO: Sure.

    STEWART: And you have to really care about what you are putting out there for people to eat, to drink, to sleep on, to cook with. And that is why the Emeril thing today.

    CAVUTO: Yes, what is the...

    STEWART: Yes.

    CAVUTO: What is happening?

    (CROSSTALK)

    STEWART: Well, this is our first big acquisition.

    CAVUTO: My impression with him is that he is yesterday's news.

    STEWART: Oh, well, how can you say that? Emeril...