Stewart Cancels Appearance on CBS

Martha Stewart canceled her weekly appearance this morning on CBS’ “The Early Show” late Tuesday, saying she does not want to comment further on allegations she used insider information when selling ImClone Systems Inc. stock.

“CBS is a premier news network and, as such, they are compelled to interview Martha Stewart regarding the ImClone matter,” Stewart’s statement read. “She is unable to comment or offer any other information at this time out of respect for the investigatory process. This inherent conflict unfortunately prevents Martha from appearing tomorrow.”

A CBS spokeswoman did not return calls for comment.

Other than one formal statement and her CBS appearance last week, Stewart has shunned the spotlight since the ImClone allegations became public.

However, her company, Martha Stewart Living Omnimedia Inc., has hired Brunswick Group, a public relations strategy firm, apparently to do damage control.

Stewart has denied wrongdoing in her sale of nearly 4,000 ImClone shares one day before the Food and Drug Administration rejected ImClone’s experimental cancer drug, which sent the stock plummeting. She reportedly is facing a probe involving charges of obstruction of justice and making false statements.

One of Stewart’s few public comments about the scandal came last week during her “Early Show” spot, when she called the matter “ridiculousness” while she chopped cabbage.

But that appearance, in which she tried to end the questions by saying, “I just want to focus on my salad,” became more fodder for those who have parodied and pilloried her recent behavior.

Since news of the investigation broke last month, shares in Martha Stewart Living Omnimedia have fallen by as much as half, though they have recovered a bit. Shares rose $1.10 to $12.60 Tuesday on the New York Stock Exchange.