Martha Stewart Living
Monday gave back some of their huge gain from Friday, driven by a relief rally over the company founder's prison sentence.
Shares fell 82 cents, or 6.9%, to $10.99, having jumped almost 37% in the wake of what some legal experts considered a light sentence for the home style diva -- and favorable one for the company's future prospects. More than 17 million shares changed hands Friday.
Volume was still above normal Monday -- at 2.8 million, it was more than five times the average daily volume of about 508,000 shares.
Martha Stewart was sentenced to five months in prison and another five months of home confinement by a federal judge in New York. She also received two years of probation and a $30,000 fine.
Stewart will be free on bond pending an appeal for her conviction in the government's obstruction of justice case against her and her former
broker Peter Bacanovic, who received the same sentence.
U.S. prosecutors had asked the judge to impose the strictest sentence possible. Lawyers had predicted that Stewart most likely would receive a term of about a year.
Stewart was convicted March 5 of lying to the government about her well-timed sale of about 4,000 shares of
in December 2001. She was convicted on all four counts in the obstruction-of-justice case.
In a news conference after her sentencing, Stewart said she'd "be back" and asked readers and advertisers to return to her magazines.
Current management at her company also welcomed the judge's decision.
"After 26 months of uncertainty, we see this as an important step toward closure for Martha Stewart Living," the company said in a statement. "In the face of difficult events, our talented employees continue to develop inspired and original 'how-to' information and products for the home. We thank them, our loyal customers and advertisers and our stalwart distribution and manufacturing partners for sticking with us through these challenging times."