NEW YORK (AP)  Martha Stewart Living Omnimedia (MSO) is bringing in a new celebrity: popular TV chef Emeril Lagasse. The media and merchandising company founded by domesticity maven Martha Stewart announced on Tuesday that it bought the rights to the Emeril Lagasse franchise of cookbooks, television shows and kitchen products for $45 million in cash and $5 million in stock at closing. The final price could reach $70 million if certain benchmarkets are achieved. The company did not acquire Emeril's Homebase, which includes Lagasse's 11 restaurants and corporate office. Martha Stewart Living said the deal will "contribute immediately to our performance," adding $8 million in earnings before interest, taxes, depreciation and amortization. The acquired assets generated $14 million in revenue in 2007. Martha Stewart Living expects the deal to close in the second quarter. Lagasse joined the Food Network in 1993 and has hosted over 1,600 shows. His programs The Essence of Emeril and Emeril Live reach more than 85 million homes daily. At the same time, Martha Stewart Living posted disappointing quarterly results. The publisher of such magazines as Martha Stewart Living forecast full-year revenue that was below expectations. RBC Capital analyst David Bank described the outlook and results as a "mixed bag," but said the Emeril deal adds another well-known brand name to the company, so it would not depend solely on Martha Stewart's name. "Both revenue and earnings per share were marginally below our prior expectations but they weren't materially so," he said, adding that the Emeril deal made strategic and financial sense. "The more you can bring into the mix away from Martha the better you are," he said. "Diversifying the brands in the portfolio is a positive thing." Net profit for the fourth quarter was $33.3 million, or 63 cents a share, compared with $16.2 million, or 31 cents a share, a year earlier. Revenue rose 22% to $118.5 million. Analysts were looking for earnings of 65 cents and revenue of $121.7 million, according to Reuters Estimates. It forecast a first-quarter 2008 operating loss in a range of $4 million to $5 million on revenue of $66 million to $67 million. Analysts on average were expecting a loss of $4.54 million on revenue of $70.9 million for the first quarter, according to Reuters Estimates. The company said it expects full-year operating income of $9.5 million to $14.5 million on revenue of $300 million. This compares with analyst estimates for a profit of $16.54 million on revenue of $333.86 million, according to Reuters Estimates. Contributing: Reuters Copyright 2008 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed. Enlarge By Alex Brandon, AP file Martha Stewart Living expects Emeril Lagasse products to add $8 million in earnings. Conversation guidelines: USA TODAY welcomes your thoughts, stories and information related to this article. Please stay on topic and be respectful of others. Keep the conversation appropriate for interested readers across the map.