*1-800-Flowers Comes Out Smelling Like a Rose in AOL Deal
"This is a sign that 1-800-Flowers.com has some leverage here and is flexing its muscle," said Kristine Koerber, a senior analyst at WR Hambrecht.
"Given what's going on in the dot-com market, 1-800-Flowers.com is a good partner because it has a viable business model, good management and a strong brand name," she said. "They're not going out of business like other retailers."
Other analysts say that the deal is confirmation that 1-800-Flowers will reign the online flower market, as it is currently negotiating deals with other Web portals as well.
As part of the deal 1-800-Flowers will promote AOL on its Web site. The deal will go into effect Oct. 1.