Paula Deen's Restaurants to Close; Loses Wal-Mart Endorsement

People.com reports that Paula Deen is facing further setbacks after recently admitting she used racial slurs in her past. Yesterday, Caesars Entertainment Corporation, which operates as her restaurant chain, Paula Deen's Kitchen, in four of its casinos in Indiana, Illinois, North Carolina and Mississippi, announced that they would end their relationship with the celebrity chef.

In a statement, Jan Jones Blackhurst, executive Vice president of communications and government affairs for Caesars Entertainment commented, "While we appreciate Paula's sincere apologies for statements she made in her past that she recently disclosed during a deposition given in response to a lawsuit, after thoughtful consideration of their impact, we have mutually decided that it is in the best interests of both parties to part ways at this time."

In addition, the Wal-Mart chain, which carried Deen's eyeglasses and cookware lines along with other food products endorsed bythe 66-year-old, told People yesterday, "We are ending our relationship with Paula Deen Enterprises and we will not place new orders beyond those already committed. We will work with suppliers to address existing inventories and agreements."

Last week, the beleaguered chef learned that her contract with Food Network would not be renewed. She was also cut from her endorsement deal with Smithfield Foods, who carry a line of fine pork products.

A source told People, "she isn't upset about the loss of money. She's really upset about her reputation."