Papa John's to pull founder from marketing

Papa John Schnatter- The Founder CEO & President of Papa John's Pizza

Papa John Schnatter- The Founder CEO & President of Papa John's Pizza

According to a report published by Yahoo Sports on Thursday, the league cancelled its deal with the company after it was reported the company's founder John Schnatter used the N-word during a conference call in May.

The person, who was notified of the decision but wasn't authorized to speak publicly, was not aware of any plans to change the pizza chain's name.

Schnatter has always been the face of the brand, appearing in TV ads for Papa John's, and the company has noted in regulatory filings its business could be harmed if Schnatter's reputation was damaged.

Schnatter stepped down from his role as CEO late a year ago after saying NFL players should stand for the national anthem and that their protests had hurt the company's sales. "He responded by downplaying the significance of his National Football League statement. 'Colonel Sanders called blacks n--s, ' Schnatter allegedly said, before complaining that Sanders never faced public backlash".

The source added that although Schnatter intended for his remarks to show his stance against racism, multiple people found it objectionable.

Schnatter resigned as company chairman late Wednesday after facing scrutiny for the remarks.

Schnatter confirmed the allegations in a statement Wednesday and apologized for his use of "inappropriate and hurtful language".

The company did not respond to Business Insider's request for comment on the chain's future marketing plans.

Every time the Orioles scored five runs or more in a game this season, customers received a 50 percent discount the following day on regularly-priced Papa John's menu items ordered online by using a promo code.

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