Publicis Groupe's Saatchi & Saatchi, considered a favorite in Wal-Mart's creative and media review, has withdrawn.

Four agencies are still pursuing the $580 million account, which many thought would go to Saatchi, particularly after Wal-Mart named Saatchi & Saatchi X agency of record for in-store advertising and employee communications, writes AdAge. Conjecture regarding the departure points to the progress that Saatchi has supposedly made with Wal-Mart competitor J.C. Penney.

Update: J.C. Penney has ended its six-year relationship with Omnicom's DDB Chicago and is expected to move its $430 million account to Saatchi & Saatchi, reports AdAge, citing executives familiar with the situation.

The agencies remaining in Wal-Mart's review are Omnicom Group's GSD&M; Interpublic Group's Draft FCB Group and The Martin Agency; and WPP Group's Ogilvy & Mather. Final pitches are expected to take place the second week of October.