ARLINGTON, Va. — An animal-rights group dropped its defamation lawsuit against talk-show host Rosie O'Donnell after she clarified comments she made on her show about the group's opposition to leather.

Norfolk-based People for the Ethical Treatment of Animals sued for defamation after O'Donnell said on a show last year that certain types of leather pants sold at The Gap were PETA-approved.

What O'Donnell was apparently referring to was a decision by The Gap to stop using Indian and Chinese leather after a PETA campaign highlighting alleged industry abuses in those countries.

PETA opposes all use of leather. When the show refused to retract O'Donnell's statement, the group sued in Arlington County Circuit Court for $350,000.

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On "The Rosie O'Donnell Show" Thursday, O'Donnell clarified her earlier statement, saying "PETA feels no one needs to wear any leather apparel at all."

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