Wednesday, September 26, 2018

Gun Control Activists Successful at Smith and Wesson Holding Company Shareholder Meeting

CNBC has the story here.
The maker of Smith & Wesson firearms lost a prolonged fight with religious groups and other shareholders who have been pushing it to consider a plan to help reduce the harmful effects of its products.

The investors, led by The Interfaith Center on Corporate Responsibility, presented a resolution on gun safety at American Outdoor Brand's annual shareholder meeting Tuesday, the same resolution it successfully passed at Sturm Ruger earlier this year. And the preliminary voting showed the shareholders also won this fight.

The proposal calls on American Outdoor Brands, Smith & Wesson's parent company, to put together a report on whether the gun maker is adequately addressing the risks that its products are associated with gun violence and to show evidence it is exploring ways to make safer guns and products to reduce this violence.
The CEO of American Outdoor Brands, James Debney, stated the obvious when he said it was a politically motivated vote. This continues the trend of investor activism against gun manufacturers as liberal organizations like the American Federation of Teachers (AFT), among others, have pushed for gun control and prevent pension funds from investing in firearms manufacturers, especially those that manufacture modern sporting rifles. AFT also backed the Interfaith Center's proposal.

Smith and Wesson is the second firearms manufacturer targeted by Interfaith.  Ruger's shareholders passed a similar proposal in May at their stockholder meeting.

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