Sturm Ruger shareholders approve proposal for gun-maker to report on risks of its business

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A revolver sits on display in the Sturm, Ruger & Co., Inc. booth on the exhibition floor of the 144th National Rifle Association (NRA) Annual Meetings and Exhibits.

Shareholders have won a vote at Sturm Ruger & Co. requiring one of the nation’s largest gun-makers to prepare a report about the risks of its business.

Ruger’s CEO, Christopher Killoy, said at the company’s annual meeting on Wednesday that the company will comply. “Shareholders have spoken,” he said.

But, he added, the winning proposal “cannot force us to change our business,” and “cannot change what Ruger is about and what we stand for.”

It was the first major test this year for faith-based shareholder groups, which have been urging the nation’s gun industry to act after recent extreme examples of gun violence.

Specifically, the proposal, backed by the Northwest Coalition for Responsible Investment, asks gun makers like Sturm Ruger to prepare a report about the financial and reputational risks associated with their business. The coalition plans to introduce a similar proposal on the proxy of American Outdoor Brands, which typically holds its meetings in the fall.

Two major shareholder voting advisory firms, Institutional Shareholder Services and Glass Lewis, threw their support behind the coalition’s proposal, while Sturm Ruger’s board had advised against it.

This is a developing story. Check back here for updates.