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Portland Is First U.S. City to Divest Funds from Walmart

On Thursday, May 15, the city of Portland got rid of $9 million, or 25 percent, of its investments in Walmart. This marks the beginning of a divestment program that will purge Portland's investment portfolio of $36 million in Walmart bonds by 2016, according to a press release. The divestment plan is part of the city's responsible investment initiative, introduced by City Commissioner Steve Novick, and adopted in October 2013. The initiative also prohibits the city from purchasing Walmart bonds in the future.
 link to www.yesmagazine.org

Portland Is First U.S. City to Divest Funds from Walmart

The initiative also prohibits the city from purchasing Walmart bonds in the future.

by Laura Garcia, Molly Rusk
posted May 16, 2014

On Thursday, May 15, the city of Portland got rid of $9 million, or 25 percent, of its investments in Walmart. This marks the beginning of a divestment program that will purge Portland's investment portfolio of $36 million in Walmart bonds by 2016, according to a press release. The divestment plan is part of the city's responsible investment initiative, introduced by City Commissioner Steve Novick, and adopted in October 2013. The initiative also prohibits the city from purchasing Walmart bonds in the future.

Portland is not only discontinuing its investments in Walmart, but has set up a committee to advise it on making socially responsible investments in the future. The committee will address issues like abusive labor practices, corruption, and health concerns, among other things.

During a press conference on May 15, Commissioner Novick encouraged other cities to adopt similar initiatives.

From what I can tell, no other U.S. city has looked at socially responsible investing in quite the same way as Portland. I'm hopeful other cities and states take note and adopt similar investment principles to hold companies accountable and align our investment policies with our values.

Meanwhile, the company's net income fell 5 percent, and shares fell 2 percent, in the first quarter of 2014, failing to meet Wall Street's expectations for the third time in five quarters.

Walmart blamed its poor performance on bad weather.

homepage: homepage: http://www.yesmagazine.org/new-economy/portland-is-first-city-to-divest-funds-from-walmart
address: address: YES! Magazine


good. 20.May.2014 06:11

9i

Good, but for a different reason. Walmart's stock price has stayed stagnate for over a year, and the forecast for retail stocks sucks. Which is probably the real reason they dumped it.
Walmart does nothing that K-Mart, Target, Best Buy, etc. doesn't do it just happens to be the biggest so therefore its a target.

municipalities have to invest in the market in order to fund their employees pensions. Something that many are finding out weren't funded very well. Illinois is 100 billion in the red on pensions. That's about $20K for every man, woman and child in Illinois. You can't be a good communist unless you are a good capitalist first.

Maybe... 20.May.2014 10:48

let them go

What they haven't done is invest in themselves. Illinois may be a poster child for corruption in government whatever political stripe one wears. Walmart has become a symbol of nation-wide corruption and manipulation of local public interest. Is it about communism or capitalism or that what we've done is manipulated the circulation of wealth to some never-neverland and Walmart's local reinvestment is minimal and second-hand at best? I don't have a problem with private capital, but seems in this current culture 'capital' of this nature has little meaning at the level at which their customers reside.