An investor group is warning retail giants such as Walmart and Costco against offering the abortion pill, citing potential legal and political dangers and the risk of alienating customers. The warning was distributed in letters signed by more than three dozen financial executives and shareholders who have collectively invested tens of millions of dollars in the targeted companies. The correspondence was sent in response to the New York City Comptroller’s request to encourage the retailers in question to add mifepristone, an abortion drug, to their inventory, arguing that failure to do so could allegedly harm investor sentiment and call into question the companies’ commitment to increasing sales and shareholder returns.
In direct contradiction to the New York comptroller’s claims, the investor group’s letters described the sale of the abortion pill as a potentially legally and politically charged move that entails significant risks to the company’s reputation. Their concerns range from potential litigation to the reduction of their customer base due to some consumers’ opposition to abortion. They also highlighted the current uncertainty surrounding the drug’s distribution in light of the Supreme Court’s recent ruling in FDA v. Alliance for Hippocratic Medicine, which leaves the legality of mifepristone in limbo.
The investors also argued for consideration of the potential loss of customers that could result from brand retailers being associated with this controversial product, not least because of the pill’s ability to terminate unborn life. They underscored this point by pointing to estimates from the Brookings Institution that raising a child born in 2015 is expected to cost over $310,000, including expenses for numerous items sold by these retailers, such as food, clothing, furniture and health items.
According to the investors’ letters, selling the abortion pill could exacerbate the crisis caused by the current record low birth rate. The group also pointed to the health risks associated with the drug, warning that the controversial nature of the pill and the risk to the mother’s health could drag retailers into an intense political battleground and damage their reputation. Robert Netzly, CEO of Inspire Investing, led the long list of signatories. Inspire Investing is known for its commitment to empowering Christian investors and promoting responsible investment strategies.
