Monday, April 30, 2007

Wal-Mart anti-union tactics criticized by Human Rghts Watch

Wal-Mart anti-union tactics criticized by Human Rghts Watch
By MarketWatch
Last Update: 8:37 ET Apr 30, 2007







NEW YORK (AP) -- Wal-Mart Stores Inc.'s exploitation of weak U.S. labor laws interferes with workers' rights to organize and violates the human rights of its employees, according to a report by Human Rights Watch, an independent nongovernment organization.

In a 210-page report released Monday, Human Rights Watch said Wal-Mart uses an arsenal of sophisticated tactics - some of which it says are illegal - aimed at thwarting union organization and creating a climate of fear for its 1.3 million U.S. workers.

The Human Rights Watch study was based on interviews with 41 current and former Wal-Mart workers, managers, labor lawyers and union organizers between 2004 and early 2007. The organization also said it analyzed cases against Wal-Mart charging the company with violating U.S. labor and employment laws.

While Wal-Mart Stores is not alone in engaging in illegal anti-union tactics, the retailer "stands out for the extreme sophistication and aggressiveness of its anti-union strategies," said Carol Pier, senior researcher on labor rights and trade for Human Rights Watch and author of the report.

Pier noted that while Human Rights Watch had been following reports on Wal-Mart's anti-union efforts, what was missing from the debate was a "human rights analysis" and a roadmap to its systematic approach. With Wal-Mart being the largest private employer in the States, Pier noted that "the company's treatment of its workers has significant impact in the U.S. and beyond." She emphasized that the report was not funded by labor unions and the group is not an anti-Wal-Mart organization.
But Wal-Mart was quick to dismiss the study's allegations as untrue and unsubstantiated.

"Wal-Mart provides an environment of open communications and gives our associates every opportunity to express their ideas, comments and concerns," said David Tovar, a spokesman at Wal-Mart, in a statement. "It is because of our efforts to foster such an environment that our associates have repeatedly rejected unionization attempts."

He said the company "respects our associates' right to a free and fair unionization vote through a private, government-supervised process and we remain committed to compliance with U.S. laws regarding workers' rights to unionize."

Tovar added that less than 5% of all retail workers in the states are part of a union, so the current trend is not unique to Wal-Mart.

In a statement, Justin Hakes, legal information director at the National Right to Work Legal Defense Foundation, a nonprofit group, called the study "the latest tactic in the aggressive efforts by union officials to force union affiliation on Wal-Mart's workforce."

Human Rights Watch is using the report to call on Congress to pass the Employee Free Choice Act. The EFCA - which passed the U.S. House of Representatives in March and is now under consideration in the Senate - increases penalties for labor law violations. The legislation also would restore what the group calls a "democratic" union selection process by requiring employers to recognize a union if a majority of workers sign cards showing their support. Currently, employers can force union elections and then intimidate workers with their aggressive anti-union message during the campaign period, Human Rights Watch said.

Unions have been trying to organize Wal-Mart for years, but after failing in several attempts to represent workers at individual Wal-Mart stores, union-backed groups like WakeUpWal-Mart.com have emerged to embrace a broader strategy that goes beyond its employees and aims to get the retailer to improve its wages, health care benefits, environmental record and to be a better neighbor.

According to Human Rights Watch, Wal-Mart uses training sessions, videos and other means to indoctrinate its employees on the negatives of joining a union, tactics that the group says starts on the day employees start their job. The company also gives explicit instructions to managers on how to prevent union formation, according to the report. The report said that Wal-Mart generally responds within a few days to workers organizing by dispatching from headquarters members of its Labor Relations Team.

According to Pier, Wal-Mart engages in illegal tactics such as restricting the dissemination of pro-union views and firing workers for their union activity, in extreme cases. According to former workers and managers at one store, Wal-Mart ordered the repositioning of surveillance cameras to monitor union supporters.


-Contact: 201-938-5400












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Sunday, April 29, 2007

Kroger beating Wal-Mart

Kroger beating Wal-Mart
Market share is growing
BY JOHN ECKBERG





Wall Street is getting a taste of the Kroger Effect.

Grocery store industry watchers long believed that when Wal-Mart entered a market where the century-old Kroger Co. dominated, the Cincinnati-based grocer lost customers and cash to the bare-bones retailer from Bentonville, Ark.

But an analysis of regions where Kroger went head-to-head with Wal-Mart last year shows Kroger usually came out with a marginally greater slice of the market.

The results indicate that a recent building binge of supercenters by Wal-Mart not only failed to garner it more market share, but may have led a growing number of shoppers to seek out Kroger's neighborhood shopping approach.

In addition to emphasizing convenience, Kroger is closing the price gap.

A pricing analysis by Bank of America analyst Scott Mushkin last fall found that Kroger's prices were 7.5 percent higher than nearby Wal-Mart supercenters, compared to 20 percent to 25 percent five years ago.

Wall Street is rewarding Kroger's strategy by driving its share price to record levels last week, closing Friday at $29.73.

Kroger thrives when Wal-Mart comes calling, David B. Dillon, Kroger chairman and chief executive, told Wall Street analysts during a March conference call.

"There are 34 major markets in which supercenters have achieved at least a No. 3 market share," Dillon said.

"Our share increased in 27 of those 34 markets."

Kroger competes against 1,262 supercenters - a 10 percent increase in stores from 2005 - and of those centers, 1,000 are operated by Wal-Mart.

Yet in the 44 major markets in the United States where Kroger operated nine or more stores in 2006, the company increased its market share, Dillon told the analysts.

Kroger lost market share in six markets and remained unchanged in one region.

That means Kroger is more than four times more likely to sell more groceries than to sell fewer groceries in markets with a strong Wal-Mart presence, according to the Kroger report.

Meanwhile, Wal-Mart is seeing its largely suburban supercenters losing same-store sales - a retail measure comparing annual sales at stores open more than a year.

Kroger officials declined to comment on the battle for dominance with Wal-Mart beyond the statistics cited by Dillon in March.

But the numbers tell the story: In 2006, the company earnings jumped 16 percent to $1.11 billion. Earnings per share were $1.54 per share - up from $1.31 in 2005 - and it projects 2007 earnings of $1.60 to $1.65 a share - a growth of 9 percent to 12 percent over 2006. The fourth quarter 2006 earnings were 54 cents per share, or $384.8 million for the quarter - a 36.4 percent increase over fourth quarter 2005.

WAL-MART DISAGREES

Wal-Mart had no trouble rebutting the Kroger market share analysis.

"We continue to grow and have regained position as No.1 on the Fortune 500 list of companies," said Mia Masen, director of corporate affairs for Wal-Mart's Midwest Division. "We are a No. 1 shopping destination for Americans. New customers continue to go to supercenters, particularly in Ohio."

Kroger has done a pretty good job in trying to update its stores, and that has helped with shoppers, said Britt Beemer, chairman and founder of America's Research Group, a consulting firm based in Charleston, S.C. One challenge for Wal-Mart may be customer service, said Beemer.








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Wal-Mart Filing Puzzles Analysts

Wal-Mart Filing Puzzles Analysts
This article was published on Saturday, April 28, 2007 5:13 PM CDT in Business
By Anita French
The Morning News






Wal-Mart filed what some analysts called an odd statement with the U.S. Securities and Exchange Commission late Thursday that seems to try and justify the $29 million President and CEO Lee Scott earned last year.

The Bentonville-based retailer filed its annual proxy statement April 19 outlining Scott's and other top executives' compensation. On Thursday, the company followed up with a two-page document that began with an explanatory note saying Wal-Mart had provided statements in response to a media inquiry regarding the company's executive compensation.

The document goes on to outline Wal-Mart's financial performance last year and how sales had grown under Scott's leadership. The company then includes a statement that seems an attempt to justify Scott's compensation.

"More than 85 percent of our CEO's compensation, as set by an independent board committee, is tied to the company's financial performance. Lee Scott's compensation is benchmarked with the CEOs of other publicly traded U.S. retailers and large companies. When compared to other companies, it is among the lowest as a percentage of annual revenue and net income," the statement says.

Wal-Mart spokesman John Simley said the company filed the unusual document "in anticipation of any questions we might get about executive compensation."

"Under SEC rules, when a director is standing for election or there are shareholders proposals relating to compensation, we have to file any responses to news media with the SEC," he said. "If we were to say something, it may constitute solicitation of shareholders. In order to prepare for any questions from the news media, we have to file our answers."

In its proxy statement, Wal-Mart said Scott, 58, earned $1.3 million in base salary, which was unchanged from fiscal 2006. Scott received an incentive payment of $4.3 million, which was based on the total company attaining 82.42 percent of its maximum pre-tax profit improvement performance goal for fiscal 2007.

He also received $15.3 million in stock awards and $8.1 million in option awards, along with $422,680 in other compensation and $308,390 in changes in pension value and nonqualified deferred compensation earnings.

Scott's total compensation was $29.7 million, but the stock options and restricted stock awards will not vest for several years and are based on the company's performance.

Jeff Macke, founder and president of Macke Asset Management, said in March that Scott's stock award of $22 million seemed extreme in light of Wal-Mart's recent financial performance.

"I've no idea what their logic was. I'm a capitalist, but I'm not sure how you can justify $22 million," he said at the time.

On Friday, Macke seemed equally perplexed at Wal-Mart's follow-up filing with the SEC.

"It's bizarre," he said. "Better to remain silent. Justification seems the obvious reason behind it, but there's nothing about his compensation being tied to shareholders. There should be some relationship between pay and return to shareholders.

"The financial arguments make sense to an extent, but the idea that employees are proud of him is nice but has nothing to do with his compensation at all."

Fund manager Patricia Edwards of Wentworth, Hauser and Violich in Seattle, also said she had never seen an SEC document like the one Wal-Mart filed.

"They seem to want to be able to make sure the public has the information they have as reasons for the compensation. It's fine, but not everyone is going to agree with it," she said.

Wal-Mart's most persistent critic, Wal-Mart Watch of Washington, weighed in with its own statement. Spokesman Nu Wexler called the SEC document "defensive and misleading."

"It's awfully hard to justify a $29 million CEO salary when your stock is dead money, your upscale strategy was a flop, and you've just posted the lowest same-store sales growth in the history of the company. Lee Scott's spending a lot of time putting out public relations brushfires and Wal-Mart's senior management team seems to be losing its focus on the fundamentals," he said in an e-mail.

Wal-Mart's stock price has remained sluggish since Scott took over the company almost seven years ago. The company also has had to defend itself recently against attacks over its wages and health benefits, largely from Wal-Mart Watch and another union-backed organization, Wake-Up Wal-Mart.

Text of Wal-Mart's SEC filing on Thursday:

"Lee Scott leads the largest and most complex company in the world and has delivered strong financial performance. Last year alone, sales were up $37 billion and income from continuing operations increased by $770 million from the prior fiscal year. Since he became CEO in 2000, annual sales have more than doubled to $345 billion and income from continuing operations has grown 126 percent to $12.2 billion. Compound annual growth rates are strong in almost every major category: net sales 12.3 percent, income from continuing operations 11.8 percent, EPS from continuing operations 12.9 percent.

We have maintained double-digit annual growth rates in sales and income from continuing operations, which is almost unprecedented for a company this size. More people than ever are shopping at Wal-Mart and that's why we are once again the number one company in the Fortune 500.

More than 85 percent of our CEO's compensation, as set by an independent board committee, is tied to the company's financial performance. Lee Scott's compensation is benchmarked with the CEOs of other publicly traded U.S. retailers and large companies. When compared to other companies, it is among the lowest as a percentage of annual revenue and net income.

Our associates respect that Wal-Mart has a well-recognized culture of opportunity. They are proud that their CEO started as a manager in the trucking division and has stayed with the company for 28 years. They're also proud that his leadership - through sustainability initiatives and the $4 prescription drug program -- reflects the company's purpose of saving people money so they can live better."

SOURCE: Wal-Mart Stores Inc., U.S. Securities and Exchange Commission











All content © The Morning News. Unauthorized distribution prohibited.

Saturday, April 28, 2007

Group fighting Wal-Mart superstore

Group fighting Wal-Mart superstore
Miami Twp. residents say the retail behemoth's plan to build near I-675 would increase flooding in the area.
By Steve Bennish
Staff Writer
Monday, April 09, 2007




MIAMI TWP., Montgomery County — A new Wal-Mart Supercenter near the Dayton Mall, which would replace an older Wal-Mart store on Springboro Pike, seemed a sure thing.

But a challenge from a local citizens group has the project on hold.

The citizens, who have hired a Cincinnati attorney to fight the project before the state's Environmental Review Appeals Commission, argue that the superstore could increase storm water runoff and flooding in the residential area north of Ohio 725.

They argue that the Ohio EPA should not have awarded the corporate retail giant a special permit to fill in .9 acres of wetlands and turn 2,750 feet of three unnamed tributaries to Holes Creek into a culvert.

The proposed 184,000-square-foot store and its 1,000-vehicle parking lot — to be wedged between Kingsridge Drive and I-675 — would occupy the last undeveloped parcel near the Dayton Mall and in an area packed with retailers and restaurants.

The independent three-member commission appointed by Ohio's governor can overturn or modify the OEPA permit. No date has been set by the commission for an administrative hearing, which could then be followed by a decision.

Any decision the commission makes can ultimately be appealed to the Ohio Supreme Court.


Contact this reporter at (937) 225-7407 or

sbennish@DaytonDailyNews.com.











Copyright ©2007 Cox Ohio Publishing, Dayton, Ohio, USA. All rights reserved.

Friday, April 27, 2007

Wal-Mart Justifies CEO Pay in Proxy Amendment

Wal-Mart Justifies CEO Pay in Proxy Amendment
By Arkansas Business Staff
4/27/2007






Because of a media inquiry regarding the Wal-Mart Stores Inc.’ executive compensation practices, the company on Thursday filed an amendment to its recent proxy in which it reported total compensation for president and CEO Lee Scott of $29.7 million for fiscal 2007.

Here’s the text of the filing with the Securities & Exchange Commission:

“Lee Scott leads the largest and most complex company in the world and has delivered strong financial performance. Last year alone, sales were up $37 billion and income from continuing operations increased by $770 million from the prior fiscal year.

Since he became CEO in 2000, annual sales have more than doubled to $345 billion and income from continuing operations has grown 126 percent to $12.2 billion. Compound annual growth rates are strong in almost every major category: net sales 12.3 percent, income from continuing operations 11.8 percent, EPS from continuing operations 12.9 percent.

“We have maintained double-digit annual growth rates in sales and income from continuing operations, which is almost unprecedented for a company this size. More people than ever are shopping at Wal-Mart and that’s why we are once again the number one company in the Fortune 500.

“More than 85 percent of our CEO’s compensation, as set by an independent board committee, is tied to the company’s financial performance. Lee Scott’s compensation is benchmarked with the CEOs of other publicly traded U.S. retailers and large companies. When compared to other companies, it is among the lowest as a percentage of annual revenue and net income.

“Our associates respect that Wal-Mart has a well-recognized culture of opportunity. They are proud that their CEO started as a manager in the trucking division and has stayed with the company for 28 years. They’re also proud that his leadership – through sustainability initiatives and the $4 prescription drug program – reflects the company’s purpose of saving people money so they can live better.

The Arkansasbusinss.com article that ran April 20 noted that Scott’s total compensation “includes option awards and stock awards that he hasn’t actually pocketed.”

The stock options and restricted stock awards will not vest for several years and are based on the company’s performance, the article said.








Copyright © 2007, Arkansas Business Limited Partnership. All rights reserved.

Wal-Mart Supercenter is opening in Franklin, but some residents say they are worried

Wal-Mart Supercenter is opening in Franklin, but some residents say they are worried
Share your thoughts on this
By Christopher Magan
Staff Writer
Monday, April 16, 2007





FRANKLIN — Chester Shockley Jr. is one of many residents happy the world's largest retailer is set to open a Supercenter Wednesday on Second Street.

Shockley, a digital photo buff, just returned home from a Caribbean cruise and plans to develop nearly 700 pictures at the new Wal-Mart Supercenter's photo lab.

"I'm glad to have it close," he said. "It will be very convenient. Now I don't have to wait so long to get my pictures developed."

A photo lab isn't the only thing the 204,000-square foot store near Interstate 75 will have. The store's 370 employees, making an average wage of $9.61 an hour, will help the big box retailer sell everything from eyeglasses to eggplants. Shoppers can even get their hair cut, do their banking and get the oil in their car changed.

"If we don't have it, chances are you ... don't really need it," Smith said.

But the one-stop shopping model and the company's "Always low prices" have some worried about the future of Franklin's long-standing retailers and small businesses.

"It will definitely hurt small businesses," said William Elza, who lives near the new store. "They can sell things cheaper."

Just down the street from the Supercenter at the Laynecrest Plaza Smoke Shop, employee Barb Erickson isn't sure how Wal-Mart will impact other businesses.

"I hope it doesn't hurt Marsh too bad," she said. "We want the whole plaza to do well. We draw people from each other."

A manager from Marsh supermarket in the plaza declined to comment about the store's opening.

City leaders admit the chain store has a reputation for hurting small businesses. But they hope the arrival of the company will help the city economically by attracting more people to town.

Smith says similar stores serve an average of 35,000 shoppers a week.

Cherie Cooper-Darragh, director of the Franklin Area Chamber of Commerce, said the store will force small businesses to do things differently.

"I've talked to small retailers," she said. "In a lot of instances people think they have developed a rapport and a niche with their customers and are doing well. When a big retailer comes to town the small chains do have to think differently."

Mayor Todd Hall says the big box store is a good fit for Franklin.

"Once it opens we'll hopefully see other businesses look our way," Hall said. He noted since the Arkansas-based company announced plans to build in the city McDonald's and Walgreen's both opened stores nearby.

"In our circumstances it will help us become a destination," Hall said.

But the traffic that comes along with being a shopping "destination" worries some residents.

Friday contractors will still working to finish installing a turn lane and traffic light that must be completed before the store can open.

Other improvements are underway or planned for Second Street to handle increased traffic.

"It's going to be in a state of flux up there for the next four years," said Don Woods, the city's chief building official.

That's a concern to Rosalie Taylor.

"I think it's going to be bad," she said of possible traffic congestion. "It's always been bad up there."

Despite the perceived draw backs, Smith insists he's company's new store is a positive for the community.

"We're bringing customers to Franklin," he said. "Those people are going to come to Franklin to eat at restaurants and shop at stores. When it comes to businesses everyone has their niche."


Contact this reporter at (513) 705-2845 or cmagan@coxohio.com.




Copyright ©2007 Cox Ohio Publishing, Dayton, Ohio, USA. All rights reserved.

Tuesday, April 24, 2007

Wal-Mart to open 400 in-store clinics

Wal-Mart to open 400 in-store clinics
Tue Apr 24, 2007 4:54PM EDT
By Nicole Maestri





NEW YORK (Reuters) - Wal-Mart Stores Inc. said on Tuesday that it will contract with local hospitals and other organizations to open as many as 400 in-store health clinics in the next two to three years.

Should current market forces continue, the world's largest retailer said up to 2,000 clinics could be in Wal-Mart stores over the next five to seven years.

Wal-Mart said the effort marks an expansion of a pilot program it started in 2005, when it leased space within its stores to medical clinics. Currently, it said 76 clinics are operating inside Wal-Mart stores in 12 states.

It has said the clinics are expected to boost the health of its shoppers and should also help sales by drawing consumers into its stores.

"We think the clinics will be a great opportunity for our business. But most importantly, they are going to provide something our customers and communities desperately need -- affordable access at the local level to quality health care," said Wal-Mart Chief Executive Officer Lee Scott in a statement.

Wal-Mart has endured criticism over the years from labor unions that say it pays inadequate wages and pushes employees onto government aid programs.

The company has tried to counter such attacks, taking steps like selling generic drugs for $4 per prescription, and joining with the 1.8 million-member Service Employees International Union, one of its most vocal labor foes, to call for universal health-care coverage for all Americans by 2012.

The retailer said on Tuesday that $4 prescriptions now account for more than 35 percent of all prescriptions filled at Wal-Mart, and nearly 30 percent of the $4 prescriptions are filled without insurance.

Wal-Mart said the health clinics, which will lease space in its stores, will be managed by local or regional hospitals and/or other organizations that are independent of Wal-Mart.

Wal-Mart is not alone in pursuing these clinics. Drug store operators like CVS/Caremark Corp. and Walgreen Co are also putting clinics in their stores, hoping to attract Americans looking for less expensive treatment options amid soaring health-care costs.

Wal-Mart shares fell 1 percent to $48.45 in afternoon New York Stock Exchange trading.




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Friday, April 13, 2007

Wal-Mart Shareholders Shocked, Spooked By "Threat" Memo

Wal-Mart Shareholders Shocked, Spooked By "Threat" Memo
This article was published on Thursday, April 5, 2007 10:37 PM CDT in News
By Marcus Kabel
The Associated Press




BENTONVILLE -- Activist shareholders were disappointed and "a little spooked" Thursday after Wal-Mart asked its internal security operatives to check whether some of them posed a threat.

Wal-Mart lawyers telephoned several investor groups to apologize for the phrase "potential threat" used in a memo, those groups said.

The Wall Street Journal reported Wednesday on an internal Wal-Mart memo asking the retailer's security team to research shareholders submitting resolutions for the annual meeting June 1.

Wal-Mart spokeswoman Sarah Clark confirmed the memo existed but said it is routine for the company to review "potential areas of concern" before shareholders' meeting.

"This is mainly using the Internet and other public sources to obtain background information," Clark said. "We did not authorize any surveillance for any of the 14 shareholder groups this year."

Wal-Mart lawyers told at least one investor group that there was background research done on it but no surveillance. Two other investors said Wal-Mart lawyers had told them nothing had been done, not even background Internet research, but apologized anyway for the memo.

"Now I'm confused because if nothing took place, why should they apologize?" said Peter Flaherty, president of the National Legal and Policy Center, a free market think-tank that considers itself an ally of Wal-Mart against what Flaherty called attacks by liberal critics.

Flaherty said groups like his cannot know whether or not they are being watched by Wal-Mart, whose security division is run by veteran CIA and FBI agents.

"Personally I'm a little spooked," Flaherty said. "All we have is their word for it."

Sister Susan Mika from the Benedictine Sisters of Boerne, Texas, an order that has been active for years as a shareholder trying to improve Wal-Mart corporate citizenship, said she was told by a lawyer that the memo was written by a "low-level manager."

"What I expressed to (the lawyer) was that we were appalled and shocked that Wal-Mart would have this type of surveillance of shareholders. We are the owners of the company," Mika said.

Mika said the Benedictine Sisters were not satisfied with the phone call and would write to Chief Executive Lee Scott asking for an explanation of what, if anything, had happened.

Flaherty said Jeff Gearhart, a vice president and general counsel in Wal-Mart's corporate division, called him late Wednesday to apologize for the memo using the term "potential threat assessment" but that Gearhart was vague about whether there had been any research done by Wal-Mart security on his group.

Another shareholder with a resolution before the upcoming annual meeting, Steven Milloy of Action Fund Management, said a Wal-Mart attorney who called him said there had been research done on his activist mutual fund.

Milloy said attorney Susan Clooz told him "I just want you to know we were not doing surveillance, we were just doing background research."

Milloy responded by faxing a letter to Wal-Mart asking for copies of everything collected on his group and a certified statement from the CEO that there was noting else on file.














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Thursday, April 12, 2007

Court Grants Walmart Gag Order Over Security Leaks

Court Grants Walmart Gag Order Over Security Leaks
BENTONVILLE, Ark. (AP) - April 9 2007 -





Wal-Mart won a gag order to stop a fired security operative from talking to reporters and a judge ordered him to provide Wal-Mart attorneys with "the names of all persons to whom he has transmitted, since January 15, 2007, any Wal-Mart information."

The court papers made public Monday follow a string of revelations about the retailer's large surveillance operations and its business plans.
Wal-Mart Stores Inc. filed a lawsuit and request for a temporary restraining order directly with a Circuit Court judge after court hours Friday.

In the lawsuit, Wal-Mart alleges that former security operative Bruce Gabbard violated trade secrets law by revealing to reporters "confidential information about Wal-Mart security systems and operations" and "highly confidential information about Wal-Mart's strategic planning". It seeks unspecified damages.

The judge's temporary order bars Gabbard from disclosing any further Wal-Mart trade secrets or confidential information.

The suit and restraining order were filed two days after Wal-Mart apologized to activist shareholders for Gabbard's revelation that they were considered potential threats and ahead of a story in Monday's editions of the Wall Street Journal on Gabbard's claim that Wal-Mart had a super-secret "Project Red" aimed at bolstering its stagnant share price.

Wal-Mart declined to comment on the "Project Red" report except to say in a statement, "Our senior management, our board and their advisors regularly conduct thorough, strategic reviews of all aspects of our business. That's just good governance. We look at a full range of alternatives, many of which are considered and rejected, and we will not comment specifically on any of them."

The Interfaith Center on Corporate Responsibility, a coalition of faith-based investors that has worked with Wal-Mart since 1990 on a variety of social issues, demanded Monday that Chief Executive Lee Scott apologize formally for a memo that lists the group as a potential threat.

ICCR members hold more than 2 million shares in the retailer.

"More importantly, we ask CEO Lee Scott to shift shareowner resources away from these public relations activities and instead focus on the core issues ICCR and other concerned investors have been bringing to Wal-Mart for almost two decades: the human dignity inherent in each supply chain worker, in-store employee, and customer of Wal-Mart," the group said in a statement.

Wal-Mart's union-backed critics said the latest revelations about Wal-Mart's security operations and the share price project deserved congressional scrutiny.

"Given the scope of the Wal-Mart spy scandal, the time has come for congressional hearings to find out how deep this rabbit hole goes," said Chris Kofinis, spokesman for WakeUpWalMart.com.

The restraining order suggests that Gabbard, 44, might still have Wal-Mart equipment or documents. It orders him to surrender any documents or data and a long list of "all home and work computers, personal digital assistants, hard drives, thumb drives, and all other electronic or digital media and hardcopy information."

It also orders Gabbard, at Wal-Mart's request, to provide lawyers with the names of contacts to whom he has provided information about the company.

Gabbard, a 19-year Wal-Mart veteran, was fired along with his supervisor last month for allegedly recording phones calls between a reporter and company officials and for intercepting pager messages between other persons. Wal-Mart said Gabbard violated its policies.

Gabbard was part of a 20-strong security team called the Threat Research and Analysis Group.

Wal-Mart made the case public last month and denied Gabbard's claims that his actions were the result of pressure from Kenneth Senser, a former senior CIA and FBI official who has headed Wal-Mart's office of global security since 2003.

Gabbard did not work for Senser's department, although the company and others familiar with the case said Senser has the authority to work with staff from other divisions in carrying out investigations. Gabbard has said he felt pressured by Senser to find information leaks, while Wal-Mart has denied that those conversations alleged by Gabbard took place.

Gabbard and his former supervisor, Jason Hamilton, who was also fired, have declined repeated requests for interviews with The Associated Press.

But in a text message to The Associated Press last week, Gabbard confirmed the allegations that he was part of a broader surveillance operation against company workers, critics, vendors and consultants that he alleged were approved by the company.


(Copyright 2007 by The Associated Press. All Rights Reserved.)










Copyright ©2007 ABC Inc., WPVI-TV Philadelphia.

Monday, April 09, 2007

Credit crooks take advantage of Walmart policy

Credit crooks take advantage of Walmart policy
10:22 AM PDT on Friday, March 16, 2007
By WAYNE HAVRELLY, for kgw.com






If your credit cards ever get stolen, one of your best protections is simply writing, "See ID" on the back, instead of writing your signature. Most stores will spot this, putting a stop to a thief’s spending spree.

Elizabeth Ubiergo is a Spanish teacher at Clark College who always writes "See ID" on the back of her credit cards. On Tuesday afternoon, her credit cards were stolen from her purse which was sitting in her office.

“Someone in the period of noon to 3 p.m. was out shopping while I was giving class,” Ubiergo said.

The crook moved fast, first attempting over $600 in purchases at a Vancouver Fred Meyer. That transaction never happened because the cashier asked for ID. A Vancouver Panda Express also did the right thing and turned down the hungry thief.

Across the street, the thief finally hit pay dirt, making over $670 in transactions at a Walmart Supercenter. Then the thief raced across town to another Walmart and made a $600 transaction.

“My complaint is if they would have just looked on the card they would have seen it said to see some photo ID which is clearly what I write on my card, then none of this would have happened,” said Ubiergo.

I used my own credit card at the same Panda Express and they promptly asked for my ID.

Officials at Fred Meyer say their cashiers are trained to look closely at all credit card signatures and if it says to see ID, that’s exactly what cashiers are supposed to do.

However, Walmart officials provided us with a written statement that said: Like many retailers, we do not have a strict policy on identification confirmation for credit card transactions.

In this case, it appears a crook took advantage of that lack of policy, racking up nearly $1,300 in purchases.

Ubeirgo has already spent hours on the phone with retailers, banks and police, trying to clean up the mess and protect her good name.

There is something you can do to help fight this problem. If you write "see ID" on the back of your credit cards and a cashier doesn’t ask you for that ID, simply asked them to do it.

Even if some stores don’t train employees to check IDs and signatures, as customers, we can all help provide that training regardless of store policy.












kgw.com - AP Award winner, Best Oregon TV Web Site, 2007
Edward R. Murrow Award winner for Best TV Web Site, Northwest Region, 2006
© 2007 KGW-TV

Sunday, April 08, 2007

WAL-MART hires ex-CIA men to spy on staff

ELECTRIC NEWS
WAL-MART hires ex-CIA men to spy on staff
April 01, 2007





EMPLOYEES of retail giant Wal-Mart have a very good reason to stick to the company's strict corporate policies - if they don't, they're very likely to get caught.


That's because Wal-Mart, the largest retailer in the US, maintains a dedicated team of ex-spies and former federal agents to police its own staff.

So far, its crack team of former officials from the Central Intelligence Agency, Federal Bureau of Investigations have dug up information that has led to the firing of a high-profile board member who used company funds to buy hunting equipment, two senior advertising executives who took expensive gifts from a potential supplier and a computer technician who taped a reporter's telephone calls.

Employees have even called Wal-Mart's investigative tactics 'ruthless', reported the New York Times (NYT).

In 2002, one investigator followed a Wal-Mart manager all the way to Guatemala just to get proof that he was sleeping with a lower-level employee, a violation of company policy.

The manager was fired after the investigator reported hearing 'moans' from the hotel room the couple shared.

And when two former marketing executives sued the company for wrongful termination, Wal-Mart despatched its team to dig up truckloads of evidence to counter the suit.

Among the dirt they uncovered were e-mail records showing that the two married executives were having an affair with each other, that they accepted free meals from an advertising agency vying for Wal-Mart's business, and that they were negotiating a deal to leave Wal-Mart for the agency.

These no-holds-barred tactics have much to do with the low prices Wal-Mart famously offers to its customers.

Founder Sam Walton was known to be unforgiving of employee misconduct because he equated the wayward behaviour with inefficiency that would cost customers money.

Mr Kenneth Senser, a former top official at the CIA and FBI who runs Wal-Mart's security department, said the company is determined to enforce its employment policies, no matter how senior those involved are.

'If it's a senior vice-president or cashier in the store, we are going to look at the allegations the same way - and not give somebody a pass,' MrSenser, who heads a team of 400, told NYT.

However, there are some employees who feel that Wal-Mart is using its investigative team to intimidate employees who question authority or raise issues their bosses wish to remain secret.

Mr James Lynn, a former factory inspection manager, claims Wal-Mart launched a witchhunt against him because he openly criticised the working conditions in the Central American factories he had inspected.

Mr Lynn, who was the manager in the Guatemala incident, was fired after his relationship with a subordinate was discovered.

Mr Senser has dismissed MrLynn's accusations.

'We are not in the business of prosecuting people, or pursuing an allegation to find a violation of the law,' he said.

'We operate for the benefit of our shareholders to make sure this company is being appropriately and ethically run. There is a difference.'
















Copyright © 2005 Singapore Press Holdings Ltd. Co. Regn. No. 198402868E. All rights reserved.

Saturday, April 07, 2007

Fired Wal-Mart worker claims surveillance ops: report

Fired Wal-Mart worker claims surveillance ops: report
Reuters
Wednesday, April 4, 2007; 12:44 AM





NEW YORK (Reuters) - The Wal-Mart Stores Inc. (WMT.N) worker fired last month for intercepting a reporter's phone calls says he was part of a larger, sophisticated surveillance operation that included snooping not only on employees, but also on critics, stockholders and the consulting firm McKinsey & Co., The Wall Street Journal reported.

As part of the surveillance, the retailer last year had a long-haired employee infiltrate an anti-Wal-Mart group to determine if it planned protests at the company's annual meeting, according to Bruce Gabbard, the fired security worker, the Journal said.

The company also deployed cutting-edge monitoring systems made by a supplier to the Defense Department that allowed it to capture and record the actions of anyone connected to its global computer network, the Journal said.

The company fired Gabbard, a 19-year employee, last month for unauthorized recording of calls to and from a New York Times reporter and for intercepting pager messages. Wal-Mart conducted an internal investigation of Gabbard and his group's activities, fired his supervisor and demoted a vice president over the group.

Gabbard said in the Journal that he recorded the calls on his own because he felt pressured to stop embarrassing leaks. But he said in the Journal that most of his spying activities were sanctioned by superiors.

A company spokeswoman, Sarah Clark, characterized its security operations as normal.

"Like most major corporations, it is our corporate responsibility to have systems in place, including software systems, to monitor threats to our network and our intellectual property so we can protect our sensitive business information," she said in the Journal.

"It is also standard practice to provide physical and information security for our corporate events and for our board of directors and senior executives."

© 2007 Reuters













© Copyright 1996-2007 The Washington Post Company

Wal-Mart should open "Bat Cave"

Wal-Mart should open "Bat Cave"
Posted Apr 4th 2007 1:35PM by Jonathan Berr
Filed under: Other issues, Consumer experience, Wal-Mart (WMT), Employees, Columns, Target Corp. (TGT)






My fellow bloggers have weighed in on Wal-Mart Stores Inc.'s (NYSE: WMT) "Threat Research" operation, calling it "paranoid" and questioning whether it made any "sense." Let me add a third word to describe this Keystone Cops operation: wasteful.

Wal-Mart has the right to defend itself against criticism. It has the right to make sure that employees aren't violating company policies. But does the world's largest retailer need what its own mini-FBI? No.

The company seems to be worrying more about silencing critics and punishing misbehaving employees more than selling goods that people want to buy. What's funny is that the company's obsessesion with controlling its image and penchant for secrecy seems to continually backfire.

The Wall Street Journal story about the "Bat Cave" make Wal-Mart look petty and cheap at a time when its trying to win back customers that have deserted its stores for Target Corp. (NYSE: TGT) and other competitors. Investors have backed Target as well sending its shares up about 18 percent over the past year compared with 4 percent for Wal-Mart.

Wal-Mart has got to ask itself whether the information it gains from its "threat research" is worth the bad feelings it creates with customers, shareholders and employees. If Wal-Mart wants to repair its reputation, it needs to be more forthcoming about why it does what it does.

Maybe then it won't need a secret 20-person department to investigate threats both real and imagined.













All contents copyright © 2003-2007, Weblogs, Inc. All rights reserved

Thursday, April 05, 2007

Wal-Mart's plan to conquer the world


Wal-Mart's plan to conquer the world
Failure in Germany, South Korea show the retail powerhouse is fallible. But as its home market shrinks, Wal-Mart has no choice but to find success overseas.
By Parija B. Kavilanz, CNNMoney.com senior writer
March 29 2007: 10:11 AM EDT





NEW YORK (CNNMoney.com) -- Despite Wal-Mart's wobbly track record overseas, industry experts say it's becoming more crucial than ever for the world's largest retailer to get its international act together, and quickly.

Here's why.

Wal-Mart is running out of room to grow in the United States, its largest market, where it already operates about 4,000 stores. With each new store, it risks eroding sales at older stores.

Sure enough, sales growth at older stores open at least a year, known in the industry as same-store sales, have slowed considerably, growing 1 to 3 percent on average during the last three years from more than 5 percent previously. That puts Wal-Mart behind its archrival Target Corp.

Wall Street rewards expansion but not through cannibalization. Therefore, Wal-Mart's stock has languished in a trading range for the past few years, unable to break it's all-time high of $69.

As slower sales growth and other negatives started to accrue - Wal-Mart became a lightning rod for critics about its labor practices, among other things - Wal-Mart executives realized that they need a shiny object to appease investors. To that end, Wal-Mart CEO Lee Scott late last year announced that the company would ramp up international growth while slowing domestic expansion.

"Think about it this way. The U.S. gives Wal-Mart some 260 million shoppers. The world gives Wal-Mart 6 billion shoppers. You do the math," said Edward Weller, analyst with Think Equity Partners.

Wal-Mart may rule the retail roost at home, but it hasn't met with the same measure of success abroad. In key markets like China, European competitors like Tesco, Carrefour and Metro have outperformed Wal-Mart and grabbed more market share.

Bentonville, Ark.-based Wal-Mart currently operates close to 3,000 stores in 13 countries outside of the United States. These markets accounted for about 23 percent of its total sales of $381 billion in 2006.

But last year it pulled out of Germany and South Korea after industry watchers said it realized that its low-price merchandise offerings and big-box, no-frills stores didn't really appeal to consumers in those markets.

"Many American companies have had a choppy history overseas because they assume they can replicate their U.S. business model in other countries," said Dana Telsey, a retail industry expert and founder of research firm Telsey Advisory Group.

Instead of rushing into a new market, she said, companies would be better off first learning the local tastes, scouting good locations and tailoring their merchandise accordingly.

At the same time, Telsey said Wal-Mart is learning from its mistakes. For instance, in China where it operates 73 stores, the discounter has started selling live seafood in its stores.

In February, Wal-Mart struck a $1 billion deal to acquire Chinese rival Trust Mart by 2010, challenging French chain Carrefour's dominance as the largest operator of the huge grocery and retail outlets known as "super-centers" in China.

In India, from where Wal-Mart already exports about $1.5 billion worth of merchandise to its stores, the company last year set up a liaison office to study the Indian market.

It subsequently entered into a joint venture with an Indian company to open hundreds of stores across the subcontinent.

Wal-Mart cannot enter the Indian market directly. This is because current regulations pertaining to foreign direct investment only allow "single-brand" retailers such as Nike or Gucci to own 51 percent of their business operations in India. But this still precludes market entry to global merchants like Wal-Mart that sell a variety of brands.

In line with what is permitted under existing guidelines, Wal-Mart said it will focus on the back-end supply chain management, giving Bharti access to its knowledge in information systems, logistics and supply chain management.

According to Wal-Mart spokeswoman Amy Wyatt, the stores in India "will be 100 percent owned, operated, managed and run by Bharti.

"In partnership with Bharti, and in full compliance with existing guidelines, we are setting up a wholesale cash-and-carry business in India," Wyatt wrote in an email to CNNMoney.com. "Our primary business philosophy for wholesale cash-and-carry is to sell merchandise at very low prices to our members, organized and unorganized retailers including the small neighborhood stores."

"As a Wal-Mart investor, China and India excite me," said Steven Baumgarten, an analyst with PNC Advisors, a Philadelphia-based investment firm that manages $54 billion in assets, including Wal-Mart shares.

"These are two very large markets with growing middle-class populations with disposable income. These are ideal Wal-Mart consumers."

Think Equity Partners' Weller also pointed to Wal-Mart's ongoing success in Mexico where Wal-Mart de Mexico has become the country's largest retailer.

And a recent note Goldman Sachs said Wal-Mart plans to open 10 Wal-Mart supercenters in Canada, adding to its base of 289 stores in the country.

As it gradually irons out its wrinkles overseas, Wal-Mart is reaping the financial benefits to both its top and bottom line.

For its recently completed fourth quarter, Wal-Mart's international sales soared 30 percent versus a 10.9 percent increase for its U.S. operations, which included its Wal-Mart discount stores and its Sam's Club Warehouse division.

Still, PNC's Baumgarten said, Wal-Mart has more challenges ahead. "In order to drive down expansion costs, it has to drive up efficiencies in those markets. It's not there yet," he said.

Both Baumgarten and Weller also shot down suggestions that instead of gambling on international growth, perhaps Wal-Mart is better off giving money back to investors or buying back shares in a bid to reignite its stock.

Earlier this month, Wal-Mart approved a 31 percent increase in its annual dividend to 88 cents share, yielding about 1.8 percent.

Said Baumgarten, "Wal-Mart has consistently paid out dividends to shareholders and bought back shares, but the stock still hasn't done much. So I don't buy that argument."

Meaning international growth for Wal-Mart is now more crucial than ever.

Clarification: An earlier version of the story did not clarify that under current Indian regulations, Wal-Mart cannot directly enter the Indian market. Therefore, Wal-Mart will provide back-end support while the new stores will be wholly-owned and operated by its Indian partner.

--Analysts quoted in the story do not personally own shares of Wal-Mart and their firms do not have an investment banking relationship with the company.

Critics launch 'terror' attack ads against Wal-Mart

Wal-Mart withdraws industrial banking push

Wal-Mart, union push universal health care

Wal-Mart may have an India problem













© 2007 Cable News Network LP, LLLP.




© 2007 Cable News Network LP, LLLP. A Time Warner Company ALL RIGHTS RESERVED.

Monday, April 02, 2007

Getting To The Bottom Of Some Defective Boots

Getting To The Bottom Of Some Defective Boots
March 30, 2007





When Greg Dowd was growing up, there were only two brands of work boots he would buy: Timberland and Herman Survivors. Usually he bought the Timberland because they were cheaper, but both were great for hunting, working the farms or building houses.

Last year he went to Wal-Mart in North Windham and bought a pair of the Survivors, expecting to be wearing inexpensive but comfortable, safe and well-made boots.

Despite taking good care of the boots, which cost about $49, Dowd soon started noticing chunks of the soles breaking off. He figured it was simply a defective pair and thought he could just take it back to the store and get another.

Dowd, 49, of Mansfield, was about to learn a little about the largest company in the world and how he is affected by the global economy.

For 122 years, anyone who bought a pair of Herman Survivor boots could be assured of two things: They would pay top dollar, but it would be for a product that would last for years, even under grueling conditions.

All that changed in 2001 when Wal-Mart bought Herman Survivors from a private company. The owners had previously refused Wal-Mart's overtures to let it carry the boots, so Wal-Mart made an offer that Anthony DiPaolo, the CEO of Herman Survivors, couldn't say no to.

Until then, the boots had mostly been made in the U.S. and Poland, sometimes in China, but only with U.S.-made materials, DiPaolo said Thursday in a telephone interview from his offices in Dedham, Mass. He now runs Work 'N Gear, a workers apparel chain.

When his company made the boots, he said, it sold them for $80 to $180 a pair, a lot of money in the 1980s and '90s. Now Wal-Mart sells them for a fraction of that price.

But, he noted, you are not getting the same boot.

"The difference is staggering," he said.

Nor are customers getting the same service. No question about that, said Dowd, who had expected his boots to last at least a year through hard wear on an eastern Connecticut farm where he works.

After noticing the soles falling apart, Dowd went back to Wal-Mart, thinking it was a one-of-a-kind defect. Sorry, he was told, the 30-day warranty was over. So he asked who manufactures the boots, hoping to get redress there. The clerk had no idea.

So Dowd wrote a three-page letter to the Watchdog asking for help. The first thing I did was to go on the Internet and type in "Herman Survivors Reviews." (Here's what I got.) There I learned that Wal-Mart now owns Herman Survivors and that they are made in China.

Although some reviewers were pleased with the boots they bought over the past few years, many others had the same experience as Dowd.

"Thank god for duct tape," wrote one reviewer. Another one said the boots started falling apart 10 days after purchase.

I gave Wal-Mart all week to give a response to this column.

Despite daily phone calls to their "public relations" department, all I got by Thursday's deadline was a lame response.

"We have had no major issue" with the boots, said Tara Raddohl, who suggested that dissatisfied customers should first go back to their local Wal-Mart stores.

If that doesn't help, she said, they should call 800-WAL-MART.

So, I asked naively, does that mean you will do something to improve the boots and give refunds?

"We will listen to our customers," was the reply, as I kept badgering her.

Dowd will be happy to hear that, as he continues to wear his defective boots because he needs to make them last for a year.

"It's a shame" what happened to Herman Survivors, DiPaolo said.

It's also a shame what happened to the hundreds of workers who made those legendary shoes in Massachusetts, Maine and Missouri. But we get what we pay for.


E-mail: watchdog@courant.com












courant.com is Copyright © 2007 by The Hartford Courant

Sunday, April 01, 2007

WAL-MART hires ex-CIA men to spy on staff

WAL-MART hires ex-CIA men to spy on staff
April 01, 2007





EMPLOYEES of retail giant Wal-Mart have a very good reason to stick to the company's strict corporate policies - if they don't, they're very likely to get caught.


That's because Wal-Mart, the largest retailer in the US, maintains a dedicated team of ex-spies and former federal agents to police its own staff.

So far, its crack team of former officials from the Central Intelligence Agency, Federal Bureau of Investigations have dug up information that has led to the firing of a high-profile board member who used company funds to buy hunting equipment, two senior advertising executives who took expensive gifts from a potential supplier and a computer technician who taped a reporter's telephone calls.

Employees have even called Wal-Mart's investigative tactics 'ruthless', reported the New York Times (NYT).

In 2002, one investigator followed a Wal-Mart manager all the way to Guatemala just to get proof that he was sleeping with a lower-level employee, a violation of company policy.

The manager was fired after the investigator reported hearing 'moans' from the hotel room the couple shared.

And when two former marketing executives sued the company for wrongful termination, Wal-Mart despatched its team to dig up truckloads of evidence to counter the suit.

Among the dirt they uncovered were e-mail records showing that the two married executives were having an affair with each other, that they accepted free meals from an advertising agency vying for Wal-Mart's business, and that they were negotiating a deal to leave Wal-Mart for the agency.

These no-holds-barred tactics have much to do with the low prices Wal-Mart famously offers to its customers.

Founder Sam Walton was known to be unforgiving of employee misconduct because he equated the wayward behaviour with inefficiency that would cost customers money.

Mr Kenneth Senser, a former top official at the CIA and FBI who runs Wal-Mart's security department, said the company is determined to enforce its employment policies, no matter how senior those involved are.

'If it's a senior vice-president or cashier in the store, we are going to look at the allegations the same way - and not give somebody a pass,' MrSenser, who heads a team of 400, told NYT.

However, there are some employees who feel that Wal-Mart is using its investigative team to intimidate employees who question authority or raise issues their bosses wish to remain secret.

Mr James Lynn, a former factory inspection manager, claims Wal-Mart launched a witchhunt against him because he openly criticised the working conditions in the Central American factories he had inspected.

Mr Lynn, who was the manager in the Guatemala incident, was fired after his relationship with a subordinate was discovered.

Mr Senser has dismissed MrLynn's accusations.

'We are not in the business of prosecuting people, or pursuing an allegation to find a violation of the law,' he said.

'We operate for the benefit of our shareholders to make sure this company is being appropriately and ethically run. There is a difference.'














Copyright © 2005 Singapore Press Holdings Ltd. Co. Regn. No. 198402868E. All rights reserved.

WAL-MART hires ex-CIA men to spy on staff

WAL-MART hires ex-CIA men to spy on staff
April 01, 2007





EMPLOYEES of retail giant Wal-Mart have a very good reason to stick to the company's strict corporate policies - if they don't, they're very likely to get caught.


That's because Wal-Mart, the largest retailer in the US, maintains a dedicated team of ex-spies and former federal agents to police its own staff.

So far, its crack team of former officials from the Central Intelligence Agency, Federal Bureau of Investigations have dug up information that has led to the firing of a high-profile board member who used company funds to buy hunting equipment, two senior advertising executives who took expensive gifts from a potential supplier and a computer technician who taped a reporter's telephone calls.

Employees have even called Wal-Mart's investigative tactics 'ruthless', reported the New York Times (NYT).

In 2002, one investigator followed a Wal-Mart manager all the way to Guatemala just to get proof that he was sleeping with a lower-level employee, a violation of company policy.

The manager was fired after the investigator reported hearing 'moans' from the hotel room the couple shared.

And when two former marketing executives sued the company for wrongful termination, Wal-Mart despatched its team to dig up truckloads of evidence to counter the suit.

Among the dirt they uncovered were e-mail records showing that the two married executives were having an affair with each other, that they accepted free meals from an advertising agency vying for Wal-Mart's business, and that they were negotiating a deal to leave Wal-Mart for the agency.

These no-holds-barred tactics have much to do with the low prices Wal-Mart famously offers to its customers.

Founder Sam Walton was known to be unforgiving of employee misconduct because he equated the wayward behaviour with inefficiency that would cost customers money.

Mr Kenneth Senser, a former top official at the CIA and FBI who runs Wal-Mart's security department, said the company is determined to enforce its employment policies, no matter how senior those involved are.

'If it's a senior vice-president or cashier in the store, we are going to look at the allegations the same way - and not give somebody a pass,' MrSenser, who heads a team of 400, told NYT.

However, there are some employees who feel that Wal-Mart is using its investigative team to intimidate employees who question authority or raise issues their bosses wish to remain secret.

Mr James Lynn, a former factory inspection manager, claims Wal-Mart launched a witchhunt against him because he openly criticised the working conditions in the Central American factories he had inspected.

Mr Lynn, who was the manager in the Guatemala incident, was fired after his relationship with a subordinate was discovered.

Mr Senser has dismissed MrLynn's accusations.

'We are not in the business of prosecuting people, or pursuing an allegation to find a violation of the law,' he said.

'We operate for the benefit of our shareholders to make sure this company is being appropriately and ethically run. There is a difference.'














Copyright © 2005 Singapore Press Holdings Ltd. Co. Regn. No. 198402868E. All rights reserved.