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Press release from PR Newswire

Smith & Wesson Holding Corporation Retains Wedbush Securities as Advisor on Divestiture of Security Solutions Business

Tuesday, November 01, 2011

Smith & Wesson Holding Corporation Retains Wedbush Securities as Advisor on Divestiture of Security Solutions Business08:00 EDT Tuesday, November 01, 2011SPRINGFIELD, Mass., Nov. 1, 2011 /PRNewswire/ -- Smith & Wesson Holding Corporation (NASDAQ Global Select: SWHC) ? Smith & Wesson Holding Corporation today announced that, in connection with its previously announced decision to divest its perimeter security division, the Company has retained Wedbush Securities to act as its exclusive advisor to sell the division as an ongoing business.  The security solutions business maintains a proprietary portfolio and extensive customer list and should be attractive to strategic and financial buyers with a focus on commercial and government security products and services.Smith & Wesson President and Chief Executive Officer, James Debney, said, "The planned divestiture is intended to allow us at Smith & Wesson to focus resources on our core firearm business, support our long-term growth opportunities, and enhance stockholder value."Executive Vice President and Chief Financial Officer, Jeffrey Buchanan, continued, "Smith & Wesson Security Solutions had revenue of just over $50.0 million in its fiscal year ending April 30, 2011.  It remains an ongoing business, with a number of highly regarded proprietary technologies, including the GRAB®300, GRAB®400, and XMB? active barriers, system expertise across a diverse corporate and government customer base and a number of positive assets and opportunities.  It continues to focus on delivering a high level of support to customers and continues to benefit from strong industry expertise in its management team and employee base. Smith & Wesson Security Solutions has several new projects scheduled to start over the next 12 months and saw an increase in backlog for the period ending October 31, 2011. We believe its strengths would be maximized as an independent company, or as part of a group of companies, focused entirely on the security solutions market."The Company has not predicted the timing of or the details surrounding a potential sale of the perimeter security business.  About Smith & Wesson Smith & Wesson Holding Corporation (NASDAQ Global Select: SWHC) is a U.S.-based, global provider of products and services for safety, security, protection, and sport. The Company delivers a broad portfolio of firearms and related training to the military, law enforcement, and sports markets, and designs and constructs facility perimeter security solutions for military and commercial applications. Smith & Wesson Holding Corporation companies include Smith & Wesson Corp., the globally recognized manufacturer of quality firearms; Smith & Wesson Security Solutions, Inc., a full-service perimeter security integrator, barrier manufacturer, and installer; and Thompson/Center Arms Company, Inc., a premier designer and manufacturer of premium hunting firearms. Smith & Wesson facilities are located in Massachusetts, Maine, and Tennessee. For more information on Smith & Wesson and its companies, call (800) 331-0852 or log on to www.smith-wesson.com.Safe Harbor StatementCertain statements contained in this press release may be deemed to be forward-looking statements under federal securities laws, and we intend that such forward-looking statements be subject to the safe-harbor created thereby. Such forward-looking statements include those regarding the  Company's belief that the securities solutions division  should be attractive to strategic and financial buyers;  the Company's belief that the divestiture of its security solutions division will allow it to focus resources on its core firearm business, support its long-term growth opportunities, and enhance stockholder value;  the Company's assessment of the reputation of the division's proprietary technology , its systems expertise across a diverse corporate and government customer base., and its possession of  a number of positive assets and opportunities; the Company's assessment that the division delivers a high level of support to customers and benefits from a strong industry expertise in its management and employee base; and the Company's belief that the division's strengths could be better maximized as an independent company, or as a part of a group of companies, focused entirely on the security solutions market.  We caution that these statements are qualified by important factors that could cause actual results to differ materially from those reflected by such forward-looking statements. Such factors include the success of the Company's divestiture of its security solutions division and its effects on the company's core firearm business and other risks detailed from time to time in our reports filed with the SEC, including our Form 10-K Report for the fiscal year ended April 30, 2011.SOURCE Smith & Wesson Holding CorporationFor further information: Liz Sharp, VP Investor Relations, Smith & Wesson Holding Corp., +1-480-949-9700, lsharp@smith-wesson.com