Target Corp. continues to deal with headaches over its financial support for the Tom Emmer for Governor campaign. My buddy Tom Hamburger of the L.A. Times breaks has the latest scooplet in the Friday editions, reporting that several institutional investors — which together hold more than $50 million worth of Target shares — are sponsoring a shareholders’ resolution asking for a review of the policy for making political contributions to avoid future problems.
Target’s CEO GreggSteinhafel has already called for a review of the policy, but, perhaps since Steinhafel was responsible for the donation that caused all the trouble, the investors are asking for a review by Steinhafel’s bosses — the Board of Directors.
A correction and an addendum: This post originally said that the investors who are demanding the review owned more than 50 million shares of Target. My mistake. Should have said 50 million shares. Thanks to commenter Joseph Skar for pointing out the error which is now corrected above.
Also, MinnPost teammate David Brauer notes that the investor groups demanding this review are all in the category of “socially responsible investors” that incorporate human rights, diversity, environmental and other moral stands into their investment decisions. Brauer suggests — as neither my post, the Strib story, nor the L.A. Times story that the Strib and I followed note — that the reaction to the Target-Emmer kerfuffle by socialy responsible funds may not be a reliable guide to the reaction of other investors who are just trying to maximize return.