People for the Ethical Treatment of Animals has been buying shares for seven years and now owns a piece of at least 80 companies, including McDonald's and Kraft Foods. It hopes to influence their animal welfare policies on such things as how chickens are slaughtered or buying beef from suppliers that keep pregnant cows in small pens. By buying stock, PETA is guaranteed the right to present its ideas directly to officials and other shareholders, many of whom would otherwise would likely pay little attention to the group.
"It gives us a new forum in which to present the research we've done to company executives, their shareholders and the public," said Ashley Byrne, a senior campaigner for PETA.
PETA tries to negotiate agreements with companies behind closed doors, but if that fails, the group submits shareholder resolutions with its proposed changes at shareholder meetings.
Companies don't always change their policies, but Byrne said the effort has paid off. After PETA bought stock, Safeway grocery stores and restaurant companies Ruby Tuesday, Sonic and Burger King agreed to give purchasing preference to suppliers that abide by what the group says are more humane rules, such as not confining chicken and hogs in small cages, she said.
In many cases, shareholders were "horrified" when they learned of some of the production methods used by their companies' suppliers, Byrne said.
"Many shareholders are average people who are compassionate and who don't want to be supporting practices that are inhumane," she said.
Meridith Hammond, a spokeswoman for Ruby Tuesday, said the company is "pleased to cooperate with PETA and are grateful for their advice, help with resources, and information about suppliers."
Hammond said listening to shareholders' ideas is a "normal and necessary part of doing business."
Burger King said in a statement it is committed to "maintaining open-dialogue with PETA and various other animal welfare experts."
