By Jon Steinman
April 19 (Bloomberg) -- Police groups say Taser International Inc.'s latest consumer weapon, a palm-sized stun gun in metallic pink and three other colors that will start shipping next month, may end up helping the bad guys.
``Inevitably, this will fall into criminal hands,'' said James Pasco, Washington-based executive director of the Fraternal Order of Police, the largest law-enforcement labor union, with more than 325,000 members. ``It will also be in a lot of untrained hands.''
The union has barred Taser, the world's largest maker of stun guns, from exhibiting the new C2 weapon or any other at its convention in August. Seven states, including New York and New Jersey, have already outlawed consumer use of stunning devices. At least seven more bills seeking bans or regulation of ownership have been introduced in three states, including Texas. The International Association of Chiefs of Police sees ``a training issue,'' said Albert Arena, a program manager.
``It's small enough to fit in your pocket, and we don't know about how it will be used,'' said Fred Wilson, director of operations at the Alexandria, Virginia-based National Sheriffs' Association, which is considering issuing guidelines to members about how to confront civilians wielding the weapons. ``There is concern out there.''
A Taser stun gun fires probes connected to thin electric cables to deliver a jolt of electricity that causes temporary paralysis. The probes aren't supposed to penetrate, instead making contact with the skin or clothing. The electric signals confuse the body's nervous system.
Black Pearl
The C2, which is shaped like an electric razor, will also be available in what the company calls black pearl, titanium silver and electric blue. Taser is heralding the product under a ``citizen defense'' banner. It will pack a jolt less than the 50,000 volts of the law-enforcement model, and with a range of 15 feet (4.6 meters), will reach half the distance of some professional units.
The choice of colors and style was done to minimize the threatening aspect of the C2 and make people ``comfortable with it,'' Chairman Tom Smith said in an interview today.
``We don't want the appearance of it to escalate a situation,'' he said.
Taser has sold stun guns to consumers since 1994. The previous offerings have been more expensive and larger than the C2, making them harder to acquire and hide, according to law- enforcement officials. The C2 starts at $299 -- $100 cheaper than the M18, a pistol-shaped weapon modeled after the kind sold to law-enforcement agencies.
Police Departments
Marketing to police departments will remain the focus of Taser's product strategy, said Lee Schultheis, chief investment officer of Chappaqua, New York-based Alternative Investment Partners, which owned 67,000 Taser shares as of March.
``The consumer side is not really their focus,'' said Schultheis. ``Law enforcement is their big focus, and international law enforcement. But they're not so concerned with the timeline on the consumer side.''
Taser, based in Scottsdale, Arizona, posted a loss of $4.1 million in 2006 after sales rose 42 percent to $67.7 million. It earned $1.1 million in 2005. The company doesn't break out revenue from consumer models.
Shares of Taser fell 22 cents, or 2.6 percent, to $8.37 at 4 p.m. New York time in Nasdaq Stock Market composite trading. They have gained 10 percent this year.
Moves Shipping Date
More than 2,500 law-enforcement agencies around the world deploy Taser systems, according to the company. These agencies, often with the help of Taser representatives, train officers in the safe use of the weapons. There's no requirement that a private citizen undergo training before acquiring the C2. A background check will be performed by a private contractor to Taser before the unit is activated over the phone.
``There's always concern around a new product,'' said Taser's Tuttle. The company won't say how many orders have been placed for the C2. It pushed back the shipping date from this month to next without providing a reason. Tuttle said the company is working to educate law-enforcement agencies and is confident the new product will not place officers in jeopardy.
``And we have a successful anti-felon identification program,'' Tuttle said. ``When you shoot, it disperses 20 to 30 pieces of confetti with serial numbers on them that can be matched to the owner of the Taser. It's like leaving your business cards behind at a crime scene.''
Pepper Spray
Police officers who praise Taser devices for their usefulness in less-than-lethal situations say concern over the C2 may be unjustified.
``It's kind of like when pepper spray came out,'' said Sheriff Terry Wagner, in his fourth term in Lancaster County, Nebraska. His force uses about 20 Taser stun guns around the state's capital city of Lincoln. ``There was a lot of concern. But honestly, Mace and pepper spray in the hands of the public has never turned out to be a problem for us.''
In spite of the convention ban, Pasco of the Fraternal Order of Police says he's certain Taser will address the union's issues of concern and calls Taser products a valuable part of the patrolman's ``continuum of force.''
Texas State Representative Lon Burnam, a Democrat, has introduced two bills seeking to regulate Taser's public use. ``We're definitely worried about them being in everyone's hands,'' said Heather Creek, a legislative aide to Burnam.
To contact the reporter on this story: Jon Steinman in Washington at jsteinman@bloomberg.net.
Last Updated: April 19, 2007 16:42 EDT
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