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As New York City Comptroller and Chief Investment Officer of the New York City Pension Funds, William C. Thompson, Jr. today called on Costco Wholesale Corporation to accept Supplemental Nutritional Assistance Program (SNAP) payments, commonly referred to as food stamps, at its locations.

In a letter to Costco’s CEO, James Sinegal, Thompson wrote: “This ill-advised resistance clearly establishes a competitive disadvantage and presents a reputational risk for Costco.”

Thompson continued in his letter, which can be viewed at www.comptroller.nyc.gov, “at a time when Costco is poised to open a facility in East Harlem – where tens of thousands of residents receive SNAP – such refusal is both contrary to social policy and a poor business decision.”

Noting that the New York City Pension Funds hold nearly 1.5 million shares of Costco stock valued at more than $66 million, Thompson called on Costco to reconsider its flawed policy, especially in light of the current economic crisis.

“One need only to look at our neighbors and friends who are losing jobs, homes and livelihoods to understand the universal impact that the deepening economic woes are having on our nation,” Thompson wrote. “Those who rely on SNAP now more than ever should provide a compelling reason for you to revisit – and reverse – this thoughtless policy.”

“It is my staunch belief that accepting SNAP payments would not only display sensible corporate responsibility, but promote your new facility’s opening, and burnish Costco’s reputation as a good and dependable neighbor,” Thompson concluded.

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