An investigation on behalf of current long term investors in shares of Stanley Black & Decker, Inc. (NYSE:SWK) concerning possible breaches of fiduciary duties related to potential excessive compensation that was awarded to certain senior officers and executives at Stanley Black & Decker was announced.

The investigation by a law firm focuses on whether the directors and officers of Stanley Black & Decker, Inc. harmed the company by breaching their fiduciary duties to shareholders. In particular the investigation on behalf of current long term investors in Stanley Black & Decker, Inc. (NYSE:SWK) focuses on possible shareholder claims that certain of Stanley Black & Deckers senior officers and executive were unjustly enriched through their receipt of unwarranted, excessive or unearned compensation in past years.
The investigation by a law firm concerns on whether certain officers and directors at Stanley Black & Decker, Inc. (NYSE: SWK) breached their fiduciary duty by the board's decision to increase the company's Chief Executive Officer's pay by over 240% to $32.7 million, including a one-time grant of 325,000 shares of stock valued at $18.7 million.

Stanley Black & Decker Chief Executive Officer's pay rose from $6.05million in 08 to $32.73million in 2010. Its CFOs pay rose from roughly $813,000 in 08 to $5.75million in 2010, its Senior Vice Presidents pay rose from $1.22million in 08 to $6.09million in 2010, and its Executive Vice President and COOs pay rose from $2.67million in 08 to $19.24million in 2010.

However, Stanley Black & Decker's shareholders recently expressed their disdain for the executive pay packages by voting no on Stanley Black and Decker's say on pay provision. Stanley Black & Decker received only 39% support for its pay practices at its April 19 annual meeting, according to a company filing.

The investigation concerns possible claims that the prior compensation awarded at Stanley Black & Decker, Inc. is improper based upon its current operating condition.

Stanley Black & Decker almost doubled its 12months Total Revenue over the past four annual filing periods. Stanley Black & Decker, Inc. reported $4.36billion for 2007 and $8.409 billion for 2010. Shares of Stanley Black & Decker, Inc. (NYSE:SWK) increased from as low as $23.56 in March 09 to $77 in April 2011.

However, its Net Income fell over the same time frame from $320.6million for 07 to $198.2million for 2010.

The investigation seeks to determine whether certain senior officers and executives at Stanley Black & Decker, Inc. were awarded salaries, bonuses, stock options and other forms of long-term, incentive or retirement compensation that were excessive or unwarranted based on the Stanley Black & Deckers performance as compared to what senior officers and executives at comparable companies were making and/or results that were fraudulent, misleading or not long-lasting.

Finally the investigation focuses also on possible shareholder claims that would allow NYSE:SWK stockholders to more efficiently influence or control future compensation decisions at Stanley Black & Decker, Inc.