Nashville-based Universal Safety Response was acquired by the company in 2009 and renamed Smith & Wesson Security Solutions and its main business area is to focus on providing security equipment and services to the critical infrastucture industries.

According to a report from Bloomberg the CEO of the company, James Debney explained that the perimeter security businesses have deteriorated significantly since the acquisition, partially due to reduced government spending, which has also been intensified by the weaker economy.

Debney has only been in the position of CEO for a few weeks. Smith & Wesson announced on Sept. 27 that Debney would become CEO as part of its succession plan. Golden the previous CEO remains a board member and was named co-vice chairman. Debney however wasted no time in planning the divestment of the struggling Security Solutions arm, which accounts for only 13% of sales compared to the 87% of the firearms business.

The Security Solutions division includes a number of positive assets and opportunities. Its current product portfolio contains a number of established proprietary technologies, including the Grab300, Grab400, and XMB active barriers. Debney believes that the strengths of this business could be better maximized as an independent company, or as part of a group of companies, focused entirely on the security solutions market.

According to Wall Street financial reports the division will continue to trade but will be considered as a discontinued operation as far as financial reports are concerned, meaning that the results for Smith & Wesson Security Solutions will no longer be included as part of the overall financial result for Smith & Wesson Holding Corportion.