Law Offices of Marc S. Henzel Announces Class Action Lawsuit Against Smith & Wesson Holding Corp.

Market Wire, January, 2008

A class action lawsuit has been filed in the United States District Court for the District of Massachusetts on behalf of purchasers of Smith & Wesson Holding Corp. ("Smith & Wesson" or "the Company") (NASDAQ: SWHC) securities during the period between June 15, 2007 and December 6, 2007 (the "Class Period").

The complaint alleges that, during the Class Period, defendants issued statements concerning the Company's performance and prospects. The complaint alleges that these statements were materially false and misleading because they failed to disclose and misrepresented the following material adverse facts which were known to Defendants or recklessly disregarded by them: (i) that the market for various lines of the Company's gun products was saturated with inventory which was causing customers to reduce orders and postpone purchases; (ii) that the Company's reported sales figures did not represent true growth for the Company's products but rather were simply inventory stocking transactions and as customer inventory levels increased, the Company's sales would suffer; and (iii) based on the foregoing, Defendants lacked a reasonable basis for their positive statements about the Company, its earnings and prospects.

Smith & Wesson issued a press release on October 29, 2007 announcing its preliminary second quarter financial results for the period ending October 31, 2007. Among other things, the Company reduced its earnings guidance for fiscal 2008 to $23.5 million, or $0.53 per share, as compared to $28.5 million, or $0.63 per share. In response to this announcement, the price of Smith & Wesson common stock plummeted from $20.09 per share to $12.12 per share on extremely heavy trading volume. Then, on December 6, 2007, Smith & Wesson issued a press release announcing its financial results for its second fiscal quarter, the period ending October 31, 2007. The Company again reduced its outlook for 2008 to $0.40 per share. In response to this announcement, on December 7, 2007, the price of Smith & Wesson common stock plummeted from $9.92 per share to $7.08 per share on extremely heavy trading volume.

If you are a member of the class described above, you may, not later than February 11, 2008 move the Court to serve as lead plaintiff of the class, if you so choose. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff.

If you have any questions concerning this case or your rights or interests with respect to these and other matters in this notice, please contact: Marc S. Henzel, Esq. of The Law Offices of Marc S. Henzel, 273 Montgomery Ave, Suite 202 Bala Cynwyd, PA 19004-2808, by telephone (888) 643-6735 or (610) 660-8000, by facsimile (610) 660-8080, by e-mail at Mhenzel@Henzellaw.com or visit the firm's website at www.Henzellaw.com .

Contact: Marc S. Henzel, Esq. The Law Offices of Marc S. Henzel 273 Montgomery Ave, Suite 202 Bala Cynwyd, PA 19004-2808 (888) 643-6735 or (610) 660-8000 facsimile: (610) 660-8080 e-mail: Email Contact website: www.Henzellaw.com