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Gunmaker Remington filing for bankruptcy
New York Post, by Richard Morgan

Original Article

Posted By:Pluperfect, 2/13/2018 4:41:47 AM

Remington Outdoor announced plans to file for bankruptcy on Monday, succumbing to a “Trump slump” that whacked sales by 30 percent in its most recent quarter. The 202-year-old Madison, NC, gun maker, saddled with an enormous amount of debt, said a debt-for-equity swap would lop off $700 million of its $950 million debtload. The restructuring will also provide $145 million in new capital. The prepackaged plan would also transfer 82.5 percent of the company’s equity to term loan lenders and the remaining 17.5 percent to third lien noteholders, the company said. “Difficult industry conditions make today’s agreement prudent,” Executive Chairman Jim Geisler said.

      


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Reply 1 - Posted by: chumley, 2/13/2018 5:02:38 AM     (No. 11542003)

Remington makes some fine irons. I am proud to own a few older ones.
Back when the communists were in charge and doing everything they could to wipe out the 2nd Amendment, many of us bought everything we could afford over fears we might not be able to in the future. In addition to quite a few new guns over the last ten years, I also have a pallet of ammunition stacked five feet high. Much of it is obsolete calibers from the WWI era that are hard to find now.
Mrs C just got me a new AR15 for my birthday. Not sure what more I can do. The market is saturated.

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Reply 2 - Posted by: Highlander, 2/13/2018 5:14:06 AM     (No. 11542006)

Remington is American as American can be. It makes me sad to read this since my great-grandfather on down to me, the last one, owned its rifles.

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.New_S.
  


 
Reply 3 - Posted by: Nevadadad46, 2/13/2018 5:24:19 AM     (No. 11542008)

I learned to type on a Remington typewriter. They also made postal machines. I think they dabbled fora while in sewing machines. But, it was their guns that made the company and it always was their main frame money maker. If you owned a Remington, you owned the Cadillac of guns. Reading this huge catalogue of debt is astounding to me. How does that happen? It certainly did not happen overnight. They are upside down a billion bucks? Oh, Hannah! Was it lobbying during the Obama years? How does this amount of raw debt accumulate without notice? Remington is a brand that alone is priceless. I suspect there is a whole lot more to how this came about. It wasn´t just the advent of Donald Trump that made this happen. Usually, this kind of overnight -"We´re done!" comes from within and is deliberate. That money went somewhere and I hope the BR Court gets to the bottom of it.

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Reply 4 - Posted by: Zarin, 2/13/2018 5:27:30 AM     (No. 11542012)

They will restructure?

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Reply 5 - Posted by: mazeman, 2/13/2018 5:43:25 AM     (No. 11542019)

Once great.

Quality slipped. No innovation.

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Reply 6 - Posted by: DaddyO, 2/13/2018 5:54:29 AM     (No. 11542022)

A few reasons, from some of the gun boards:

1) The gun industry has been fueling an agenda that’s focused demand on sales of SA (semiauto) handguns and AR rifles. Remington was slow to get on that bandwagon and I gotta believe some of those sales were at the expense of the sporting guns that Remington specialized in.

2) But when they were acquired by Cerberus, that was their beginning day of fatal guidance. Cerberus strategy is acquisition of distressed company´s, ushering through the chapter 11 process, and financially guiding them through and beyond reorganization. This period is marked by slashed overhead and capitol sell-off by maximizing farm-out of mfg including key core components. No further need for internal mfg processes, mfg eng, and qc teams any longer. This action is directly responsible for loss of product quality and technical integrity.

3) All the gun companies stocked their warehouses full expecting that a Clinton presidency would have gun buyers panicking again, only to have everyone relax after Trump won. The big sales slump has affected cash flow and profits at lots of companies big and small, resulting in layoffs and closings. All the manufacturers have dropped prices this year, run sales and rebate programs, etc.

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Reply 7 - Posted by: provide, 2/13/2018 6:04:03 AM     (No. 11542024)

The media drove the drumbeat of the 700 series rifles and the tort lawyers prospered. Endless lawsuits would drive any company broke.

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R-TA-Wide_2
  


 
Reply 8 - Posted by: provide, 2/13/2018 6:09:19 AM     (No. 11542026)

I also have always used rolling blocks for long range black powder competitions. Currently use a re-barreled 1907 in 45/70.

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Reply 9 - Posted by: canadiandruid, 2/13/2018 6:33:43 AM     (No. 11542041)

at this point in m life i dont need another rifle - funny thing is that although i have a nice collection already - i seem to always grab the same one - my old vintage 6.5x55 swede

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Reply 10 - Posted by: Lawsy0, 2/13/2018 6:34:43 AM     (No. 11542042)

NYP calls it a Trump Slump. Waiting for proof. That would mean that Remington mismanaged finances this badly in only 1 year.

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Reply 11 - Posted by: antiquegolf, 2/13/2018 6:48:21 AM     (No. 11542052)

This news is disappointing. I´m sure that millions of Americans own inherited Remington firearms.

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Reply 12 - Posted by: TexaTucky, 2/13/2018 6:51:40 AM     (No. 11542055)

Ummm . . . seems like what they "succumbed to" was being almost a billion dollars in debt.

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.LockDme.


 
Reply 13 - Posted by: rolfnader, 2/13/2018 8:17:01 AM     (No. 11542114)

So happy to have found my mod# 7600 30.06 before this happened. Was told by local dealer recently Remington might not be around much longer and the market for this marvelous deer rifle could dry up.

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Reply 14 - Posted by: F15 Gork, 2/13/2018 8:30:24 AM     (No. 11542132)

My ‘03 Springfield was built by Remington back during the 40s. It’s a fine shooting rifle-gun that I’ll never part with.

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Reply 15 - Posted by: Rumblehog, 2/13/2018 10:21:17 AM     (No. 11542257)

Their quality is horrible from the box. This is what happens when people who know nothing about firearms run a firearms company.

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Reply 16 - Posted by: ussjimmycarter, 2/13/2018 10:44:38 AM     (No. 11542282)

My first gun was my dad´s Remington 1100 12 Guage with a 30 inch ventilated rib barrel. Full choke made an excellent duck gun. Never, Ever misfired or jammed!

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Reply 17 - Posted by: dvc, 2/13/2018 2:04:02 PM     (No. 11542472)

The near hysterical buying frenzy of the Obama years, as it appeared that there could really be some draconian laws passed to prohibit different kinds of guns has gone.

The Trump Calm on the gun industry is nice, but it doesn´t pull money out of life savings to buy more guns, and people already have purchased a LOT of guns recently.

Currently you can pick up all the parts to assemble your own AR15 (not too difficult for a handy person, and perfectly legal by Federal law, some states may differ) for well under $400. I have one that I built for just under $300, parts on sale.

Obama´s hysteria caused panic buying, and huge order backlogs got too many into the AR15 manufacturing business, and there is a shakeout happening right now. Guns and parts are in oversupply, perfect time to buy.

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.R-LJ.
  


 
Reply 18 - Posted by: oldsfc, 2/13/2018 5:18:11 PM     (No. 11542674)

Remington/Marlin fire arms, Poor Quality products, shoddy assembly, loss of customers. End of story.

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