Current Events > Gun maker Remington files for bankruptcy

(+) Yeah! (+)

https://t.co/Y0DpuCODTH

Firearms manufacturer Remington Outdoor Company has filed for bankruptcy protection in the face of falling sales and lawsuits stemming from the 2012 Sandy Hook Elementary School shooting, the Wall Street Journal reported Sunday night.

According to the Journal, Remington announced that it would file for Chapter 11 last month but the actual filing was delayed after the Feb. 14 shooting at Marjory Stoneman Douglas High School in Parkland, Fla. that killed 17 people.

The paper reported that Remington officials plan to hand over the reins to its creditors in exchange for writing off most of the company's debt. Cerberus Capital Management LP bought Remington for $118 million in 2007, assuming $252 million in debt in the process.

Cerberus later formed a holding company called the Freedom Group Inc., consisting of Remington and other firearms manufacturers -- including Bushmaster, which Cerberus had purchased in 2006.

The Journal reported that the gun industry is facing low demand and high stock after Donald Trump's unexpected election to the presidency in 2016. According to the paper, firearms manufacturers boosted output in the run-up to the election, expecting that a Hillary Clinton victory would lead to a boost in sales ahead of tighter gun laws.

In 2016, families of the Sandy Hook victims filed a wrongful-death suit against Remington, claiming that it had negligently marketed "military-style" weapons to younger demographics -- namely, 20-year-old Sandy Hook gunman Adam Lanza.

A trial judge dismissed the initial lawsuit, but the plaintiffs appealed to the Connecticut Supreme Court, which is considering the matter.

Katie-Mesner Hage, an attorney with Koskoff Koskoff & Bieder, which represents Sandy Hook families in their lawsuit against the gun manufacturer said in a statement that We do not expect this filing to affect the families case in any material way.

Founded in 1816, Remington is America's oldest gun maker.

---

Millennials kill another American icon.
---

I'm amazed they survived this long with their shitty quality control and workmanship.
---

Thanks Trump for making America great again. Have fun golfing Mr. President.
---

They've made some poor business moves in recent years.
---

Imagine blaming anything related to Sandy Hook in any way when the company was already worth only $118 million in 2007.
---

Medz1286 posted...

Thanks Trump for making America great again. Have fun golfing Mr. President.

U wot
---

545x39 posted...

I'm amazed they survived this long with their shitty quality control and workmanship.

It's not like they sold millions of rifles with faulty triggers prone to negligent discharges, or anything.

https://xmprecall.remington.com/

Oh wait.
---

Calm down millennials, save an industry or two for the next generation to kill.
---

Ruger makes far superior products anyways.
---

Fuck yes! Get those guns off the street!
---

I seem to remember talks about how all those years of democrats in power had bolstered gun company profits. They had convinced people that the military, the police, or the boogeyman was coming to take their hunting rifles. I forget which one it was. As it turns out, their industry is flushing down the toilet even when they were recording record unit sales.
---

r4X0r posted...

545x39 posted...

I'm amazed they survived this long with their shitty quality control and workmanship.

It's not like they sold millions of rifles with faulty triggers prone to negligent discharges, or anything.

https://xmprecall.remington.com/

Oh wait.

Literally brushed it under the rug for years and only finally put the recall out when they were exposed on national tv.
---

A decade or so of shitty quality control, shitty new product releases (remember the R51?), and basically doing everything in their power to destroy the reputation they had built over previous decades, this comes as no surprise to anyone. Remington is a textbook example of how to drive a company into the ground.
---

Anarchy_Juiblex posted...

Millennials kill another American icon.

Lol yep it did say that.
---

Bullet_Wing posted...

SK8T3R215 posted...

Medz1286 posted...

Thanks Trump for making America great again. Have fun golfing Mr. President.

U wot

Yeah, I'm not sure if he posted in the topic he meant to, lol

What?
---

Does this mean video games can start using their guns without worry of paying copyrights
---

Never bought any of their guns, but their 22LR ammo seems decent enough.
---

but will this affect my local remington factory?
---

All I care about is my 9mm JHP UMC ammo still being available. And I was considering getting a Wingmaster in the future. But their quality has gone down hill so much I'm not even sure if I will buy one.
---

AvantgardeAClue posted...

Does this mean video games can start using their guns without worry of paying copyrights

No
---

Same as TRU, really: everything's overpriced, when compared to everyone else.

Compare this (specifically the 30-06):
https://www.remington.com/rifles/bolt-action/model-700/model-700-cdl-sf

...to anything sold at Academy:
https://www.academy.com/shop/SearchDisplay?searchTerm=30+-+06+rifle

The CDL SF is a higher-end rifle, what's your point? There's literally another Remington rifle on that page you linked that is in-line with the others on pricing.
---

Cerberus Capital Management LP bought Remington for $118 million in 2007, assuming $252 million in debt in the process.

Cerberus later formed a holding company called the Freedom Group Inc., consisting of Remington and other firearms manufacturers -- including Bushmaster, which Cerberus had purchased in 2006.

Literally a company named Cerberus buying up all the gun manufacturers
---

eston posted...

Literally a company named Cerberus buying up all the gun manufacturers

So it really is TRU all over again: Buy out a company and dump the debt from the buyout onto itself.