Remington Outdoor Co. Files for Bankruptcy (a brief history)
Remington Outdoor Co., which is now controlled by buyout firm Cerberus Capital Management LP, has been operating since 1816 when Eliphalet Remington II (1793–1861) believed he could build a better gun than he could buy. Now, 200 years later, after being bought and sold many times, the company is filing for bankruptcy. One of the largest manufacturers of firearms and ammunition in the US, Remington, has reached a deal with creditors to cut their $950 million debt load.
Remington has always been an icon in the gun industry and was a major contributor to the allied powers in both world wars. During the early years of WWI Remington produced arms under contract for several Allied Powers. Remington produced M1907-15 Berthier rifles for France, Pattern 1914 Enfield rifles for Britain, and Model 1891 Mosin-Nagant rifles for Imperial Russia. As the war intensified, Remington production rose to meet demand.
When the US entered the war, Remington became increasingly involved in the war effort. They designed and manufactured the M1917 Enfield Rifle which was a simplified and improved design of the British 1914. The Remington Co. also invented the Pederson Device, which was an attachment that could easily turn a 1903 Springfield rifle to a sort of Sub-Machine gun. A revolutionary design.
In 1940, the height of WWII, the US government was worried about its ammunition capacity. So, again, they called on Remington to collaborate in plans for national expansion. Remington, answering its country’s call, with the aid of DuPont, Remington built the Lake City Army Ammunition Plant and others. Although the plants belonged to the US government Remington was asked to oversee the operations. They also continued to manufacture firearms like the Springfield 1903 and many others for our troops.
Remingtons are still being used today by our military. The Remington M24 (700) has been used by the US army as its standard sniper rifle since 1988.
Remington Outdoor Co. has made its mark on American history and has helped to shape many aspects of the firearm community. It is a shame to see them in this type of situation. However, there is a silver lining. According to Reuters,
“Remington is seeking debtor-in-possession financing that will allow it to fund is operations once it files for bankruptcy, the sources said. The size of the financing and timing of Remington’s bankruptcy plans could not be learned.”
Which means Remington will likely continue operating, like Colt did through its own bankruptcy.
Reuters goes on to speculate why the sales of firearms are down, stating,
“Remington’s sales have declined in part because of receding fears that guns will become more heavily regulated by the U.S. government, according to credit ratings agencies. President Donald Trump has said he will “never, ever infringe on the right of the people to keep and bear arms.”
This is something, as a gun store owner and firearms instructor, I can confirm is the truth. If we look back to the months prior to election day 2016, gun sales were through the roof, according to the Washington Post, “Nationwide, gun sales jumped 17 percent from September to October, and last month’s sales were 18 percent higher than the same time last year, according to recent FBI background check data.”
When we have a great 2A president who openly states he will,”never, ever infringe on the right of the people to keep and bear arms.” general fear subsides. When fear subsides the rush to acquire firearms subsides as well. When we are under threat of Hillary Clinton saying things like,
“I feel like this is unfinished business in our country, and I am very determined that we are going to try to bring some sanity back, so that people’s Second Amendment rights are protected — but they are not absolute, the way the NRA wants them to be. There are common-sense ways to make sure people are not using guns to commit mass murders.”
Fear is created, and this fear drives gun sales.
A titan of industry, and an American Icon, I hope Remington can pull through this tough time in its history. Godspeed.