Remington To File For Bankruptcy

[wedgy]

Gunmaker Remington Plans to File For Bankruptcy
posted by RJ Johnson - @rickerthewriter - 1 day ago

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  One of the oldest and best known gun-manufacturers in the world is set to file for Chapter 11 bankruptcy protections according to a release from the company amid declining gun sales.
  
  The financial restructuring plan would allow Remington Outdoor Company to remain in business while reducing its debt load by $700 million. The plan would also contribute $145 million of new capital into its subsidiaries according to the release.
  
  
  According to the company, normal business operations would not be interfered with by the restructuring plan. “Payments to trade partners, employee wages and other benefits, support for customers, and an ongoing high level of service to consumers will continue without interruption,” it said.
  
  
  
  Gun sales skyrocketed during the Obama administration because of fears new gun control legislation would be implemented. However, after Trump, a Republican endorsed by the NRA, was elected, sales fell off.
  
  Remington has also had to deal with a series of legal troubles over the last few years. They had to settle a class action lawsuit regarding defective that were sold. The gun company was also named as a defendant in a lawsuit for the 2012 Sandy Hook Elementary shooting because the company manufactured the Bushmaster rifle used in the attack.
  
  Remington is headquartered in North Carolina and has been in business for more than 200 years.
  
  Photo: Getty Images

 

[Hydenseek]

Surprise Surprise

 

[kris bassett]

So if they had to defend themselves because of Sandy Hook can I sue Ford,Chevy,Dodge ect because a terrorist used a vehicle to mow people down?

 

[moondog]

So, I'm guessing I won't see my Remington SAUM brass I've had on back order from powder
valley for a year now any time soon?

 

[jds holler]

On a much smaller scale, I have experience working for a company that filed one of the chapters of bankruptcy, and came out of it much improved and more profitable.

It was a family owned private cooperation, which basically got too large and spun out. They filed bankruptcy, changed names, and went from nine franchises down to two. Limped along for a couple years, and with luck and a good economy succeeded in becoming very successful within a smaller niche. I worked for both incarnations of this company, and the last fifteen years have been steady for me.

It can work, and I hope it does for Remington. jd

 

[KMart]

Please explain this to me. Do it in simple terms because I have the financial mind of a pi$$ ant.

The employees and all suppliers are still going to get paid. Yet $700 million in debt is going to go away AND they pay out another $145 million of new money to their subsidiaries. Are they printing their own money now?

if my bank account was upside down, my creditors would be over here picking up my stuff.

 

[300_whisper]

Please explain this to me. Do it in simple terms because I have the financial mind of a pi$$ ant.

The employees and all suppliers are still going to get paid. Yet $700 million in debt is going to go away AND they pay out another $145 million of new money to their subsidiaries. Are they printing their own money now?

if my bank account was upside down, my creditors would be over here picking up my stuff.

“A bankruptcy discharge eliminates debts, but it does not eliminate liens. So, if you have a secured debt (a debt where the creditor has a lien on your property and can repossess it if you don't pay the debt), bankruptcy can eliminate the debt, but it does not prevent the creditor from repossessing the property.”

This is an over simplification, but any assets Remington doesn’t deem profitable or is owned by the creditors gets sold or given back to the creditors to make up for the debt. The courts determine how much Remington owes the creditors. Normally what happens with large organizations like this is another creditor comes and buys the “bad” debt. The same thing happened with the motor vehicle industry, but the creditor who purchased the bad debt was the us government.

 

[Capt. Oblivious]

If im not mistaken the Trump group also did the chapter 11 a couple times and came out better on the other side.

 

[Brians356]

https://www.bloomberg.com/news/arti...on-will-cede-control-to-lenders-in-bankruptcy
-

 

[jds holler]

I'm not the guy to adequately explain a bankruptcy, but I'll make a feeble attempt.

It seems to be an organized way of sharing the assets of the debtor in the fairest possible way among the creditors, in the interest of sharing the wealth and the pain in a way that might provide survival of the debtor and the possibility of future payment of debt.

Think of a small town with just one blacksmith who goes broke owing the stables, grocery, tavern, restaurant, freight-line, and anyone else who lent him money. Do ya want to take his tools and run him out of town, or take your payments in time or maybe not at all so that the town will still have a blacksmith. jd

 

[hoz53]

I'm not the guy to adequately explain a bankruptcy, but I'll make a feeble attempt.

It seems to be an organized way of sharing the assets of the debtor in the fairest possible way among the creditors, in the interest of sharing the wealth and the pain in a way that might provide survival of the debtor and the possibility of future payment of debt.

Think of a small town with just one blacksmith who goes broke owing the stables, grocery, tavern, restaurant, freight-line, and anyone else who lent him money. Do ya want to take his tools and run him out of town, or take your payments in time or maybe not at all so that the town will still have a blacksmith. jd

or at least get part of the money you are owed.

 

[hoz53]

Gunmaker Remington Plans to File For Bankruptcy
posted by RJ Johnson - @rickerthewriter - 1 day ago

• AddThis Sharing Buttons
  
  One of the oldest and best known gun-manufacturers in the world is set to file for Chapter 11 bankruptcy protections according to a release from the company amid declining gun sales.
  
  The financial restructuring plan would allow Remington Outdoor Company to remain in business while reducing its debt load by $700 million. The plan would also contribute $145 million of new capital into its subsidiaries according to the release.
  
  
  According to the company, normal business operations would not be interfered with by the restructuring plan. “Payments to trade partners, employee wages and other benefits, support for customers, and an ongoing high level of service to consumers will continue without interruption,” it said.
  
  
  
  Gun sales skyrocketed during the Obama administration because of fears new gun control legislation would be implemented. However, after Trump, a Republican endorsed by the NRA, was elected, sales fell off.
  
  Remington has also had to deal with a series of legal troubles over the last few years. They had to settle a class action lawsuit regarding defective that were sold. The gun company was also named as a defendant in a lawsuit for the 2012 Sandy Hook Elementary shooting because the company manufactured the Bushmaster rifle used in the attack.
  
  Remington is headquartered in North Carolina and has been in business for more than 200 years.
  
  Photo: Getty Images

i read somewhere that once remington goes through the bankruptcy process they will no longer be owned by cerebus. of it may take years before the bankruptcy is completed.

 

[Bluetip]

I just hope they 're coop, from all this mess. It really isn't Big Green , its the HOLDING company, Freedom Group, who is to blame. Otherwise, this will be the passing of a legend, in our lifetime.
Hopefully, this is a bump in the road, that will lead to better things to come.
Especially for us green bloods!

 

[Mark Walker in TX]

Group buy? ;-)

 

[STOMP442]

This makes that new unfired still in the box 35 year old 700 bdl in 30-06 I just bought off an old widow that much sweeter. It's going to be like a pre 64 Winchester if big green goes under.

Sadly I think they deserve what they get. They should have moved out of the anti gun tax hungry state of New York long ago. If they had they could have spent more money on good tooling and quality control and less on taxes. Honestly though how does a gun company go through the last 8 years of booming gun business and end up with that much debt? Liberal policy only covers so much the rest falls squarely on the shoulders of poor management.

 

[mr45man]

Yea, they sure made nice rifles in the 60's and 70's. 1/2 and 1/4 min guns with hand loads
Bedding and trigger work .

 

[300_whisper]

Yea, they sure made nice rifles in the 60's and 70's. 1/2 and 1/4 min guns with hand loads
Bedding and trigger work .

They mad nice guns until 2007. I have a 2006 .30-06 ADL that shoots .5 MOA with Remington corelokt. I have banged steel out to 500 yards with my little Nikon prostaff on it.

 

[hoz53]

This makes that new unfired still in the box 35 year old 700 bdl in 30-06 I just bought off an old widow that much sweeter. It's going to be like a pre 64 Winchester if big green goes under.

Sadly I think they deserve what they get. They should have moved out of the anti gun tax hungry state of New York long ago. If they had they could have spent more money on good tooling and quality control and less on taxes. Honestly though how does a gun company go through the last 8 years of booming gun business and end up with that much debt? Liberal policy only covers so much the rest falls squarely on the shoulders of poor management.

remington is filing chapter 11 reorganization. they are not going out of business- not now anyhow

 

[jds holler]

I guess I have and have had more Remington firearms than any other brand. As I sit here and think about all of them, it makes for a lot of fond memories. They've always been a solid choice for quality for the money, and I don't know if their recent problems and complaints are more common than other brands. I would be sad to see them go. jd

 

[muleman69]

I guess I have and have had more Remington firearms than any other brand. As I sit here and think about all of them, it makes for a lot of fond memories. They've always been a solid choice for quality for the money, and I don't know if their recent problems and complaints are more common than other brands. I would be sad to see them go. jd

I'm with you, like apple pie and chevrolet