Remington to File for Bankruptcy
For two centuries, it [Remington] has been a totem of America’s gun culture — a name emblazoned on frontier flintlocks and U.S. Army .45s.
Eliza Ronalds-Hannon and Polly Mosendz with Bloomberg News reported the news that Remington Outdoor Co. will be filing for bankruptcy, using, in my opinion, a leftist slant. The company, which has history back as far as 1816 and received its first contract in 1845 consisting of “manufacturing 5,000 “Mississippi” rifles for the U.S. military”, is no stranger to financial trouble. The Remington name is obviously not going to disappear, but this is still a hit for the company and shareholders. With all the Liberal and “independent thinkers” out there doing all they can to blame guns for shootings that people actually do, the article basically states that people are not panicked about gun availability, and there is no big rush to buy guns with President Trump in office. That is said to have hurt gun manufacturers all over.
Remington’s prepackaged reorganization will be filed with the U.S. Bankruptcy Court in Delaware, according to a statement from the company. Holders of the gunmaker’s $550 million term loan will take an 82.5 percent equity stake in Remington while third-lien noteholders get 17.5 percent of the company and four-year warrants for a 15 percent stake, according to Remington. Creditors will also provide a $100 million debtor-in-possession loan to finance operations throughout bankruptcy.
It’s hard to say what the future holds, and Remington was unavailable to Bloomberg News for comment.