Remington Outdoor Company Surrendered to Creditors

By Dave Dolbee published on in General, News

Remington is (was perhaps) one of the most revered firearms manufacturers in the America. Known as “Big Green,” Remington has sadly become Big Red, sinking into massive debt. Although it was widely reported that Remington was having significant financial difficulties, it is still sad news to read that Remington has filed for bankruptcy.

Remington 150 Years of firearms in New York

For 150 years, Remington produced quality firearms in New York before politics caused the move to Madison, North Carolina.

While bankruptcy is a financial standing and does not necessarily mean out of business, it does not bode well for Remington’s or the Freedom Group’s future. Is anyone else thinking “Colt” and it’s financial woes and attempts to retain the name and product lines?

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, Florida.

The WSJ 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.

Fox News Reports:

“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.

It was 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.”

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.”

Will Remington and the Freedom Group survive under the management and supervision of the creditors? Which Remington model will you recommend purchasing before its possibly gone? Share your answers in the comment section.

SLRule

Growing up in Pennsylvania’s game-rich Allegany region, Dave Dolbee was introduced to whitetail hunting at a young age. At age 19 he bought his first bow while serving in the U.S. Navy, and began bowhunting after returning from Operation Desert Shield/Desert Storm. Dave was a sponsored Pro Staff Shooter for several top archery companies during the 1990s and an Olympic hopeful holding up to 16 archery records at one point. During Dave’s writing career, he has written for several smaller publications as well as many major content providers such as Guns & Ammo, Shooting Times, Outdoor Life, Petersen’s Hunting, Rifle Shooter, Petersen’s Bowhunting, Bowhunter, Game & Fish magazines, Handguns, F.O.P Fraternal Order of Police, Archery Business, SHOT Business, OutdoorRoadmap.com, TheGearExpert.com and others. Dave is currently a staff writer for Cheaper Than Dirt!

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Comments (23)

  • Charlie

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    Instead of buying all this ” crappy American gun stuff” (AR15 types included), save your money and buy a Rigby or Purdy rifle or shotgun. Not only will you own quality, but it will certainly by a “work of art” you can pass down in your family. As stated in an earlier message, the Alabama made Remingtons do not compare to the NY’s—at least in the 1911 R1 Enhanced.

    Reply

    • Mister Mischief

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      @Charlie…There was a time that Remington was the “king of the castle.” Take a moment to read my main post written earlier…Remington has been absolutely great to me over 5+ decades of hunting. My 30-06 Remington 700 ADL w/checkered walnut stock came out of New York after ‘Nam was over & I’d arrived home to the usual unenthusiastic & often antagonistic or even hostile welcome most of us from all branches of the military received outside of family circles. And I returned to my beloved forests, fields, lakes, rivers, & streams to try & find peace & solace in God’s beautiful creation. I am in my mid-60s now, so please forgive my digression down this dark memory lane, but it was only during President Obama’s presidency that I finally began to hear the words “Thank you for your service.” Forever too little, forever too late, because our great country never should have been involved in Vietnam. But now please understand why we never should have been in Vietnam. President Eisenhower may have been a decent, not great general in WWII, but he drug us into Vietnam to “help” the French…a stupid move by another less than brilliant POTUS (who stupidly didn’t let General George Patton take us all the way to Moscow to get rid of Stalin & his evil henchmen), & at the onset of the Vietnam debacle, even Ho Chi Minh was not a communist. And just as well in a similar vein, we never should have started either Gulf war, & this veteran father of 1 son & 1 daughter shook with fear & trepidation every day of his only son’s 3 tours of duty in Iraq & Afghanistan during the second Gulf war, another place where another pair of idiots named Bush & Cheney, one stupid, the other just plain evil, got it ALL wrong. Unless one is a vet & has or had a son (or daughter) serve in either Gulf war or in Afghanistan, most people cannot possibly know & feel what went on inside of me the day President Obama announced to the U.S. citizenry & people of the world that a later generation of my U.S. Navy brotherhood killed Osama Bin Laden, our true enemy mastermind of 9/11. All day I cried copious tears of joy, & a huge burden of guilt fell away from my soul that day because we had a Commander-in-Chief (along with a Secretary of State who should be our president now) who finally got it right! That was the perfect therapy needed to exorcise my inner demons & free my soul for the rest of my earthly days. (And to all readers, remember that these are my views to which I’m entitled, so to anyone who disagrees, don’t send some nasty reply. I earned the right to these views during some of the darkest years of my life. To other readers, go read my first post earlier on April 4th.)

      However Charlie, unrelated to the Remington issue, please don’t think all U.S.-made ARs are junk. I have an AR-10 (complete) from Patriot Ordnance Factory made in Phoenix which I bought last year. My POF 308 is fully & truly designed & made by artisan gunsmiths, made entirely in the USA with U.S. labor & U.S. parts, & I had the greatest good fortune to buy one of only 4 in the world with a 1 in 8 twist 24″ fluted & flash-suppressed barrel, left over from our military’s special ops/special forces teams (custom order) who chose a non-public (rightfully so) automatic version of this rifle & 24″ barrel length as their go-to all-around long gun, long range gun, & close quarters gun of choice over all competitors. Mine has the 24″ barrel (1 of only 4 ever made for the civilian population to use the 4 leftover 24″ barrels POF discovered they still had when they were moving to a larger facility), the fantastic burnt bronze cerakote finish, a Luth MBA stock, & I’d been searching desperately for many months for a previous year leftover when they still made one with a 20″ barrel, so I scored big-time! I’ve made some incredible shots beyond belief at a half-mile for someone with no formal sniper training. I bought this gun at my advanced age to take up long range shooting in my unfortunate medical issue early retirement, & I’m sure with proper training, breathing technique, etc., & my 10 × 40 quality scope, if I’d have access to a mile-long range, I would bet I could perform better against myself with my POF 308 than almost every proven bolt action sniper rifle out there. If you have never heard of this company you should check them out. However you’ll now be limited for true long range shooting because their AR-10s & 15s now have only 16.5″ & 18.5″ barrels as standard lengths. I suppose you could purchase some longer barrel & have custom changes made, but it would be both very risky & expensive. I just got either lucky or blessed depending on how you view life, as I just happened to be talking to the right person in the right place at the right time. I was actually going to buy 2 of the 4, & never take one of them out of the box because they are only going to increase in value over the years with only 4 ever made from “scratch” in a semi-auto civilian version, but my wife wouldn’t yield, so a true investment opportunity went to someone else. But best of all, I got mine at about midway between wholesale & average retail price based on their normal off the shelf models! Check them out & if you buy a POF 308/AR-10, any model POF makes, you’ll likely never regret that decision. Best to you in life, but especially in forest, field, & at the range!

      Reply

  • charles kennedy

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    I have bought and used Remington firearms for 55 years,, never a problem, from .22 rifle at 7 years old, Remington 700 in Vietnam, to shooting my vintage nylon 66 yesterday! Sad to see the end of over 150 years of quality firearms lost to corporate Greed and the so-called “bottom line”!! Never thought I would ever say it, but I’m old, so I will not be around to watch the end of what I fought for to keep America safe!

    Reply

  • Mitt Radates

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    I bought 3 of the RM380 pistols. The low prices and $100 rebates made an irresistible deal. After upgrading the springs with excellent Galloway replacements, I have smooth-shooting, low-recoil, easy-racking concealed carry pistols for my family.

    Reply

  • Darkman

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    Remington began it’s death spiral many years ago when the quality of it’s products were no longer Priority One. Unlike consumers of other goods. Firearms purchasers demand quality of the highest order when spending their hard earned money. Remington fell into the mass production trap that many companies do when profits become the only goal. They assumed the customer would always be there regardless. When Cerberus purchased the company and formed Freedom Group Inc. The problem was only compounded by the fact that it was owned by a group that was even more profit driven. Sadly I don’t see a way out for the brand considering the hit to it’s reputation and the other options out there for the firearms buyer. Let this be a lesson to all firearms companies. When you fail to meet your customers expectation they will go elsewhere for their goods.

    Reply

  • Mrv

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    Before they go I would like the Remington 870 Police LE Marine Magnum shotgun. If I had the money, I would get it now.

    Reply

  • Charlie

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    I bought a .45 cal R1 Enhanced 1911 several years ago–made in NY. Bought a 9mm R1 Enhanced 1911 made in Alabama not too long ago. The one made in NY is certainly a much nicer finished 1911.

    Reply

  • Michael Pollock

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    What I don’t understand is why these gun manufacturers get so far in debt. It’s not like guns and shooting have been very unpopular. Is it the cost of the materials? Are they really selling that few firearms? Does anyone know?

    Reply

  • Secundius

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    That’s probably why Cerberus Capital Management LP “DID IT”! For the Debt Value (i.e. ~$252-Million USD). Buy a company for ~$107-Million, and Fill for a ~$252-Million Lose at a Later Date of your choosing. And collect the difference against Taxes Owed, and STILL make a Tidy Profit…

    Reply

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