#Bankruptcy

The beleaguered gun rights organization, The National Rifle Association, has filed for Chapter 11 bankruptcy protection and plans to restructure in the state of Texas. Over the past few years, the NRA has come under fire for alleged financial mismanagement and the target of lawsuits and other civil actions. In August, the New York Attorney General announced intentions to dissolve the NRA under a fraud and abuse investigation. The NRA bankruptcy petition is part of a plan to reorganize outside the state of New York.

New Hampshire based firearms manufacturer and industry powerhouse has just announced that the acquisition of Marlin assets from the Remington bankruptcy sale is complete. The deal closed on November 23 and the $28.3 million purchase price was paid in full. Ruger is said to be moving Marlin rifle production in house and expects to see lever action models available later in 2021. Additional details can be found below.

Long-lived firearms manufacturer Remington Arms has been divided up amidst its bankruptcy auctions which started shortly after its second bankruptcy filing earlier this year with the intent to sell assets. The Remington asset bids have recently been revealed with some surprising results with perhaps some looming consequences for some of the more popular firearms from Remington.

A few weeks ago we covered how Remington appeared to be preparing to file for Chapter 11 Bankruptcy a second time. It turns out that everything except for the buyout by Navajo Nation came to pass over the past couple of months which saw a massive spike in gun sales amid the COVID-19 pandemic and civil unrest across the United States.

Virtually any institution with a history spanning more than two centuries is almost certain to experience its fair share of ups and downs over those many years. America’s oldest gun maker, the Remington Arms Company, is no exception. Since its founding by Eliphalet Remington in Ilion, New York in 1816, Remington has seen some of the highest highs and lowest lows. Highlights include producing some of the most seminal designs in firearms history, such as their Model 700 bolt-action rifles and 870 pump shotguns, as well as abysmal lows like the regrettable R51 pistol and previous bouts with bankruptcy. TFB reported on Remington’s Chapter 11 filing and restructuring measures in 2018. This time, the company’s financial woes appear to be coming with a different solution. According to Reuters, Remington is in the advanced stages of negotiation with the Navajo Nation for a potential buyout. The Reuters press release reads as follows.

On January 14th, 2020, TFB reported that the city of Kansas City, Missouri was suing Nevada-based handgun manufacturer Jimenez Arms. The January 7th lawsuit, filed with assistance from anti-gun group ‘Everytown for Gun Safety’ and their legal arm, ‘Everytown Law’, alleged that the company either intentionally or negligently aided and abetted a former Kansas City firefighter, James Samuels, in running an illegal gun trafficking ring along with several KC-local firearms dealers and retailers. Now in the wake of that lawsuit, Jimenez Arms has filed for bankruptcy. As of the time of writing, they have not responded to a request for comment.

It seems that the Sharps Rifle Company has filed for bankruptcy. According to documents filed with the Wyoming District U.S. Bankruptcy Court, Sharps filed for bankruptcy on December 31st of 2019. The Sharps bankruptcy filings show that Sharps has been struggling for quite a while now. Back in 2017, the rifle company brought in just over $1 million in gross revenue. In 2019 Sharps only brought in $578,000.

Hudson Manufacturing, makers of the much-vaunted Hudson H9, filed for Chapter 7 bankruptcy on March 14th. This is, presumably, in direct response to their previously cataloged troubles. Cambridge Valley Machining has sued Hudson over unpaid debts after being contracted to machine parts for them.

To get TFB readers and gun consumers up to speed, Acusport Corporation is a distributor of firearms and related accessories within the US. They are one of a handful of distributors who assist manufacturers in getting their products to retailers and eventually to you, the consumer.

In what should not be a shock to most anyone paying attention, iconic firearms manufacturer Remington announced a bankruptcy filing on Sunday, passing control to lenders – a move that will wipe away most of the companies debt. We hesitated in bringing you the story earlier since we have covered Remington’s financial troubles numerous times in just the last few months. However, ultimately the court filing in Delaware is a significant event that requires a notification to our readers,

Last week we reported that Remington was seeking financing to file for Chapter 11 bankruptcy. On Monday the iconic gunmaker announced a financing deal had been agreed with its creditors. A Restructuring Support Agreement has been announced that will reduce approximately $700 million worth of Remington Outdoor Company’s consolidated outstanding debt.

With nearly $1 billion in debt and credit agencies warning that their capital structure is “unsustainable”, firearms and ammunition manufacturing giant Remington is looking for financing to fund business operations during bankruptcy proceedings. An exclusive report from the news agency Reuters also states that Remington’s sales dropped 27% in the first nine months of 2017 resulting in a $28M operating loss.

According to court documents, A.D.K. Arms, Inc. filed for Chapter 11 bankruptcy on July 20 of this year. This filing was made at the U.S. Bankruptcy Court, Northern District of Illinois.

REV Arms, also called Revolution Arms, noted for “selling” (more on the quotes in a second…) sub-MOA guarantee AR-15s is highly likely to be no more. While formal bankruptcy papers have not been filed, the company has gone eerily silent. Numerous customers are reporting lack of delivery of product to the local BBB.

Many people predicted the fate of Gander Mountain and now more information is surfacing. By filing for Chapter 11 bankruptcy it allows Gander Mountain to clean up their dirty laundry, consolidate as needed, and potentially sell the company without too much disruption for their customers. Gander Mountain‘s timeline is looking loosely like this: