Remington Gets Ready to File for Bankruptcy

By Erika Haas

There’s been much debate surrounding the so-called “Trump Slump” in the gun industry. How bad is it? How long will it last? Will it change the face of the industry? Is it even real? While we still don’t have any concrete answers to these questions, there is one thing we know for certain: Remington Arms is struggling.

Last month, the firearms manufacturer – one of the oldest and largest in the country – began exploring options to restructure its $950 million debt. The company not only saw a significant drop in sales in 2017 but lost a number of its investors. The gun manufacturer has also been caught up in a handful of legal proceedings, including another lawsuit related to the 2012 Sandy Hook shooting.

On Monday, the company officially announced that it had reached a restructuring support agreement with creditors to reduce its debt and allow it to continue normal operations as it enters bankruptcy proceedings.

More specifically, creditors will reduce Remington’s debt by approximately $700 million and will contribute $145 million of new capital toward Remington’s operating subsidiaries. The company is preparing to file a prepackaged …Read the Rest

Source:: Bearing Arms