The Second Largest Gunmaker is Filing for Bankruptcy

Written by SK Ashby

Remington Outdoor Company Inc, the marker of the Bushmaster rifle used in the Sandy Hook massacre and so many other shootings across the country, will soon file for bankruptcy according to an exclusive report from Reuters.

Remington is reportedly nearly a billion dollars in debt and searching for emergency funding the company can use to continue operating after filing for bankruptcy.

As you might have guessed, the reason this is happening is because people just aren't buying guns at the same psychopathic frequency as they did under President Obama.

Credit rating agencies have warned that Remington’s capital structure is unsustainable given its weak operating performance and significant volatility in the demand for firearms and ammunition.

Remington’s sales have declined in part because of receding fears that guns will become more heavily regulated by the U.S. government, according to credit ratings agencies. President Donald Trump has said he will “never, ever infringe on the right of the people to keep and bear arms.”

Remington's sales dropped by nearly 30 percent last year and there's no expectation that people are going to start buying dozens of guns again. You know, at least not until Democrats are back in control of Washington.

I've said it before, but I believe Remington and other gunmakers have it all wrong. If they want to sell more guns, they should support Democrats in every election, not Republicans. The NRA is wasting their money and hurting their business by helping Republicans get elected.

I say that with all due sarcasm, of course, but I still feel like I'm providing them good business advice.

Credit rating agencies are right to question the health of an industry that seems to be entirely reliant on which political party controls the government. Most other industries in American are built on the idea that sales and earnings will improve year-over-year regardless of who is running the country, but that is not the case for the gun industry. Their sales can dramatically fall off a cliff overnight if their campaign to create new suckers falters for any reason.

The NRA spent a record amount of money to help Trump get elected in 2016 and they couldn't be more irrelevant at this particular moment in time.