This article is over 5 years old


Remington Declares Chapter 11 Amid ‘Trump Slump’ In Gun Sales

The 200-year-old firearms manufacturer has struck a deal to stave off creditors as it tries to reorganize amid falls in sales and louder calls for gun control


Ammunition and a Remington Bushmaster rifle are seen at a gun display during a National Rifle Association outdoor sports trade show in 2017 in Harrisburg, Pennsylvania.

Firearms manufacturer Remington Outdoor has filed for Chapter 11 bankruptcy protection in hopes of staving off creditors amid a slump in sales and public outcry over gun violence.

Reuters reports that Remington’s creditors, including Franklin Templeton Investments and JPMorgan Asset Management have agreed to exchange debt for equity in the company.

Remington was founded in 1816 in upstate New York and is one of the largest and oldest U.S. producers of firearms. It was bought in 2007 by Cerberus Capital Management for $118 million.

Although its financial troubles go back further, in recent months, the company has found itself on the losing end of a phenomenon in which higher gun sales are seen under Democratic presidents, as gun enthusiasts fear greater gun control, and drop under Republicans.

For example, firearms sales were brisk under President Obama and in October 2016, when polls showed Hillary Clinton the likely next president, gun sales hit a record, only to drop off precipitously after the election. Industry observers have dubbed the current downturn in sales the “Trump Slump.”

According to Bloomberg: “After the Sandy Hook [Connecticut] shooting, Cerberus announced it would sell the company, as its own agitated investors demanded an exit, but it failed to find a buyer.”

A Remington-manufactured Bushmaster rifle was used in the school shooting, which killed 20 children and 6 adults.

Remington was later sued by the relatives of nine people killed and one who survived the Sandy Hook massacre, but the suit was dismissed by a state Superior Court judge.

Remington – which employs 3,500 people — is among the largest makers of guns and ammunition in the country.

Another firearms maker, Colt Holdings Co., filed Chapter 11 in 2015.

Copyright 2018 NPR. To see more, visit
Today in Houston Newsletter Signup
We're in the process of transitioning services for our Today in Houston newsletter. If you'd like to sign up now, fill out the form below and we will add you as soon as we finish the transition. **Please note** If you are already signed up for the newsletter, you do not need to sign up again. Your subscription will be migrated over.