BIg Green filing for bankruptcy

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Re: BIg Green filing for bankruptcy

Postby Texas Sheepdawg » Sun Feb 11, 2018 6:01 pm

commander faschisto wrote:Best thing they could do would be to leave Cerberus; fire most of management; and move to Texas, Oklahoma, or their location in Arkansas...


THIS!!

100% Agree
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Re: BIg Green filing for bankruptcy

Postby plant_one » Mon Feb 12, 2018 9:57 am

ive been thinking about this on and off for a couple days... and i'm thinkg theres more to this than just a simple bankruptcy due to Q/C or whatever perceived issues we see on the surface.


Cerberus management isnt a dumb company. those folks are some financial wizards. and you dont make money on that kind of level by destroying your company's. you do it by capital investment, debt management, and profitability. you get those 3 things in line and THEN you sell the company and make hundreds and hundreds of millions of dollars.


i almost wonder if this isnt just one small part of the bigger - long term - plan for Remington/Freedom Group as a whole - think like the GM reorganization/bailout/bankruptcy process a couple years back.

build the new plant down south and rename the company, move most of the stuff out of new york. blame it on the gun regulations. now you have two company's operating.

Illin is now totally unprofitable. with the election going the way it did, the gun market is flooded so prices have softened quite a bit. do some accounting magic, make the numbers look even worse in new york.


now they have an excuse to take a bath on the Illin facility, move the rest of the production down south, load the old company up with all the debt, and then wash much of it in the bankruptcy and liquidation of the old facility.

a friend on another forum also noted - the bankruptcy will allow they to either settle cheaper, or even eliminate some of the lawsuits that are currently in place over the trigger stuff too.


now they can move forward with this new high tech thing down south without the anchor of their historical debt load or NYS regulations holding them back and come out of the bankruptcy with a new leaner, meaner, on their game company going forward into the future - which is then ripe in the current regulatory and tax market for a sale at a astronomical profit in the next 5-7 years...




just thinking out loud...
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Re: BIg Green filing for bankruptcy

Postby Bmt85 » Mon Feb 12, 2018 2:59 pm

Plant one, your explanation makes sense, except for one thing, Quality. They have been losing customers for years, just based on quality. That was before the 700 trigger fiasco and there pistols that failed. Marlins going the same way. Then there is H&R being dropped. Honestly, I'm surprised a couple of the companies are actually still doing well and making quality stuff, Barnes is one that comes to mind. I'm sure there is some kind of plan, but to take some well established names, and turn them to crap over time, for what seems like no reason, doesn't seem like the greatest way to make a financial gain.

Not trying to argue, just conversing.
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Re: BIg Green filing for bankruptcy

Postby plant_one » Mon Feb 12, 2018 8:43 pm

i cant argue they have had their share of QC issues. but then again - how much of that is related to the historical Illin facility vs the new place down south?

none of us can be the fly on the wall at the corporate board rooms and Cerberus planning sessions...

however based on the fact that Cerberus has been openly talking about selling Remington/freedom group for several years, going thru a bankruptcy process to minimize some of the liabilities sure does make a lot of sense as a way to helping ease that sale process along.



i suppose we'll see here soon enough

as you said, just conversing :)
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Re: BIg Green filing for bankruptcy

Postby Texas Sheepdawg » Tue Feb 13, 2018 7:51 pm

You hit on one thing. Maybe a few more. But one stands out. “Law suit”. If you’ve been caught stealing designs, and caught not paying patent owners royalties and they file a law suit against you... bankruptcy is a way to get away with it.
I’m not gonna say anything else because I just said way too much. But use your imagination of who is really gonna get hurt now.
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Re: BIg Green filing for bankruptcy

Postby commander faschisto » Sat Feb 17, 2018 8:34 am

Update:

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.

A Remington will also receive a cash injection of $145 million of new capital to keep the business operating and allow for a restructuring program to begin. A press release issued by the company on Monday, 12th February, reassured that:

“Remington’s business operations will continue to operate in the normal course and will not be disrupted by the restructuring process. Payments to trade partners, employee wages and other benefits, support for customers, and an ongoing high level of service to consumers will continue without interruption.”

http://www.thefirearmblog.com/blog/2018 ... Newsletter
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