U.S. gun maker Remington has filed for bankruptcy as gun sales continue to decline.
Remington Outdoor Company filed for bankruptcy protection on Sunday, as protests erupted around the country in support of gun control just a day before. The company has dealt with declining sales for years, and did not meet requirements from its debt lenders, according to documents filed in the U.S. Bankruptcy Court for the District of Delaware.
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Through the bankruptcy, Cerberus Capital Management, a private equity firm that acquired Remington in 2007, will lose its ownership of the company. Remington’s creditors will seek equity in exchange for their debt holdings, Reuters reported on Sunday.
It’s unclear how the recent gun control debate will impact gun sales. Several retailers announced after the Parkland, Florida high school shooting that they would seize selling modern sporting rifles, otherwise known as assault-style weapons.
Dick’s Sporting Goods, which owns Field & Stream, announced it would no longer sell assault-style rifles, also referred to as modern sporting rifles. Company officials said they already removed them from all Dick’s stores after the Sandy Hook massacre, but they will now remove them from all 35 Field & Stream stores.
L.L. Bean, Kroger, Walmart and REI also announced changes to store policies following the mass shooting.
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