Savage arms being sold.

[ohihunter2014]

Wasn't sure where to put this but seen in another forum and figured I would share.

https://www.cbsnews.com/news/vista-outdoor-to-sell-gun-brands-focus-on-bullets/

[RustyShackle]

Oh snap. Hope somebody worthwhile picks them up.

[Steak n eggs]

So vista outdoors feels like they can make a profit off ammunition, reloading and reloading powders, optics etc... but has to morally draw the line when it comes to hunting rifles and shotguns?!... pathetic!... I hope Savage gets a good owner.

[Robinhood]

Not sure if anyone is paying attention but this is how holding companies/investment firms operate. I've been in manufacturing my whole live. Longer than I care to admit but think jimmy Carter. When an industry is doing well, the holding companies swoop in and buy. For the next few years, they will milk the company to death with some very creative financial strategies that will cloak the real goal, expansion is one.

When the teets are dry and the coffers empty, they shed what is left of the corporation. a discerning eye can see the lost value and it makes it a difficult sale. The company is usually left very top heavy with administration and debt.

The cynical side of me believes that this is a weaponized global economic tool. Make money and destroy and industry that does not fit the plan. Look at the credit card companies and the pressure they put on the gun industry. Follow the money.

[wbm]

---

[BC98]

Or it could be that Savage (and the other 3 or 4 non-shooting related brands that were NOT mentioned in that article) have been consistently underperforming. Remember that the CEO who bought all of those extra companies at Vista is no longer in charge.

[BB68]

Ship - I bet we can kiss those 12fv rebates good bye

[Steve Cox]

Wow, now I'm kind of glad I didn't go with the 110 Tactical LH. Guess I'd better wait to see how things play out.

[Robinhood]

Read an article today where Dutch Bank said too many corporation are in debt with no clear way to recover. Will be responsible for the next recession.

[kcb38]

A little more on the topic:
http://www.standard.net/Business/2018/05/03/Utah-based-Vista-Outdoor-explores-future-says-gun-backlash-had-little-impact-on-sales

[J.Baker]

Vista has been looking at selling off some brands since before the first of the year. I think it was last fall that the CEO and CFO were both encouraged to resign/retire and new blood was brought in to start cleaning up the financials after their predecessors went on a buying spree.

https://www.wsj.com/articles/vista-outdoor-aims-to-exit-several-brands-including-firearms-1525183300

The points made in this article about the investment that would be needed to make Savage a full-service firearms manufacturer are true. Vista's goal right now is to focus on the brands that are leaders in their perspective field and right now Savage doesn't make the grade. As noted, handguns make up 50% of firearms sales in the U.S., and Savage doesn't make any. Savage's various attempts to get back into the shotgun market over the last 10-15 years with cheap imports haven't been very successful either.

[geargrinder]

Just like ISIS, I'm sure REI will claim responsibility.

[Robinhood]

Vista Holdings
http://accurateshooter.net/pix/vista1805.jpg