Cerberus’s Remington Gunmaker Seeks Bankruptcy Protection

By 

Tiffany Kary

 and 

Eliza Ronalds-Hannon

March 25, 2018, 6:02 PM PDT Updated on March 25, 2018, 7:29 PM PDT

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Remington Outdoor Co., the 200-year-old maker of rifles, handguns and bullets controlled by Cerberus Capital Management, filed for bankruptcy, after the election of a “true friend” to the White House ironically wound up stifling sales.

The chapter 11 filing in Delaware bankruptcy court lists estimated liabilities of $100 million to $500 million. Remington, which makes weapons for military, law enforcement, and hunting customers, disclosed plans for the bankruptcy on Feb. 12. A deal had already been negotiated with lenders that would cut debt by about $700 million and inject $145 million of new capital into the Madison, North Carolina-based company.

The filing came after a weekend of marches across the U.S. seeking tighter laws to fight gun violence. It allows Remington to keep operating, and the deal with lenders is subject to court approval.