Rob Cox and Richard Beales look at the factors that fueled a boom in gun sales – and why U.S. arms manufacturers are now suffering.
There was Republicans take control of the US senate you would think that would sort of be the end of any tapes the gun control in the US and you would think that might be good gun manufacturers but not so folks wrote seems to be the note note. At that and remember we were wrote a prediction about this earlier Blair last year. Which basically said that as as read these fears of gun control laws like the match Jimmie background check bill assault weapon ban. As those of proceeded and they certainly receive with a Republican take over the senate. You would think it would be good for gun makers but actually it's really interest in what you saw was you know. Ever since Barack Obama was elected president and as you've had. These masters like sandy hook. Reich Aurora. You have these spikes were gun control legislation comes to state houses in the sort of let people people stock I don't buy a case they didn't controlled pre sold years and demand. Right because people were stocking up picking the Iraq and Beale by some in on air fifteen whoever might be. So what's really amazing you look at some of you look at their few windows into the the actual finances the gun makers of the couple public companies on a scotsman from west that it that is called Sturm Ruger Esther Berger has sought in the third quarter. It's and it's inventories doubled to like fifty million dollars it's netting Comcast's plunged 76% sales are down. So that was another is their fear that people went out of items that don't buy it because they already books period had done how many air fifteens could have regrets that much or gone to war. And I'm so late last week are we saw Tom Cole manufacturing the you know the COLT the Hartford company which you know. Bill and to the gun that would that the six revolver into the which was the inmates either six was built about Catholic ultimate tablet. They basically it's almost and failed to meet their debt payments right they got an emergency loan for Morgan Stanley otherwise that it had to go into default. Which still might be the case right you had Remington zone by freedom group what freedom refreshed say it was. Which is a private equity servers that business sense Remington bush master which is the for his the F fifteen at the Johnson who accuse it they had their debt ratings downgraded. You seemed so Sturm rivers down 50% or so this year. Smith and lessons and a quarter so they had these amazing runs. So I mean I think Sturm Ruger was up like ten fold from the book. From Russia for hitting you said and appease senate down they've lost yet he's lost half their value at a Delaware handed down its is that it is that the right way to think Bennett spoke Lou what what's the futile I think. And I think there is coming what you've seen since 2004 there was that basically they let there was sunset provision in 94 crime Mac. Which which basically banned assault weapons that's off the table I don't see that happening any time soon. Tom I don't background checks certainly not gonna happen for a couple years. I think which you're gonna see an and then you have. The backdrop of the economic decline that we saw from 2008. Really dead also was part of the reason illustration of the social status of the clear whether you're police there isn't it we don't littlest things mightily this so I think they're gonna have. I think you have certainly had an elevated level lot of these salesman but. It is going to be pretty tough going. All right thanks so we'll leave that that'll keep it that story and stay tuned for rule breaking views.