Posted on 05/24/2014 8:35:48 AM PDT by mac_truck
I recently had occasion to read through the S.E.C. 10Q filing for the newly formed Colt Defense, which is a limited liability corporation comprised of New Colt Holding, Colt Manufacturing, Colt Defense Technical Services, Colt Canada, Colt Finance, & Colt International among others.
The merged company has brought the manufacture of Colt long guns and Colt hand guns together into a single enterprise, however the company reported a loss in the most recent quarter and the sale of long guns was reported down more than 50% from a year ago (~24million in Q1 2014 vs ~52million Q1 2013).
Some of this decline may be attributed to the wind down of the conflicts in Iraq and Afghanistan, as well as greater competition for US military contracts.
Colt signed a 12 year lease deal with Osceola County Florida in 2011 for space which was intended to bring manufacturing jobs to central Florida. That property remains vacant and undeveloped and it is unclear whether the merged company plans to move there once the lease on its manufacturing plant in Connecticut is over in 2015.
Colt Defense has become highly leveraged as a result of its acquisition of New Colt Holding and is given a negative CCC+ rating by Moodys. Its revenue is down significantly from the same period a year ago, and there are covenant restrictions on how much new spending it can do. They do have increased sales on back order ($222 million Q1 2014 vs. $207 million Q4 2013), but much of that is government orders for spares.
The question really is whether Colt Defense and its iconic American brand can survive in this economic environment, or will they get purchased by a competitor with deeper pockets, or be forced to file for bankruptcy?
Yes, though I personally lean towards blue steel and walnut. 240 gr loads in a small five shot wheel gun would be very comforting. So would healthy loads in a six shot DA .45 Colt with a 5" barrel for a side arm. Lots of punch without all the fire show.
I do love the .44 mag, but it is work to shoot those heavy guns well. Fatigue sets in after while and beyond that you end up just burning (expensive)ammo. On the other hand, a single action .45 is just fun to shoot.
Hope you have a great weekend!
They did from 1996 to 2002, the Model 696 on the L frame (same as the 686). You can't fire really hot loads in it because the forcing cone in thin, but a 240 grain semi wad cutter at 850 fps will take the starch out of a problem. Best to look for a 696 or 696-1 because they were made before the lock. I've got one and it's a nice piece.
See my #42 re Smith 696.
I’d buy a couple 10mm to 40 conversion barrels for my S&Ws and Colt. I’ve read reports of some shooting 40s in heir Springfield 10mm Omegas but am not interested in doing so.
Sort of recall that. Very nice. Would be even nicer if they could squeeze that into a K frame. Still, I would grab one if the chance arose.
Hope yer good Slim!
As long as they still have some US government contracts they are set for a glide path. But if they want to compete the Europeans (ironically) and Israelis are making amazing small arms that militaries are adopting all over the world.
Personally I don't want a piston driven rifle. It solves one problem and creates worse problems. That being said I wouldn't buy another plastic pistol either but that doesn't mean there isn't a market for them. They could carve out a niche with a piston rifle.
I think if they made a spec rifle (piston or GI) with the quality Colt is known for, at a competitive price, they would have a winner.
I have no idea what problems you imagine are inherent in piston driven ARs, but I have built several and have found two that run flawlessly, the Osprey Defense and then the Adams Arms. I prefer the Osprey because it is so trouble free. But the dialability for pressure of the Adams Arms version is good, too. I would guess that around 10 to 20 thousand rounds I may need to replace the drive rod ont he Osprey, but running cool in the bolt and such attributes makes it well worth it.
The problems with a piston are accuracy, additional reciprocating mass, and at least in the AR, additional wear in the receiver. No piston AR can touch the GI AR in accuracy, and that alone is enough reason to ditch the concept IMO.
“Personally, I wish that S&W would put out a product in stainless that holds five rounds of .44 Special, with, oh, a 3 barrel. For me, that would be an ideal CCW revolver.”
I’d buy one in a heartbeat. I have a Charter Arms 5 round .44 Spl that I consider a fine carry piece.
Colt just signed at five year deal with the union that represents 72% of its work force.
Hopefully there is a 'breakup clause' in there, should the company decide to move their operation to Florida. :^)
Gun manufacturers, start manufacturing ammo now!
Let me know when a piston AR wins a National match or is competitive in 3-gun. Until then I will stick to my 16" AR with it's NP3 bolt/carrier that I've never had a failure in.
I’m not knockin’ impingement rifles, I just prefer a cool bolt and no sh*t where it eats.
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