Colt – yes, that Colt – files for bankruptcy owing half a billion dollars

Famed US gunmaker Colt Defense LLC has filed for bankruptcy in the US with debts of $500m, according to Sky News.

The broadcaster reports: “Existing lenders have agreed to provide $20m to allow it to continue operating while in bankruptcy, subject to court approval.”

Colt was hit hard by a sales slump in 2014, with handgun and sporting rifle sales slumping by 30%. Sky also says that a fall in US government business has affected the company’s performance.

With Colt not really having much of a presence in the modern British firearms world, the news will come as a mild surprise but ultimately won’t disturb that many. Colt’s most famous product, the AR-15, is now widely copied in form – if not function – by just about every “black gun” supplier in the market today.

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