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.