Category Archives: Guns

Economics of Ammunition

Difficult times are impacting the firearm industry, especially the ammunition segment. Don’t expect relief anytime soon.

It is important to understand that ammunition pricing is not set by what the ammunition costs to produce, rather it’s determined by what the next batch is going to cost to produce. The profit margin is a set percentage that’s typically going to remain constant as long as production costs remain constant. An important factor in production are labor costs, which are similarly constant unless demand increases or decreases and affects long-term projections. As you can imagine during this unprecedented event, costs are fluctuating dramatically.

Due to factors beyond the control of the ammunition companies, the cost of components and raw materials has more than doubled within the last two weeks. Fiocchi and Vista Outdoors, for example) are two major ammunition manufacturing brands I’ll discuss. Fiocchi is shut down for commercial business and operating with minimal staffing for their military customers. Vista Outdoors is up and running, but they are fervently working to catch up to an unstable market that went berserk. Even with a redirection of resources and a recent price hike to cover it, it’s going to take time before covering their adjusted costs with respect to their actual output stabilizes.

It’s also worthwhile to consider how Covid-19 is affecting the smaller small arms and ammunition providers. Turkey, home to the manufacture of much of the imported shotguns and handguns has been getting frisky with Syria. Even if Turkey’s munitions factories could bear some of the production output in support of their American clients, the shipping ports are generally closed. The same applies to our allies in the Czech Republic. The Czechs could be sitting on mountains of propellant powder, but there is no way to get it to us. Russian-sourced ammo and components are also affected.

In a best-case scenario, it takes more than 20 days for a shipping container to arrive to the U.S. from any of those locations. If cargo has to arrive on the west coast, shipping can take more than 30 days. Plus, a typical minimum of five to 10 days is required to embark and disembark on each side of the trip. So, once the ports reopen, a realistic time frame to see supply levels return to normal is two months — just to get the ammo to U.S. distributors. And that’s if those foreign manufacturing continue to manufacture their product and have them crated, bonded and stocked. According to Fiocchi, that that’s not likely. So figure another 15 to 30 days to get return to manufacturing again if they have the raw components, which they may not because closed ports affect obtaining raw materials, too.

To add to the delay, gun owners are looking at empty shelves, which require massive orders in order to restock. Those orders don’t get processed or ship to retailers all at once, and the same people who are stocking up now are going to continue swooping in once the first shipments of popular loads become available. Folks, we’re looking at a return of the Obama-era run on ammunition where we saw people fighting each over boxes of rimfire.

Prepare yourselves to stay calm. This is going to be a tough slog, likely for the better part of a year. But here’s the thing, friends: We can make this easier on all of us as a community. Don’t hoard ammo that you’re not likely going to need. Of course, be neighborly and make sure your friends have some. Society will be fine because the core our country is strong. Stretch your supplies by incorporating more dry practice, at home laser training and emphasizing marksmanship over shredding targets with bursts of rapid fire. Let’s help one another out.

Source: by Jeremy Stafford | Guns And Ammo

Textron Delivers Next Generation Squad Weapon To Army

Textron Systems’ AAI Corporation, an aerospace and defense development and manufacturing firm, located in Hunt Valley, Maryland, announced last week the delivery of its initial Next Generation Squad Weapon-Technology (NGSW-T) prototype demonstrator to the U.S. Army Combat Capabilities Development Command (CCDC) Armaments Center and Joint Services Small Arms Program (JSSAP), the company said in a statement.

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“Moving from contract award to delivery of a revolutionary, next-generation weapon in just 15 months not only demonstrates the maturity of our Cased-Telescoped technology, but also the project execution excellence our team possesses to rapidly fill critical warfighter needs on schedule,” said Textron Systems Senior Vice President of Applied Technologies & Advanced Programs Wayne Prender.

“Our Cased-Telescoped weapons and ammunition offer the growth path to a true next-generation small arms weapon for U.S. warfighters, including increased lethality at longer ranges, while also delivering significant weight reductions to the warfighter.”

https://www.zerohedge.com/s3/files/inline-images/Textron%20weapon%20info_0.png?itok=hcq0XgWX

In development since 2004, AAI’s NGSW-T offers increased lethality and weighs 40% less than current standard issue light machine guns. The weapon chambers a telescoped round between 6.5mm and 6.8mm and is expected to be the future replacement for the M16 rifle, M4 carbine, and M249 light machine gun.

In October, the Army selected the 6.8mm, next-generation round as the official requirements for the NGSW-T. The new bullet is designed to penetrate the world’s most advanced body armor at a range of up to 600 meters. 

https://www.zerohedge.com/s3/files/inline-images/new%20rounds_0.jpg?itok=p-_fiOa5

The Pentagon’s current shift from urban warfare in Iraq and Syria to the mountains and open terrain of Afghanistan have been the driving force behind modernizing standard issue weapons for infantry units. While standard rifles are well-suited for close combat in cities like Mosul and Raqqa, it lacks the range to kill adversaries in open stretches.

The Army is expected to test AAI’s NGSW-T weapon at firing ranges this summer. If the weapon meet’s the Army’s requirements for NGSW-T, then AAI could get a large contract to send the gun into series production to produce more than 250,000 units and 150 million rounds. The expected field date could be as early as 2020. 

Source: ZeroHedge

US Army Awards First Submachine Gun Contract In Over 50-Years

The Army has selected its first subcompact weapon in more than 50-years.

Brügger & Thomet’s APC9-K (Advanced Police Carbine) was chosen over Sig Sauer and four other firearm manufactures that submitted their prototypes last year to the Prototype Opportunity Notice (PON), which asked companies for a “highly concealable [Sub Compact Weapon] system capable of engaging threat personnel with a high volume of lethal force while accurately firing at close range with minimal collateral damage.”

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The APC9-K uses standard 9×19mm and .45 ACP (Automatic Colt Pistol) rounds. It is already in use with law enforcement around the country.

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The submachine gun can fire in both semi- and full-automatic modes, has a collapsible stock and Picatinny rail for laser sights.

A Production-Other Transaction Agreement (P-OTA) worth $2,575,811.76 was awarded to Brügger & Thomet for 350 guns and accessories such as spare parts, slings, and manuals. The Army has the option to purchase 1,000 additional weapons under the terms of the contract.

“The P-OTA is awarded based upon successful completion of the prototype project proposed by B&T USA LLC. in response to Sub Compact Weapon (SCW) Prototype Opportunity Notice: W15QKN-18-R-032M, evaluation of testing results, and subsequent updated proposal request letter for Follow-on Production Award. The purpose of this P-OTA is to purchase 350 SCWs, with an option for additional quantities of up to 1,000 SCWs, with slings, manuals, accessories, and spare parts.”

Here is a diagram of the APC9-K, and other variant models:

https://www.zerohedge.com/s3/files/inline-images/apc.jpg?itok=3SSxXfXZ

Brügger & Thomet confirmed their selection to Army Times but noted that they weren’t at liberty to comment beyond the information published on FedBizOpps.

The Army previously stated that the contract fulfillment period starts five to seven months after the award date (April 1), which means the service could receive their first submachine gun in more than five decades this coming fall.

Source: ZeroHedge

Dick’s Sporting Goods Facing Store Closures – Anti-2A Stance Backfires

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The CEO of Dick’s Sporting Goods has admitted that the company’s anti-gun stance has negatively impacted business to the point where they are considering closing their Field & Stream stores in order to reduce overheads and save the whole business from going under.

Earlier this year, the sporting goods store submitted to pressure from liberal activist groups and raised their minimum age requirement for firearm purchases from 18 to 21. They also banned the sale of all assault-style weapons in their stores.

Now, after alienating their customer base by attempting to placate big-city liberals who do not even shop in their stores, Dick’s Sporting Goods is teetering on the brink of financial collapse.

Dick’s share price has dropped more than 4 percent since they adopted their anti-gun stance. Store growth has stagnated to the point that CEO Edward Stack has admitted they will likely be closing stores.

Edward Stack speaking at a conference held by Goldman Sachs in September, claimed that he anticipated the negative consequences of the company’s gun ban.

“Well I think it’s definitely a factor, and it’s nothing that we didn’t anticipate,” Stack said of the loss of business. “As we put out kind of our guidance for the year and our earnings guidance for the year, we knew this would happen when—we’ve made some decisions on firearms in the past and we’ve had a pretty good idea of what these consequences were going to be.”

Western Journal reports:

It’s definitely not a good business tactic to intentionally do something that will hurt business. Of course, Stack justified it by saying it’s “the right thing to do.”

“We felt that was absolutely the right thing to do. We would do the same thing again if we had a mulligan, so to speak, to do it again,” Stack said.

Stack can try to spin the company’s decline as some kind of moral crusade but it won’t matter if the company ceases to exist.

Investors don’t want to hear about the company doing “the right thing” if it causes significant losses.

Dick’s anti-gun crusade also soured their relationship with gun vendors.

“So, we’ve had some vendors who’ve decided based on our decision to not sell the assault-style rifle that was used in the Parkland shooting that they wouldn’t sell us any longer,” Stack said. “So, as you know, there’s been some people who said we’re not going to sell you any firearms anymore. We’re not going to sell you our product.”

It seems like the company’s gun ban has turned into a crisis. Both customers and vendors won’t do business with them anymore. It won’t be long until more investors start dropping them as well.

In an attempt to salvage their crumbling company, Dick’s is considering closing down all 35 of their outdoor-focused Field & Stream stores.

“My sense is that we can either take a look at closing that store, that concept, or re-conceptualizing it into a more of an outdoor-type concept,” Stack said.

It’s not surprising that customers want to take their business elsewhere. By taking such an anti-gun stance, law-abiding gun owners feel disrespected. Millions of Americans own guns and Dick’s told them to take their business elsewhere.

Dick’s turned its back on customers and they are paying the price.

Source: New World Order Report

How to Shoot Like John Wick For Free: Part 1

We know TFB readers and viewers have watched a John Wick film and thought, “dang, I wish I could shoot like that.” Fortunately, James Reeves has your back: James and the TFB crew went out to Taran Tactical Innovations to meet and train with living legend Taran Butler – the man who trained Keanu Reeves for his role in the John Wick series of films. And while normally you’d have to fly out to Los Angeles, star in a movie, and get your studio to bankroll your training with Taran, TFBTV and Taran Tactical are teaming up to show you how to shoot like your favorite silver screen hitman for absolutely free. Save your gold tokens for ammo.

Putin Tests Latest Kalashnikov Sniper Rifle

According to Russia Today, Putin visited the Kalashnikov Concern’s shooting range and tested the company’s brand new sniper rifle in Kubinka on Wednesday. After inspecting the experimental samples of the rifles, Putin shot five times with an SVCh-308 (Chukavin sniper’s rifle) rifle at a target from a distance of 600 meters. Three of the president’s shots successfully hit the target. According to Kalashnikov, the SVCh-308 rifle is designed to engage the enemy’s manpower at small and medium distances. It can be used in conditions of combined arms combat as well as for keeping a cover. The rifle’s small dimensions allow the shooter to do without additional weapons, which increases mobility. The SVCh was initially called SVK. Recently, Kalashnikov has renamed the rifle to include the designer’s last name (Chukavin) into the designation of this firearm and revealed more details. Now the rifle is called Chukavin Sniper Rifle or SVCh (Снайперская Винтовка Чукавина – СВЧ) wrote the Firearm Blog.