ICYMI: Headlines From
May 2–6, 2022
Firearm Industry Surpasses $15 Billion In Pittman-Robertson Excise Tax Contributions
NSSF marked a milestone achievement when firearm and ammunition manufacturers topped $15 billion in contributions to the Wildlife Restoration Trust Fund since its inception in 1937.
“This is an achievement for which all in the firearm and ammunition industry are proud,” said Joe Bartozzi, NSSF’s President and CEO. “This historic milestone is indicative of the value this industry places on the conservation of wildlife and the habitats in which they thrive. The Wildlife Restoration Trust Fund, which is mainly funded by taxes paid by firearm and ammunition manufacturers, has been responsible for the restoration and recovery of America’s iconic game species, including the Rocky Mountain elk, whitetail deer, pronghorn antelope, wild turkey and a variety of waterfowl. These funds have also contributed to the recovery of non-game species that are not hunted, including the American bald eagle. The firearm and ammunition industry is filled with pride to achieve this landmark for conservation funding and the role our industry plays to ensure America’s wildlife is perpetuated for future generations.”
It was less than a year ago that NSSF announced Firearm and Ammunition Excise Tax contributions surpassed $14 billion.
The Wildlife Restoration Trust Fund, commonly known as the Pittman-Robertson fund, is funded by excise taxes paid by firearm and ammunition manufacturers on their products, as well as archery equipment manufacturers. The excise tax is set at 11% of the wholesale price for long guns and ammunition and 10% of the wholesale price for handguns. The excise tax, paid by manufacturers and importers, applies to all firearms produced or imported for commercial federal law enforcement sales, whether the purpose is for recreational shooting, hunting or personal defense.
USFWS deposits the Pittman-Robertson revenues into a special account called the Wildlife Restoration Trust Fund administered by the USFWS. These funds are made available to states and territories the year following their collection based on a statutory formula.
Earlier this year, USFWS announced it had dispersed to the states $1.5 billion in total funding, of which $1.1 billion was directly tied to taxes paid by the firearm and ammunition industry.
For more info: nssf.org.
Vista Outdoor Announces Plan To Separate Its Outdoor Products & Sporting Products Segments Into Two Independent, Publicly-Traded Companies
May 5, Vista Outdoor announced its Board of Directors has unanimously approved a plan to separate its Outdoor Products and Sporting Products segments into two independent, publicly-traded companies. The Company expects to create these companies through a tax-free spin-off of its Outdoor Products segment to Vista Outdoor shareholders.
“Over the past few years, we’ve made significant progress executing on our strategy to grow our leading portfolio of brands, driving operational efficiencies and delivering value to our shareholders,” said Chris Metz, Chief Executive Officer of Vista Outdoor. “As a result of our efforts, we have built strong businesses that are well-positioned for continued growth and success as independent companies.”
Following the separation, Outdoor Products (to be renamed at a later date) will be an industry-leading, diversified platform of iconic outdoor brands, including CamelBak, Bell, Giro, Camp Chef, Bushnell, Bushnell Golf, Foresight Sports, Stone Glacier and QuietKat, among others. Outdoor Products will serve consumers in a diverse and fast-growing set of categories, representing an estimated $30 billion domestic market in its core and immediately adjacent end markets, with an estimated total global addressable market in excess of $100 billion.
Outdoor Products will be led by Chris Metz as Chief Executive Officer and Sudhanshu Priyadarshi as Chief Financial Officer following completion of the separation. The other members of the Outdoor Products leadership team will be announced at a later date. Outdoor Products will be headquartered in Bozeman, Montana.
Following the spin-off, Sporting Products (to be renamed at a later date) will include the Federal, Remington, CCI, Speer, Estate Cartridge and HEVI-Shot brands. Jason Vanderbrink, president of Sporting Products, will be appointed CEO following completion of the separation. The other members of the Sporting Products leadership team will be announced at a later date. Sporting Products will continue to be headquartered in Anoka, Minn.
Vista Outdoor expects the transaction will be completed in calendar year 2023, subject to regulatory approvals and satisfaction of other conditions.
For more info: vistaoutdoor.com.
Hornady Recognized Among Nebraska’s Safest Companies
Hornady has earned the “Nebraska’s Safest Company” award from the Nebraska Chapter of the National Safety Council for two consecutive years.
The National Safety Council, Nebraska Chapter, will hold its annual Celebration of Safety on May 11th, 2022. During the event, the Council will recognize 107 organizations that have demonstrated exemplary dedication to employee safety by designating them “Nebraska’s Safest Companies.” All four divisions of Hornady received the award, with three divisions earning the award with distinction for maintaining injury rates less than half the national average.
“Winning a Nebraska’s Safest Company Award clearly illustrates a company’s commitment to ensuring that their team members return home safely to their families at the end of each workday. The Celebration of Safety honors the Nebraska organizations that have achieved excellence in safety this past year and we are proud to recognize their achievements in providing a safer Nebraska,” said Eric Koeppe, president and CEO, National Safety Council, Nebraska.
“Keeping our staff safe at work has always been a Hornady core value,” said Jamie Lemburg, Hornady safety manager. “Our dedication to safety is validated by earning a Nebraska’s Safest Company award for two years in a row.”
For more info: hornady.com.
Winchester Awarded $15 Million NGSW Ammunition Manufacturing Facility Design Contract From U.S. Army
Olin Winchester announced the U.S. Army has awarded the company a $15 million cost-plus contract for the design of the Next Generation Squad Weapon (NGSW) ammunition manufacturing facility.
Work will be performed at the Lake City Army Ammunition Plant (LCAAP) in Independence, Mo., the United States’ only government-owned, contractor-operated small caliber ammunition production facility.
“Winchester is honored to have been awarded this NGSW ammunition manufacturing facility design project at the Lake City Army Ammunition Plant,” said Brett Flaugher, president of Winchester. “The ultimate design will incorporate best practices, key learnings, and stakeholder input to create a state-of-the-art production facility which delivers the U.S. Army an optimal manufacturing solution for NGSW ammunition. The NGSW ammunition produced at Lake City’s new facility will equip the American Warfighter for success on the battlefield for generations to come, helping to ensure the nation’s security and defense.”
Lake City recently announced a recruitment campaign aimed at hiring its Next Generation workforce.
“These skilled individuals will form the crucial first generation of the Winchester NGSW ammunition production team at Lake City,” Flaugher said. “This team’s focus will be to ensure every round of 6.8mm ammunition produced at Lake City is Warfighter ready.”
For more info: winchester.com.
