Industry Surpasses $15 Billion
In Excise Tax Contributions
For Conservation
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 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.”
Less than a year ago (Aug. 2021), 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. The tax is administered by the Alcohol and Tobacco Tax and Trade Bureau (TTB) of the Department of the Treasury, which turns the funds over to the U.S. Fish and Wildlife Service (USFWS).
“This historic milestone is indicative of the value this industry places on the conservation of wildlife and the habitats in which they thrive.”
Joe Bartozzi, NSSF President & CEO
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 disbursed 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.
These 10% to 11% excise tax dollars collected since 1937 under the Pittman-Robertson Federal Aid in Wildlife Restoration Act are specifically designated to be used by state wildlife agencies for conservation and related purposes. Collectively, purchasers of firearms and ammunition, hunters and the industry are the greatest source of wildlife conservation funding.
“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,” Bartozzi concluded.
/ nssf.org
Fiocchi Group Acquires Lyalvale Express
Fiocchi Group announced its acquisition of Lyalvale Express, a Litchfield, England-based manufacturer and distributor of premium hunting and sporting-clays shotshells since 1983. The deal closed Apr. 6.
Fiocchi Group is a leading producer of small-caliber ammunition under the Fiocchi Munizioni, Fiocchi of America and Baschieri & Pellagri brands. The acquisition of Lyalvale further consolidates Fiocchi Group’s footprint in the hunting and sporting-clays segments of the shooting industry.
“Lyalvale Express becomes part of a group with an unbeatable historical heritage, and will benefit from outstanding innovation capabilities and from a large production platform, which will generate important synergies,” said Maurizio Negro, Fiocchi Group’s CEO.
“The acquisition of Lyalvale Express not only brings an established brand with quality product to the group portfolio, but (it also brings) additional manufacturing capacity to service Fiocchi Group’s customers. We look forward to expanding and capitalizing on this very important addition to our leadership position in the ammunition industry,” said Anthony Acitelli, Fiocchi of America CEO and president.
Vista Outdoor To Separate Its Outdoor Products & Sporting Products
May 5, Vista Outdoor announced its board of directors 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, Vista Outdoor CEO. “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 CEO and Sudhanshu Priyadarshi as CFO 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, Mont.
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.
NASGW Releases Q1 2022 SCOPE Report
The National Association of Sporting Goods Wholesalers (NASGW), creator of the industry’s SCOPE Data Platform, has released the Q1 SCOPE Report, compiling distributor sales and inventory data from Jan. 1 through Mar. 31, 2022.
“Building upon the release of our annual SCOPE report, our quarterly reports will provide a consistent, ongoing update of the shooting sports distribution channel.
The data and insight in this report are unparalleled in our industry, and we are excited to put this information to work for businesses and organizations across the shooting sports industry,” said Kenyon Gleason, NASGW president.
Released in February, the 2021 annual report encompassed firearms only. The Q12022 SCOPE Report has expanded to also include optics and ammunition, as well as NICS data as a familiar benchmark.
Data compiled from this report comes directly from SCOPE DLX (distributor sales and inventory). The NASGW plans to release a report for each quarter of 2022, and a year-end report that combines data from the entire year.
“The release of our 2021 annual report was widely successful. It’s clear the industry has been hungry for something like this for a long time. The data compiled across all the SCOPE platforms is very powerful, and we’re looking forward to sharing with a wider audience on a regular basis,” said Tom Hopper, NASGW senior data analyst.
The NASGW is offering a basic, high-level, overview report for free, and a full version is available for purchase via the NASGW website.
Norma Precision Ammunition Relocates To Georgia
Norma Precision Ammunition, a subsidiary of European ammunition manufacturer RUAG Ammotec (now owned by Beretta Holding), has relocated its U.S. headquarters, manufacturing and warehousing/distribution operations to Chatham County, Ga., near Savannah.
With operations in 12 countries, Swiss-based RUAG Ammotec develops and produces high-end ammunition for the military, law enforcement, hunting and sport-shooting sectors.
“I’m grateful to Norma Precision Ammunition for their job-stimulating investments, and I look forward to seeing the opportunities this creates for hardworking Georgians in the region,” said Georgia Gov. Brian Kemp.
“The past four years have been remarkable years of steady growth. With this relocation, expansion and focus on the Norma Ammunition brand, we will continue to grow while better serving our customers and industry partners in the United States and abroad,” said Christopher Eisenhardt, RUAG Ammotec president and CEO.
In 2021, Norma Precision Ammunition imported over 400 containers of ammunition from RUAG Ammotec factories in Europe, while also delivering over 30 million cartridges of ammunition made in the U.S.
“The Savannah area offers a significant opportunity to expand our small-arms ammunition manufacturing and distribution operations to meet growing customer demand, and to better serve our partners in the small-arms industry while providing unmatched access to the world-class Port of Savannah,” said Paul Lemke, president of Norma Precision Ammunition.
Norma Precision Ammunition is located at 141 Prosperity Drive in Garden City, Ga.
U.S. Army Selects SIG SAUER Next Generation Squad Weapons System
SIG SAUER announced it was awarded the Next Generation Squad Weapons System (NGSW) contract by the U.S. Army after a rigorous 27-month testing and evaluation process.
The NGSW consists of SIG FURY Hybrid ammunition (6.8 Common Cartridge), the SIG-LMG lightweight belt-fed machine gun (XM250), the SIG MCX-SPEAR rifle (XM5) and SIG SLX suppressors. Together, these components are meant to advance soldier weapons technology to meet the emerging requirements of the U.S. Army.
SIG 6.8×51 FURY Hybrid ammunition uses a patented, lightweight metallic case designed to handle pressures higher than conventional ammunition, resulting in dramatically increased velocity and on-target energy in lighter weapons.
The SIG-LMG lightweight belt-fed machine gun and SIG MCX-SPEAR rifle are purpose-built to harness the energy of the SIG FURY 6.8 Common Cartridge ammunition, enabling greater range and increased lethality while reducing the soldier’s load on the battlefield.
The SIG-LMG and MCX-SPEAR deliver significant weapon and technology advancements, and provide a solution for battlefield overmatch in comparison to the current M249 and M4/M4A1.
The U.S. Army’s procurement of the NGSW System marks the beginning of an era where combat weapons are coupled with a suppressor as standard-issue equipment. The SIG SLX suppressors are designed to reduce harmful gas backflow, sound signature and flash. They feature a patented quick-detach design for easy install and removal.
“We commend U.S. Army leadership for having the vision to undertake this historic procurement process to deliver a transformational weapon system to our warfighters. This award is the culmination of a successful collaboration between SIG SAUER and the U.S. Army, and we look forward to the continuing partnership,” said Ron Cohen, SIG SAUER president and CEO.
