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Thread: H & K financial troubles continue

  1. #31
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    Quote Originally Posted by Dano5326 View Post
    It is unlikely a US or non-german PE firm will purchase HK. The German gov is already involved and subsidizing an absurd retirement benefits program, the subsidization which would go away creating a huge liability for a buyer. Additionally Euro Co's, by law, have 1/2 the board by labor, which generally not being experienced or savvy management try to extract short term gains for employees, torpedoing plans effectively utilizing resources necessary for strategic planning. To top it off, German laws and company poiicy require a yearly certification by customers HK wares (weapons) aren't being used in a belligerent manner. Imagine any governmental customer on the globe being ok with this...

    There is a longer belt-fed list of screwball management decisions that got them where they are now. However, significant liabilities and regulatory hurdles will preclude reasonable investors from glancing toward Oberndorf. Buy your overpriced, over engineered, dive-weights now.
    How does that even work?
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  2. #32
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    Quote Originally Posted by WillBrink View Post
    How does that even work?
    I’d like to know how they define “belligerent”


    I’m guessing state sponsored deprivations of Liberty are not part of the criterion.


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  3. #33
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    Funny how all those HK G3s ended up in African war zones.
    It's hard to be a ACLU hating, philosophically Libertarian, socially liberal, fiscally conservative, scientifically grounded, agnostic, porn admiring gun owner who believes in self determination.

    Chuck, we miss ya man.

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  4. #34
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    Quote Originally Posted by BoringGuy45 View Post
    I'd imagine they'll get bought out by some other company. Just hopefully not Cerberus.
    Yeah that would be a disaster
    ”Congress have no power to disarm the militia. Their swords, and every other terrible implement of the soldier, are the birthright of an American… The unlimited power of the sword is not in the hands of either the federal or state government, but, where I trust in God it will ever remain, in the hands of the people”
    ~Tench Coxe

  5. #35
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    Maybe some other big wheel arms company like Rheinmetall will just buy up their stuff (probably for cheap when they go bankrupt). They probably have better contacts with top brass anyway.
    Guns

  6. #36
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    Quote Originally Posted by jpmuscle View Post
    I’d like to know how they define “belligerent”


    I’m guessing state sponsored deprivations of Liberty are not part of the criterion.


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    They are hugging rifles and not assault rifles...... duh.

    See, not belligerent at all. They are nice....... it says so in the name.
    In no way do I make any money from anyone related to the firarms industry.


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  7. #37
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    Funny how the pointy end of every western nations's "spear" nowadays is HK equipped.

    Its probably like when a gunshop has a sign stating "Must have license to carry to handle handguns" and only enforcing it when a certain class of buyer appears.

    Germany is the Theon Greyjoy of Europe.

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  8. #38
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    Quote Originally Posted by Greg Bell View Post
    Maybe some other big wheel arms company like Rheinmetall will just buy up their stuff (probably for cheap when they go bankrupt). They probably have better contacts with top brass anyway.
    Not sure RM could handle it. I'd say Steyr but they are the other company that nearly goes bankrupt every 10 years. Last time Royal Small Arms (UK) bought them and that is when all the SA80 updates were done. I remember Fiat was also a potential buyer, as well as Todd Bailey if you remember his famous "threat letter" on HK Pro.

    HK was pretty butthurt about being owned by a foreign entity and took great pride in being "German owned" again, but seems to have changed almost nothing to prevent financial troubles from happening again. I realize a lot of their past problems were related to German reuinification and the G11 not being adopted so all those R&D costs were never recouped and then the German economy tanked when they had to pay all the related costs of bringing the DDR into a first world standard of living.

    The UK can barely keep their arms makers in black ink so I think they need to follow the SIG example (in concept but without the Cohens) and move more production to HK USA.
    It's hard to be a ACLU hating, philosophically Libertarian, socially liberal, fiscally conservative, scientifically grounded, agnostic, porn admiring gun owner who believes in self determination.

    Chuck, we miss ya man.

    كافر

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