SHOT Show Roundup - A New Player Gets Behind The AR-15 Platform

The big news at this year's SHOT Show, Feb. 2-5, 2008, was the newfound
prominence of Cerberus Capital Management as a major player in the
firearms industry. Probably best known to the general public for its
recent acquisition of controlling interests in Chrysler Corp. and GMAC
Financial Services, since April 2006 Cerberus has acquired Bushmaster
Firearms, Remington, and DPMS Panther Arms. In addition, since joining
the Cerberus family, Bushmaster has acquired Cobb Manufacturing, while
Remington purchased Marlin Firearms, which already owns H&R 1871
and New England Firearms, putting four more prominent industry names
under the Cerberus umbrella.

A private investment firm with a reputation for buying
under-valued companies and investing in their long-term growth,
Cerberus appears genuinely committed to developing its firearm industry
acquisitions. Under its direction, Bushmaster signed an agreement with
Magpul Industries to produce Magpul's advanced, AR-derived Masada
modular rifle as the Bushmaster ACR (Adaptive Combat Rifle). DPMS has
received the go-ahead to continue developing its LR rifle platform to
further expand its footprint in the AR-15/M16 market, while Remington
has debuted its R-15, an AR-type geared specifically to the hunter.

Another sign of Cerberus's long-term commitment to the industry is the
recent nomination of Managing Director George Kollitides as a candidate
for the NRA Board of Directors. In charge of the firm's firearm
industry holdings, Mr. Kollitides serves on the Remington and
Bushmaster boards of directors and is a lifelong shooter and hunter. He
is an NRA Life Member, as well as a member of many shooting
organizations, including the ATA, CRPA, NWTF, NYSRPA, TSRA, Boone &
Crockett (Associate), Houston Safari Club, Remington Collectors, Quail
Unlimited, and U.S. Sportsmen's Alliance. Not only does this signal his
substantial commitment to Second Amendment rights, it's clear that
decision makers at Cerberus know the industry they have entered. "I've
been very impressed with the Cerberus people I've talked with," says
Brownells President Pete Brownell. "They seem absolutely committed to
the long-term success of the companies they've acquired and to the
firearms industry as a whole. George definitely seems well-grounded in
the shooting and hunting world, and we're pleased he and Cerberus are
part of this industry."

Although rumors have circulated of more acquisitions to come,
possibly a handgun manufacturer, for now Cerberus seems to be
concentrating on long-gun manufacturers of traditional bolt-actions and
the ever-flexible AR-15 platform - two of Brownells strongest areas of
expertise. As the new Cerberus-financed rifles hit the market, look to
Brownells to provide factory and aftermarket parts and accessories to
help you get the most from them.