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S&W, Glock, Taurus, Baretta?? What U Packing?
Gunmaker Smith & Wesson takes a shot at hunting market
Posted 12/18/2006 3:35 PM ET E-mail | Save | Print | Subscribe to stories like this
By ADAM GORLICK, Associated Press
SPRINGFIELD, Mass. — (AP) — Long associated with the likes of Dirty Harry and real-life police officers, Smith & Wesson (SWHC) is now taking aim at a new market: hunters.
In a $100 million deal announced Monday, the Springfield gunmaker said it is buying Thompson/Center Arms, a Rochester, N.H.-based company that specializes in muzzleloaders and rimfire rifles.
The move lets Smith & Wesson target the $1.1 billion long gun market, which is 80% larger than the country's handgun market, CEO Mike Golden said in an interview with Associated Press.
Golden said Smith & Wesson firearms already account for 47% of national revolver sales, and moving the company into the production of long guns was natural.
The purchase increases Smith & Wesson's net sale expectations for fiscal 2008 by $70 million, to $320 million.
Hollywood helped make Smith & Wesson famous by putting its .44 magnum in the hands of Inspector Harry Callahan, played by Clint Eastwood in a series of Dirty Harry movies. But Golden said he doesn't expect a tough marketing transition now that the company is trying to sell guns to hunters.
Golden said surveys conducted by the company show that many people think Smith & Wesson makes rifles, even though they just began manufacturing them in March.
"People already think we're in the market," Golden said. "Our products have such a wide appeal, and we believe we can have a similar success with long guns that we've had with handguns."
Under the deal, which is expected to close early next month, Smith & Wesson will purchase Thompson/Center's New Hampshire facility, and will continue producing rifles under the Thompson/Center name.
Gregg Ritz, Thompson/Center's president, said the purchase will help the rifle maker expand its product line.
Ritz, who will become president of Smith & Wesson's hunting line, said Thompson/Center's line "fits nicely into the Smith & Wesson portfolio of pistols, revolvers, shotguns and future hunting rifles."
"There is absolutely no overlap in our product lines," he said.
Smith & Wesson used to make parts for Remington rifles during its 154-year history, but has been out of the long gun business for 30 years, Golden said. The company introduced a line of tactical rifles in March, but marketed them to law enforcement agencies and competitive target shooters.
Copyright 2006 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
Posted 12/18/2006 3:35 PM ET E-mail | Save | Print | Subscribe to stories like this
By ADAM GORLICK, Associated Press
SPRINGFIELD, Mass. — (AP) — Long associated with the likes of Dirty Harry and real-life police officers, Smith & Wesson (SWHC) is now taking aim at a new market: hunters.
In a $100 million deal announced Monday, the Springfield gunmaker said it is buying Thompson/Center Arms, a Rochester, N.H.-based company that specializes in muzzleloaders and rimfire rifles.
The move lets Smith & Wesson target the $1.1 billion long gun market, which is 80% larger than the country's handgun market, CEO Mike Golden said in an interview with Associated Press.
Golden said Smith & Wesson firearms already account for 47% of national revolver sales, and moving the company into the production of long guns was natural.
The purchase increases Smith & Wesson's net sale expectations for fiscal 2008 by $70 million, to $320 million.
Hollywood helped make Smith & Wesson famous by putting its .44 magnum in the hands of Inspector Harry Callahan, played by Clint Eastwood in a series of Dirty Harry movies. But Golden said he doesn't expect a tough marketing transition now that the company is trying to sell guns to hunters.
Golden said surveys conducted by the company show that many people think Smith & Wesson makes rifles, even though they just began manufacturing them in March.
"People already think we're in the market," Golden said. "Our products have such a wide appeal, and we believe we can have a similar success with long guns that we've had with handguns."
Under the deal, which is expected to close early next month, Smith & Wesson will purchase Thompson/Center's New Hampshire facility, and will continue producing rifles under the Thompson/Center name.
Gregg Ritz, Thompson/Center's president, said the purchase will help the rifle maker expand its product line.
Ritz, who will become president of Smith & Wesson's hunting line, said Thompson/Center's line "fits nicely into the Smith & Wesson portfolio of pistols, revolvers, shotguns and future hunting rifles."
"There is absolutely no overlap in our product lines," he said.
Smith & Wesson used to make parts for Remington rifles during its 154-year history, but has been out of the long gun business for 30 years, Golden said. The company introduced a line of tactical rifles in March, but marketed them to law enforcement agencies and competitive target shooters.
Copyright 2006 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.