Izhmash, the manufacturer of Kalashnikovs bankrupt


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flyskater
April 10, 2012, 05:55 AM
http://www.hurriyetdailynews.com/legendry-rifle-shot-by-bankruptcy.aspx?pageID=238&nID=18033&NewsCatID=345
That's sad, as I have 3 saigas from them.

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JustinJ
April 10, 2012, 09:29 AM
I think i'm going to cry.

MagnumDweeb
April 10, 2012, 09:34 AM
This is what happens when the civilian population can't easily own guns. How many wartime manufacturers in America were kept in business during peacetime because of civilian purchasing demands. And even then we had to have other civilian companies join the production line when there was war.

Overproduction based on "state" needs matched with incredible longevity and easy duplication of the firearm. If you want to build an AK you can cut your own flat, build your own bending jig, and get a parts kit. How do I know that, I did it. Granted getting the semi-auto only internals was a pain in the neck and I couldn't cut the whole for the happy button but freedom is downright jolly.

You've got Hungary, Romania, Czech, Slovakia, and American companies turning out AK variants so the civilian market is heavily ladened and the Russian military is largely in the early eighties with some minor exceptions in their airforce. Also from what I understand the AK-12, has some new bells and whistles, but it doesn't outright replace the AK with anything incredibly innovative.

I'm sure a bunch of those AKs from thirty years ago will still be around thirty years from now. Rusted, pitted, and uglier than sin, but still able to put lead down range. At least with M-16s they wear out after about twenty or thirty years, aren't incredibly easy or cost effective to duplicate, and the .223 caliber didn't flood the market during the cold war. Plus our civilians can own fun EBRs.

If the Russian population could own EBRs I'm sure this bankruptcy would have been avoided.

Sam1911
April 10, 2012, 09:38 AM
Actually, this news has been cycling around for years now. Here's a blog entry about it from 2009: http://www.thefirearmblog.com/blog/2009/09/30/update-on-the-izhmash-bankruptcy/

I don't see anything in the recent article that is new.

It does not seem that financial troubles have (or will?) cause them to stop making firearms. This is Russia, remember. Things work a little differently there.

Ryanxia
April 10, 2012, 09:46 AM
Wow, that's a shame. It's too bad our laws restrict them from pumping out AK's and shipping them the U.S. I'd love to see AK prices down to $300.

Mp7
April 10, 2012, 09:58 AM
Probably means the want to file bankrupcy cause the $$ was flowing in to the wrong pockets. Once itīs back on Putin-track the $$$ will flow in the right corrupt pockets.

Russia wonīt ever buy foreign guns for their army.

PowderMonkey
April 10, 2012, 10:16 AM
Does this mean that the prices on Saiga 12's will be skyrocketing and the supply will begin to dry up? I have a local gunshow that is this weekend - and it regularly has a vendor with them on hand - both converted and non converted. Is now the time to buy before they disappear...?

4v50 Gary
April 10, 2012, 11:09 AM
I have an AK air rifle that was made by them. Sad.

chevyman097
April 10, 2012, 11:13 AM
here we go again!

Inebriated
April 10, 2012, 11:16 AM
Bankruptcy =/= no more rifles, does it? Forgive me, I don't know the first thing about finances. That's why I'm in school to be a programmer. lol

EDIT - Guess I'll jump on my Saiga project now, though...

chevyman097
April 10, 2012, 11:24 AM
Saigas are not going away. Every year something like this pops up about Izhmash going bankrupt. Saigas still keep coming.

Bankrupt does not = going away/closing factory.

Certaindeaf
April 10, 2012, 11:49 AM
An umpteen billion dollar company going bankrupt over a quarter mil? Sounds odd.

Sam1911
April 10, 2012, 12:08 PM
Wow, that's a shame. It's too bad our laws restrict them from pumping out AK's and shipping them the U.S. I'd love to see AK prices down to $300.
Uh...our laws DON'T, and they DO. That's what all these thousands upon thousands of Saigas are! Don't think for a minute that anyone at Izhmash is bothered one bit that they have to be shipped with a weird stock and funky trigger. We're buying and they'll keep on selling.

Does this mean that the prices on Saiga 12's will be skyrocketing and the supply will begin to dry up? I have a local gunshow that is this weekend - and it regularly has a vendor with them on hand - both converted and non converted. Is now the time to buy before they disappear...? No. Shipments of Saigas come in a few times a year, the price drops, then the stocks run low and the price rises, the bankruptcy story gets repeated, rumors of import bans fly, the panic starts to wind up... aaaaand then the next shipment comes in and the cycle repeats.

InkEd
April 10, 2012, 12:57 PM
They are not going out of business. There might be a slight increase in Saiga prices but otherwise it will probably make no difference.

HGM22
April 10, 2012, 03:29 PM
I doubt they'll fold up as long as they're still making money on Saigas.

writerinmo
April 10, 2012, 08:34 PM
Just another internet rumor. Anyone have a link to a "real" news outlet with the story? The only thing I've found is a bunch of threads on forums just like this one, and some articles on some supposedly news sites that say things like "production was stopped in 2010" which obviously is wrong since my Saiga I bought last month has a production date of November of 2011???

Time will tell, as usual with all these "true stories" that get posted across forums.

The-Reaver
April 10, 2012, 09:57 PM
I should have kept my Saiga 12

TRX
April 10, 2012, 10:34 PM
Izhmash isn't only "not bankrupt", but they evidently don't think the American market is big enough to justify keeping the export pipeline full, or even exporting their full product line. They make Saiga rifles in many more calibers than the handful they sell over here, for example.

DoubleTapDrew
April 11, 2012, 12:28 AM
This false rumor is STILL circulating?
If anything, they are rolling in piles of money from the Saiga sales in the US.

Sam Cade
April 11, 2012, 01:08 AM
They make Saiga rifles in many more calibers than the handful they sell over here, for example. No they don't. We get everything but the 9x53r.

http://www.izhmash.ru/eng/product/saiga.shtml

AethelstanAegen
April 11, 2012, 01:45 AM
You guys also need to remember that Izhmash is not Smith & Wesson, Colt, etc (ie a privately owned firearms company). It is a state run company and so running a negative profit isn't exactly bankrupt, it just means they're not making any profit for the government. Regardless of their profit margin, Izhmash will continue to churn out rifles (and continue being funded). The Russians are not about to give up domestic small arms production (and so they'll keep making Saigas, since it costs them little to do so and that helps reduce the need for further government funding). So essentially this means little to nothing on our end and really only matters for the Russian budget.

Certaindeaf
April 11, 2012, 09:29 AM
^
Kinda like General Motors.

Bohemus
April 11, 2012, 01:24 PM
Again?

Czech, Slovakia, .... companies turning out AK variants so the civilian market
I am not aware of singe AK coming out of those two countries.. ARs, VZs yes, AKs not.

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