James Kostell

James Kostell inquired about Ruger's plans for a special promotion for the 250th anniversary of the Declaration of Independence, similar to the '200th year of Liberty' in 1976, and whether such promotions create an aftermarket premium. He also asked about the unit volume increase in 1976 versus 1975. Additionally, Kostell questioned if the reintroduction of the Red Label Shotgun was related to the new large shareholder (Beretta), if Ruger would consider importing firearms, and requested an update on the Beretta situation.

Answer

CEO Todd Seyfert confirmed that Ruger is evaluating possibilities for a 250th-anniversary promotion across product families, acknowledging that special builds do create an aftermarket premium and build the brand. He could not provide specific unit volume data for 1976 versus 1975. Seyfert stated that the Red Label reintroduction was not related to the Beretta investment but was a strategic move to become a full-line firearms manufacturer again, filling the shotgun market gap with U.S.-made products. While Ruger's focus is on U.S. manufacturing, he noted they would consider imports if it made business sense. Regarding Beretta, Seyfert mentioned appreciating their investment, the company's issuance of a shareholder rights plan to preserve the status quo, and their willingness to engage in conversations.

James Kostell inquired about Ruger's plans for a 250th anniversary promotion, similar to the 1976 '200th year of Liberty' imprint, asking if such promotions create a premium and for historical unit volume increases. He also questioned if the reintroduction of the Red Label Shotgun was related to the new large shareholder, Beretta, and if Ruger would consider importing firearms. Finally, he asked for an update on the Beretta situation.

Answer

CEO Todd Seyfert confirmed that Ruger is evaluating possibilities for a 250th anniversary promotion across product families, acknowledging that special builds do create a premium and build the brand, but could not provide specific 1976 unit volume data. He stated that the Red Label Shotgun reintroduction was a strategic decision made prior to the Beretta investment, aimed at making Ruger a full-line firearms manufacturer again by re-entering the shotgun market with US-made products. Seyfert noted that while Ruger's focus is on US manufacturing, they would consider import opportunities if strategically beneficial. Regarding Beretta, he mentioned appreciating their investment and confidence, and that Ruger issued a shareholder rights plan to preserve the status quo while remaining open to engagement.