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Thread: Message from federal,CCI and Speer

  1. #21
    Boolit Master
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    I thought most if not all the current shortages were happening well before November, and the same, as least for guns and shooting supplies, in prior years?

    Lots of unexpected weird stuff last year, above and beyond what might be anticipated with the elections.

  2. #22
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    "The best defense is a good offense." Ageless truth.
    You have enemies? Good. That means you've stood up for something, sometime in your life.
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  3. #23
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    To me this shortage is different. It would seem just based on the increased gun sales alone manufacturing should have been increased. Based on what I saw locally none of our shops have had an over abundance of supplies for some time. I haven't seen shelves completely full for a couple of years. I know the demand didn't just suddenly start in November.

  4. #24
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    Actually ,the demand did start quite suddenly......without going into the contentious details,riots,burning ,and calls to defund the police in various cities,'skeered a lotta people' who maybe never held a gun before ....I read that by Novemeber,US gunsales were up 72%,obviously be more for the whole year......It doesnt take a great increase in sales to cause shortages,if the increase is sustained......Then you have hoarding and profiteering ....and dont tell me there is no profiteering going on ,not to mention market manipulation.
    Last edited by john.k; 01-05-2021 at 08:02 AM.

  5. #25
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    Back in 2018 S&B claimed to produce 3 million rounds a day. 60% going to civilian market 40 to police and military 90% exported. That's over a billion rounds a year, sounds like a lot but spread around it's pretty thin.

  6. #26
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    Quote Originally Posted by Finster101 View Post
    To me this shortage is different. It would seem just based on the increased gun sales alone manufacturing should have been increased. Based on what I saw locally none of our shops have had an over abundance of supplies for some time. I haven't seen shelves completely full for a couple of years. I know the demand didn't just suddenly start in November.
    All retail shelves were full during 2019. Prices started dropping 2017, continued dropping in 2018, and by 2019 I was getting regular emails on sales and rebates because retailers were having trouble moving anything. I stocked up Federal and Winchester primers in 2019 at $21 per thousand, 9mm under $10 per box for US made brass cases, 300 blackout brass, etc.

  7. #27
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    Quote Originally Posted by Wally View Post
    Wouldn't it have been a better and a more honest video, if they admitted they blew it yet again; greatly underestimated the demand for ammuntion and that they should have learned from previous shortages when O'Bama was coronated? And offered an apology to the millions of customers they have failed to serve due to their oversight with a promise to never let it ever happen again......I know, I am dreaming! The top managment should all resign out of shame
    The whole system is set up to have a 30-60 day supply in the system. Adding manufacturing capacity costs a LOT of money.

    Let's take 22 LR. It takes 2-3 years to build a new facility and get the equipment. Then it takes about two years to train the employees. After that it takes 7-10 years to break even on the investment. At a minimum you're looking at 11 years before you make a penny.

    No company wants to pay taxes on excess inventory.

    How could any company see a RECORD year for gun sales. A year unprecedented in scope, all those new gun owners needed ammo. Add in the CCP virus closures and you have a perfect storm.

    I'm guessing you've never owned or even really worked in the retail business.
    NRA Benefactor.

  8. #28
    Boolit Master brewer12345's Avatar
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    Quote Originally Posted by Burnt Fingers View Post
    The whole system is set up to have a 30-60 day supply in the system. Adding manufacturing capacity costs a LOT of money.

    Let's take 22 LR. It takes 2-3 years to build a new facility and get the equipment. Then it takes about two years to train the employees. After that it takes 7-10 years to break even on the investment. At a minimum you're looking at 11 years before you make a penny.
    That is the crux of the issue. Add in the fact that all of these manufacturers were severely hurting 2016-2019 just trying to break even and they had zero incentive or ability to add capacity heading into where we are now.
    When you care enough to send the very best, send an ounce of lead.

  9. #29
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    Quote Originally Posted by brewer12345 View Post
    That is the crux of the issue. Add in the fact that all of these manufacturers were severely hurting 2016-2019 just trying to break even and they had zero incentive or ability to add capacity heading into where we are now.
    Yep, They would have bankrupted themselves adding capacity if demand had continued to drop. It's much easier for me to stock up on supplies than to expect manufacturers to ramp up production to meet the highest possible demand scenario.

  10. #30
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    That's what angered me...the fellow in the clip seemed angry that we were angry at them. Typical corporate flunky. I knew a year ago there'd be ammo & component shortages...I did stock up. I was hoping that this time there'd be no shortages. However it is now the worst shortage ever. I do get it...these conglomerates don't care about their customers....they care about profits. Sadly the company who produced the video bought up other competitors which has stifled competition. I believe this has made things worse.. Kind of amazes me that some are sympathetic with these corporations.. God help us! I wonder if they feel the same about Big Pharma?


    Quote Originally Posted by Finster101 View Post
    Wally, I agree with you they should have seen this coming with lessons from recent history. I am unhappy with the way he actually seems to be angry about it.

    Scrounge, I'm a dealership tech and we never shut down. Neither did our parts stores or uniform company. About the only people Florida considered "non-essential" were barbers, hair and nail salons and of course restaurants and bars.

  11. #31
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    Pointing out the obvious has nothing to do with being sympathetic to conglomerates.

    Anyone who "knew" this was going to happen should have emptied their bank account, 401K, IRA, took out HELOC loans against the equity on their house and bought all the primers you could have. Every $100K in primers would now be worth at least $1 million.

  12. #32
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    Quote Originally Posted by Brassmonkey View Post
    Back in 2018 S&B claimed to produce 3 million rounds a day. 60% going to civilian market 40 to police and military 90% exported. That's over a billion rounds a year, sounds like a lot but spread around it's pretty thin.
    40+60+90=190%
    East Tennessee

  13. #33
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    As I stated in my earlier post, the shelves were seldom full here. I have stopped by my local Bass Pro when in the area and several times there were no small pistol primers. I would usually pick some up if there were. I think it could be somewhat regional. There aren't that many places near me that sell reloading supplies. I get most of my stuff online so I tend to buy in bulk.

  14. #34
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    I looked at that YT clip again featuring Federal's President Jason Vanderbrink.... As I noticed the first time I viewed it the manufacturing plant looks quite old & "tired". Seems the bean counters have done little to upgrade to a more modern operation....they are far more interested in buyouts and stifling their competition.

    As for my investing in ammo and components to make a profit ....that's not something that I care to do, as I think it is unethical.

  15. #35
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    Quote Originally Posted by Wally View Post
    I looked at that YT clip again featuring Federal's President Jason Vanderbrink.... As I noticed the first time I viewed it the manufacturing plant looks quite old & "tired". Seems the bean counters have done little to upgrade to a more modern operation....they are far more interested in buyouts and stifling their competition.

    …....
    ".....Seems the bean counters have done little to upgrade to a more modern operation....." What their "bean counters" were doing was making a profit for their shareholders without incurring a huge debt for new shinny equipment in a Taj Mahal facility. Sorry it doesn't meet your expectations but I don't think they are worried about what the interior of their factory looks like.
    And I bet their employees would prefer a steady paycheck over a pretty new facility and layoffs when the demand doesn't pay for all of that debt.

    And there was no comment about "buyouts and stifling their competition", so I have NO idea where that comes from.

  16. #36
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    Quote Originally Posted by Wally View Post
    That's what angered me...the fellow in the clip seemed angry that we were angry at them. Typical corporate flunky. I knew a year ago there'd be ammo & component shortages...I did stock up. I was hoping that this time there'd be no shortages. However it is now the worst shortage ever. I do get it...these conglomerates don't care about their customers....they care about profits. Sadly the company who produced the video bought up other competitors which has stifled competition. I believe this has made things worse.. Kind of amazes me that some are sympathetic with these corporations.. God help us! I wonder if they feel the same about Big Pharma?
    Oh, give me a break! I don't know the exact year I started reloading, sometime early in Bush Jr's presidency maybe 2003ish. in that time, there has been shortages of some kind every few years, usually election years. This 2020 shortage was worse than 2004 and 2016, but nowhere near 2008 or 2012. For goodness sakes, 2008 primers were gone, and a good supply didn't start coming back until 2015ish. Anyone remember the 22lr shortage, or are we that forgetful?

    As it stands currently, common calibers like 9mm and 223 remington are very hard to come by. Other calibers are there. All local stores I've been to have had plenty of other non-nato calibers including 12 gauge. From what I can see, there is no shortage of rimfire at all, local stores have a normal amount of 22lr. Smokeless powder is out there. I don't have an entire wall to choose from, but there is a decent selection you shouldn't be hurting that bad. Yes, primers are currently unobtanium. I really doubt we are going to see an Obama style shortage. Primers have only been gone 7-8 months now. I see no reason we won't see supplies beginning to pick up already by summer.

    Get used to it, there is going to be another shortage, and there always will be. From what I hear, this is no different than what happened during the Bill Clinton shortages.

  17. #37
    Boolit Master
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    Quote Originally Posted by Petrol & Powder View Post
    What their "bean counters" were doing was making a profit for their shareholders without incurring a huge debt for new shinny equipment in a Taj Mahal facility.
    Apparently making money of selling ammo and components is unethical, so good luck having a rational argument with someone using that logic.

  18. #38
    Boolit Master brewer12345's Avatar
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    Quote Originally Posted by Wally View Post

    As for my investing in ammo and components to make a profit ....that's not something that I care to do, as I think it is unethical.
    Just curious: why?
    When you care enough to send the very best, send an ounce of lead.

  19. #39
    Boolit Master
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    I am not greedy....

  20. #40
    Boolit Master
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    And there was no comment about "buyouts and stifling their competition", so I have NO idea where that comes from.

    Vista Outdoors has bought out...Federal, CCI, & now Remington

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Abbreviations used in Reloading

BP Bronze Point IMR Improved Military Rifle PTD Pointed
BR Bench Rest M Magnum RN Round Nose
BT Boat Tail PL Power-Lokt SP Soft Point
C Compressed Charge PR Primer SPCL Soft Point "Core-Lokt"
HP Hollow Point PSPCL Pointed Soft Point "Core Lokt" C.O.L. Cartridge Overall Length
PSP Pointed Soft Point Spz Spitzer Point SBT Spitzer Boat Tail
LRN Lead Round Nose LWC Lead Wad Cutter LSWC Lead Semi Wad Cutter
GC Gas Check