Target practice: American Ammunition finds it's a good time for bullet makers - Manufacturing

South Florida CEO, August, 2003 by Rochelle Broder-Singer

The tenuous state of world security has been a boon to Miami's home-grown bullet maker, American Ammunition. On the heels of recent upticks in worldwide defense spending, the company has recently signed contracts that include a deal to ship bullets to Argentina, a multi-year agreement with the US Department of State (which will ultimately use the bullets with the Colombian National Police), a $3 million deal to supply training ammunition to the US Department of Energy for its nuclear security service, and a venture with the Israeli government to supply and jointly produce practice munitions for that country's armed forces.

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American Ammunition's forte is the manufacture of practice rounds, or "plink" ammunition, commonly used in shooting ranges and other practice facilities. "Export sales is where we have a true niche, to the Americas," says CEO Andres Fernandez. "We manufacture our projectiles here in Miami. We make it all from scratch." Fernandez is also branching out into new bullet sizes. "Because we are such a small company ... it allows us to rapidly diversity into certain calibers where there is large demand," he says. That turns smallness into an advantage in an industry where a few big names dominate the retail shelf space.

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The company also differentiates itself with a copper coating that reduces the amount of lead its bullets give off, which keeps shooting ranges cleaner and safer. "For indoor ranges, this is an issue," says Gary Mehalik, director of communications for the National Shooting Sports Foundation, a trade association. "It's an obvious advantage for supplying police ranges and other places where there is a large volume of shooting indoors."

Such innovations are a long way from American Ammunition's start 18 years ago, when Fernandez's Cuban-immigrant parents began importing and assembling ammunition. The future holds even more promise: the company does private label work, and last year developed a bullet that can penetrate human flesh but not airplane fuselage.