The fallout is already being felt - from yahoo.com


At the same time, private equity company Cerberus Capital Management reported that it's selling off its entire investment in Bushmaster and returning any profit made to investors. Cerberus bought Bushmaster in 2006, then merged it with additional gun companies to create Freedom Group, which reported net sales of $677 million for the first nine months of 2012, up $112 million from 2011. In a statement, Cerberus said, "It is not our role to take positions, or attempt to shape or influence the gun control policy debate. That is the job of our federal and state legislators. There are, however, actions that we as a firm can take."
****'s Sporting Goods (DKS) -- which boasts 500 stores in 44 states -- has, for now, removed display of all guns nearest its Newtown store and also ceased the sale of modern sporting rifles in all stores. In a statement on its Web site, ****'s says, "Out of respect for the victims and their families, during this time of national mourning we have removed all guns from sale and from display in our store nearest to Newtown and suspended the sale of modern sporting rifles in all of our stores chainwide."
Interestingly, some reports say sales of guns have increased following the shooting, likely at least in part because consumers fear stricter gun laws could limit their access. While the hard sales numbers are not yet available, dealers across the country are reporting a heavy increase over the past few days. One Florida gun store employee told Yahoo! Finance said that, in his store this past Monday, they grossed $40,000, while, "on a typical weekday, we strive to gross $10,000."

\At the same time, gun stocks, following a quick initial surge after the news of the shooting first hit, have fallen hard this week; Smith & Wesson (SWHC) has been down as much as 10% on Tuesday. Both Smith & Wesson and Sturm, Ruger & Company (RGR) had already dipped in the days before the shooting, following a surge that has till left Smith & Wesson with up 92% year-to-date. Ruger is up 28%.
Early business reaction has not been limited to the world of gun retailers. The business of media has also taken note. On Friday, a Pittsburgh red-carpet premiere for Tom Cruise's $50,000,000 Paramount Pictures vehicle "Jack Reacher," in which he plays an investigator tracking a sniper, was put on hold "out of respect for the families." The Discovery Channel has also canceled its reality series "American Guns," which follows a Colorado family that works in the firearms business. This comes after Facebook users rushed the show's site and called for its ouster in the wake of the shootings. The show is currently out of production but has run for two seasons and 26 episodes, and has been popular with audiences. According to reports, the season two premiere had a 50% increase over the first season debut.
The videogame industry is another that could be affected following the Sandy Hook tragedy, as fingers point toward the often violent games' effect on the psyche of American youth (Lanza was apparently a fan of the wildly popular, military-themed "Call of Duty"). These early reactions could lead to long-term changes in the business world, or we could go back to "business as usual" before long. This remains to be seen as this far-reaching, fast-moving story continues to unfold