Look, it may be second-hand hearsay, and innuendo, so take this with a huge grain of salt, maybe a lick-block worth. Walmart has in the past purchased what would be considered lower grade products from some manufacturers to save cost. For example, take something like a remington 870. there is no functional difference between an express and a wingmaster, just cleaner fit and finish, an probably polish. So at each assembly stage they get graded into the category. So an express that gets downgraded a few more times, maybe the checkering is a bit rougher than normal, and the stock match-up isn't quite there might get done down to police special and sold that way, or sold through a club discount thing. Thats assuming that internally its to spec, which I would say the focus would be on. That allows them to sell more of the units produced, instead of having to scrap a percentage. Walmart steps in and says, we will buy x units at y cost. Well below the standard wholesale price. So then they have a choice, be in a big part of the market, and make the sale, or restrict themselves to a narrower market, and take the loss. Now this is not to say that Remington would sell a crappy gun, but given the chance to sell a gun to someone who is willing to sacrifice a little to get a good price, they may do so. A rough 870 is still a great shotgun, and a flaw in the bluing isn't going to worry a walmat buyer, where it would from a smaller dedicated gun-shop. I've noticed that other brands of products that are sold there at a significant discount from other stores, tend to not look as good as the more expensive versions, that ranges from fishing rods to garden hoses. Now buying power makes up for a lot of the end retail price, but there are limits. There is a reason that walmart sells what it sells, to who it sells.
Now all that being said, would walmart take a known bad return, put it back on the shelf and sell it? probably right in the manual. So I hope that its not a move on Leatherman's part to let some rougher stuff slide into the supply stream, since it would only hurt them long term. Some products have a much lower tolerance than others. no-one is going to care if their garden hose lasts 5 years instead of 7, or if the oil they buy for their mower is only 80% as good as stuff from another store. Heck, even a bad rifle will outshoot most guys, and they might never notice that its a little rougher than one that was hand-picked for a smaller mom-pop shop. but a multi-tool that you use nearly every day will show its flaws much faster.
This isn't a bash on them, there are plenty of other places for that sort of thing, and that's not here. they have a business model that works in a certain way, and to the best of my understanding, thats how it works. I could be fully wrong, and have no actual evidence to support any statements made. I'm merely elaborating on a statement made, in response to a question asked. that should C my A enough I think....