I think he's referring to the fact that S&W and Ruger refused to buckle to California's requirement to put individual identifying marks on handgun firing pins. So, CA is dropping all S&W and Ruger handguns from the state's list of guns a resident may purchase. I believe the LGS would not be able to sell the M&Ps after the current list expires- so he's selling them now for what he can.
Of course, the CA firing pin legislation does not apply to LE or military handguns, just affects the regular citizen's ability to purchase a new handgun.