There was some bashing going back and fourth about this some time ago.
The finest (non Finn or Izzy) AK ever produced comes from Arsenal Bulgaria, a state run factory. The only rational argument against this claim, is that they are heavy, but then again, all milled AKs are heavier than stamped. The most common imported Bulgarian rifle was the SLR95MB. This rifle was subsequently banned from import buy yet further regulation.
I don't know how it happened, but Arsenal (USA or Inc) started making them here. They claim to have imported the tooling, and even some employees of Arsenal Bulgaria. I can't confirm or deny this, but there was some argument about this once upon a time. Something about the people that they brought in weren't the real "technicians". I don't know, this could be a bunch of lies made up by competitors.
I've seen their stuff, and it looks decent, but there's no chance it can equal the quality of what Arsenal Bulgaria used to put out. This is a moot point, as you can't buy Arsenal Bulgaria stuff anymore, but Arsenal use it as a benchmark.
Go to Arsenal Bulgarias site if you want to see what they make. It's a sweet site.
[url]http://www.arsenal-bg.com/flash.htm[/url]
Even though Arsenal, likely makes good stuff, comparing their product to the original, is kind of like comparing a G3 smiths work to what HK themselves can produce.