I don't consider it to be bad. I obviously don't know everything about these (or any other Western), just what I've picked up here on BF and other forums, but I think the knives were still being made at Western's Longmont, Colorado factory after Coleman bought the company, so they were being made by the same people on the same equipment using the same materials. I think I read somewhere that when Camillus bought the name in 1991, they moved production to the Camillus factory in New York.
The quality out of there was also good. I know the steel was good enough that a guy I know won the Texas state knife throwing contest using a modified Coleman W49 a couple of years ago and his fiancee won the women's title this year using a similarly modified Camillus version.