Re: Merger
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So your scenario was from 75 going forward? They were running out of options by then, having spent so much on the Pacer and Matador coupe. With 20/20 hindsight there were things they could have done around 72 that would have had them in a better position in the late 70s, but at the time, those other options would have been as big a gamble as the Pacer was.
Posted on: 2017/1/23 17:49
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Re: Interesting connection
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Studebaker probably had little to say about selling Pierce as the creditors were baying for money. Erskine has also bought control of White Motor, which was sold off.
Posted on: 2017/1/23 2:11
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Re: Merger
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I would have loved to take a turn at that game. When I was in grad school we played a soda pop company simulation. What year of AMC history did you start with? What options did you have? In what simulated year did you save the company? My alternate history of AMC starts in 54, with the merger with Studebaker, making the Studebaker V8 available to Nash and thus avoiding the $10M spent getting the Potter V8 in production. Then shuttering the Kenosha foundry and engine plant, consolidating those operations in South Bend, as assembly in South Bend is closed. Use the footprint in Kenosha freed up by removing the foundry and engine plant to build a body plant next to the assembly plant to eliminate trucking assembled bodies from Milwaukee.
Posted on: 2017/1/23 1:55
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Re: Merger
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Rather like the tourist being shown around NYC. The guide points out a marina full of yachts belonging to stock brokers. "And where are their client's yachts?" asked the tourist. The whole thing about Studebaker and Packard sharing a platform was delusional as the body would be too wide to fit through the paint booths and ovens in the South Bend body plant. The book about Harold Churchill talks about the closure of the Detroit assembly operations. They considered moving Packard production to South Bend, but it would have cost millions to rework the body plant. The Packardbaker was a relative bargain at $3.5M. The entire idea of consolidating facilities was unrealistic because, by the time the merger was done, Packard had already committed to assembly at Conner and powertrain production in Utica. But, Nance went into Packard with the ambition to do a big deal. Walter Grant was telling him Packard was "rapidly approaching bankruptcy". And Nash had already taken over the Hudson dealer network and customer base. The entire episode smells strongly of a determination to do a big deal, regardless of cost.
Posted on: 2017/1/23 1:45
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Re: PT Boat
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Packard 2500 start up and run on a test stand at Mystic Seaport.
https://www.youtube.com/watch?v=AW3rFfF565c
Posted on: 2016/11/13 18:47
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Re: PT Boat
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iirc, the prototype PT boats the USN tested used a variety of engines, including the Packard 2500 and the Hall-Scott Defender (around 2,000cuin V12) The Navy settled on the Packard engine, while the Defender was used in other high speed launches, including the Brit Fairmile series, so the Packard must have had compelling virtues.
Took this pic of the 2500 at the PPG. I noticed the engine is made very much like a Liberty, with separate cylinder barrels bolted to a common crankcase, while the valve gear, which was exposed on the Liberty, is enclosed on the 2500. The thought crosses my mind that the Packard engines could have been converted to air cooling. The air cooled Continental V12s used in US tanks of the 50s and 60s are built the same way, separate cylinder barrels on a common crankcase, with the cylinder barrels carrying cooling fins, instead of the welded on water jackets. The Brits used Liberty engines in their Cruiser class tanks, and had a lot of trouble with the Liberty powered Crusaders in North Africa. Can't help but wonder if an adaptation of the 2A-1500, particularly an air cooled version, would have given the Crusader more power and better reliability than the overstressed, overheating Liberty.
Posted on: 2016/11/13 18:38
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Re: Packard plant update
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Call me too pessimistic, but I think this project will be a failure.
The largest handicap is Palazuelo lost $80M of financing last winter. He said at the time that he will press on, financing the project himself. The fact remains that their FB page that used to have rennovation updates every few weeks has not shown new work going on at the plant in months, only PR blurbs like the one linked to above.
Posted on: 2016/8/8 22:51
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Packard plant update
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Sounds like their plans so far involve the buildings on the north side of E Grand.
http://www.freep.com/story/money/business/2016/08/06/packard-plant-redevelopment-detroit/87913012/
Posted on: 2016/8/7 10:13
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Re: Packard built jet engine
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Follow the link TroyT posted. Packard also produced prototype jet engines of it's own design, under a guaranteed profit contract from the government. When the government decided it did not need so many companies developing jets, the guaranteed profit contracts ended and Packard shut down the project as it had no interest itself in pursuing jets.
Posted on: 2016/7/17 23:38
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