The Maryville times. (Maryville, Tenn.) 1884-1944, 1916-07-13

financial paroxysms, and industry was postrate, he
never stopped laying brick or putting in machinery
He had 900 men working in one plant
The Buick was not big enough for his ambition
He saw economy in cooperation, in amalgamaton,
in unifcation In 1908 he, singly, formed the
General Motors Company bringing in the Cadillac,
the Oldsmobile, the Oakland the Buick, the North
way and Motor Company and a number of concerns
that make automobile accessories. No man in
America was better equipped to operate such a
combination of plants economically. He is great
hand for the elimination of waste. When he was
in the carriage business he bought hickory forests
in Arkansas and Mississippi so that he would have
control of all the hickory he required. He estab-
lshed his own wheel plants his spring works, his
agricultural factory an establishment for the max
ing of whip sockets and a varnish factory. That
varnish plant is one of the largest in the world.
He had plans for everything relating to the auto
mobile industry just he had in the other branch
ofthe vehicuar manufacturing trade.
To develop a combination such the General
Motors destined to be required lot of money.
The companys business expanded rapidly and Cen
eral Motors made lot of money. In 1909 it show
ed a profit of $9,721 ,96391. In 1910 its profits
were 81 900, 1872.
Despite these tremendous earnings it required
more money and he had to have it at once. To
keep pace with the unprecedented growth of the
business additions had to be made to plants, newer
and more elaborate machinery installed and a
thousand and one expenditures made which would
result in later profit but meant immediate outlay.
In October 1910 Mr.. Durant negotiated SIS, 000,-
600 loan for the company. 1t was a most unpropi-
tious time for the borrowing of money. Many per-
sons of substance and Importance were predicting
that the automobile doomed. The motor car
was considered to be all right as a luxury but not
of practical utility. Durant on the contrary, said
it hardly had begun to grow. He predicted that
within eight or ten years the country would be pro-
ducng 100000 automobiles a year. He predicted
that the industry would have difficulty in keeping
pace with the demand.
Few persons thought his ideas were correct.
They respected him a successful manufacturer
who had proven the soundness of his judgment in
other lines but they thought he overestimated the
possibilities of the automobile.
Most of the New York bankers thought he was
too optimistic Money was none too free at the
time. Despite the fact hat General Motors had sold
at $50 and making money, the lending of $751;
100000 seemed a risk. The loan was made, but
voting trust created by the bankers for the
period of five years covering the loan.
Upon the creation of the voting trust, Mr..
Durant decided that the greatest opportunity open
to him at the time was in he making of a medium
size car His ideas have taken form in the vehicle
known as the Chevrolet He spent three or four
years getting ready, and it not until 1894
that he completed the Chevrolet His vision of the
Chevrolet was much like that of Henry Ford in the
creation of the Ford-a of wonderful utility,
strength and durability and yet simply made and
moderate priced In making the Chevrolet there is
no competition in any way with General Motors.