Evening star. [volume] (Washington, D.C.) 1854-1972, 1957-03-17

y
Of uncertainties to the auto in,
pronounced right now than in
the industry'S two smaller col
Studebaker-P Packard.
The big Three" of Genera
battling each other for increased
Ishares Of the car market. Each
lis certain Of substantial profits
this year. The smaller concerns
continue their fight to stay in
the automobile business.
The most recent tabulation of
retail deliveries showed General
Motors absorbing 1883 per cent
of the market compared with
|53.48 per cent at the same time
last year; Ford was getting 1890
Iper cent compared with 1889
lper cent and Chrysler 1892 per
Icent compared with 1857 per
Icent.
Percentage Plunges
| Meanwhile. American Motors
land Studebaker-Packard. which
a year ago were envisioning more
prosperous possibilities with 4.07
of the market, saw their COM
bined percentage plunge to 2.95.
tThe remaining percentage of the
Overall car market was ac-
counted for by foreign makes.
eT'he total Of imported vehicle
sales was only slightly under the
combined aggregate of American
Motors and Studebaker-Packard.
It never has been any secret
that the mergers that brought
Studebaker and Packard to-
gether and made American
Motors out Of Nash-Kelvinator
Corp. and Hudson Motor Car Co
were conceived to save them
from oblivion in what probably
is the most brutality competitive
business in the world.
Little currently is heard Of
further mergers for the little
fellows. There was some such
talk a year ago: it even was sug-
gested in some quarters that the
two smaller concerns might be
brought together.
The talk ceased when Stude-
baker-Packard entered into a
m n 6 me nt contract with
Curtiss-Wright (Aircraft) Corp,
slaShed its Packard activities and
moved all its car-aSsembly oper-
atoms out Of Detroit to South
Bend. Ind.
In unit volume. Studebaker-
Packard lost more heavily than
did American Motors in the most
recent sales tabulations. It's re-
tail market percentage during
the early part of the current
year dropped to 1923, compared
with 2.27 at the same time last
year.
American Motors, meanwhile,
saw its percentage drop from
100 per cent to 1.72 per cent Of
retail sales. 1t has heard more
rumblings of dissent from among
its shareholders. At meeting
several weeks ago. one minority
group proposed that the COM
Ipany get out of the automobile
business entirely or. failing that,
drop certain models and concen-
trate on production of certain
smaller cars.
Smaller Car Pushed
In effect, that is what is hap
lpening now in American Motors.
Production Of it's larger Nash
and Hudson models has shrunk
heavily as 1t built up volume in
the smaller Rambler car. The
management has denied, how
ever. it has any intention of get
ting out of the automobile bust
ness or of disseminating produc-
ton of its Nash and Hudson
models.
Latest suggestion OF possible
further stakeholder problems for
American Motors management
came with the disclosure that
Louis E. Wolfson, veteran of
some rather rough stockholder-
management battles of recent
years, had become the largest
single stakeholder in the COM
Ipany.
Mr.. Wolfson with his wife and
children owns $4,000 shares of
American Motors stock, having
a market value Of around SIS
million. But there are more than
100000 shares outstanding.
Mr.. Wolfson. who is president
and board chairman OF Merritt
Chapman e. Scott Corp, a large
construction firm. has said that
while he plans conferences with
American Motors management
looking to some revamping of its
activities. he does not plan a
stock proxy fight and has not
sought a place on the company's
board OF directors.
American Motors reported a !
net loss OF $l9.7 million for its
fiscal year ended last September
an Tn thA n,,a rtn~ a~laA 4. -