Automotive News - September 15, 2008 - (Page 40)

General Motors Story 10 /100 To get back in the race for GM, Durant found a racer Kirk Seaman illy Durant lost control of General Motors to East Coast bankers in October 1910, but he knew what he had to do to reclaim it. As Durant wrote later in notes for an unfinished autobiography, “If I ever expected to regain control of General Motors, which I certainly intended to do, I should have another company of my own.” And he knew just the man to help: Louis Chevrolet. The association with Chevrolet began in 1907, when Durant invited the Swiss-born driver from France to join the Buick racing team. After leaving the team in 1909, Chevrolet began developing a six-cylinder touring auto with funding from Durant. Durant saw an opportunity to use the new car — and Chevrolet’s racing fame — to help regain control of GM. “He was planning his comeback,” Chevrolet later recalled, “and he told me, ‘We’re going to need a car.’ “ On Nov. 3, 1911, Chevrolet Motor Car Co. was incorporated. The course back to GM was set, the vehicle chosen. In reality, it would take more than one car and more than one company. While Chevrolet labored on his touring car, Durant established Little Motor Car Co., which would be the cornerstone of the operation; and Mason Motor Co., which would supply engines to both new automakers. © GM Corp. Durant’s winding road 1910: Billy Durant lost control of GM. 1911: Durant, Louis Chevrolet formed Chevrolet Motor Car Co. 1912: Chevrolet cars went on sale. 1913: Durant, Louis Chevrolet split. 1915: Series 490 introduced. 1916: Durant regained control of GM. 1920: Durant ousted again. Success and failure Just as the situation seemed darkest, 1914 dawned with new hope. The Chevrolet engineers had developed two four-cylinder models for the new season: the Baby Grand, a touring car; and the Royal Mail, a roadster. Each wore a new emblem designed by Durant himself: a pair of parallelograms, one vertical and one horizontal, intersecting to resemble a bow tie. Larger, more powerful and more stylish than the Model T, both cars were hugely successful. The two new models made possible Durant’s next salvo across Ford’s bow, this time with a car whose name was a dig at his rival. The car was called the Chevrolet 490 — and $490 was the price of the 1914 Model T. When it reached the market in June 1915, the 490 cost $550, but it had a lot for the money — valve-in-head engine, electric starter and headlights. Durant said the 490 was so desirable that “a little child can sell it,” and that became the 490’s advertising theme. And sell it did. Just four days after the 490 went on sale, Chevrolet dealers had 46,611 orders secured by cash deposits. By the end of 1915, Chevy had built 13,605 copies of the new model. With the coffers filling and Chevrolet’s stock soaring, Durant had the war chest he needed to reclaim his prize. Exchanging Chevy stock for GM stock, Durant became GM’s majority shareholder by May 1916. One month later, he was GM’s president. In 1918, Durant folded Chevrolet into GM. He had won the battle, but eventually, Durant would lose the war. By 1920, he found himself permanently exiled from the company he had started 12 years earlier. GM and Chevrolet would roll on without Durant, reaching heights he had dreamed of while others doubted. Louis Chevrolet, formerly a noted racer for the Buick team, drives an early Chevrolet in 1911. 2 cars, no winner The first offering from Little — the Little Four, a two-passenger roadster — was introduced in the summer of 1912. The car was priced from $690 — $100 more than its Model T equivalent. The Little Four’s four-cylinder engine proved to be underpowered compared to the Ford. The Little was inexpensive but poorly built, and Durant predicted accurately that the car would be “driven to its death in 25,000 miles.” Meanwhile, Chevrolet continued tinkering Planning his comeback, Durant told Louis Chevrolet, “We’re going to need a car.” in his Detroit workshop, laboring to perfect the auto that would bear his name. After a delayed launch, his touring car went on sale in late 1912 to an underwhelming reception. The Classic Six, as it was called, was wellbuilt but proved to be too heavy, too big — and, at $2,150, too expensive. Sales languished. So Durant had the unenviable problem of marketing one car that was built to last but wouldn’t sell and another that was selling but wouldn’t last. His solution was to combine the best aspects of each car and try again. The Little was discontinued in 1913. Mason Motor was absorbed, and all energy was focused on Chevrolet. But by year end, Louis Chevrolet and Durant had parted ways. There was still no car, and the money was running out. Gifted race car driver, inventor died penniless and forgotten had skilled race inventor, gifted L ouis Chevrolet driver,a variety of talents: mechanic. A 1976 booklet printed for the unveiling of the Louis Chevrolet Memorial at the Indianapolis Motor Speedway says Chevrolet excelled in three areas: 1. Racing early automobiles 2. Designing and building fast, durable race cars 3. Improving the comfort and reliability of passenger cars Those who knew him described him as “fearless and daring, but never reckless quick-tempered and impetuous at times; a perfectionist who took pride in his work, with very little patience for the mistakes of others,” the booklet says. But he was no whiz at business. He had opportunities to become a millionaire — and played his cards wrong every time. His talents made money for several auto pioneers and his name continues to grace General Motors’ topselling brand, but Chevrolet died poor and on the fringes of the industry he helped create. Chevrolet was born on Christmas Day in 1878 in La Chaux-de-Fonds, Switzerland, the 40 September 15, 2008 © GM Corp. The man behind the bow tie Milestones of Louis Chevrolet’s life 1878: Born in Switzerland 1902: Moved to New York 1905: Won first race 1912: First Chevrolet car went on sale 1913: Left Chevrolet Motor 1916: Began building Frontenac car 1922: Frontenac Motor filed for bankruptcy 1941: Died at age 63 son of a maker of watches and clocks. When he was 8, his parents moved to France. He had six siblings, and his two brothers, Arthur and Gaston, would join him in racing. As a youth he worked for a wine merchant and designed and produced a wine-barrel pump. Later he tried bicycle building and sold his bikes under the label Frontenac — a name that would resurface years later in one of his automobile ventures. He moved to Montreal in 1900 and worked as a chauffeur, an occupation that required mechanical skills in those days. He moved to Brooklyn, N.Y., and got a job as a mechanic. He joined Fiat in New York City in 1902, which led to his first opportunity to drive in a race. On May 20, 1905, he drove a 90-hp Fiat in his first major race, at the Hippodrome in Morris Park, N.Y. He won. In his first year, he beat legendary driver Barney Oldfield three times, which made him one of racing’s rising stars. Chevrolet continued to race and design race cars. His younger brothers, also skilled but not quite as good as Louis, followed in his footsteps. Louis Chevrolet met fellow racer Walter Christie in 1906 and agreed to Louis Chevrolet: Split with Durant on strategy help build a front-drive V-8 race car. Chevrolet’s racing prowess caught the eye of Billy Durant, and Louis and his brother Arthur were invited to audition to be Durant’s chauffeur. Durant chose Arthur for the job because he took fewer chances. But Louis was asked to join the Buick racing team. After Durant lost control of General Motors in 1910, he asked Chevrolet to design a car for him. Chevrolet Motor Co. was born — but Louis Chevrolet was merely an engineer with a famous name to lend, not a dominant figure. Durant and Chevrolet split on strategy. Chevrolet wanted prestigious high-priced vehicles, but Durant wanted to compete at the low end of the market, against Henry Ford. Chevrolet left the company in 1913, selling the stock that would have made him a millionaire many times over. Four years after starting Chevrolet Motor Co., Durant had several assembly plants and wholesale offices in the United States and Canada. He quietly traded his Chevrolet stock for GM stock, and in 1916, he announced to the GM board that he was in charge. Louis Chevrolet went back to racing and AUTOMOTIVE NEWS

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