Durant Again

In 1908 William Crapo Durant put together a half-dozen automobile companies, called them General Motors Co. of New Jersey. Three years later he was ousted from control. He immediately formed Chevrolet Company and by May 1916 was able to tell G. M. directors that once again he was in control. Five years later he was forced to tender his resignation. The greatest bull since Commodore Cornelius Vanderbilt was broke and jobless at the age of 60.

After this second exit from G. M., Mr. Durant started Durant Motors Inc., speculated his way back to wealth and public favor. Stock in the new company soared from $13 in 1921 to $84 in 1923. But for the last few years Durant Motors has reported steady deficits and the stock has slipped to almost nominal figures. When, a year and a half ago, Mr. Durant resigned as chairman and put younger executives in charge it seemed that he was through with the automobile industry. But last week Durant stock (on the New York Curb) flared up from $2 to $5. Reason: Mr. Durant was returning as president and, as usual, had great plans afoot.

Last fortnight it was rumored that Durant Motors will manufacture the Mathis, a small French car. Last week's announcements confirmed these stories. Emil Earnest Charles Mathis and a staff will move to Lansing, Mich., where the Durant factory stands. By Dec. 1 work will have begun on a contract calling for 100,000 Mathis cars. Although Durants will still be made, apparently the new car will predominate. For the last four months total Durant registrations in the U. S. were only 9,531 compared to 16,837 in the corresponding period last year.

The Mathis is the fourth largest seller in France. Durant will retail it at around $500, hence compete with the American Austin. Testimony to the popularity of torn-thumb cars was the report last week that American Austin Car Co. Inc., with normal capacity of 60,000 a year, had 184,000 unfilled orders on hand June 30.

That Mr. Durant should become active again at the age of 69 is no surprise to the industry. Of Bull Durant legends abound. It is said that he persuaded G. M. directors to vote $100,000 for research on a refrigerator "just so they'd have more to worry about." It was he who, through John Jacob Raskob, then secretary to Pierre Samuel du Pont, interested the "Wilmington crowd" in G. M. He is one of the Federal Reserve's oldest, loudest, fiercest foes. He claims to have visited President Hoover a year ago last spring and warned him of impending crisis in the securities' markets. In 1909 he arranged to buy Ford Motor Co. for $8,000,000 but his bankers were afraid. He is a stanch Presbyterian, stanch Republican. He shuns jewelry but is famed for his tremendous long-distance telephone bills. Wherever he goes he carries a set of checkers. Said the Paris Comet of him last year: "He has served both God and Mammon without ever being able to distinguish which was which."

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