Re: Downfall of the DMC?

["jtrealtywebspannet" <jtrealty@xxxx>]

IMHO although there were mistakes made by the management of DMC and 
market forces were against them the single biggest misstep was the 
change in political parties and control of the British Government. 
They were no longer sympathetic to DMC and not only did they not help 
when DMC got into trouble they "helped it along faster downward" by 
insisting DMC hire all of the people it had promised it would (which 
caused production to increase) and then withheld loan payments which 
DMC would have used for operating capital. The proof of how badly the 
Government turned against DMC is that they forced the company into 
bankrupcy, sold it for a pittance (they could have made some deal with 
someone to keep the most modern auto plant in the world active) and 
then scrapped the dies that could have been worth something to 
someone. The government was more interested in burying a relic of the 
previous administration and blaming them for all of the losses. DMC 
was caught in the middle of a fierce poitical battle and was a 
casualty along with the hopes of peace in Northern Ireland for 15 
years. 
David Teitelbaum
vin 10757



--- In dmcnews@xxxx, "Brian McCool" <bjmccool@xxxx> wrote:
> If I had to narrow it down to one specific event that brought the 
company
> down, I would say it was the decision in November of 1981 to double
> production of cars from 40 a day to 80 a day. The country went into 
a
> recession and had a very bad winter about a month after this, which 
affected
> every car manufacturer negatively, especially DMC. JZD did this 
partly to
> make the company look more impressive right before a planned public 
offering
> of the company's stock that ended up being canceled. By doubling 
production