While it is common knowledge that Henry II killed the Continental Division and OK'd McNamara's plan to dump the 2-seat T-Bird as (some would say wrongheaded) economy moves in order to pump up the stock price before he took the company public (supposedly to raise operating capital?) in '57 (?), I have always wondered how all that money was divvied up since I thought the company was wholly owned by the family? Does an IPO create new stock out of whole cloth that is then owned by the company? Any economist or stockbroker Y-Blockers out there who might throw some light on the subject?

6 VOLTS/POS. GRD. NW INDIANA

The IPO was Jan 1956 here is most of a link to a story about it from a few years ago



www.dailyfinance.com/.../ford-vs-gm-the-ipos-of-a-changing-americ...

Doug T

The Highlands, Louisville, Ky.

I can't answer the stock questions, but I believe the Continental division wasn't much of a profit maker. They sold for about $10,000, which was big money at the time. Also, imho the fact that they were two door cars only, probably limited sales to the wealthy. They could get a 4 dr Cadillac, likely for less money. McNamara's decision to drop the 2 passenger Birds was also based on their belief that a 4 passenger car would sell better, unfortunately they forgot that it left them with nothing to answer the Corvette with. That wasn't his first mistake, he was also the one that decided to pull Ford out of racing & high performance in mid 1957, even though he was advised by some senior people not too. Being an "intellectual type," he thought that he was dealing with honorable people over at G.M. It was an error of judgment that over time cost Ford dearly...

Paul

Paul, You're right on the Thunderbird, but the fact is that sales had stalled on the "little birds." The new 4 place 'birds sold considerably better. At the time they were more popular, kinda replacing Lincolns with a more affordable package. History has certainly vindicated the 55-57 cars though, look at the value of a two place car 58-59 today!

Frank/Rebop

Bristol, In ( by Elkhart) 

If the Thunderbird sales numbers were stalled, what would the Corvette numbers be called? Definitely worse than stalled but GM bit the bullet and stayed with it. Unfortunately for the two seater Thunderbird and to McNarmara’s credit, the 1958 Thunderbirds out sold the previous three years of T-Bird production added together. That pulling out of racing in 1957 was definitely a miscue in my opinion but that also came at a time when FoMoCo was spending an incredible amount of money on new engine development, complete body redesigns across the board, and the Edsel lineup. It’s hard to say what the Ford cars would have looked like today if the two seater T-Birds had remained in the lineup instead of going to a back seat model.

Lorena, Texas (South of Waco)

Ted, I don't know the relative numbers, but the Bird blew the 'Vette out of the water in 55 and 56. By 57 the Corvette sales were improving. '53 was the first year, I think they only made 300 of them, 54 wasn't much better. Maybe a six cylinder, powerglide, Jaguar rip off was not a great idea! They tried to re-create the idea in the early 2000's but it wound up with the same story, slow sales. We've probably seen the last Ford with a ThunderBird nameplate.

Frank/Rebop

Bristol, In ( by Elkhart)