Billy, Alfred, and General Motors

CHAPTER THIRTEEN

A Last Good-Bye to the Baby

Flush with capital, General Motors proceeded with its ambitious expansion program (discussed in Chapter 1) throughout the year 1919. The plan called for a doubling of current vehicle production capacity and gave virtually every operating unit a green light for expansion of existing plants plus the acquisition or construction of others. During the year, Buick alone spent more than $5 million on bricks and mortar; Cadillac, just under $5 million; Chevrolet, more than $7 million; Olds, more than $2 million.

The largely uncoordinated spending did not end there, however. To ensure an uninterrupted supply of car bodies as vehicle production expanded, the company paid $27.6 million for a 60 percent interest ...