Shortround6
Major General
I don't know about the British (but I do know that it was not the rosy picture in the newsreels) and I am NOT saying some of the american factories didn't have problems. In many cases the US companies worked on "cost plus" contracts. The company AND the government figured out what it would cost to build the airplane and the contract was signed for that cost PLUS 3% or some other figure. Grumman worked this and yes 3% of the actual cost of over 12,000 Hellcats is a LOT of money in total but is it an outrageous amount of money for the work done? Grumman also did not get a contract for 12,000 planes up front but a succession of contracts with costs to manufacture being reviewed and costs of later planes being lower than the first contract planes.
The oft quoted price of the F6F may very well NOT include government furnished equipment like engine, prop, radios, guns and oxygen equipment.
In many cases companies were paid to manage factories owned by the government that were shuttered at the end of the war and either reopened during the cold war/Korean war or never re-opened and sold off (some times with sweetheart deals?)
I worked at a P&W plant during the early 70s and there were a LOT of machines with little brass tags saying they were the property of the US government. Still were or had been at one time? long term lease? bought "used" after 2-3 years at teh end of the war? but then there was a LOT of surplus machinery at the end of the war. If you could by a fighter plane for a few thousand dollars what could you get a 24"-36" Bullard vertical turret lathe for?
The US government controlled a lot of what went on, at least nominally. At one point in 1941 Allison had an A1A priority rating and yet was short around 800 machine tools to fill recently completed factory space ( and even steel I beams needed government approval to purchase). I am sure that some wheeling dealing went on but the idea that MOST companies made large profits needs looking at. Millions were made but at what percentage of the total contract?
Again I remember newspaper articles from the 70s cheering and saying P&W got a contract for XX million dollars from YY airline and laughing. 42 million at time was good for fewer than 10 engines and wouldn't meet the 5 Connecticut factories payroll for more than a few weeks.
Number published by Grumman ( I don't know if there was a 2nd set of books) for 1944 had gross sales of 324 million dollars ( not exceeded until 1960) for a NET income of about 11.5 million dollars ( not exceeded until 1965).
Other companies may have done better.
The oft quoted price of the F6F may very well NOT include government furnished equipment like engine, prop, radios, guns and oxygen equipment.
In many cases companies were paid to manage factories owned by the government that were shuttered at the end of the war and either reopened during the cold war/Korean war or never re-opened and sold off (some times with sweetheart deals?)
I worked at a P&W plant during the early 70s and there were a LOT of machines with little brass tags saying they were the property of the US government. Still were or had been at one time? long term lease? bought "used" after 2-3 years at teh end of the war? but then there was a LOT of surplus machinery at the end of the war. If you could by a fighter plane for a few thousand dollars what could you get a 24"-36" Bullard vertical turret lathe for?
The US government controlled a lot of what went on, at least nominally. At one point in 1941 Allison had an A1A priority rating and yet was short around 800 machine tools to fill recently completed factory space ( and even steel I beams needed government approval to purchase). I am sure that some wheeling dealing went on but the idea that MOST companies made large profits needs looking at. Millions were made but at what percentage of the total contract?
Again I remember newspaper articles from the 70s cheering and saying P&W got a contract for XX million dollars from YY airline and laughing. 42 million at time was good for fewer than 10 engines and wouldn't meet the 5 Connecticut factories payroll for more than a few weeks.
Number published by Grumman ( I don't know if there was a 2nd set of books) for 1944 had gross sales of 324 million dollars ( not exceeded until 1960) for a NET income of about 11.5 million dollars ( not exceeded until 1965).
Other companies may have done better.