Word: backlogs
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...production increase is exactly what Detroit's automakers hope to achieve for the rest of this year and next. Despite a near-record backlog of unsold 1957 models. Henry Ford II upped his sales forecast of last May by another 200,000 cars, predicted a total of 6,000,000 this year. The company's dealer orders are bigger than the production goals in several lines. Chrysler's cars are still selling well, and even General Motors, whose 1957 Buick and Oldsmobile models have fallen behind, expects no real trouble preparing for major model changeovers...
...cutbacks, and they had slowly geared for them. To cushion the drop in F8U production, Chance Vought is counting on missile contracts for its Regulus and heavy orders for a faster, improved all-weather F8U, which it now has on the drawing boards. Douglas figures that its $2.5 billion backlog and its big business in missiles and commercial jets can easily absorb the slack of the Skyhawk stretch-out. And to help offset the stretch-out in orders for its eight-jet B-52 bomber, Boeing last week got its first production contract for its ramjet Bomarc interceptor missile...
Stepped Up Sales. Despite the stretch-outs, backlogs and sales are fat. United Aircraft reported last week that first-half shipments rocketed to $604 million from $458 million at the same time last year, and earnings reached $26 million, v. $21 million. McDonnell's sales are 24% ahead of last year's rate. Chance Vought's sales are 72% ahead of the 1956 period, and the June 30 order backlog reached $467 million, up $200 million from a year ago. While some plane makers fear that sales and profits will nose down next year, they will still...
...billion and record profits of more than $32.5 million after taxes. Its Autonetics division has sizable contracts for airborne computers and other military electronic hardware, and its booming Rocketdyne division makes the rocket engines for a handful of big missiles. The big trouble is the company's aircraft backlog. Though it stands at more than $900 million, much of that is for relatively old planes approaching the end of their production...
...rockets with 500,000 Ibs. of thrust for supersonic Air Force test sleds. Another project: the rocket engine for North American's piloted X-15 rocket plane, which is scheduled to fly at altitudes of up to 100 miles and speeds of 5,000 m.p.h. Reaction's backlog: $10 million last year, $24.1 million this year...