Business: Billy's Sunbeam

In the open-throttle British auto race for the $40 million export market to the U.S., Rootes Motors' hard-driving Sir William Rootes (Hillman Minx, Humber, Rover, Sunbeam-Talbot) had already knocked Austin out of second place. Last week Sir William claimed that he had overtaken Lord Nuffield,* was now shipping more cars to the U.S. than any other British maker. His total: 4,942 Rootes cars exported in the first half of 1953.

Nuffield quickly pointed out that Rootes's claim was only half the story. The Rootes Group was shipping more cars to the U.S. than Nuffield, but it was not yet selling as many. The catch: every car that Lord Nuffield shipped went C.O.D. to an independent U.S. dealer, who paid cash on the cylinder head. But Rootes, who has built up his own vast network of 450 U.S. dealers since war's end, was shipping his cars on consignment. His dealers could wait until a car was sold before paying Rootes, could also return any cars that found no buyers. That meant Billy Rootes was carrying an unsold inventory in the U.S. worth about $4,500,000 (at retail prices). In sum, he was making one of the biggest gambles of his bold, spectacular career.

"Flying Mile." With the air of a man who has played for big stakes before, Sir William confidently predicted a rush-to-Rootes. In the first six months of 1953, 17,602 Americans spent a record $22 million on British cars—an increase of 30%. Nuffield made only a small percentage gain; the Rootes Group gained 35%.

Rootes's bestseller in the U.S. is his Hillman Minx, a small "economy" car (four-door sedan: $1,699). But Sir William is betting heavily on a new, more expensive sports model: the fast, sporty Sunbeam-Talbot Alpine. First shown in the U.S. last April, the low-cut Alpine later clocked 120 m.p.h. in Belgium's Jabbeke "flying mile" run, and last month chalked up a perfect score in the grueling Alpine Rally endurance test (2,000 miles through 31 mountain passes, five countries). Its engine is basically the same as the Sunbeam-Talbot "90" that last year won the Royal Automobile Club trophy. In the export race, the Alpine and other Sunbeam-Talbots so far have been slow starters; Sir William has shipped nearly 1,000, sold only 13 in the first half of 1953.

Greasy Hands. Billy Rootes learned about automobiles the hard way. His father, onetime bicycle maker and pioneer Ford dealer, apprenticed Billy to the Singer Car Co. at Coventry. There 19-year-old Billy spent long hours washing automobile parts in oil for a penny an hour ("I learned a lot about parts in those oil buckets"). But it was as a salesman that Billy first made his automotive mark. Convinced that British makers were neglecting overseas markets, Rootes landed world sales rights for Rolls-Royce, Hillman and others. Then, selling cars faster than he could deliver them, Rootes concluded the makers were "too sluggish," decided to take on manufacturing himself.

Depression gave him his chance. Rootes bought up, at distress prices, three famed but inefficient old companies—Humber, Hillman and Commer. He modernized their equipment and methods, had them paying dividends again within a year. Later the fast-growing Rootes Group took in others until it embraced 20 companies, including Sunbeam-Talbot.