Autos: Now There Are Four

In South Bend, on a cold grey day with gently descending snow, workers poured from the plant in shock and anger. In Hamilton, Ont., the news was greeted with elation, and men quickly lined up to apply for jobs. Across the U.S., 1,900 dealers sat in their showrooms and forlornly surveyed an uncertain future. In a move long expected but nonetheless shocking when it came, Studebaker Corp. announced that it was dropping auto production in the U.S.—111 years after its founding as a carriage maker and 61 since it turned out its first auto. The company insisted that it will...