Borgward is an automobile manufacturer originally started by Carl F. W. Borgward. The original company, based in Bremen with Germany, ceased operations in the 1960s. The Borgward group generated four brands of autos: Borgward, Hansa, Goliath and Lloyd.The marque has due to the fact been revived by Carl Borgward's grand son, Christian Borgward, together with his spouse Karlheinz L. Knöss, with assistance from China investment, and unveiled the firm's first new car inside over 40 years, the BX7 at your 2015 International Motor Present.The origins of Bremen's most significant auto-business return to 1905 with the business in nearby Varel from the "Hansa Automobilgesellschaft" and the inspiration in Bremen itself regarding "Namag", maker of the Lloyd vehicle. These two businesses merged in 1914 in order to create the "Hansa-Lloyd-Werke A. G. ". After the war, in the troubled economy then confronting Germany, the business failed to prosper and from the late 1920s faced personal bankruptcy. For Carl Borgward, already the successful creator from the Goliath-Blitzkarren business, the misfortunes of Hansa-Lloyd presented an opportunity greatly to expand the scope of his automobile business, and he took control than it.
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The primary "automobile" Carl Borgward created was the 1924 Blitzkarren (turbo cart), a sort of very small three-wheeled van with 3 hp (1. 5 kW), which was an enormous success already in the market gap it filled. Traders with a small budget purchased for delivery. The Reichspost ordered some of them for postal service.In 1929, Borgward became the movie director of Hansa Lloyd AG having gotten to merge his "Goliath-Werke Borgward & Co. " with "Hansa-Lloyd. The small Goliath-Blitzkarren had can't evolved into the even now three wheeler timber framed synthetic leather bodied 5 as well as 7 hp Goliath Leading. Borgward turned his care about the other businesses along with led the development of the Hansa Konsul. In February 1937, there came the fresh Hansa Borgward 2000 in addition to in 1939 the label was shortened to Borgward 2000. The 2000 model was followed by the Borgward 2300that stayed in production until 1942.After World War II, in 1946 Carl Borgward used some of the brand names from firms he had acquired over time to found three separate companies: Borgward, Goliath and Lloyd. This was intended to increase the quality of steel allocated to his business at any given time of austerity and rationing. For many purposes nokia's would be run as being a single entity, but in a business operated by way of man to whom delegation didn't come naturally the spreading of legal entities however added unhelpful layers of complexity with the 1950s and encouraged a broadening in the range which finally proved financially unsustainable with the sales volumes achievable. In 1949 company presented the Borgward Hansa 1500.Among the top engineers at Borgward coming from 1938-1952 was Dipl. Ing. Hubert M. Meingast.Production of the Borgward Isabella started out in 1954. The Isabella would become Borgward's most widely used model and remained in production with the life of the company. In 1960 the Borgward P100 ended up being introduced, equipped with pneumatic suspension.Borgward introduced a line of 1500 cc sports racers in the late 1950s, with the 16-valve engine from these being a successful Formula Two power unit (that was also used by a few F1 privateers in 1961).Although Borgward pioneered technical novelties inside the German market such because air suspension and automated transmission, the company had trouble competing available. While larger companies including Opel and VW took benefit of economies of scale and also kept their prices low to achieve market share, Borgward's cost structure was even higher than necessary for its size, as it basically controlled as four tiny independent companies rather than implemented such basic cost reduction strategies as combined development and parts sharing involving the company's makes. Borgward suffered quality problems likewise. The Lloyd Arabella was technically advanced being a water-cooled boxer with entry wheel drive, but plagued with problems for instance water leakage and gearbox errors. Lloyd lost money on the car although it was more expensive as compared to its direct competitors.In 1961, the company was forced into liquidation by credit card companies. Carl Borgward died in July 1963, still insisting the company were being technically solvent. This proved to be true from the sense that after the particular creditors were paid fully, there was still four. 5 million Marks left from the business.
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Studies of difficulties at Borgward surfaced in the article that appeared within Germany's leading news mag, “Der Spiegel” on fourteen December 1960”. The very long, detailed, and in places repetitive Spiegel article was highlighted by using a picture of Borgward, cigar in mouth, on the magazine’s entry cover. It was strongly critical of Carl Borgward's small business approach, and included many in the arguments later advanced to explain or justify the business's demise. The widest range connected with cars from any supplier in Germany, produced by three right up until recently operationally autonomous corporations (Borgward, Goliath and Lloyd) ended up being supporting a turnover involving only 650 million Represents, placing the overall sales value on the combined Borgward auto corporations only in fifth location among Germany's auto-makers. The 70-year-old Carl Borgward's "hands-on" insistence by using an increasingly manic proliferation regarding new and modified types featuring adventurous, but under-developed technological enhancements ("fast manisch[e] Konstruierwut") offered rise to components which excessively did not work, broke down or fell into apart, resulting in massive expenses for pre-delivery remediation and/or submit delivery warranty work that found their sources that are to the company.The December 1960 Spiegel article has not been the only serious general public criticism targeting Borgward at this time: suddenly stridently negative (if more succinct) comments also resulted in in the influential mass-market Bild newspapers and in television stories. Critical media commentaries also appeared concerning large loans for the Borgward Group provided from the local Landesbank.It is apparent how the business was confronting cash-flow difficulties at the end of 1960. Capital intensive businesses such as auto manufacturing use his or her expensive machines and tools most efficiently if they use them constantly on full capacity, but the car market in Europe in the 1950s/60s was more periodic than today, with sales diminishing within Winter, then peaking in the early summer months: Borgward’s inventory of unsold cars right at the end of 1960 was beyond usual, reflecting ambitious growth programs, most obviously in respect of the united states market[11] The December 1960 Spiegel article speculated that of the 15, 000 Borgward cars ordered with the North American dealers in 1960 (and of the 12, 000 delivered to these people) 6, 000 might have to become taken back following a slump in American demand. (Borgward was not the sole European auto maker hit with a North American slump sought after for imported cars throughout 1960. In the same yr two ships carrying Renault Dauphines were turned back in mid-Atlantic because the docks in Ny were overcrowded with unsold Dauphines.
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By the end of December 1960 Borgward approached the lender for a further a single million Marks of credit rating, the loan to be backed by way of a guarantee from the Bremen regional government which initially the Bremen senators consented to provide. However, following the flood connected with critical press comment the particular senators withdrew their promise. They now required Carl Borgward to pledge the business itself to the state in substitution for the guarantee. After a tense 13-hour meeting widely reported in the still hostile media, Borgward agreed to the particular senate’s terms on four February 1961, thereby averting the bankruptcy from the business.The Bremen Senate also insisted on appointing a unique nominee as chairman from the company’s supervisory board. The man they selected was Johannes Semler with whom reports generally describe as being a “Wirtschaftsprüfer” (public auditor), though this designation, especially once translated into English, does less than full justice to the breadth of Semler’s profession. He had studied legislation at university and worked initially as being a lawyer. The scion of a number one Hamburg political family, in 1945 he received himself been a founding member of the centre-right CSU party, and was a person in the Bundestag between 1950 along with 1953. Despite his Hamburg roots, Semler was by now based in Munich, with a network of contacts in the Bavarian establishment that possibly included fellow CSU politician and also the future German chancellor, Ludwig Erhard, who in 1948 had succeeded Semler within a top administrative position in the Bizone. The appointment of Johannes Semler for the reason that representative of the Bremen senators to help chair the Borgward supervisory aboard would, in retrospect, contribute to the controversy that followed the Borgward personal bankruptcy.
aus Georg Schmidts Buch „Carl F.W. Borgward und seine Autos
In 28 July 1961 Semler, as Chairman of the supervisory board joined the directors from the three companies Borgward, Goliath and Lloyd to instigate proceedings with the establishment of a “Vergleichsverfahren”, which would have provided to get a court sanctioned scheme of arrangement enabling the business to continue to trade while while doing so protecting the interests involving creditors. [16] Two months in the future, however, in September 1961, the Borgward and Goliath organizations were declared bankrupt, followed in November by the Lloyd business. Subsequent “conspiracy theorists” possess suggested that Semler, for reasons of his or her own, never had any goal of allowing the Borgward auto-businesses in order to survive.
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