DETROIT, Feb. 28 (AP)—Roy Abernethy, former president and chief executive officer of the American Motors Corporation, died today in Tequestra, Fla. He was 70 years old.
Mr. Abernethy's survivors include ms wife, the former Florence Ruth Nunnally, a son and a daughter.
Roy Abernethy, a hard‐driving former auto dealer and salesman, joined American Motors in 1954 and teamed up with George Romney, then president of the company, which was lagging far behind Detroit's Big Three, to bring out the compact Rambler and make up some lost ground.
He was vice president for automotive sales in the years when the company climbed out cf the red on the strength of the stubby but efficient little car. In 1960 he became executive vice president, and in 1962, when Mr. Romney went onl to political success by winning the Michigan governorship, he became president and chief executive officer.
His five years finning American Motors were not easy. The Rambler began losing momentum as other manufacturers cut into the compact market and the public's preference for bigger cars survived the challenge of economy.
The Rambler enabled American Motors to raise its share to an average of 6.6 percent of the market over a five‐year period, but in the 1964 model year the figure slipped to 5.4 percent.
Mr. Abernathy continued to express great confidence in the Rambler, but his company began hedging its bets with bigger cars, with ,more powerful engines and racier styling and names, as rising affluence hurt its low‐cost, low‐power image.
At the end of 1965, he was still optimistic, but early in 1966, with profits sagging, the company's emphasis was on cost reduction. That April, a new executive committee of directors was formed, but sales were down 20 percent and American's share of the market had fallen to 2.S percent at midyear.
In January 1976, Mr. Abernethy was on hand when a new managerial lineup was announced. Roy D. Chapin Jr., who had been executive vice president, became the chairman, and William V. Luneburg succeeded Mr. Abernethy as president.
He took the action in good spirit, recalling past success and commenting. 'The market changed swiftly. We could not move rapidly enough to avoid a period of loss, but I believe the basis has now been laid for recovery."
He remained for a time on the company's board after his resignation as president, stepping down at the same time as president of the Automobile Manufacturers Association.
Mr. Abernethy was a native of West Monterey, Pa. His first job was caring for coal‐mine mules. Later he became an apprentice mechanic in Pittsburgh, where he took night courses in engineering at Carnegie Institute of Technology.
He rose rapidly in sales and distribution with the Packard Motor Company—first in Pittsburgh, then in Kansas City, eastern New York, and Hartford, where he operated his own dealership before becoming vice president and general sales manager of Willys Motors, Inc. in 195354.
Standing over 6 feet and weighing 240 pounds, he was a gregarious man who talked to his dealers in a language they understood. He had a reputation for tempering his immense personal drive with considerateness for others, and he seemed to thrive on tough challenges.
DETROIT, Feb. 28 (AP)—Roy Abernethy, former president and chief executive officer of the American Motors Corporation, died today in Tequestra, Fla. He was 70 years old.
Mr. Abernethy's survivors include ms wife, the former Florence Ruth Nunnally, a son and a daughter.
Roy Abernethy, a hard‐driving former auto dealer and salesman, joined American Motors in 1954 and teamed up with George Romney, then president of the company, which was lagging far behind Detroit's Big Three, to bring out the compact Rambler and make up some lost ground.
He was vice president for automotive sales in the years when the company climbed out cf the red on the strength of the stubby but efficient little car. In 1960 he became executive vice president, and in 1962, when Mr. Romney went onl to political success by winning the Michigan governorship, he became president and chief executive officer.
His five years finning American Motors were not easy. The Rambler began losing momentum as other manufacturers cut into the compact market and the public's preference for bigger cars survived the challenge of economy.
The Rambler enabled American Motors to raise its share to an average of 6.6 percent of the market over a five‐year period, but in the 1964 model year the figure slipped to 5.4 percent.
Mr. Abernathy continued to express great confidence in the Rambler, but his company began hedging its bets with bigger cars, with ,more powerful engines and racier styling and names, as rising affluence hurt its low‐cost, low‐power image.
At the end of 1965, he was still optimistic, but early in 1966, with profits sagging, the company's emphasis was on cost reduction. That April, a new executive committee of directors was formed, but sales were down 20 percent and American's share of the market had fallen to 2.S percent at midyear.
In January 1976, Mr. Abernethy was on hand when a new managerial lineup was announced. Roy D. Chapin Jr., who had been executive vice president, became the chairman, and William V. Luneburg succeeded Mr. Abernethy as president.
He took the action in good spirit, recalling past success and commenting. 'The market changed swiftly. We could not move rapidly enough to avoid a period of loss, but I believe the basis has now been laid for recovery."
He remained for a time on the company's board after his resignation as president, stepping down at the same time as president of the Automobile Manufacturers Association.
Mr. Abernethy was a native of West Monterey, Pa. His first job was caring for coal‐mine mules. Later he became an apprentice mechanic in Pittsburgh, where he took night courses in engineering at Carnegie Institute of Technology.
He rose rapidly in sales and distribution with the Packard Motor Company—first in Pittsburgh, then in Kansas City, eastern New York, and Hartford, where he operated his own dealership before becoming vice president and general sales manager of Willys Motors, Inc. in 195354.
Standing over 6 feet and weighing 240 pounds, he was a gregarious man who talked to his dealers in a language they understood. He had a reputation for tempering his immense personal drive with considerateness for others, and he seemed to thrive on tough challenges.
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