Hampton Machine Tool

Hampton machine tool company is a machine tool manufacturer established in 1915. Hampton's customer base consists mainly of military aircraft manufacturers and automakers in the St. Louis region. In the mid - 1960 's, Hampton experienced a record prosperous profit in the mid - 1960' s. Hampton slowed down in the 1970s due to the withdrawal of the Vietnam War and the oil embargo. Hampton stabilized in the latter half of the 1970s and now we are getting bigger market share because other competitors can not survive the storm.

Founded in 1915, the Hampton Machine Tool has been manufacturing machine tools since its founding. Hampton's customer base consists primarily of aircraft manufacturers and automakers in the St. Louis region. Over the years, it has experienced record production and profitability. Due to the withdrawal of the Vietnam War and oil embargo, sales and profitability declined in the mid-1970s. However, the company stabilized a large amount of sales in the latter half of the 1970s. The reasons for Hampton's recovery are exports and sales of military aircraft in the domestic market, growth of the automobile industry and economic improvement.

Hampton machine tool company is a machine tool manufacturer established in 1915. Until 1979, the company had well predicted the industry's severe cyclical fluctuations. The company's main customer base is the aircraft and automobile manufacturers in the St. Louis region. From the mid-60s through the latter half, Hampton was extremely beneficial due to the strong car market and the large defense costs associated with the Vietnam War. However, in the mid-1970s, Hampton's profitability declined as the US withdrew from the Vietnam War and the oil embargo. By the late 1970's, competitors could not overcome these difficult times, so market share increased and Hampton stabilized and stabilized.

Hampton machine tool encountered problems with repayment of that 1 million dollar loan that expires in September 1979. This loan is used to acquire treasury shares. Mr. Cowin, President of Hampton, thanks to his good reputation and credibility in the business circle, thanks to the estimated sales and expected financial statements submitted, St. Louis National Bank offered a loan to the company . Firstly, the key parts supplier delivered on time, subsequently purchasing parts of $ 420,000 at the usual inventory level, and thirdly, machine problems at the time of manufacture. On the other hand, we plan to pay a dividend of 150,000 dollars in 1979. Therefore, Hampton needs an additional $ 350,000 loan until October to pay the first loan analysis in December 1979.