It’s all downhill for the Graham brothers. 1930 saw sales drop by 50%. 1931 went down by another 30%. Bad economic times, they were aware – therefore lower pricing, the latest technology, and better promotions. The Graham cars looked just as good as the leaders, and performed even better in all the road tests. Answer to the problem? “Let’s design a new car.”
Bring in Amos Northrup and Ray Dietrich of the car body designers and builders, the Murray Corporation. They V-ed the grill and sloped it back, concealed the rad cap, skirted the fenders, painted the headlight shells and added balloon tires.
Graham’s Chief Engineer created a new “banjo” frame that enabled a 2 1/2 height drop, an industry first that created the most famous (and most copied) Graham, the Blue Streak. This car was the industry leader. Results? A 30% drop in sales. By 1933, sales had dropped to 11,000. (In 1926, Dodge Bros. sales had been 330,000 units.) Profit? $67,000. It will take a world war for profitability to return.