New highs in net sales, in engineering research and development, and in electronic and missile advancements marked 1957.
In January came a significant announcement, Temco was awarded the prime contract for Corvus, a new air-to-surface missile for the Navy. Designed for penetration of heavily-defended areas, the Corvus heralded further development of Temco as a fast-growing supplier of military weapons systems.
Another highly classified prime contract for a new electronics system, was awarded to the Greenville facility. Although continuing as a major overhaul-modification center, the Greenville facility was taking on added significance as with electronics modifications.
At the end of the year, Temco was negotiating for controlling interest in a West Coast electronics firm with important patents in the fields of electronic plotting of air and sea traffic, missile test equipment, telemetering calibration instruments and missile guidance components. At year end Temco was ahead of the goal it had set in 1956 ten percent of its business to be in the electronics and missile systems field by the end of 1957 and fifty percent by the end of 1961.
Total sales were at an all time high, $119,000,000 compared with $90,000,000 in 1956. Of these, $36,000,000 were under prime contracts, as against $25,600.000 for year 1956. Engineering sales totaled $14.4 million in 1957 compared with $3.7 million in 1956.
The year, however, was almost unsurpassed in problems. In addition to moving engineering and headquarters personnel into the new buildings at Garland, and various production units from Grand Prairie to new locations, other trials were experienced. These included reductions in partial payment allowances by the government, cutbacks and schedule slides. The cutbacks caused layoffs in almost all departments and at year en total employment was 7,839.
Despite the cutbacks, subcontract sales for the year amounted to $83,200,000 as against $64,700,000 in 1956. Work continued on B-52 fuselage sections, F-100 pylons, Ford J-57 jet engine components, Lockheed Electra and C-130 Hercules components, F-104 wings, F-101 fuselages, RF-101 photo noses, F3H components and other projects. Temco was selected as a major source for aft fuselage sections of the B-52G, an improved model of the B-52, and was awarded the contract for the design, tooling and production of two major sections.
The end of 1957 found Temco in a solid position with its belt tightened and a diversified work backlog of approximately $160,000,000. The company had moved into new engineering and office buildings totaling 200,000 square feet. Of the employees, 4,874 had been with the company five years or more and 564 had received 10-year pins.