Reo resulted from a 1904 statement at Olds Motor Works , the first car caller institute by the dogged Ransom Eli Olds . When colleagues began coerce him to construct four- and six - cylinder models that were more substantial than his little Curved - Dash Oldsmobile , Ransom ventured down the street to set up a rival concern . By year ’s end , this new R.E. Olds Company was visit Reo Motor Car Company , after his initial . Ransom got his " retaliation " : through 1917 , Reo outproduced Olds Motor Works .

From the company ’s offset to 1919 , Reo field one- , two- , four- , and six - cylinder car . The firm ’s all - time production record , 29,000 , came in 1928 , by which time Reo was selling sixes only . After seeing car sale fall almost 30 per centum in calendar - twelvemonth 1929 , Reo station a $ 2 million loss on 1930 intensity of about 12,500 cars and a similar number of trucks . The Depression had stumble , and Reo was mortally wounded . But even though the company never sold more than 5000 cars a year after 1932 , some of those it did betray were memorable , and among the handsome automobiles ever created .

The fast-flying Cloud Sixes of 1930 were little changed from 1929 . That twelvemonth ’s next-to-last Reo was the 115 - inch - wheelbase Model 15 , basically the previous class ’s low - price Flying Cloud Mate with the same 60 - bhp , 214.7 - three-dimensional - column inch Continental engine . Senior model , now call Flying Cloud Master , comprised the 120 - inch Model 20 and 124 - inch " 25 " powered by a 268.3 - cid Reo engine with 80 bhp . toll were in the upper - middle wall bracket at $ 1175-$1870 ( after Depression - instigate track ) . Styling , by the talented and once ungratifying Amos Northup , was classic , schematic , and delicately proportion . Workmanship was firm , furnishings top - quality .

January 1931 bring an expanded line that ultimately offered two new full-strength - eight . Model nomenclature denote cylinders and wheelbase . The bombastic eight , deliver 125 bhp from 358 cid , was allow for brilliant new 8 - 35 Royales on a strong two-fold - drop form with 135 - inch wheelbase . It also power companion 8 - 30 Flying Clouds . drop anchor the pipeline was the new 6 - 25 with 85 - bhp 268 six , selling at around $ 1800 .

The Royale premiered at $ 2495 with three shut Murray - built bodies . All were smooth and really beautiful , Northup pointing the way for everyone else with surround pilot , rounded corner , and crease - back radiators . The 8 - 30 and 6 - 25 fag out a more button-down version of this look . Reo also announced an vast raw 152 - inch Royale chassis for custom coachwork by Dietrich , represent an imposing seven - rider limousine and three convertible security . But apart from show models , few of those opulent Reos were ever work up . Though all Royales had effortless performance with their big nine - chief - carry railway locomotive , they were hardly appropriate for hard economical time .

Reo spent $ 6 million on these initial 1931 models , hoping to spark sales . When sales neglect to catch fire , the firm hurl extra variation at the grocery : a Royale 8 - 31 ; the Flying Cloud 8 - 25 , with a new 90 - bhp eight not much gravid than Reo ’s six ; and the 6 - 21 , really a 6 - 25 downpriced to the $ 995-$1100 region . But none of these enchant on either , and Reo lost nearly $ 3 ­million on sales of just 6762 auto .

Still trying intemperately , Reo unveil a smaller Flying Cloud in January 1932 , the 117 - inch - wheelbase 6 - S. Carrying a debored 230 - cid six with 80 bhp , this new submission - story line listed nine unfastened and closed models in Standard and DeLuxe shave for $ 995-$1205 . Eight - cylinder Clouds returned virtually without variety . So did Royales , but the 8 - 31 and 8 - 35 were now nameless , and 8 - 52s were retagged Royale Custom . Of course , everything hinged on the 6 - S , but it failed to make the needed mental picture , and Reo railroad car sale fall to 3900 for the calendar year . Desperately seeking Johnny Cash , the house jibe to sell 6 - sulphur bodies and chassis to as beleagured Franklin for that society ’s 1933 Olympic , which was nearly identical except for grille , exhaust hood , and line - cooled Franklin power .

With all this , Reo had no pick but to drastically rationalise its 1933 line . Thus , Flying Cloud Eights disappear in January . So did the 6 - 25 , though its engine returned in a new low - ending S-2 Flying Cloud that replaced the 6 - sulfur on an inch - longer wheelbase . The long shape was also drop , leaving N-2 standard and Elite Royales on the 131 - in program and N-1 Customs on the 135 - column inch chassis . Prices were geld too , but the cuts were n’t enough to count . Despite smoother styling and sturdier new X - member figure , Reo ’s calendar - year registrations fall to 3623 , the low on record .

For more on defunct American cars, see:

1934, 1935, 1936 Reo Cars

Most 1934 Reos appear in July and September of 1933 , essentially carryovers save up more deep skirted fenders and an optic - capture array of six vent per hoodside . Headlining the " tangible " " 34s , unveiled in April , was the Modern S-4 Flying Cloud with overnice streamlining and an optional work up - in trunk for four - doorway sedans , though most everything else was continued from the S-2 and interim S-3 example .

come in May 1933 was the " Self - Shifter , " a newfangled freebie for Royales and an $ 85 additional for S-4s . This was a autoloading transmission developed at a cost of about $ 2 million amidst mount corporate finacial losses .

groundbreaking and dependable , the Self - Shifter replaced the conventional gearlever with an under - dash thyroxin - handgrip . Pushing the handle to " Forward " brought access to a pair of driving gears that changed automatically according to road speed . You pulled the hold midway out for Neutral , all the way out for " emergency low , " which also had two automatic ratios . For Reverse , turn the grip right , then rend out . The clutch pedal was used only for starting off .

Nice though this was , the Self - Shifter attracted few buyer . But surprisingly , Reo ’s calendar-1934 machine yield was slightly high at 4460 , and truck sale jumped a startling 70 percent .

Some experts quote the Self - Shifter ’s development cost as a key constituent in Reo ’s demise , but management turmoil since the Great Crash also contributed . When Ransom Olds move up to board chair in 1923 , new Chief Executive Richard Scott greatly extend yield , which left Reo with money - losing surplus content when the Depression severely shrunk the average - price market .

At Old ’s press , Scott was replace in 1930 by William Wilson , an executive of the Murray Body Company . But when Wilson could n’t halt the gross revenue coast , Scott got another luck . That angered Olds , yet Scott ’s supporters were entrenched , prompting the founder to resign in December 1933 . That shook up embattled Reo stockholders , who persuaded Olds to return the follow April and elected Donald E. Bates as president . Hopes were high that things would work around .

Meanwhile , the S-4 continued into 1935 as the little - changed S-5 , and Eights gave path to a lowly S-7 Royale Six coupe and saloon , essentially S-5s with a 95 - bhp locomotive selling for $ 985 . Both were run low by early 1936 , a sorry end for the once - mighty Royale .

But somehow , Reo managed yet another fresh Flying Cloud for 1935 . Designated A-6 , this offered two- and four - door Hayes - build fastback sedan with 115 - inch wheelbase and a superior new 90 - bhp 228 - cid six with seven main bearings , aluminum head , automatic choke coil , and external quivering muffler . Front styling mistily call back Auburn , with flare fender and vee’d bumper . For all that , Ransom Olds dislike the A-6 , calling its $ 450,000 tooling be a permissive waste of money .

But as at Olds Motor Works long before , his colleagues disagreed , and they labour ahead for ' 36 . They were doubtless encouraged by Reo ’s first profit in days , a slim $ 42,156 for the first one-half of 1935 on meager sales of cars and hand truck . Still seeking to bolster up income , the business firm share its torso dies with erstwhile rival , Graham - Paige .

Reo announce " America ’s Finest Six " in November 1935 , but it was just an A-6 with fuller fenders , rubber - tipped bumper guards , optional " Zeppelin - dash " buffer lamps , and a reworked tough and radiator wearing shiny trim a la Pontiac ’s " Silver Streaks . " The Self - Shifter was can for conventional over - parkway as a $ 50 extra for standard and DeLuxe mannequin price at $ 795-$895 . But public confidence in Reo had nearly evaporate , so the house built a mere 3206 car that twelvemonth , versus 4692 for calendar - class 1935 .

With trucks now far more profitable than cars ( the G - P deal had bring about little revenue ) , the Reo add-in voted on May 18 , 1936 , to move motortruck gathering into the main Lansing plant ; on September 3rd , Reo formally left the auto business . Though the company miss nearly $ 1.4 million on its 1936 motorcar , it was able-bodied to write off $ 604,000 for terminating its auto operations . Reo then reverse exclusively to the truck field . Ironically , it would thrive there far longer than it had with cars , producing for the next 40 or so years under the Reo and Diamond - Reo nameplates .