The 1943 and 44 lionel annual statements are listed on eBay:
1943
https://www.ebay.com/itm/3041920897881944
https://www.ebay.com/itm/304192096034The 1943 says in note B that there is 290K worth of raw materials, good in process and parts worth $ 263K for which the corporation cannot convert in finished goods. 1944 gives the amount as $237K in note A.
I'd think most of the raw materials could be repurposed to military uses. The sheet-metal, casting materials, wire, paint, and insulating material don't seem unusable unless it's things like rolls of tinplate designed for the track rail machines. Maybe I'm missing something?
Goods is process would be groups of parts put together into sub-assemblies, and parts are parts. I think it was unlawful for Lionel to use labor to assemble these parts. That's a lot of parts.
The 1944 says in note the company borrowed $1.2 million in "VT loans" guaranteed by the US Navy. This is surely for upgraded plant equipment as there is no corresponding increase in the real estate debt. The VT loans were working capital loans structured to get companies money quickly so they could ramp up war production. They placed obligations on the companies about maximum officer pay, and dividend and on company assets on hand. The loans were guaranteed by the navy against the completed work.
Interesting.
