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information. "We did have problems," he admits, "but those belong to the past." LIM's problems were evident as recently as the summer of 1982. In tests at that time by General Motors Corp., LIM's tread melted under panic braking. "We found a number of areas where performance was significantly lacking," recalled Frederick W. Hill, manger of tire engineering at GM's providing grounds. But GM also found that LIM tires had lower rolling resistance, which gives better fuel economy. The tires also are lighter. 

Marchiando downplays the GM test. He calimes that those tires were formulated specifically to wiring maximum mileage from electric cars. More important, he contends that since then LIM made a chemical breakthrough while reformulating its urethane compounds to eliminate a cancer-causing ingredient. LIM refuses to describe the new chemistry but clearly believe it is the magic material. HANDS OFF. After spending $50 million and more than a decade on development - a hige investment for a private company with revenues of $5 million- LIM is jealousy guarding the new technology. The company snubs requests for 

[[The Austrian company says its tire lasts longer than radials and boost mileage 10%]]

tires to test, including inquiries from Europeans tiremakers that were asks by GM to take another look at LIM tires. LIM is not without a few believers. E.H. Strobel, a retired vice-president for production at Firestone, did some rudimentary tests on LIM tires in late 1982 and was "very impressed" with them. "They've come a long way," he declares. A BUSINESS WEEK reporters drove 7 mi. with Schmidt in Austria and found the ride smooth and comfortable. And T. Roy McClellan, manager of technical development for Upjohn Co.'s Polymer Chemicals Div., says he is "very excited about the thing, frankly."

Donald R. Harter, director of strategic development for Air Products' Industrial Chemicals Div., which has worked with LIM on urethane formulations, believes that the company might sell off-road products commercially within two or three years. But he and most outsiders are betting that tires for automobiles are much further off. Still, the tiremakers continue their own work on cast tired. Explains James A. Walsh, chairman of Armstrong Rubber Co," "If there is a chance to be commercially successful, somebody will grab it."

44D Business Week/December 26, 1983. Technology