Ultramatic
The magnitude of this accomplishment is illustrated by the fact that it was the only automatic transmission developed and produced solely by an independent automaker, with no outside help.
It was during this period that Packard began to suffer in competition with General Motors' Cadillac Division, thanks in part to their popular self-shifting Hydra-Matic.
With the exception of Borg-Warner, in their Studebaker "Automatic Drive", major automotive manufacturers did not generally employ a locking torque converter until nearly thirty years later.
When using the low ratio, the torque converter lockup happened at a slightly lower speed, and as a result of the reduction in the rate of the opposing throttle advancement, it helped to eliminate torque converter overheating issues that plagued early automatic transmissions, which because of this advancement were avoided in similar conditions with Ultramatic.
In 1954, Ultramatic underwent a major upgrade to both the power transfer and hydraulic control components, which were reconfigured to give low gear starts automatically in the newly added "Drive" (D) range.
Many Packard owners had complained of lackluster acceleration with the earlier Ultramatics, and had discovered that starting off in Low ratio, and switching to High while on the move gave a much brisker pickup.
It was decided by Packard President James J. Nance (1952–1956), and his manufacturing Vice-President, Ray Powers (1954–1956), that their East Grand Boulevard complex was no longer able, due to age and deterioration of that facility, to be further modified to handle the expected increase in production for the company in 1955 and beyond.
After completion, Packard moved the machinery, and production line for the Ultramatic, as well as its yet to be introduced V-8 engine during the summer and early fall of 1954.
In 1955, Packard replaced its long-running straight-8 engine range with an all-new V8 design, and launched a new evolution of its automatic transmission at the same time: the Twin-Ultramatic Drive.
In addition, a slightly higher stall converter was produced for the sportier Caribbean model due to its use of two four-barrel carburetors.
However, over the years it's become clear that Packard's initial Twin Ultramatic problems were not out of line with any other new contemporary designs and the engineering department's program of running changes and updates greatly increased its functionality, excepting driver abuse through excessive application of the higher torque V8's power potential.
This year also saw the selector quadrant undergo yet another change to a PNHDLR pattern in order to further clarify the two drive ranges and accommodate the soon to be released push button control pod.
In addition, small but important changes to shift linkages, better build quality, and stricter tolerances restored Packard levels of reliability to the 1956 transmission.
Also new that year was an aluminum transmission casing, making the Ultramatic 90 lb (41 kg) lighter than its competition, including the newly-launched push-button Chrysler PowerFlite.
They were also supplied to American Motors along with 352ci V8 engines for use in the Nash Ambassador and Hudson Hornet until AMC replaced Packard's V8 and Ultramatic Drive with their own V8 and Borg-Warner automatic at midyear.
When the contract was cancelled after Packard production ceased, Auto-Lite destroyed the tooling, making spare parts for the system unobtainable.
The company's worsening financial situation, particularly after its merger with Studebaker, made keeping up with competitors' automatic transmission developments particularly difficult.
However, Packard would learn from this mistake the following year, when Nash and Hudson merged to form American Motors in May 1954.
Packard agreed to supply AMC with its new 320ci V8 and Twin Ultramatic transmission for 1955 in the latter company's top-line Nash Ambassador and Hudson Hornet ranges, giving both models the modern V8 engine option they desperately needed in order to keep pace with the Big Three.
