plans for dealing with the competitors themselves. Chief among these were the Japanese firm Yamaha, eating into OMC's European market, and Brunswick Corporation, makers of premium-priced Mercury outboards. A joint venture between Yamaha and Brunswick had produced a low-cost engine called Mariner; thus Brunswick then had an engine at both high and low ends of the market, leaving OMC sandwiched in the middle. With his newly united company behind him, Strang cleared this hurdle by slashing prices by 25 percent and also by making sure that all products offered by competitors were available in the OMC lineup. In another move, he bought out independent distributors overseas, thus gaining greater control over foreign marketing operations. Threatening OMC's competitiveness was a 1980 Department of Energy proposal that boating be banned on weekends. As a result of this suggestion, public concern about gasoline shortages caused OMC's net sales to plummet to $687.4 million in 1980, from $741.2 million just one year earlier. It was not easy to maintain the company's competitive edge against the Japanese at this time, but Strang slashed budgets, reducing his work force by one-third, to save an annual pretax amount of $47 million. The reward for this effort showed at the end of fiscal 1982, when net sales reached $778 million. Transition in the 1980s and 1990s OMC was now in a position to spend $100 million on the construction and tooling of nine new plants. Contrary to previous practice, each plant was designed to specialize in one manufacturing function. In addition, overseas plants were refined to reduce operations costs and provide more efficient handling and storage. Streamlining made product innovation easier. Power steering, variable-ratio oiling—delivering exact mixtures of gasoline and oil to the engine—and saltwater protection were new features appreciated by powerboat buyers. Starting in 1983, OMC began to prepare the way for a new stern-drive engine, to supersede previous models. After reviewing the stern-drive market, the company sent interviewers to dealers and service department personnel, gathering information for the ideal stern-drive engine. The result was the OMC Cobra, introduced in 1985. Designed for both boat builders and consumers, its 7.5 liter engine delivered 340 horsepower. In 1984, James Chapman stepped into the presidency of the company, succeeding Robert F. Wallace, whose short tenure had lasted from January 1982. Like his predecessors, Chapman grappled with the Waukegan Harbor question. This issue was finally laid to rest in April