Studebaker reported a profit of $2.9 million at the end of their 1939 car season. In that year they induced the Studebaker Champion, a new model with great potential.
In preparation for the 1940 car sales, Studebaker had authorized another 1,000 dealers.
The 1939 Champion had incorporated an updated controlled overdrive as well as a column mount gearshift. Studebaker used a 1939 Champion to set a record for a 6,144 mile economy
drive of 27.25 miles per gallon. The 1940 Studebaker Champion was the same car but had some front end styling changes as the center grille had more horizontal bars. Another added feature was
the use of sealed beam headlights.
The lowest priced models included such standard features as a speedometer, gasoline gauge, one windshield wiper, Houdaille shock absorbers, steel disc wheels, and
a single horn. The Custom Deluxe cars had some further upgrade by including twin windshield wipers, stainless steel lower body, taillights, and four bumper guards.
Studebaker made an increase in profits for its 1940 car season but not as much as they expected. War had broken out in Europe and the US government was being asked
by Britain and France to conserve metals and to help out in providing them with trucks and other vehicles for the war effort.