Gear and Transmission Division
The Gear and Transmission Division based its case on two arguments:
1. The $10 quotation of the Thorndike Machining Corporation was invalid because it represented a final desperate effort to keep a share of the transmission business. A price of this nature should not form a long-term intracompany pricing base. If the Thorndike Machining Corporation had received the business, it would have eventually raised its price.