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The 1951 kg-7 "Super 10" featured this engine, which developed around 16 horsepower. For 1951 the engine block, though still displacing 19.8 cubic inches, was updated a great deal, and given the name "Hurricane". This engine, also called the "Super 10", actually developed around 14 horsepower. Kiekhaefer introduced a 19.8 cubic inch, 10 horsepower (hp), two-cylinder alternate firing design engine at the 1947 New York Boat Show called the "Lightning" or KE-7. Kiekhaefer Mercury foresaw that the average American's interest in boating would increase after the war. Mercury was awarded the contract, and was the world's largest chainsaw manufacturer by the end of the war. The Kiekhaefer powered chainsaw was able to cut through a 24-inch (610 mm) green log in 17 seconds, while it took the nearest competitor 52 seconds. Kiekhaefer designed a new lightweight chainsaw in 2 months. Army engineers had been unable to design a lightweight motor.
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World War II changed the corporate climate, and Kiekhaefer sought a government contract to design two-man air-cooled chainsaws. Kiekhaefer took more than 16,000 orders at the 1940 New York Boat Show. Kiekhaefer designed motors that withstood the elements better than his competition and called the motor Mercury (taking advantage of the "Mercury" Motor Car popularity at the time) whilst adopting the logo of the Roman god Mercury. The motors were much improved, so the buyer purchased more. Kiekhaefer and a small staff of employees rebuilt the motors and sold them to Montgomery Ward, a mail-order company. The purchase included 300 defective outboard motors. Kiekhaefer's original intention for the Kiekhaefer Corporation was to make magnetic separators for the dairy industry. The Kiekhaefer Mercury company began in 1939 when engineer Carl Kiekhaefer purchased a small outboard motor company in Cedarburg, Wisconsin.