Installed as chairman in 1980, Sir John Egan is credited for Jaguar's unprecedented prosperity immediately after privatisation. In early 1986 Egan reported he had tackled the main problems that were holding Jaguar back from selling more cars: quality control, lagging delivery schedules, poor productivity. He laid off about one third of the company's roughly 10,000 employees to cut costs. Commentators later pointed out he exploited an elderly model range (on which all development costs had been written off) and raised prices. He also intensified the effort to improve Jaguar's quality. In the US the price increases were masked by a favourable exchange rate.