NAF authorized 27 July 1917 not only to design and build aircraft but also furnish Navy with yardsticks for evaluating performance and costs of aircraft submitted by industry. Set up within perimeter of Philadelphia Navy Yard, built several thousand aircraft ending early 1945, including several types of Factory design. Built airship Shenandoah, TF tandem fighter flying-boats, various TS (turret scout) and TR landplanes and seaplanes, NW-1 and -2 racers, TG trainers, PT torpedo seaplanes, whole family of PN patrol flying-boats (many others built by contractors), PBN Nomad (upgraded Catalina) and, best-known Factory design, N3N Canary trainer seaplane (August 1935) which served at Naval Academy to 1961.

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