In 1982, I lived and worked in the Sierra Nevada Mountains. Well actually at the base of the mountains in the bedroom community of Roseville, just outside of Sacramento, CA. Schwinn had three District Salesman working in Northern California. Bob Lambrose covered the North Bay to Oregon area. Jim Burrus covered the South and East Bay areas down to Gilroy. And I covered the Central Valley's 300 miles from Fresno to Redding and over to Reno/Tahoe up to Susanville. The Schwinn Dealers in this geographic area lived and breathed Mountain Bike from it's very beginnings. As salesmen were heard every day from our dealers "what Schwinn should be doing". The bicycles pictured above show how confused the Schwinn Product Management Department was about the subject and how to plan new models to fill the dealer needs. They could not understand that you cannot just take a Varsity frame, dress it with various parts, and have a BMX Cruiser, a Five Speed, and a Ten-Speed Mountain Bike. The three of us sent many requests, many photos, and many event reports into Chicago managers documenting the growth and trend changes in the new activity. It fell on deft ears. Bob Lambrose was by far the most into the Mountain Bike scene, Schwinn would have been smart to promote him to a "Mountain Bike" Product Management position based out of his home.
Just look at the Mountain Bike models pictured in the 1984 catalog, steel rims "that don't stop", MX1000 side pull (borrowed from BMX) brakes, and heavy gum wall beach cruiser tires, YUK! Schwinn had the ability, had the sales distribution, the product purchasing power, but would not take the trend seriously. This is after they rode the Sting Ray fad, then the Ten Speed fad all the way to the bank, but ignored the BMX and Mountain Bike activities.
The Sierra Brown color had been around for many years in the Schwinn line. It went back into the 1960's on Exercisers, adult Town and Country Tri Bikes, even the 1967-8-9 Schwinn Run-A-Bout fold up bikes came in Sierra Brown. IMO, it was just a color name, it had nothing to do with the geography of the Sierra Nevada Mountains.
In defense, it's lots easier to look back today and see exactly where wrong turns were made. Hindsight is always Crystle Clear.
John