The Panagaean Navy were very happy with the Sabertooth class and its layout. To improve that type would require a slightly larger all round hull to take a new size of weapon to the Panagaean Navy, the 4.5" gun. This would be a single gun on a dual purpose mounting. The fitting of 3" AA guns on previous classes was felt to be a waste when an AA mounting of the main size of armament would give an extra weapon. In that way the previous Sabertooth class would go from a 4x4" main armament to the Gremlin class with 5x4.5", a much improved armament, especially with its new AA capability. The new gun had a 75 degree elevation for AA use. While these guns would share the same shell and size as the later twin turrets, those guns were in a power operated turret with power assisted loading, a much faster firing gun compared to the earlier single model on the next three classes.
Having created what was to be called in the future a 'dual purpose' gun system, it was the light AA that needed further work. This was taken care of with the introduction of the multiple gunned 2 pounder weapons. One quad mounting was fitted behind the aft funnel, and space was found for four single 2 pounder AA guns. The single 2 pounder were replaced with twin 20mm in 1940. Having the decent dual purpose guns, the ships were never looked at for conversion to 'AA' ships, they were already there. Asdic, depth charges and throwers, were fitted to improve the ships anti-submarine warfare systems. On completion, the eight ships were used as leaders, and sub-leaders, to the previous three classes. That is 32 ships divided into cadres of four with a Gremlin as leader.
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The eight ships had been built especially to be able to act as Leaders to the older destroyer classes. This task they performed throughout their lives. The ships they would act with (either converted or unconverted) would be armed with 4" guns. The 4.5" gun had a bit better capability in ship to ship actions. Not unsurprisingly, the class always seemed to be in the thick of it, losses were high with four ships being lost.
September 1939 and the Royal Navy takes an aggressive approach to anti-submarine warfare. Hunter groups were formed to go after the U-boats. HMS Courageous, Hobgoblin and six destroyers make up a hunting group in the Irish Sea. A U-boat is known to be there as two ships had reported being torpedoed. U-29 stalked the Group until it had an almost perfect firing solution. Six away, the U-boat turns and fires its aft torpedo. Seven in the water. At that precise moment the Courageous turned into the wind to fly off aircraft, opening its side up to the torpedoes. Boom, boom, boom, three hits, Courageous is doomed. Hobgoblin increases speed to go alongside the Courageous right into the seventh torpedo, boom. Hobgoblin and Courageous take about 20 minutes to capsize and lose over 650 men between them. The Royal Navy abandons its anti-submarine sweeps using fleet carriers. Two of the other destroyers hunt for the U-boat for four hours, but the sub escapes. The U-boat crew receives Iron Crosses for their success.
