In this paper we present a two-stage production line with buffer storage where each stage may fail in two failure modes. We consider three repair policies; namely, (I) Policy I: failures are repaired with equal probabilities, (2) Policy II: priority of repair is assigned to failures of mode 1 over mode 2, and (3) Policy III: priority of repair is placed on mode 2. Productivity of system operating under policy I is higher than that of system operating under policies II and III.Also,Policy III shows a higher productivity than Policy II.