Navistar Announces Cummins Engine DealPosted: Updated:
Illinois-based Navistar International Corp. (NYSE: NAV) is adding Cummins Inc. (NYSE: CMI)-built engines to some of its medium-duty trucks and school buses. The technology from the Columbus-based manufacturer is designed to reduce vehicle emissions. The deal builds on a 75-year partnership between Navistar and Cummins. September 6, 2013
LISLE, Ill., Sept. 3, 2013 -- Navistar International Corporation (NYSE: NAV) today announced the expansion of its medium-duty engine offerings to include the Cummins ISB 6.7-liter engine for International® DuraStar® medium-duty trucks and IC Bus CE Series school buses.
"Adding the proven, market accepted Cummins ISB to our line-up is a key part of our strategy to offer our customers the most comprehensive medium-duty truck and bus offerings," said Jack Allen, Navistar executive vice president and chief operating officer. "The ISB will complement our existing engine offerings and will be a catalyst as we look to improve our medium-duty truck and bus business in 2014 and beyond."
International DuraStar trucks and IC Bus CE Series school buses with the Cummins ISB will be Navistar's first medium-duty vehicles with Selective Catalytic Reduction (SCR) emissions aftertreatment. Navistar will begin taking orders immediately for trucks and buses with the Cummins ISB with initial truck builds later this month and regular production for trucks scheduled for December. Regular production for CE Series school buses is scheduled for late-January 2014.
Familiarity, Industry Acceptance of Proven Engine/Chassis Combination
"Medium-duty truck and bus customers from across the industry have extensive familiarity and confidence in the Cummins ISB. Adding it to our proven DuraStar and CE Series products, along with our industry-leading dealer network, will provide customers with a winning combination," said Bill Kozek, Navistar president, North America Truck and Parts. "Customers seeking commonality in their engine line-up have expressed significant interest in combining the Cummins ISB engine with our chassis and we anticipate strong demand and orders as a result."
While the Cummins ISB is a new offering for Navistar's medium-duty trucks and buses, Navistar has gained extensive experience packaging and manufacturing medium-duty trucks with the Cummins ISB since 2010 through its Ford Blue Diamond joint venture.
The Cummins ISB allows Navistar to meet the needs of its truck and bus customers by adding a proven mid-range SCR engine to its line-up. The company will announce the next steps of its comprehensive mid-range SCR engine strategy at a later date. In the meantime, Navistar will continue to offer EGR-only versions of its mid-range engines utilizing its medium-duty emissions credits.
Long-term Partners Continue Collaboration
With more than 75 years of history and collaboration behind its partnership, Navistar and Cummins teams have worked side-by-side over the past year to launch the Cummins ISX 15-liter engine in the company's Class 8 trucks—including the International ProStar, PayStar 5900 and 9900i models. In addition, the teams continued their close collaboration this past spring and summer as Navistar added the Cummins SCR aftertreatment system to its proprietary MaxxForce 13-liter for the successful launch of ProStar, WorkStar, TranStar and PayStar models. That same level of teamwork will continue as Navistar leverages the experience and learnings gained during its heavy-duty SCR launch for its medium-duty launch with the Cummins ISB.
Navistar International Corporation (NYSE: NAV) is a holding company whose subsidiaries and affiliates produce International® brand commercial and military trucks, MaxxForce® brand diesel engines, and IC Bus™ brand school and commercial buses. An affiliate also provides truck and diesel engine service parts. Another affiliate offers financing services. Additional information is available at www.Navistar.com.
SourceL Navistar International Corp.