Columbus-based Cummins Inc. (NYSE: CMI) says President Barack Obama's call for a new round of greenhouse gas and fuel efficiency standards for commercial vehicles will result in environmental benefits and cost savings. Executives from the company joined the president Tuesday at an event to discuss the effort.

February 18, 2014

News Release

Columbus, Ind. — Cummins Inc. (NYSE: CMI) today announced its support for the development of a second phase of greenhouse gas and fuel efficiency standards for medium- and heavy-duty commercial vehicles.

“Cummins supports standards that deliver environmental benefits and help our customers in the form of increased fuel efficiency and cost savings,” said Rich Freeland, Cummins Vice President and President, Engine Business. “The first phase of these regulations provides a strong foundation that recognizes the needs of business while offering clear direction to create innovative technologies. With the announcement today, it is clear that the government will again take a collaborative approach. We look forward to working with regulators, our customers and others on the next phase of standards that will lead to even greater reductions in greenhouse gases and fuel consumption.”

President Barack Obama announced today that the U.S. Environmental Protection Agency (EPA) and the National Highway Traffic Safety Administration (NHTSA) will develop a proposal for the next round of national greenhouse gas and fuel efficiency requirements for commercial vehicles. They will build on the first phase that went into effect on January 1, 2014.

The EPA and NHTSA worked together on the first phase of standards after extensive input from Cummins and other leaders in the medium- and heavy-duty truck market. Cummins is a member of the Heavy-Duty Fuel Efficiency Leadership Group, an informal coalition of major trucking fleets and technology providers, which has also pledged to work with federal agencies on the next phase of greenhouse gas emissions and fuel efficiency regulations.

The president announced that work would begin on the next phase of regulations with the Cummins-Peterbilt “SuperTruck” on display at an event in Maryland today. That tractor-trailer has been part of a public-private partnership sponsored by the Department of Energy to promote innovation in the industry.

The concept vehicle achieved 10.7 miles per gallon during road testing. SuperTruck also averaged a 75 percent increase in fuel economy, a 43 percent reduction in greenhouse gas emissions and an 86 percent gain in freight efficiency in 24-hour, head-to-head testing against a 2009 baseline truck – all significant improvements.

Cummins has been testing engine innovations to improve thermal efficiency on the SuperTruck while Peterbilt® Motors Co., a division of PACCAR (Nasdaq: PCAR), has developed vehicle aerodynamic improvements. Eaton's (NYSE:ETN) advanced transmission allows for automated matching of engine and vehicle power and speed, for additional fuel-economy benefits.

Cummins is an industry leader in engine systems that help its customers meet critical environmental regulations while providing them with the power they need to succeed. The Company spends millions of dollars annually researching and developing technologies to improve fuel efficiency and reduce emissions. Today’s on-highway engines in the United States emit 99 percent less particulate matter and nitrogen oxides than 30 years ago.

Cummins is the only independent engine manufacturer with the in-house capability to produce and integrate all major engine systems. The Company’s experience with making components work together has established Cummins as the industry leader in systems integration. The Company’s ISX15 engine, for example, was the first to receive certification for the EPA’s 2014 greenhouse gas and fuel efficiency standards.

About Cummins

Cummins Inc., a global power leader, is a corporation of complementary business units that design, manufacture, distribute and service diesel and natural gas engines and related technologies, including fuel systems, controls, air handling, filtration, emission solutions and electrical power generation systems. Headquartered in Columbus, Ind., (USA), Cummins currently employs approximately 48,000 people worldwide and serves customers in approximately 190 countries and territories through a network of approximately 600 company-owned and independent distributor locations and approximately 6,500 dealer locations. Cummins earned $1.48 billion on sales of $17.3 billion in 2013. Press releases can be found on the Web at Follow Cummins on Twitter at @Cummins and on YouTube at CumminsInc.

Source: Cummins Inc.

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