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Navistar Enters Supply Agreement with Turkish Bus Manufacturer Otokar

WARRENVILLE, Ill.--Navistar Engine Group, an operating unit of Navistar, Inc., closed an agreement to supply diesel engines to Turkish vehicle manufacturer, Otokar. Within the framework of this agreement, MWM International Motores, Navistar's South American affiliate, will produce MaxxForce® engines to power buses intended both for Turkish domestic market and other global marketplaces.

“Establishing a partnership with Otokar, a company of Koç Group, is an important achievement because it introduces Navistar technology to a traditional and recognized group in the European automotive sector”

The six-year contract provides for the supply of two in-line four-cylinder engine models: the MaxxForce 3.2, Euro V, Advanced EGR System engines to power Otokar Midbuses for the domestic market and for export to Europe and MaxxForce 3.0, Euro III, to power 6.5-ton Minibuses and 9-ton Midbuses intended for export to North Africa and the Middle East.

€œThis is another step in Navistar€™s execution of our global growth strategy which leverages our capability to serve regions with Euro emission standards,€??? said Eric Tech, president, Navistar Engine Group. €œAs emission standards advance across the globe, companies continue to look at Navistar as a technology leader who can serve their needs today and in the future.€???

Navistar Engine Group Vice President of Global Business, José Eduardo Luzzi, explains that start of production for MaxxForce 3.0 engines is planned for March 2011, while MaxxForce 3.2 units will start production in the first quarter of 2012. €œEstablishing a partnership with Otokar, a company of Koç Group, is an important achievement because it introduces Navistar technology to a traditional and recognized group in the European automotive sector,€??? he said.

About Otokar:

Otokar, a Koç Group company, is the Turkish bus market leader, and a pioneer in developing hybrid urban buses in the country. The company operates with approximately 1,200 employees in a 552 thousand-m² facility in Sakarya. Further information available in: www.otokar.com.tr

About Navistar

Navistar International Corporation is a holding company whose subsidiaries and affiliates produce International® brand commercial and military trucks, MaxxForce® brand diesel engines, IC Bus brand school and commercial buses, Monaco® RV brands of recreational vehicles, and Workhorse® brand chassis for motor homes and step vans. The company also provides truck and diesel engine service parts. Another affiliate offers financing services. Additional information is available at www.Navistar.com/newsroom. Navistar Engine Group, an operating unit of Navistar Inc., produces diesel engines for consumer and commercial automotive and industrial markets around the world. Its global MaxxForce® brand line of engines offers models for a wide range of applications for all global emissions standards. For more information, visit www.maxxforce.com.

About MWM INTERNATIONAL Motores:

MWM INTERNATIONAL Motores is Navistar€™s South American affiliate, operating in South America in three facilities located in Santo Amaro (SP) and Canoas (RS) in Brazil, and Jesús Maria, in Córdoba, Argentina. The company is strategically settled in the Mercosur aiming to serve regional customers and operate as an export base of products delivered throughout the world. At present, this Navistar affiliate delivers products to more than 30 countries in South America, North America, Central America, Europe, Asia, Africa and Oceania and operates in various markets such as the USA, India, China, Korea, Turkey and Mexico. MWM INTERNATIONAL Motores offers a complete line of Euro emission capable diesel engines€”within the range of 1.4 and 9.3 liters and from 16 to 375 hp. Products competitively serve market segments ranging from vehicular, to agricultural, industrial and marine. Visit: www.mwm-international.com.br.