Cummins Adds New Business Unit

    COLUMBUS, Ind.--Feb. 18, 2002--Cummins Inc. today announced the formation of the International Distributor Business Unit. This is the fourth business unit for Cummins, joining the Power Generation Business, Engine Business, and Filtration Business.
    The International Distributor Business consists of 17 wholly-owned and 3 joint venture distributors with 111 locations that provide Cummins products and related services to end users in 50 countries. This new business will leverage the Company's global presence and capitalize on the profitable growth opportunities in international retail markets. In 2001, the International Distributor Business reported sales of $562 million dollars.
    Steve Chapman, Vice President International and General Manager International Distributor Business at Cummins, will lead the new business unit. Mr. Chapman (age 48) joined Cummins in 1985 and has played a major role in the growth of Cummins international sales. Chapman spent 14 years abroad while holding leadership positions with Cummins in South East Asia and China. Since January of 2000 he has been responsible for Cummins international business.
    Steve earned a BA in Asian Studies and Political Science from St. Olaf College in Minnesota, and a Masters in Public and Private Management from Yale School of Management.
    "Given the growing size and profitability of the retail business and service to our company and the significant differences from our product businesses, the time is right to structure this new unit to expand our global presence and support," said Tim Solso, Chairman and CEO of Cummins. "The International Distributor Business has outstanding opportunities for growth in services and broader power solutions. "
    "The International Distributor Business will provide best-in-class service and support. Combined with products from our other three business units, this will enhance our customers' overall experience with Cummins," said Chapman. "Our distributors are well diversified geographically, and we can now focus our combined energies on profitable growth in innovative end user services, integrated packages and business solutions."
    A global power leader, Cummins Inc., is a corporation of complementary business units that design, manufacture, distribute, and service electrical power generation systems, engines, and related technologies, including fuel systems, controls, air handling, filtration, and emission solutions. Headquartered in Columbus, Indiana (USA), Cummins serves its customers through more than 500 Company-owned and independent distributor locations in 131 countries and territories. With 24,900 employees worldwide, Cummins reported sales of $5.7 billion in 2001. Cummins home page can be found at www.cummins.com.