Cummins Announces Results of Annual Shareholders' Meeting; Declares Quarterly Cash Dividend

COLUMBUS, Ind.--April 6, 2004--The shareholders of Cummins Inc. elected the proposed slate of Directors and ratified the appointment of PricewaterhouseCoopers LLP as the Company's auditor for 2004 at the Cummins Annual Shareholders' Meeting held today.

In addition, the Company's Board of Directors declared a quarterly common stock cash dividend of 30 cents per share, payable on June 1, 2004 to shareholders of record on May 1, 20044, 2004.

Speaking at the shareholders' meeting this morning, Chairman and Chief Executive Officer Tim Solso expressed optimism about the Company's business opportunities and financial performance for 2004 and beyond. Solso said revenues are expected to grow by approximately 15 percent this year over 2003 because of strong engine volumes, a broad recovery in many of the Company's key markets and continued strength in key international markets, such as China and India.

In news released earlier today, Cummins upwardly revised its 2004 earnings guidance to $.65 to $.75 per share in the first quarter, $1.00 to $1.10 for the second quarter, and $4.00 to $4.20 for the full year.

"As you know, the last couple of years have been quite challenging, so I'm delighted to share today the news of our much improved financial results and my optimism over the company's future direction," Solso told shareholders gathered at the Cummins Technical Center this morning.

Solso acknowledged the contributions of retiring directors Franklin A. Thomas and Walter Y. Elisha, who have left the Board after a combined 45 years of service to Cummins. Newly elected Directors are: Robert J. Darnall, John M. Deutch, Alexis M. Herman, William I. Miller, William D. Ruckelshaus, Theodore M. Solso, and J. Lawrence Wilson. Cummins elects its full Board of Directors annually, each of whom serve for one year until their respective successors are elected and qualified.

A replay of the shareholder's meeting is available via webcast on the investor's information section of Cummins.com.

Cummins Inc., a global power leader, is a corporation of complementary business units that design, manufacture, distribute and service engines and related technologies, including fuel systems, controls, air handling, filtration, emission solutions and electrical power generation systems. Headquartered in Columbus, Indiana, (USA) Cummins serves its customers through more than 680 company-owned and independent distributor locations in 137 countries and territories. Cummins also provides service through a dealer network of more than 5,000 facilities in 197 countries. With more than 24,000 employees worldwide, Cummins reported sales of $6.3 billion in 2003. Press releases can be found by accessing the Cummins home page at www.cummins.com.

Information provided and statements on the webcast and in this release that are not purely historical are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the company's expectations, hopes beliefs and intentions on strategies regarding the future. It is important to note that the company's actual future results could differ materially from those projected in such forward-looking statements because of a number of factors, including, but not limited to, general economic, business and financing conditions, labor relations, governmental action, competitor pricing activity, expense volatility and other risks detailed from time to time in Cummins Securities and Exchange Commission filings.