Detroit Diesel and Navistar Sign Distribution Rights Agreement
20 October 1997
Detroit Diesel and Navistar Sign Distribution Rights Agreement
DETROIT, Oct. 20 -- Detroit Diesel Corporation
and Navistar Engine and Foundry Division of Navistar International Corporation
signed a new three-year rolling distribution agreement giving DDC
worldwide distribution rights to Navistar's electronic DT 466E and 530E diesel
engine family, which is the basis of the DDC Series 40 engine.
DDC's distribution rights include applications which serve NAFTA and other
worldwide markets. Within NAFTA, DDC will serve the transit bus industry
exclusively, generator set and specialty on-highway applications such as
custom fire trucks, motor homes, refuse vehicles, and trailer spotters.
Outside NAFTA, DDC will serve the same applications, plus commercial on-
highway vehicle manufacturers.
"This expanded agreement with Navistar is another example of DDC's desire
to build stronger partnerships in the diesel engine business. 'Leveraging'
our mutual capabilities to provide maximum value to the customer is a plus for
all of us. Currently, in addition to Navistar, we are partnered with five
other engine manufacturers," said DDC Vice Chairman, Lud Koci. "This new
agreement allows us to offer our worldwide customers and distribution
organization a new engine to further enhance a product line which includes
engines from ten to 10,000 horsepower."
The Series 40 engine is one of the most advanced medium duty diesel
engines manufactured today with horsepower ratings ranging from 190 bhp to
350 bhp (142-261 kW). The Series 40 engine is an in-line 6 cylinder, 4-cycle,
7.6L and 8.7L displacement state-of-the-art engine. The Series 40 engine
incorporates many designed in features such as fully integrated electronic
controls utilizing the (HEUI) Hydraulically Actuated Electronically Controlled
Unit Injection fuel system. This state-of-the-art technology means the Series
40 engine is able to meet worldwide emission standards while providing engine
performance, engine protection, and on board diagnostics that DDC customers
have come to expect.
Navistar International Corp., with world headquarters in Chicago, is a
worldwide leader in the manufacture of mid-range diesel engines which are
produced in a range of 160 to 300 horsepower. The company also is a leading
North American producer of medium and heavy trucks and school buses.
Detroit Diesel Corporation is engaged in the design, manufacture, sale and
service of heavy-duty diesel and alternative fuel engines, automotive diesel
engines, and engine-related products; and provides financing through Detroit
Diesel Capital Corporation. The Company offers a complete line of diesel
engines from ten to 10,000 horsepower for the on-highway truck; construction,
mining and industrial; automotive; coach and bus; marine; power generation;
and military markets. Detroit Diesel services these markets directly and
through a worldwide network of more than 2,500 authorized distributors and
dealers. DDC is a QS-9000 certified company.
Detroit Diesel's major shareholder is Penske Corporation, a closely-held,
diversified transportation services company whose operations include Penske
Truck Leasing Company, Diesel Technology Company, Penske Automotive Group,
Inc., Penske Auto Centers, Inc., Penske Motorsports, Inc., and Penske Capital
Partners. The Penske group of businesses has annual revenues exceeding $6
billion and employs more than 28,000 people around the world.
Detroit Diesel's World Wide Web address is http://www.detroitdiesel.com.
Navistar's World Wide Web address is http://www.navistar.com.
SOURCE Detroit Diesel Corporation