'New Pieces' Come Together to Enhance Meritor's Overall Drivetrain Offering
25 March 1999
'New Pieces' Come Together to Enhance Meritor's Overall Drivetrain Offering
LOUISVILLE, Ky., March 24 -- Meritor Automotive Inc.
showcased how its "new pieces" fit into the company's complete
drivetrain system at the 1999 Mid-America Trucking Show. At a press briefing
here today, Meritor -- which has recently completed three major acquisitions
and entered a marketing/distribution agreement -- highlighted the expanded
product portfolio the company now offers, and what this means to its
customers.
"We're excited by our growth and the bolstered menu of components we're
now able to offer our customers in North America and around the world -- be
they truck or trailer OEMs, truck operators of all sizes, or authorized parts
outlets," said Prakash Mulchandani, president of Meritor's Heavy Vehicle
Systems business. "These new 'pieces' complement perfectly our existing
product lines and further position Meritor as the industry's most complete
drivetrain supplier."
Meritor's three acquisitions were:
* LucasVarity Heavy Vehicle Braking Systems (HVBS), a manufacturer of
braking systems for commercial vehicles including air disc brakes, hubs,
drums, rotors and hydraulic brakes;
* Euclid Industries, a leading supplier and manufacturer of a broad range
of aftermarket replacement parts for heavy-duty trucks, trailers, school buses
and specialty vehicles; and
* Volvo's heavy truck axle manufacturing operations, based in Lindesberg,
Sweden.
A Strategic Mix
The LucasVarity HVBS acquisition expands Meritor's presence in Europe and
enhances the company's industry leading position as a North American stopping
systems supplier. The Euclid agreement underscores Meritor's commitment to
strengthening its aftermarket business by adding a comprehensive line of
replacement components -- through an expanded roster of authorized parts
outlets -- to the company's existing product lines. The Volvo axle
acquisition enhances Meritor's position as a global leader in commercial axle
production.
In addition, to expand its trailer products portfolio, Meritor recently
entered into a collaborative marketing agreement with Pressure Systems
International, Inc. (PSI) to promote and distribute automatic tire inflation
systems for trailer applications. This agreement adds yet another element to
Meritor's comprehensive trailer undercarriage offering.
"Meritor has gained a lot of attention in the last year because we've
announced more strategic moves than any other heavy-duty supplier,"
Mulchandani said. "The story is not in this number, however, it's in the care
we've used in selecting growth opportunities. We've strategically selected
these avenues to best provide quality products and systems that meet our
customers' dynamic needs, today and tomorrow -- customers with business in all
corners of the globe; customers involved in all facets of the trucking
industry."
Pieces Create Complete Braking System
With these brake-related acquisitions, Meritor also became the first and
only supplier in North America to offer a complete braking system product line
(see related news article).
"We're in a unique position right now -- where no one can stop us, and we
can stop practically anything," said Mulchandani. "Whatever the commercial
vehicle application -- tractor or trailer, emergency vehicle, school bus, you
name it -- we are the 'one-stop' braking system resource for our North
American customers, both new and aftermarket."
Meritor's complete drivetrain offering, called Drivetrain Plus(TM) and
launched in November 1992, includes front, drive and trailer axles; braking
systems; transmissions, clutches and drivelines; trailer air suspensions and
tire inflation systems; aftermarket parts and on-board computing systems.
Importantly, it also includes the experienced and responsive team of sales and
service professionals -- who know Meritor's drivetrain system in depth,
comprehensive warranties, a toll-free customer support hotline (800-535-5560),
an extensive video training library, Internet information
(http://www.meritorauto.com) and more.
Meritor, with 1998 sales of $3.8 billion, is a global supplier of a broad
range of components and systems for commercial, specialty and light vehicle
OEMs and the aftermarket. Meritor consists of two businesses: Heavy Vehicle
Systems, a leading supplier of drivetrain systems and components for medium-
and heavy-duty trucks, trailers and off-highway equipment and specialty
vehicles, including military, bus and coach, and fire and rescue; and Light
Vehicle Systems, a major supplier of roof, door, access control, suspension
and seat adjusting systems and wheels for passenger cars, light trucks and
sport utility vehicles.