Freightliner Announces New Wage Structure

1 April 1999

Freightliner Announces New Wage Structure

    PORTLAND, Ore.--April 1, 1999--Following a milestone 1998, Freightliner Corporation announced today a $1,000 special employee bonus and increases in its wage structure.
    The bonus will be effective for non-exempt and non-union employees at Freightliner's corporate offices, manufacturing plants and parts distribution centers in the United States and Canada.
    Freightliner Corporation produced a record 128,500 commercial trucks and other vehicles in 1998 and achieved the lead of the North American Class 4 - 8 commercial vehicles market for the first time in its history. Freightliner retained its seven-year lead of the heavy truck market, ending 1998 with a 33.1 percent market share.
    "Our employees made tremendous contributions to our success, both in terms of their skill and dedication and their active involvement in initiatives to continually improve our manufacturing processes," said Freightliner Corporation President Jim Hebe. "We believe in keeping our products the most competitive in the market and a key part of achieving this is to offer the best work environment in the industry to our employees."
    Freightliner will pay the $1,000 bonus in April 1999 to its non-exempt and non-union workforce. It has announced plans for another bonus in 2000.
    In addition, the Company announced its 1999 wage schedules for its non-union workforce in its manufacturing and warehousing facilities. The company will implement a two-step wage increase plan that will improve the top truck assembler wage rate to $21 per hour by June 1, 2000. Freightliner's top wage rates will increase 85 cents per hour June 1, 1999 and 75 cents per hour on June 1, 2000.
    Freightliner is forecasting continued robust production levels for 1999, with unit sales expected to increase by more than 35% over 1998 levels. During 1998, Freightliner added more than 3,000 people to its North American production and parts distribution facilities.
    Freightliner Corporation, headquartered in Portland, Oregon, is the leading heavy truck manufacturer in North America. In 1998, Freightliner also became the leading North American producer of Class 4 - 8 vehicles. Freightliner produces and markets a full range of Class 3 - 8 commercial vehicles, including heavy- and medium-duty trucks, military vehicles, school buses, fire apparatus, shuttle buses, RVs and walk-in delivery vans for a variety of applications. Freightliner Corporation is a DaimlerChrysler Company, the world's largest commercial vehicle manufacturer (www.freightliner.com).