kscarbel2

GM halts Warren, Pontiac renovation projects as CEO Barra makes case for cost cuts Automotive News / November 1, 2018 General Motors Co. is postponing renovations to its famed design studios and halting a project to update its global propulsion headquarters in metro Detroit in an effort to save money. The plans for the projects in Pontiac and Warren, which were expected to cost hundreds of millions of dollars, were detailed in a long letter sent Wednesday to employees by GM CEO Mary Barra, making the case that the Detroit-based automaker needs to curtail costs to protect itself against an unpredictable future. A copy of the letter was obtained by Automotive News. The two projects Barra cited include $180 million for a 360,000-square-foot expansion to its design studios and a new parking structure. Both were supposed to be the "final stage" of a $1 billion transformation of GM's tech center campus in Warren. Renovations at the propulsion center in Pontiac were part of a wider initiative by the automaker to update and transform its older facilities into open office spaces. It's unclear how much of the planned renovations were completed. A GM spokesman said those details weren't immediately available. The letter also detailed plans to offer voluntary buyouts to about 18,000 salaried employees in North America and "most" global executives who have 12 years or more experience, which the automaker confirmed Wednesday. In the letter, Barra details internal and external factors such as trade and global economic conditions that the company cannot control but must be prepared to address. "Today, our structural costs are not aligned with the market realities nor the transformational priorities ahead," she said. "We must take significant actions now to address this while our company and the economy are strong." Scrapping investment in the two projects are examples of ways the company aims to reduce structural costs and increase free cash flow. Barra described free cash flow as being pivotal to the company in the event of a downturn, so that it can continue investments in emerging, yet costly, future technologies such as autonomous and electrified vehicles. Without a strong cash position, she said, the company "cannot be the agile, innovative industry leader" it needs to be to achieve its longer-term objectives. GM expects to have roughly $4 billion in adjusted automotive free cash flow to end the year, up from a loss of $310 million at the end of the third quarter, which Barra cited in her letter. "To achieve what this company is truly capable of — and to win — we need to be even more agile and faster to market," she said. "We need to get ahead of headwinds, rather than let them happen to us." The letter went out to employees soon after GM reported third-quarter earnings that significantly beat Wall Street expectations, including $2.5 billion in net income. In the context of those results, Barra wrote, it may be hard for some to understand the need for cuts, but "profitability is only part of what is required for our transformation." She said that despite solid profits, skepticism of the company remains, noting that GM shares were recently trading below their 2010 initial public offering price of $33 a share. Barra encouraged all eligible employees to "seriously consider" the severance program, while asking everyone to "stay focused on improving the financial performance of the company."

Shares of Oshkosh (OSK) closed up 21.4 percent today. The company earned $2.05 per share. Wall Street had been expecting $1.45 per share. Sales grew year-over-year 13 percent to $7.7 billion. Full-year earnings came in at $6.29 per diluted share, an increase of 67 percent.

. .

VW and Ford in talks on self-driving and electric vehicles Reuters / October 31, 2018 FRANKFURT/DETROIT - Volkswagen and Ford are in “exploratory talks” to jointly develop self-driving and electric vehicles in a far-reaching strategic alliance meant to save the companies billions of dollars. The German and U.S. automakers are expected to provide an update on the progress of the talks before year end. Spokesmen for both automakers would only reiterate what they have said before about the companies collaborating on the development of commercial vehicles. “Our (memorandum of understanding) with VW covers conversations about potential collaborations across a number of areas. It is premature to share additional details at this time,” Ford spokesman Alan Hall said in an email. Automakers globally are discussing teaming up to share the cost of developing autonomous and electric vehicles. Partnerships on autonomous driving technology differ by region. Honda this month said it would invest $2.75 billion and take a stake in General Motors’ Cruise Automation self-driving vehicle unit to jointly develop autonomous vehicles for deployment in ride service fleets globally. VW and Ford are under pressure to roll out more EVs in Europe, where emissions rules are being tightened in the wake of Volkswagen’s diesel emissions pollution scandal. Volkswagen Chief Financial Officer Frank Witter on Tuesday said the carmaker was open to deeper alliances with outside companies, particularly in the area of autonomous driving. Witter said sharing the carmaker’s electric cars platform MEB with Ford was theoretically possible, although VW is currently focused on rolling out the electric vehicle technologies among its own brands. VW officials have repeatedly emphasized that the only way to make electric cars a mass market product is through economies of scale to make them as cheap or cheaper than diesel vehicles. VW Group is investing 34 billion euros into e-mobility and autonomous driving by 2022 and plans to make 2 million to 3 million full-battery electric cars by 2025. VW’s MEB project already includes 50 billion euros in battery cell procurement by 2025. Ford executives previously told Reuters the two automakers were in talks about expanding product and technology alliances. VW and Ford are already part of a joint venture, dubbed IONITY, with BMW and Daimler to develop an ultrafast EV charging station network across Europe. In July, Ford created a separate $4 billion unit to house its self-driving vehicle operations and was seeking outside investors in a move similar to one made by GM with Cruise. Ford said then it would invest $4 billion through 2023 in its newly formed Ford Autonomous Vehicles LLC, including the $1 billion it previously had earmarked for Argo AI, the Pittsburgh-based self-driving startup that Ford acquired in 2017.

GM offers buyouts to 18,000 salaried employees in North America Michael Wayland, Automotive News / October 31, 2018 DETROIT -- General Motors is offering voluntary buyouts to roughly 18,000 salaried employees in North America who have 12 years or more experience. The company, after inquiries about the offer, confirmed the plans as "proactive" measures to address future headwinds that GM expects as it invests in autonomous and electrified vehicles and as auto sales in North America and China — its largest markets — slow. "We are doing this while our company and economy are strong," the company said in an emailed statement. "The voluntary severance program for eligible salaried employees is one example of our efforts to improve cost efficiency." A notification was sent regarding the voluntary severance program to employees Wednesday morning, as the automaker reported a 25 percent increase in pretax profit in the third quarter and net income of $2.5 billion. If GM determines that there are not enough volunteers for the buyout, the company could terminate employees. GM refused to disclose the number of people it wants to take the buyout offer or the buyout program's expected cost. "We will evaluate the need to implement after we see the results of the voluntary program and other cost reduction efforts," GM said. Eligible employees — roughly 36 percent of its 50,000 North American salaried workforce — have until Nov. 19 to make a decision regarding the program. Buyouts are not uncommon in the auto industry. However, they typically occur when a company is restructuring or going through a decline. They also are typically offered for those close to retirement. The buyout offer comes as Ford Motor Co. is undertaking an $11 billion restructuring that includes reducing its global salaried workforce of 70,000 under CEO Jim Hackett. GM has a global salaried workforce of 77,000 people, according to its 2017 annual filing. That's down from 90,000 a year earlier, before GM sold its European operations to PSA Group. The program is in addition to the company’s previously announced plans to squeeze $6.5 billion in cost efficiencies from 2015 to 2018. GM CFO Dhivya Suryadevara said the company will achieve that goal. GM reached $6.3 billion in cost-saving measures by the end of the third quarter, she said. “We are focused on cost and will continue to do more,” she said Wednesday in response to a question from Automotive News about possibly reducing salaried employees. Suryadevara said the cost cutting measures have been a “big part” of the company’s healthy profit margins — 8.8 percent globally, including 10.2 percent in North America, in the third quarter. Such efforts, she said, will continue after into next year and beyond: “We’re going to have an intense focus on cost and we’ll find more opportunities to take cost out of the system and maintain a low breakeven point.”

Mopar introduces 1,000 horsepower crate engine Larry Vellequette, Automotive News / October 31, 2018 Some 2,200 years after Hannibal crossed the Alps to invade Italy using an army of African war elephants, Fiat Chrysler Automobiles' Mopar brand is unleashing the Hellephant -- a giant, supercharged 1,000-hp crate engine it intends to sell next year and is capable of generating 950 pound-feet of torque. The anniversary may be accidental, but the power is not. The Hellephant represents a 41 percent power boost over the 707-hp Hellcrate 6.2-liter supercharged V-8 crate engine Mopar introduced just a year ago. The brand's latest behemoth-in-a-box harks back to Mopar's 426 Hemi engine, which debuted in 1964 and was known as the Elephant engine because of its size and power. The Elephant racing engine boasted about half the power and torque ratings of the crate engine Mopar revealed Tuesday at the 2018 SEMA show in Las Vegas. Mopar says the supercharged Hellephant and related installation kits are intended for enthusiasts for use in pre-1976 vehicles, and showed a concept 1968 Dodge Charger upfitted with the Hellephant and other accessories that it called the Super Charger. "Our enthusiasts crave power and performance and our new 'Hellephant' Mopar Crate HEMI engine and kit deliver huge horsepower and torque in a plug-and-play package that is unique in the industry," Steve Beahm, head of Mopar and passenger car brands for FCA US, said in a statement. "The 1968 Dodge Charger is one of the hottest classic cars, which is why we decided to use it as a starting point for the 'Super Charger' Concept. It's an amazing vehicle and a great showcase for our 'Hellephant' engine." The Hellephant engine uses enhanced displacement to achieve its four-figure power levels, with 4.0 inches of stroke and bore specs at 4.125 inches. Mopar says an improved supercharger with a high-efficiency rotor is mounted to the lighter weight, all-aluminum block. The block was also used in the Mopar Dodge Challenger Drag Pak race vehicles that achieved drag racing success this year. The Hellephant's demonic pachyderm logo is a callout to both the Muscle Car-era Elephant 426 HEMI and FCA's more recent success with the Hellcat and Demon performance cars. The complete engine assembly, which Mopar says is relatively plug-and-play for experienced installers, includes a water pump, flywheel, front sump oil pan, supercharger with throttle body, fuel injectors and coil packs. The available engine kit includes a powertrain control module, power distribution center, engine wiring harness, chassis harness, accelerator pedal, ground jumper, oxygen sensors, charge air temperature sensors, fuel pump control module and cam bus interface device. The powertrain control module is unlocked and tuned to pump out 1,000 hp and 950 pound-feet of torque. FCA's parts and service brand will also offer what it calls an essential Front End Accessory Drive Kit, including an alternator, power-steering pump, belts, pulleys and other items to ease installation. Pricing was not released. FCA said the Hellephant 426 HEMI crate engine and kit is expected to be available in the first quarter of 2019. .

GM posts $2.5 billion Q3 profit on strong results in key markets Michael Wayland, Automotive News / October 31, 2018 DETROIT -- Stronger-than-expected results in China and North America propelled General Motors to a 25 percent increase in pretax profit in the third quarter and net income of $2.5 billion. GM's revenue increased 6.4 percent to $35.8 billion in the third quarter. The company announced a global profit margin of 8.8 percent, including 10.2 percent in North America. The 2018 results for the third quarter compare to a loss of almost $3 billion a year ago, due to the sale of its Opel/Vauxhall European operations. GM's pretax profit grew by $630 million from a year earlier to $3.2 billion. The results significantly beat Wall Street's estimates and have the automaker bullish on achieving, if not exceeding, the top range of its guidance for 2018. GM said it expects to end 2018 with 9 to 10 percent North American profit margins, free cash flow of $4 billion and earnings of about $6 a share. Regions: North American earnings increased 37 percent to $2.8 billion, up from $2.1 billion a year earlier. Earnings for the company's international operations declined to $139 million from $389 million a year earlier, but China achieved a record third-quarter equity income of $485 million. Finance: GM Financial reported earnings of $498 million from continuing operations, up from $310 million a year earlier. Expectations: GM beat Wall Street's expectations for a 14th consecutive quarter. The company reported earnings of $1.87 a share, above analysts' forecasts of $1.25. GM Cruise: The company's autonomous vehicle operations had a net loss of $214 million in the third quarter. For the year, the company has invested $534 million into the operations. It plans to invest about $1 billion into GM Cruise in 2018. Before the earnings announcement, GM shares were up 1.2 percent to $33.54 in premarket trading. GM on Tuesday declared a fourth-quarter dividend of 38 cents a common share.

International Unveils LT Series Fuel Economy Enhancements Heavy Duty Trucking (HDT) / October 30, 2018 Austin, Texas– International Trucks has expanded its commitment to offer customers the lowest total cost of ownership (TCO) by introducing the International LT Series MPG Package for Fuel Efficiency, the company announced at the American Trucking Associations’ Annual Meeting. "At a time when every one-percent improvement in fuel efficiency can save customers hundreds of dollars per truck per year, this new fuel efficiency spec package can help customers achieve major reductions in their TCO," said Michael Cancelliere, Navistar president, Truck and Parts. "In addition to savings from fuel efficiency, the LT Series MPG Package provides customers with upfront savings through cost-effective bundling of a range of aerodynamic, fuel-saving features." According to Cancelliere, the LT MPG Package's highest-efficiency spec offers proprietary and supplier-provided enhancements, including an aerodynamic chassis package, predictive cruise control, air dam and bumper seal, as well as a roof fairing and extenders, chassis skirts and energy-efficient wheel covers. This spec delivers up to an 8 percent improvement in fuel efficiency over the International LT Series with just the roof fairing and extenders, air dam and bumper seal. “The new International LT and RH Series have proven to be some of the most technologically advanced, fuel efficient trucks available,” said Josh Butler, Founder and CEO of FlowBelow Aero. “With the addition of the FlowBelow Products on-highway LT and RH Series trucks, we are providing fleets with even higher fuel efficiency while reducing total cost of ownership.” "Spec'ing for fuel efficiency can be a complex process," Cancelliere said. "The LT MPG Package simplifies that process while reducing customer TCO." The International LT Series MPG Package is available in day cab, 56-inch hi-rise and 73-inch hi-rise/sky-rise cab models. It can be viewed from October 27 through October 31 at the International Truck booth at ATA-MC&E, Booth #5075 at the Austin Convention Center Package Includes FlowBelow Quick Release Wheel Covers In a related announcement, at ATA’s Annual Meeting, FlowBelow announced that its fuel saving ‘Quick-Release’ Wheel Covers are now offered as a factory option on all International LT and RH Series trucks effective immediately. The products can be ordered with any new LT and RH Series trucks through International dealers with feature codes for the FlowBelow Black Aerodynamic Wheel Covers (29CAG) and FlowBelow Grey Aerodynamic Wheel Covers (29CAH). The FlowBelow wheel covers will also be included on International’s New ‘MPG Package’ for the LT Series, announced by International Truck®, which includes Bumper Effects, Chassis Skirts, and Wheel Covers. The wheel cover design provides instantaneous and tool-free access to the wheel end via a patented ‘push and turn’ quick-release latching system. The FlowBelow products included in the MPG Package will be warranted by International Truck as well as made available for aftermarket purchase through all International Truck dealers in the US & Canada. .

Chrysler's $810 Million Charge Signals Progress in Diesel Talks Ryan Beene & Gabrielle Coppola, Bloomberg / October 30, 2018 Fiat Chrysler Automobiles NV said Tuesday it will set aside 713 million euros ($810 million) to cover costs stemming from U.S. allegations it sold diesel vehicles that violated clean-air rules, in a sign the company sees a settlement costing less than analysts expected. In a call with analysts, Fiat Chrysler Chief Financial Officer Richard Palmer said the provision would cover potential fines, remedies and settlements of lawsuits related to the alleged diesel violations. Analysts had expected a charge of more than 1 billion euros. “This does not represent the settlement outcome or any admission on our part,” CEO Mike Manley said on the call. “Given the progress of discussions on these matters, we thought it was appropriate under our accounting rules to record this charge at this time.” The disclosure comes as talks to resolve lawsuits tied to the allegations are entering a more advanced stage, according to Kenneth Feinberg, the court-appointed settlement master steering talks between the company, state and federal officials and drivers. “The settlement negotiations are going forward, they are intensifying during the month of November,” Feinberg said. “Chrysler is negotiating in good faith with all the various parties that have an interest in this,” including federal and state officials, and drivers who’ve sued the company over the diesel issues. The U.S. Environmental Protection Agency and California Air Resources Board in January 2017 alleged that the automaker equipped diesel-powered pickups and SUVs with emissions software that violated clean-air laws. The Justice Department then sued the automaker in May 2017, alleging that 2014 to 2016 model year Jeep Grand Cherokee SUVs and Ram 1500 pickups had [3.0L V6 EcoDiesel] diesel engines rigged with illegal software to mask true pollution levels in lab tests while exceeding legal limits in real-world driving.

Reuters / October 30, 2018 Cummins topped Wall Street estimates for quarterly profit on Tuesday, as the U.S. engine maker was lifted by strong demand for trucks in a booming global construction market. An expanding U.S. economy has fueled robust freight demand and a rise in orders for heavy-duty trucks. Revenue in North America, its biggest market, rose 17 percent. The company, whose major customers include PACCAR, Daimler and Navistar International, said its international sales also grew 6 percent in the quarter due to strong demand in India, China, Latin America, and Europe. “Growth in emerging markets, namely Brazil, India and China, will be important drivers for Cummins’ growth, as emerging markets represent approximately 30 percent of sales,” Edward Jones analyst Matt Arnold said in a pre-earnings note. U.S. truck transportation volume is expected to rise 4.2 percent in 2018, driven by a rebound in the manufacturing industry and a healthy economy, according to a forecast from the American Trucking Associations in September. The U.S. trucking industry generated more than $700 billion in revenue in 2017, constituting 79.3 percent of overall U.S. freight revenue. Engine sales for construction equipment in North America jumped 36 percent in the third quarter ending Sept. 30, reflecting a rise in U.S. construction spend, the company said. Revenue at its engine unit, which makes diesel and natural gas engines for heavy-duty trucks, rose 17 percent to $2.73 billion. Revenue at its components unit, which makes turbochargers and fuel systems for engines, increased 14 percent. Cummins reduced its tariff-related expenses for 2018 to $80 million, down from a previous estimate of $100 million. However, Cummins on a conference call warned it would take a $250 million hit from tariff-related costs in 2019, and would try to offset these costs through pricing and improvements in its supply chain. Cummins said the company gained $37 million in discrete tax items in the third-quarter, of which $34 million was related to U.S. tax reform. Net income attributable to shareholders surged 53 percent to $692 million, or $4.28 per share, in the quarter. Revenue rose 12.5 percent to $5.94 billion, marginally missing average analysts’ estimates of $5.95 billion. Excluding items, Cummins earned $4.05 per share, above the average estimate of $3.76 per share.

FCA tops 10% margin in North America, beats Ford profit Larry Vellequette, Automotive News / October 30, 2018 Fiat Chrysler Automobiles outearned Ford Motor Co. in the third quarter, and it fulfilled a prediction from two years ago by then-CEO Sergio Marchionne by posting a record double-digit profit margin in North America. FCA's global adjusted earnings before interest and taxes rose 13 percent to $2.27 billion, the company said Tuesday. Global revenue rose 9 percent to $32.7 billion, and the company confirmed its operating guidance for the full year. However, the company reduced its forecast for net cash to a range of $1.7 billion to $2.27 billion, from an earlier projection of about $3.4 billion. The company’s global regions generated mixed results. FCA’s North American profit margin surged to 10.2 percent, the highest level since Fiat S.p.A. took control of bankrupt Chrysler in 2009. That's also more than double the 4.1 percent North American margin in the third quarter of 2014, when FCA began its five-year business plan that will end with the new year. Ford earned $1.7 billion before interest and taxes last quarter, down 27 percent, with a North American profit margin of 8.8 percent. General Motors reports its earnings Wednesday; its second-quarter North American margin was 9.4 percent. FCA's profit margins also surged in Latin America to 4.2 percent, up from 2.8 percent a year earlier. Like other automakers, FCA’s operations in the region had previously been hampered by political instability in Brazil and other South American countries. However, the company suffered losses in the Eastern Hemisphere, posting a 93 million euro loss ($106 million) in Asia Pacific because of a dramatic slowdown in China, and a $28 million loss in its Europe/Middle East/Africa region, because of slow Fiat sales and costs related to a new emissions testing regimen. The automaker promised to pay $2.27 billion in extraordinary dividends using proceeds from the sale of its Magneti Marelli parts unit. FCA last week agreed to sell Magneti Marelli to Japan’s Calsonic Kansei for $7.1 billion. FCA also said it plans to issue regular dividends to its investors of 20 percent of its profits starting next spring. FCA said it booked $810.9 million as a charge to pay for “U.S. diesel emission matters.” The company has been locked in litigation with federal regulators over emissions software used in about 101,000 2014-16 Ram 1500 and Jeep Grand Cherokee vehicles equipped with EcoDiesel engines. Settlement talks between the automaker and regulators are ongoing, and the matter remains unresolved, but FCA said the charge-off “represents an estimate of the provisions under applicable accounting guidelines based on progress of settlement discussions with counterparties.” The charge is intended to reflect an estimate of all known costs tied to the issue, a spokesman said. FCA slipped back into a net-debt position in the quarter, just three months after being able to boast that it finally had more cash on hand than debt on its books for the first time since the Chrysler takeover. FCA said it ended the quarter with $215 million more debt than cash on hand, compared with a $519 million net-cash position at the end of June. The backslide resulted from an accelerated discretionary U.S. pension payment of $682 million. Prescient prediction FCA achieved its record North American margin in large part because of strong sales from Jeep and Ram, including the redesigned Jeep Wrangler and Ram 1500 and the freshened Jeep Cherokee. Marchionne told analysts in October 2016 that FCA would “be able to achieve double-digit margins" in North America once those products came online. And in the late CEO’s last quarterly conference call in April of this year prior to his July 25 death, the ailing Marchionne predicted FCA’s profit margins in North America would soon best rivals Ford and GM. “If it doesn’t happen on my watch in ’18, I don’t have a single doubt that my successor will be able to whack the crap out of both of them. The machine is ready to do it. Just let them engage,” Marchionne said then. Marchionne’s successor as FCA’s CEO, Mike Manley, was scheduled to speak to analysts and journalists on a conference call at 11 a.m. Eastern time Tuesday.

Scania Group Press Release / October 29, 2018 Appropriately enough, Lantmännen Agroetanol is the inaugural customer It’s fitting that the very first truck to be equipped with Scania’s new 13-litre bioethanol engine is being used to deliver ethanol. The truck belongs to Lantmännen Agroetanol, which operates the largest biorefinery in the Nordic Region. The 410 hp truck is operated by the Josef Lindberg i Sandarne haulage company for deliveries from Lantmännen in Gävle to customers in mid-Sweden. “The 410 hp engine feels strong” “I’ve only made a few trips with the truck and it seems to perform as expected,” says driver Mikael Söderqvist. “The only noticeable difference is that you don’t get that characteristic diesel smell. The 410 hp engine feels strong but I’m spoiled, having driven a Scania V8, and this one is understandably weaker in comparison. However, I’m also very enthusiastic about the new Scania generation.” ED95 reduces carbon emissions by up to 90 percent By using the heavy vehicle grade fuel ED95 ( bioethanol blended with an ignition improver) carbon emissions are reduced by up to 90 percent. There are also significantly lower nitrogen oxide and particulate matter emissions. The new bioethanol engine delivers 2,150 Nm, equal to that of its diesel sibling, and the fuel consumption is also on a par with a conventional diesel engine. The new engine uses compression ignition similar to conventional diesels, which limits the need for hardware modifications. The most significant changes made to the engine relate to the fuel injection system and the cylinders that have been modified for increased compression. It uses the same SCR aftertreatment as Scania applies to nearly all of its Euro 6 engines. .

Volvo introduces Xceed fuel economy package as option for VNL 760, 860 Commercial Carrier Journal (CCJ) / October 29, 2018 Volvo Trucks on Monday announced a new fuel economy package, dubbed Xceed, available for the VNL 760 and VNL 860 for carriers operating dry van and refrigerated trailers. Volvo says the package can increase fuel economy by upwards of 10 percent over its Fuel Efficiency Plus spec and 3.5 percent over the Fuel Efficiency Advanced spec. The Xceed package, which was announced at the American Trucking Associations 2018 Management Conference and Exhibition in Austin, Texas, will be available for order beginning in January 2019 for 2020 models. The Xceed package offers dedicated wheelbase options to ensure the optimal trailer gap of around 44 inches for dry van or refrigerated trailer applications. Lightweight components like a horizontal exhaust system, a dedicated rear axle, limited fuel tank configurations, lightweight fifth wheels and aluminum chassis components help reduce the weight of the VNL models by up to 950 pounds. “The Xceed package bundles our most efficient features to help simplify the truck spec’ing process and ensure critical components of the fuel efficiency equation aren’t overlooked,” said Allison Athey, Volvo Trucks North America product marketing manager. “The Xceed packages for our VNL 760 and VNL 860 represent a systems approach, building on our learnings from the SuperTruck projects and engineering expertise, to ensure we’re including important components that work together to help maximize efficiency.” Volvo also made two other announcements at MC&E: (1) It is renewing its sponsorship of ATA’s America’s Road Team Captain program for 2019 (2) that it has partnered with Trimble Transportation Enterprise (formerly TMW Systems) to integrate Trimble’s fleet management system software into Volvo vehicles. Trimble provides tools for routing and dispatch, asset maintenance, business intelligence, transportation management and fleet visibility. America’s Road Team Captains is a group of professional truck operators with superior safety records. They represent the trucking industry at industry events, schools and policymakers, with support from their fleets. Volvo has provided a VNL 760, which the Captains travel in and use to haul the ATA Image Trailer, which features exhibits and displays used during their presentations.

DTNA outlines goal to dominate the electric vehicle market Jeff Crissey, Commercial Carrier Journal (CCJ) / October 29, 2018 Customer interest in electric commercial vehicles is happening quicker than expected, but Roger Nielsen, president and CEO of Daimler Trucks North America, said DTNA will continue its efforts to dominate the electric commercial vehicle space in North America. “In 2020 we’ll have the highest number of [electric] vehicles on the road in trucking segment,” said Nielsen during a press roundtable at the American Trucking Associations’ 2018 Management Conference & Exhibition in Austin, Texas. “We are trying to get the most experience as quick as we can,” adding that the OEM that can provide a durable, reliable vehicle with batteries that have the right power-to-weight ratio will be the company that finds that finds the best value solutions for its customers. “It’s no different than diesel power, it’s all about energy consumption,” he said. “The [OEM] that wins the energy consumption race will win the [electric vehicle] race as well.\ Nielsen said Freightliner customers already are looking for answers as to what technology they should invest in as some municipalities across the country signal their intent to limit commercial transportation to near-zero or zero-emissions vehicle solutions. “In the past they’ve had some alternative powertrain technology options, be it [compressed natural gas] or whatever else they had a choice of investing in, and not all of those experiences have been good for them,” said Nielsen. “But they definitely are not going to jump into another unknown experience and say, ‘Here we go again,’ and have a new set of powertrain problems. This time they are looking to us to get that confidence level up.” Electric vehicle R&D in progress DTNA unveiled its Freightliner eM2 medium-duty and eCascadia heavy-duty trucks at an investor event in June, and earlier this month hosted an Electric Vehicle Council meeting with 30 fleets to garner reaction and input directly from its customers. “Our customers were pleased that we could take a Cascadia vehicle they were familiar with and make a smooth transition from diesel-powered truck to an electric-powered truck,” said Nielsen. Initial use cases for Freightliner electric vehicles will revolve around port drayage, regional and inter-city applications, but the ultimate goal is a long-haul electric vehicle solution. “As we develop a vehicle we always take the extreme business use case which is a full 11 hours of driving, spending the night in the truck or get a second shift out of the truck,” said Nielsen. The power-to-weight density of the batteries isn’t yet to that point where we believe a long-haul business case can be made.” Nielsen said NFI and Penske Truck Leasing next month will take possession of its Electric Innovation Fleet, a customer trial of 30 eCascadia and eM2 power units. DTNA will collect feedback on issues including charging infrastructure, incentives, route planning, servicing and use cases. Citing the eCascadia’s commonalities with the Mercedes-Benz eActros electric cabover truck in European markets, Nielsen said DTNA will continue to leverage global resources and bring together common solutions. “As we go forward [with electric vehicle development] separated from having to comply with regional diesel exhaust emissions standards, we are able to bring more of those global resources to bear.” Several weeks after Daimler’s investment in Proterra – the market share leader in the North American electric city bus market – DTNA installed a Proterra city bus power unit into a C2 Thomas Built school bus. “[The Proterra acquisition] helps us advance testing and gives us another chance to explore another technology in the commercial vehicle space.” In the medium-duty electric vehicle segment, the Freightliner eM2 initially will have two battery-powered powertrains by two different systems integrators. “The industry exploration is all in our quest to find a battery-connected vehicle solution that provide the best solution and positive use case for our customers,” said Nielsen. Lifecycle considerations Nielsen said a switch from diesel to battery-electric vehicles doesn’t mean customers should have to adjust current trade cycle practices. “They are realizing that just like with diesel exhaust emissions, they should expect an improvement in energy consumption every year,” he said. Residual value through the vehicle’s life and resale value remain unknowns but are at the top of the list of customer demands. “Everybody is expecting that we should provide a battery-electric Class 8 truck that has a three- to five-year first owner lifecycle and it has not depreciated to zero when it gets to the second customer,” said Nielsen. “They are looking for similar depreciation values [to diesel powertrains] so they don’t upset the whole business case. At the moment the systems are costlier than a diesel truck, but we believe with the scale worldwide we can bring those costs down faster than anyone else.”

Heavy Duty Trucking (HDT) / October 29, 2018 Austin, TX -- Volvo Trucks announced its new Xceed fuel efficiency package for Volvo VNL 760 and VNL 860 models operating in dry van and refrigerated trailer operations at the ATA's 2018 Annual Meeting on Oct. 29. The new fuel efficiency package will be available for order beginning in January of 2019 for 2020 models. “The new Xceed fuel efficiency package is the most efficient package Volvo has ever offered for the VNL series, and it’s tailored for our large sleeper models operating with dry van and refrigerated trailers, which make up more than three-quarters of the trailers used in on-highway operations,” said Johan Agebrand, Volvo Trucks North America director of product marketing. Agebrand says the Xceed fuel efficiency package improves fuel efficiency by up to 11 percent when compared with Volvo’s Fuel Efficiency Plus specification. Xceed is 3.5 percent more efficient than the Fuel Efficiency Advanced specification, which was Volvo’s most efficient offering prior to the new Xceed fuel efficiency package. “The Xceed package bundles our most efficient features to help simplify the truck spec’ing process and ensure critical components of the fuel efficiency equation aren’t overlooked,” said Allison Athey, Volvo Trucks North America product marketing manager. “The Xceed packages for our VNL 760 and VNL 860 represent a systems approach, building on our learnings from the SuperTruck projects and engineering expertise, to ensure we’re including important components that work together to help maximize efficiency.” The naming structure of the Xceed fuel efficiency package reflects several key components contributing to its unprecedented efficiency. X – XE powertrain packages, including Volvo I-Shift automated manual transmissions C – turbo Compounding E – Extended fairings E – ground Effects D – Volvo D13 engine “Our Xceed package combines key lightweight options with our most efficient drivetrain and aerodynamic setups for the intended applications,” said Athey. “The Xceed package is all about freight efficiency, so we’ve included lightweight components to help maximize payload capacity while reducing fuel consumption.” The Xceed package provides dedicated wheelbase options to ensure the optimal trailer gap of around 44 inches for dry van or refrigerated trailer applications. Lightweight components like a horizontal exhaust system, a dedicated rear axle, limited fuel tank configurations, lightweight fifth wheels, aluminum chassis components, and more help reduce the weight of the VNL models by up to 950 pounds. “Spec’ing correctly for an application is a vital first step toward maximizing fuel efficiency,” said Agebrand. “With the Xceed fuel efficiency package we’re providing that starting point, but it’s equally important that those maintaining and driving the trucks follow best practices to help ensure their equipment is operating at peak fuel efficiency throughout its life. We can’t overlook the importance of preventative maintenance, updating software, monitoring alignment and tire pressure and driving for maximum efficiency.”

Deborah Lockridge, Heavy Duty Trucking (HDT) / October 29, 2018 Booming truck sales pushed by a strong economy create their own headaches, which Daimler Trucks North America is dealing with even as it pushes forward on electric trucks, advanced safety technologies/automation, connectivity and other projects. In February, DTNA President and CEO Roger Nielsen told truck journalists that he expected the industry to sell 420,000 Class 8 trucks in North America this year. He’s upped that expectation to “somewhat higher than 440,000,” he said Oct. 28 in a wide-ranging roundtable with truck reporters at the American Trucking Associations’ Management Conference and Exhibition in Austin, Texas. “Definitely the market is a lot stronger than we ever expected it to be,” he said. “Over 330,000 vehicles were delivered through the end of September. 330,000 is a good year in itself, and we’ve still got three months to go.” DTNA’s market share has slipped a bit, to 38%, which Nielsen said was largely due from supply chain challenges. “We’ve had a lot of lingering effects from instability in the supply chain that has hounded us all year and continues to be a daily challenge.” Running at “peak volume and capacity,” as he put it, means even small supply chain hiccups can cause big problems. However, “We’ve seen a lot of stabilization over the last two to three months and once again our factories are running at stable rates.” There’s often speculation that some of the high truck order rate we’re seeing across the industry does not consist of “real” orders, which will evaporate as soon as the economy shows signs of going south. But Nielsen said DTNA has been working hard to keep that from happening, and indications are that other companies are likely doing the same. Nielsen said Class 8 truck orders passed 52,000 in July, but if truck makers had accepted every order, it likely would have been in six digits. DTNA is working with dealers and customers to reassure them that they will be able to get trucks next year and they don’t have to place orders just to “save spots.” “We know the industry can turn overnight, and we don’t want to lave people holding the hot potato, with too much inventory in dealer lots or trucks sitting on the fence at our customers,” he said. When asked whether other truck makers took the same approach, he said, “I would say everybody’s in that reasonable mode. Nobody has an extraordinary amount of vehicles in the backlog, no more than would be expected.” Electric trucks on the way Even as it works to manage current demand and production, DTNA is progressing on electric trucks and other high-tech advances it highlighted in June at its Capital Market & Technology Day. Nielsen said the company is “days away” from delivering the first vehicles of its Freightliner Electric Innovation Fleet. NFI and Penske will test a total of 30 pre-production Freighliner eCascadias and Business Class eM2 106 trucks. It recently hosted them and other customers at an ‘electric vehicle council’ event, where fleet representatives got a chance to experience the vehicles first hand and offer their feedback for DTNA to use as it develops full production models. Nielsen said in addition to experiencing the trucks (attendees especially commented on the acceleration and the quiet, based on a video DTNA shared with reporters), the council spent a lot of time talking about charging infrastructure, financial incentives, route planning and use cases. Last month, Daimler made a large investment in Proterra, which Nielsen said is the largest supplier of electric bus technology in North America. While this initially is most applicable to Daimler’s bus-manufacturing operations, the underlying technology research will no doubt have implications for trucks as well. DTNA’s electric trucks, which use existing cabs, may not be as futuristic-looking as trucks from startup competitors such as Tesla, Nikola, or Thor, but Nielsen said that’s the way fleets want it, based on comments from the recent electric vehicle council meeting. “Our customers were really pleased with the fact we were able to take a vehicle they were familiar with, they know how to maintain, they know how drivers enjoy the cascadia, that it was a smooth transition from a diesel powered truck to an electric powered truck,” he explained. “The trucking companies have a difficult time attracting drivers. They’ve had good luck attracting drivers to the new generation of the Cascadia, so I don‘t see them too eager to change that cab interior. Drivers don't like change, good or bad.” Similarly, he said, many fleets want to be able to buy and sell electric trucks on the same trade cycles they currently have with diesel trucks. “Customers aren’t expecting to change their trade cycle,” he said, because they buy new trucks every few years to take advantage of the latest technology available. “Just like [the trucks and engines designed to meet] diesel exhaust emissions, they should expect an improvement in energy consumption year over year.” Questions such as trade cycle, residual value, expected battery life, etc., are ones DTNA hopes to be able to answer for customers as they evaluate these new technologies. “Our customers want answers,” Nielsen said. “They’re getting pressure from different municipalities to come up with zero or near zero emissions vehicles and they want to know what to invest in. Not all experiences in the past have been very positive for them; they’re not going to jump into yet another new experience, so they’re looking this time around for us to get that confidence level up.” Automated future Nielsen also noted that Daimler is ramping up the autonomous vehicle research center it announced in June. “We definitely believe there is a time in the future where Level 4 automation is going to be a positive business case,” he said. However, “we don’t see a case where we’ll be able to get rid of the driver in the trucks,” because “drivers do a lot of other services for customers. But we believe increasing the level of the automation in the vehicle will improve safety for the driver and others on the road.” He teased further automation developments when DTNA introduces the next version of its Detroit Assurance advanced driver assistance platform. Asked about Daimler Trucks chief Martin Daum’s recent remarks about platooning not providing the type of real-world payback it would need to succeed, Nielsen agreed. While it has some promise for fuel efficiency, he questioned whether the costs would be worth it – not just the equipment costs, but the costs to the drivers’ lifestyle, drivers’ stress level, and in organizational costs. “As we talk to customers it is becoming difficult to find an application which would make sense to equip the whole fleet with that kind of technology,” he said. DTNA will continue to do platooning research, pointing out that the company is learning a lot about safety, and called it “an interim step along the way to different levels of automation.” “As we get further along with different levels of automated driving, it might get more palatable,” he mused. “You can imagine truck number two doesn’t have a driver behind the wheel; there might be a case like that for platooning.” .

Deborah Lockridge, Heavy Duty Trucking (HDT) / October 28, 2018 Austin, TX – Peterbilt Motors Company announced updated offerings for the 2019 PACCAR Engines at the ATA Annual Meeting on Oct. 28. Peterbilt will offer the MX-13 with two new ratings for the 2019 model year engines; a multi-torque 455 HP with a torque rating of 1,650 – 1,850 lb.-ft. and a 405 HP with 1,650 lb.-ft. of torque. Each update for model year 2019 engines was specifically designed to result in increased reliability and fuel economy. When packaged with the PACCAR Transmission and the PACCAR 40k rear axle the new 405 HP and 1,650 lb.-ft. torque rating for the MX-13 provides one of most fuel efficient integrated powertrains for long haul customers, the company says. “Peterbilt and PACCAR Powertrain work closely to ensure Peterbilt customers have the most fuel efficient options available, and they already benefit from a total weight savings of more than 500 lbs. when spec’ing the full PACCAR Powertrain on the Model 579,” said Peterbilt’s on-highway marketing manager Wesley Slavin. “Peterbilt’s customers have challenged us to find even more ways to maximize fuel economy and these new ratings deliver.” The new engine ratings will be available January 2019. .

Transport Topics / October 29, 2018 OAKLAND, Calif. — Representatives from UPS Inc. and Walmart Inc., two of the country’s largest fleets, said electric vehicles can provide environmental, economic and community benefits, which make efforts to work through challenges surrounding duty cycle, charging infrastructure and cost worthwhile. Scott Phillippi, senior director of automotive maintenance and engineering for UPS, and Elizabeth Fretheim, senior director of supply chain sustainability for Walmart, made the comments here while speaking at the GreenBiz Verge Conference. “Right now there are definitely a lot of challenges we’re working through,” Fretheim said, noting that Walmart is working with several providers. “We have one truck running in Ottawa, Kansas, and have been piloting a truck in California as well.” Phillippi said the challenges of cost and infrastructure requirements can be daunting, but UPS, which is based in Atlanta and ranks No. 1 on the Transport Topics Top 100 list of the largest for-hire carriers in North America, has begun to see solutions emerge. In the U.S., UPS recently ordered 50 electric-powered delivery trucks that the fleet anticipates will be at cost parity with conventional diesel-powered vehicles. UPS’ largest example of electric vehicle adoption is in London, where it has rolled out a smart grid project through a collaboration between government and private organizations. “We’re able to take advantage of the power available to the facility and meter it according to what the energy needs are,” Phillippi said. Determining power needs versus assuming each vehicle requires maximum charge allowed UPS to increase the number of electric vehicles that could be used at one of its facilities to 170 to 200 from 65. “Now I don’t have to wonder if we do all go all-electric will we have the power,” Phillippi said. For Walmart, which is based in Bentonville, Ark., and ranks No. 3 on the Transport Topics Top 100 list of the largest private carriers in North America, the over-the-road application of electric vehicles will be the most difficult. That is especially true in the early years, with the most significant challenge being charging infrastructure, Fretheim said. “Because of our duty cycle, our fleet doesn’t go out and come back to the same location,” she said. “It is very difficult for us to say put a charging station here because our trucks are always going to pass that point.” The lack of standards is also a concern. “We don’t have the space to put up a different charging station for each OEM that comes onto our property, and we want to make sure when we’re working with our partners, like UPS and other carriers, that when they come to our lots, they can also charge,” Fretheim said. Initially, Fretheim said, Walmart is focusing on applications beyond over-the-road vehicles. Yard trucks that stay on distribution center property, standby reefers and auxiliary power units are all potential options for electrification. “I think we need to think out of the box with these technologies and look throughout our application and see where they can be applied to our operation today and then continue to work on longer range opportunities,” she said. Fretheim said Walmart is also exploring use electric vehicles in its fleet of passenger vehicles driven by market managers, safety managers and facility maintenance employees. “For some of those vehicles we have all-electric in place,” she said. Getting buy-in from within the organization also takes time. Internally, Walmart has worked to get its fleet managers, maintenance team and finance group to look at a total vehicle cost rather than the traditional return on investment model, Fretheim said. “I think when we can get a total cost of ownership model everyone can believe in, there are still unknowns,” she said. “How long will batteries last? Will we get the 300 miles? I think once we can put that together we will get the buy-in we’ll need.” Both Fretheim and Phillippi said electric vehicles create new opportunities. “It’s not necessarily just about maintenance cost reduction and fuel savings. Maybe there is a value to being able to deliver in the evening,” Phillippi said. Within Walmart’s retail network, several Walmart stores can’t accept deliveries at night due to noise ordinance restrictions. If the company were using quieter equipment, it could shift delivery times, which could allow drivers to hit the road at different times of the day and avoid congestion, Fretheim said. Phillippi said he believes fleet electrification could be transformational to how UPS does business in the future, and noted that UPS has learned something on every project and has learned that no model or simulator can duplicate the real-world scenario. “There will be problems along the way,” he said. Even still, Phillippi believes electric vehicles will be a significant part of delivery fleets in 10 years. “We shouldn’t just be thinking about an incremental change from conventional fuel to electric but we should be thinking about a transformation change and how really to take full advantage of an electrified platform,” Phillippi said. .

To make more Ram trucks, Fiat Chrysler reconsiders Mexico Nick Carey, Reuters / October 29, 2018 AUBURN HILLS, Mich. - Fiat Chrysler Automobiles NV’s new CEO is tired of being No. 3 in U.S. pickup truck sales. With a strategy of loading up its revamped Ram 1500 full-size trucks with new features - ranging from 12-inch touch screens on the dashboard to large battery packs and electric motors to help adjust speed and gears and conserve fuel - the automaker is banking on a sustained surge in demand. So Chief Executive Mike Manley is now reconsidering a decision announced in January to stop building Ram heavy-duty pickups at a plant in Saltillo, Mexico. That plant, and another in Warren, Michigan, between them would produce other Ram models and free up manufacturing capacity to make even more new trucks to eat into sales of Ford Motor Co’s F-Series or General Motors Co’s Chevrolet Silverado, and its higher-end GMC Sierra. “We need to get ourselves into second” place, Manley told Reuters exclusively in his first interview since taking over the No. 7 global automaker after Sergio Marchionne died suddenly. “Frankly, I don’t care which of the two I take share from.” When U.S. President Donald Trump was threatening action that would have imposed a 25 percent tariff on Mexican-made pickup trucks earlier this year, Fiat Chrysler said Saltillo would be “repurposed to produce future commercial vehicles.” In 2017, Marchionne had raised the possibility his company could move heavy-duty pickup production out of Saltillo, saying U.S. tax and trade policy would influence the decision. Now, the United States, Mexico and Canada have a tentative trade agreement that imposes no ceiling on shipments of pickups to the United States from Mexico, provided they meet thresholds for the share of parts produced within the region. “With a combination of Warren and Mexico building what we call the classic truck, we have enough production to increase output next year if it’s required,” Manley said. “In my opinion it will be required. We are gaining share. Obviously I am looking for that to continue, but it’s an incredibly competitive segment,” he added. The Ram and Jeep brands underpin the automaker’s North American business - which accounted for nearly 85 percent of Fiat Chrysler’s second-quarter pre-tax profit - and offset the struggles of its legacy Fiat business in Europe and operations in China. Ford’s F-Series trucks have led the segment for four decades. In 2017, Ford had a 35.6 percent share of U.S. retail truck sales, followed closely by GM at 34.2 percent and FCA with 22.3 percent. Pickup trucks are the single biggest contributor to the Detroit Big Three automakers’ profits, so there is plenty at stake as they fight for market share. In the battle for pickup customers, GM launched a new version of its Silverado truck designed with a focus on slashing weight and trimming production costs to compete with market leader Ford. Fiat Chrysler, which reports third-quarter results on Tuesday, took a different tack with the new Ram. The automaker stuffed more features into the vehicle - including an optional 12-inch touch screen and partial electrification that saves fuel and helps with acceleration and cruise control - on a bet that customers would pay more in return. So far, the gamble appears to be paying off. The new Ram 1500’s average sale price for the year to date through late October hit $46,856, - higher than the $42,389 average for the Ford F-150, according to industry data. Hayden Elder, owner of Elder Chrysler Dodge Jeep Ram in Athens, Texas, said three times in under a month he has had families trade in nearly-new large SUVs made by FCA’s rivals for a new Ram 1500. “This new Ram is the biggest leap I’ve ever seen from one version to another,” Elder said. About 70 percent of the 800 vehicles he sells annually are trucks. “Haven’t found the ceiling yet” Phil Jansen, Fiat Chrysler’s head of product development, said when his team began redesigning the Ram 1500, they decided a lighter, all-aluminum body - which Ford uses for its trucks - was too expensive. GM executives reached the same conclusion. But Fiat Chrysler took a chance that GM did not, and added a large battery pack and electric motor that assist with acceleration and shifting, plus deliver a smooth start-stop function that idles the engine when stopped in traffic, boosting fuel economy. “It can save about this much fuel at an average stop,” said FCA electrification manager Brian Spohn, holding up a small tumbler of water. The decision to offer a larger dashboard screen than its rivals have came late in the design process. Initially, the big screen was offered in the top three of the truck’s six versions. Fiat Chrysler has since decided to offer it on an additional version. Demand is so high, the company has pushed the screen’s supplier for as many screens as it can provide, according to a source familiar with production plans. “We haven’t found the ceiling yet” for what U.S. customers are willing to pay for additional features, said Jim Morrison, head of the Ram brand in North America. Fiat Chrysler had problems earlier this year accelerating production of the new Ram truck on a highly-automated production line installed at a Detroit-area plant that previously made slow-selling sedans. Among the problems: Dropped bolts and other debris would shut down automated vehicles that carried truck frames through part of the assembly process. The solution was to put debris-sweeping skirts on the carriers, FCA executives said on a recent tour of the plant. Now, the Sterling Heights Assembly Plant is cranking out around 65 trucks an hour, 20 hours a day, six days a week - a pace of about 400,000 vehicles per year. “It is capable, if we wanted to, to push it up more from there,” Manley told Reuters. “Clearly, having the capacity to fulfill our ambitions is important.”

China troubles dampen Ford's outlook Michael Martinez, Automotive News / October 29, 2018 DETROIT — The world's largest vehicle market is causing some of Ford Motor Co.'s biggest headaches. The automaker lost $378 million in China during the third quarter, down from a $102 million profit there a year earlier. That nearly half-billion-dollar swing dragged Ford's otherwise-profitable Asia Pacific region into the red and was a big reason executives said they no longer expect to meet a companywide target of 8 percent global margins by 2020. In light of the dismal performance, Ford last week hired a new CEO for its China operation, Anning Chen, and separated the country into a standalone unit directly accountable to company headquarters. Chen, 57, a former Ford executive with 25 years of industry experience, was most recently CEO of China's state-owned Chery Automobile and chairman of Chery's joint venture with Jaguar Land Rover. Ford is facing slower sales in China due to an aging product lineup, as well as increased competition and trade barriers created by the Trump administration's tariffs and retaliation by Beijing. It's a stark turnaround for a country that just a few years ago represented a big growth opportunity for Ford, which began selling vehicles there later than many of its rivals. Ford's new-vehicle sales in China plunged 43 percent in September from a year earlier and were down 30 percent in the first nine months of 2018. "China has really changed," Jim Farley, Ford's president of global markets, told Automotive News this month. Farley said Ford's profits in China are driven by three key vehicles: the Ford Edge, Kuga and Transit. All are at the end of their life cycles. The company is attempting to fix that problem with a product blitz that includes 50 new models by 2023, including a China-only crossover called the Territory and a redesigned Ford Focus sedan that won't be coming to North America. "These launches and the growth opportunity of improving profit really come down to those products and how they land in the market," Farley said. Chen, who starts as CEO of Ford China on Thursday, Nov. 1, previously spent 17 years at Ford in executive management roles focused on product and technology platform development and JV expansion. He joined Chery in 2010, when it was the seventh-largest vehicle manufacturer in China. He earned an MBA from the University of Michigan and a Ph.D. in engineering from the University of Cincinnati. "Success in China is critical as we reposition our global business for long-term success," CEO Jim Hackett said in a statement. Despite a 37 percent decline in third-quarter net income, Ford's stock jumped 9.9 percent the day after last week's earnings report. That was its largest one-day gain since April 2009, though the shares still ended the week below $9. Ford's earnings beat analyst expectations by a penny per share, and revenue rose 3 percent to $37.6 billion, driven by higher sales of big-ticket vehicles in North America, including the redesigned Ford Expedition and Lincoln Navigator SUVs. In North America, earnings rose 7.5 percent to $1.96 billion. Profit margin for the region was unchanged from the same period a year ago, at 8.8 percent, despite fewer sales and a drop in market share. That's because Ford is selling fewer low-margin sedans as it phases them out and more high-profit SUVs and pickups. Hackett said those results "demonstrate early evidence" that his restructuring plan is improving the business. ‘Building blocks' "We've had an extremely productive quarter in terms of putting building blocks in place," Hackett said on a conference call. "We're addressing real issues, and we're moving quickly to redesign the business in support of our stated strategy." Ford's global profit margin was 4.4 percent, down from 6.3 percent a year earlier. The company lost $558 million outside North America. Ford said its mobility unit lost $196 million in the quarter, vs. a $72 million loss during the same period a year ago. The unit is in a heavy investment phase that has little offsetting revenue. Meanwhile, Ford Motor Credit made $678 million, marking its best quarter since 2011. Ford said higher costs and uncertainty across the industry, as well as the international challenges it's working to overcome, likely will prevent it from hitting its goal of an 8 percent global profit margin by 2020. CFO Bob Shanks declined to offer an alternate time frame for reaching that threshold. "We don't see, at the moment, a way to get there," Shanks told analysts. "Certainly, we're trying to get there as fast as we can. I'm not going to put a time frame on it because I don't want to go back and have to change it."

Hmm, yes it certainly does.

IVECO Australia Press Release / October 15, 2018 .

The Oz Ranger Raptor is diesel-powered.......not gasoline. .

https://www.bigmacktrucks.com/topic/40960-volvo-group’s-mack-defense-unit-to-supply-1500-re-badged-renault-kerax-8x8-trucks-to-canadian-armed-forces/?tab=comments#comment-296894