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Volvo’s Euro Efficiency Concept Truck Now Boasts Hybrid Power Heavy Duty Trucking / March 2, 2017 Sweden’s Volvo Trucks has developed its first hybrid truck designed for long-haul applications— a concept vehicle based on its European-spec Volvo FH cabover tractor powered by Volvo’s own D13 Euro 6 emissions-compliant diesel engine. The diesel-electric hybrid powertrain combined with the Volvo Concept Truck’s other efficiency improvements yields a total reduction in fuel consumption and CO2 production of around 30%, according to the OEM. When first rolled out in May 2016, the Volvo Concept Truck featured extensive improvements in aerodynamics, rolling resistance and reduced weight. It was developed via a similar public-private initiative as the SuperTruck program that Volvo has participated in with the U.S. Department of Energy. The Volvo Concept Truck came about via the Swedish part of a bilateral research project involving the Swedish energy authority Energimyndigheten and the U.S. Department of Energy. Volvo Trucks said the Swedish concept’s hybrid powertrain works by recovering energy when driving downhill on slopes steeper than 1% or when braking. The recovered energy is stored in the vehicle's batteries and used to power the truck in electric mode on flat roads or low gradients. In addition, an enhanced version of Volvo Trucks' driver support system I-See has been developed specifically for the hybrid powertrain. It's used to analyze upcoming topography to calculate the most economical and efficient choice between the diesel engine and the electric motor-- as well as the optimal time to use the recovered energy. In long haul transportation, it is estimated that the hybrid powertrain will allow the combustion engine to be shut off for up to 30% of driving time, according to Volvo Trucks. The OEM estimated that will save between 5-10% cent in fuel, depending on the vehicle type, specifications and drive cycle. It also offers the ability to drive in full electric mode for up to 10 kilometers (just over 6 miles), so the truck can run with zero emissions and low noise for short stretches. "We strive to be at the forefront of electromobility and to constantly push the limits when it comes to reducing fuel consumption and emissions," said Volvo Trucks CEO. "Over the coming years, as society moves more and more towards renewable energy, we strongly believe that electromobility and hybrid technology will become increasingly important. The powertrain in our concept truck has been developed to improve transport efficiency and thereby help the industry towards sustainable transport. With the concept truck we will gain valuable knowledge and experience, which will help us develop the technology further." The Volvo Concept Truck is “a platform for verifying several new technologies for increasing transport efficiency," said Åke Othzén, chief project manager, Volvo Trucks. "Some of these developments have already been introduced to our trucks, and some will be introduced in the near future. The hybrid powertrain is partly based on knowledge and experience from Volvo Buses' hybrid and electric buses."

Meritor EX+L Air Disc Brakes Offered on International LT Heavy Duty Trucking / March 2, 2017 Meritor’s EX+L air disc brakes became available on International LT series trucks starting in February. The EX+L is designed to deliver better braking power that meets federal FMVSS 121 reduced stopping distance regulations. The brakes are also made for better in-line braking stability for safer, smoother stops and feature reduced brake fade resistance. "Demand for air disc brakes is growing among North America fleets that are increasingly concerned about safety and reliability, and our market-leading brake products address these issues," said T.J. Reed, general manager, front drivetrain for Meritor. "EX+ will offer Navistar's customers superior performance and easier serviceability." EX+ air disc brakes are engineered from the ELSA line of European air disc brakes. EX+L brakes feature a gear-synchronized twin piston design that transfers torque to both brakes simultaneously, resulting in better performance and uniform pad wear, according to Meritor. The entire assembly is designed for faster pad changes and quicker inspection time. A standard mechanical visual wear indicator gives fleets quick-check capability of remaining pad life without taking the vehicle out of service to remove the wheel.

U.S. authorities raid Caterpillar's Illinois facilities Reuters / March 2, 2017 Federal law enforcement officials conducting a criminal probe of heavy machinery manufacturer Caterpillar Inc searched three of its facilities on Thursday, prompting a sharp sell-off in the company's stock. A spokeswoman for the U.S. Attorney Office for the Central District of Illinois, Sharon Paul, confirmed that federal law enforcement officials conducted searches at locations in Peoria, East Peoria and Morton, Illinois, but did not say why agents raided the three facilities. Caterpillar, in a statement issued on Thursday afternoon, said it believed the search was part of an Internal Revenue Service investigation related to profits earned by a Swiss parts subsidiary, Caterpillar SARL, or CSARL. It said that "while the warrant is broadly drafted, we believe the execution of this search warrant is regarding, among other things, export filings that relate to the CSARL matter first disclosed in Caterpillar's Form 10-K filed on February 17, 2015, and updated in Caterpillar's most recent Form 10-K filed with the SEC on February 15, 2017." Agencies involved in the search included the IRS' Criminal Investigation Division, the U.S. Department of Commerce's Bureau of Industry and Security's Office of Export Enforcement, and the Federal Deposit Insurance Corp.'s Office of Inspector General, Paul said. Officials at the agencies could not be reached for comment. Caterpillar shares fell 4.3 percent to close at $94.36 on the New York Stock Exchange after trading as low as $92.84. IRS SEEKS $2 BLN; CATERPILLAR CONTESTS The apparent escalation of the government's tax dispute with Caterpillar comes as the Trump administration and leaders in Congress have said they want to launch a broad overhaul of the corporate tax code, lowering rates and designing the system to encourage companies to keep jobs and profits within the United States. Caterpillar has also had a prominent place in the Trump administration's effort to promote U.S. manufacturing. The company's outgoing chief executive, Douglas Oberhelman, met with President Donald Trump at the White House last week. Caterpillar is fighting an Internal Revenue Service demand that the company pay $2 billion in taxes and penalties for profits assigned to its Swiss parts distribution subsidiary, according to filings with the Securities and Exchange Commission. That subsidiary was also the subject of a 2014 Senate committee report that concluded Caterpillar shifted billions in profits abroad and had $2.4 billion in taxes deferred or avoided from 2012. "As a result of those licensing and servicing agreements, over the next thirteen years from 2000 to 2012, Caterpillar shifted to CSARL in Switzerland taxable income from its non-U.S. parts sales totaling more than $8 billion, and deferred or avoided paying U.S. taxes totaling about $2.4 billion," the report said. It said the arrangement resulted in Caterpillar paying an effective tax rate of only 4 percent to 6 percent. Caterpillar, in its 2016 annual report, said it is "vigorously contesting" the IRS demand. "We believe that the relevant transactions complied with applicable tax laws and did not violate judicial doctrines," it stated. The Senate committee report also criticized Caterpillar's accountants, PwC, saying that the firm's roles as auditor and tax consultant represented a conflict of interest. PwC on Thursday said it had no comment. In testimony before the Senate in 2014, PwC partner Thomas Quinn said the firm believed that its "tax advice and Caterpillar’s tax positions were correct under applicable tax laws. In sum, PwC’s provision of tax services to Caterpillar as our audit client was entirely appropriate." Caterpillar also disclosed in its annual report that it had received grand jury subpoenas from the U.S. District Court for the Central District of Illinois seeking documents and information related to the movement of cash among U.S. and non-U.S. subsidiaries, and the purchase and resale of replacement parts by Caterpillar Inc. and non-U.S. Caterpillar subsidiaries, including Caterpillar SARL. Caterpillar said it is cooperating with the investigation and did not believe it would have a material impact on its finances. PARTS BUSINESS; TAXES The facility in Morton, according to the company’s website, is responsible for receiving and shipping replacement parts to parts facilities and Caterpillar dealers worldwide. Caterpillar reported sales fell 18 percent in 2016 to $38.5 billion and since late 2015 it has shrunk its workforce by more than 16,000 employees and consolidated or closed 30 facilities. Caterpillar cut 12,300 jobs in 2016, including 7,700 in the United States. It said it was considering closing two more major production facilities, including one in Aurora, Illinois, and also announced it was moving its corporate headquarters from Peoria to Chicago this year. Last week in Missouri, U.S. Vice President Mike Pence toured Fabick CAT, a family-owned company that is one of the largest U.S. distributors of Caterpillar equipment. "You are the strength in the American economy, and you're going to lead an American comeback," he told workers there. Pence said the Trump administration wants to simplify the U.S. tax code. "I'll guarantee there isn't anyone here who can make sense of America's tax code, including me. There's an old joke that says the tax code is about 10 times the size of the Bible but with none of the good news," he said. "Our country's tax system these days penalizes success. It makes it far too hard for hardworking people and small businesses to achieve the American Dream."

Federal Agents Search Caterpillar Locations The Wall Street Journal / March 2, 2017 Federal agents on Thursday searched three Caterpillar Inc. facilities near the construction- and mining-equipment giant's Illinois headquarters, according to the company and a law-enforcement official. The search appeared to escalate an investigation into tax issues related to Caterpillar's parts business and financial transactions involving one of the company's subsidiaries in Switzerland, a person familiar with the situation said. Caterpillar has previously said it received subpoenas from a federal grand jury seeking information related to the Swiss subsidiary, known as Caterpillar SARL. The company has said that it was cooperating with the investigation, which is being overseen by the U.S. attorney's office for the Central District of Illinois. A spokeswoman for the attorney's office on Thursday said agents from the Internal Revenue Service, the Federal Deposit Insurance Corp. and the U.S. Department of Commerce searched facilities in Peoria, East Peoria and Morton. No arrests were made, the spokeswoman said. The search included Caterpillar's Peoria headquarters, according to people familiar with the matter. "Law enforcement is present in various Peoria-area Caterpillar facilities executing a search warrant," a Caterpillar spokeswoman said. "Caterpillar is cooperating. She wouldn't comment further. An IRS spokesman said agents "were on site on official business," but declined to comment further. Caterpillar shares fell about 5% to $93.66 in midday trading. The Securities and Exchange Commission also began investigating Caterpillar's Swiss subsidiary in 2014, after a U.S. Senate subcommittee described the unit as part of a strategy by Caterpillar to reduce its U.S. tax exposure on sales of replacement parts outside of the U.S. Caterpillar said the SEC notified the company in late 2015 that it had concluded its investigation without recommending a penalty. A report by the Senate Permanent Subcommittee on Investigations found that Caterpillar's U.S. operations had bought parts from suppliers and resold them to independent dealers overseas. Profits from the sales were assigned to the Caterpillar Swiss subsidiary, effectively eliminating Caterpillar's U.S. operations from the transactions and lowering the company's U.S. taxes, according to the report.

The Financial Times / March 2, 2017 Caterpillar shares suffered their biggest one-day drop in eight months after law enforcement authorities searched the company’s headquarters and two other facilities in Illinois as part of a tax investigation. Shares of the heavy machinery maker fell 4.3 per cent on Thursday after the company and law enforcement officials confirmed that agents of the Internal Revenue Service, the US Commerce Department Office of Export Enforcement and the Federal Deposit Insurance Corporation had conducted searches at three Caterpillar facilities. Caterpillar said in a statement that a search and seizure warrant was executed, and documents and electronic information collected, apparently in connection with a long-running tax investigation into financial transactions involving CSARL, a Caterpillar subsidiary in Switzerland. Caterpillar said it was “co-operating with law enforcement”. Last month the company said in its 2016 10-K filing that it had received a grand jury subpoena from the US district court for the Central District of Illinois on January 8 2015. “The subpoena requests documents and information from the company relating to, among other things, financial information concerning US and non-US Caterpillar subsidiaries (including undistributed profits of non-US subsidiaries and the movement of cash among US and non-US subsidiaries). “The company is co-operating with this investigation,” Caterpillar said. “We currently believe that this matter will not have a material adverse effect on the company’s consolidated results of operations, financial position or liquidity.” Caterpillar said the warrant executed on Thursday was broadly drafted but “we believe the execution of this search warrant is regarding, among other things, export filings that relate to the CSARL matter” first disclosed in a 10-K filing in 2015 and later updated in the most recent 10-K filing. The US Senate permanent subcommittee on investigations said in a 2014 report that Caterpillar had adopted “a tax strategy that shifted billions of dollars in profits away from the United States and into Switzerland, where Caterpillar had negotiated an effective corporate tax rate of 4 to 6 per cent”. According to the report, Caterpillar bought parts and resold them to dealers overseas, assigning the profits to the Swiss subsidiary and lowering its US taxes. Caterpillar, hit by a prolonged slump in global demand caused by weak commodity prices that have hurt its customers, has been one of the companies singled out by industrial analysts as likely to benefit from any infrastructure spending boost from President Donald Trump. Doug Oberhelman, Caterpillar’s departing chairman, met Mr Trump last week at the White House where the president joked about his fondness for Caterpillar bulldozers.

Kentucky Republican Sen. Rand Paul marched to the House side of the Capitol Thursday morning, knocked on a locked door and demanded to see a copy of the House's bill to repeal and replace the Affordable Care Act, which he believed was being kept under lock and key. Aides in the room told the senator that there was no bill to see. "This should be an open and transparent process," Paul said. "This is being presented as if it were a national secret, as if this was a plot to invade another country, as if this were national security. That's wrong." Paul decided to visit the House Thursday afternoon after reports surfaced that House Republicans on the Energy and Commerce Committee were being granted an opportunity to review the current draft of the Obamacare repeal legislation and ask questions behind closed doors. Opposed to the House legislation's principles, Paul said he wanted to see the bill himself. "I'm not allowed to read the working product so I can comment on it?" he asked. .

Trump promises 12-carrier Navy Associated Press / March 2, 2017 President Donald Trump promised Thursday to grow the Navy's aircraft carrier force to 12 in a short speech aboard the Gerald R. Ford which is expected to join the fleet this spring. The Navy, which has been required by law to have 11 carriers, has been operating with ten for several years – with Congress' approval – but will be back to 11 when the Ford is delivered. Enlarging the fleet to 12 can take years and would depend on funding and the ability of Newport News Shipbuilding to ramp up to take on another carrier. The shipyard is the sole builder of all U.S. carriers. In a 15-minute speech that mostly lauded the Navy and the shipyard's workforce, Trump reiterated his plans to increase the Navy's fleet and was urging Congress to end cap on defense spending, known as sequestration, but he did not specify how he would finance the larger force without increasing the national debt. "By eliminating the sequester and the uncertainty it creates, we will make it easier for the Navy to plan for the future and thus to control cost and get the best deals for the taxpayers, which of course are important" Trump said. "Right? If we don’t make a good deal I’m not doing my job... The same ship for less money. The same airplane for less money. That’s what we’re doing." The $12.9 billion Ford, which is the first of a new class of larger carriers, is billions over budget and years behind schedule. The shipyard and Navy have said they anticipate future Ford-class carriers will be less expensive. The next is the John F. Kennedy which is 25 percent complete and scheduled to be delivered in 2022. When asked about the prospect of ramping up carrier production, shipyard spokeswoman Christie Millers said in an email, "We look forward to working with the new administration, the Navy and our supplier base of 5,000 companies in 50 states across the nation to continue building the most effective and affordable warships. We are focused on reducing costs in all of our shipbuilding programs." U.S. Rep. Bobby Scott, a Newport News Democrat whose district includes the shipyard, did not attend Trump's speech. Scott said in a statement that he welcomed the president's push for increased shipbuilding but was critical of the lack of details. "So far, all I’ve heard is that he intends to cut taxes, raise defense spending, and propose draconian cuts to non-defense discretionary spending. That means deep cuts to programs that support education, rebuild our infrastructure, ensure clean air and water, and protect workplace safety and public health," Scott wrote. "I hope that in the next days and weeks the President and his administration will provide more concrete details on his proposals.” Trump, who favors a 350-ship Navy noted in his speech that today's 270-plus ship fleet is the smallest since the end of World War I. At that time the fleet was about 245 ships. But Trump over promised on how large the fleet might become. "Don’t worry, it’ll soon be the largest it’s been," he told the cheering crowd. "Think about it." The Navy's largest fleet was in World War II when the U.S. had several thousand of ships. "We will give you the tools you need to prevent wars and, if required, to fight war and only do one thing. Do you know what that is?" Trump asked the assembled sailors. "Win. Win" The Navy's fleet, including the Ford, can "project American powers in distant lands," Trump said. "Hopefully it’s power we don’t have to use. But if we do they’re in big big trouble." .

Well, I can tell you the 14QK373 was designed for the MH Ultra-Liner steer axle. Apparently, Volvo is superceding the old numbers to anything that will physically fit, never mind that it's not valved appropriately for the application. In the days of the former Mack Trucks, an R-700 never called for a 14QK373. And 14QK2133M2, that's a metric number ("M") introduced with the MH/RWI/CH. When you called the great folks at Watts Mack (provider of the BMT website) at 1-888-304-6225 to buy a pair of shocks, what did they say?

If your Mack brand dealer's price is acceptable, why don't you just buy them? Why do you need the part number?

Owner/Driver / March 2, 2017 The Scania R730s owned by Elio Palermo and Tony Roussos are almost identical. Is 730hp overkill? We don't think so! Melbourne asphalt carriers, Elio Palermo and Tony Roussos, both love the power of a V8 engine. Until recently Elio satisfied his V8 obsession by driving his 1988 Mack Super-Liner II. He is glad his friend Tony convinced him to add a 2016 Scania R730 to his small fleet. "I never test drove it," says Elio, who lives in Wallan, Victoria. "I just went with my gut feeling, and seeing how good they’ve been performing in the game." When Elio ordered his R730 from Scania Dandenong, he knew Tony was waiting for his own new R730 to arrive. Trusting his friend’s experience with the brand, Elio requested the same specifications as the truck Tony had ordered. That’s why the two Downer subcontractors, who operate separate businesses, have almost identical rigs. Both R730s pull new Trout River live-floor trailers and cart asphalt for Downer. They are painted the same shade of silver, which complements the Hardox steel trailers. But the rigs are not entirely identical. Elio’s prime mover has his business name, ‘Bluemack’, written on the side and ‘Majestic Mover’ written above the doors. Tony has his name on the doors, griffins painted on the sides and ‘King of the Road’ above the front windscreen. "It is king of the road," says Tony whose business Suarez Nominees is based in Clayton. "I’ve come up against nothing that can pass it at this stage." Both Scanias cart sand and stone into Downer’s Bayswater and Summerton plants. And they carry asphalt to road construction sites throughout Melbourne and as far as Gippsland and Shepparton, Victoria. Elio admits 730hp is ‘overkill’ for this kind of work: "I just thought I’d go out there and get the biggest on the market." Tony agrees the V8 has more power than he needs, but says he bought the new R730 to reward himself for 20 years of hard work. .

Engineering News / March 1, 2017 General Motors on Tuesday said it plans to sell its majority ownership stake in General Motors East Africa to its Japanese partner Isuzu Motors Ltd, as the US carmaker continues to streamline by exiting non-core operations. Isuzu will acquire GM's 57.7% stake in the unit in Kenya, which produces commercial trucks under the Isuzu brand and sells imported Chevrolet-brand vehicles. More than 90% of the vehicles sold are Isuzu brand models. The Kenyan vehicle market is small, with total sales of about 30 000 vehicles a year. Divesting the stake in the Kenyan unit is "a natural next step for this business," and is consistent with the automaker's broader goal of refocusing capital on more profitable markets, a GM spokesman said. Isuzu said the unit will become a subsidiary of the Japanese vehicle maker, and will focus on expanding sales and improving after-sales services, the latter of which is a key focus for emerging markets under its mid-term business plan through 2018. Isuzu also markets commercial and light commercial vehicles in South Africa and Saudi Arabia. Sales in the Middle East and Africa region account for around 20% of annual global vehicle sales. Isuzu expects sales to eventually improve in the region following a slide since last year as falling oil prices have squeezed demand in the Middle East. Under CEO Mary Barra, GM is steadily overhauling and pruning operations outside the United States and China, shrinking sales volume while pushing to improve return on invested capital and profitability. GM is in talks to sell its European operations to French automaker Peugeot SA, and has shuttered or scaled back operations in Russia, Australia, Indonesia and Thailand. "We will continue to be ruthless in our decisions to not pursue lines of business or markets or opportunities that we don't think can make a compelling return for us down the road, so more to come," GM President Dan Ammann told investors at a conference in January.

First UK new generation Scania Scania Group Press Release / March 1 2017 The UK’s first order for a new generation Scania was placed by a company who didn’t even own a truck eight years ago. Today the Suffolk-based hazardous cargo and fertilizer transport specialists has a fleet of 37 vehicles and a staff of 60. In 2004, joint owners David Crawford and James Mainwaring formed Kersey Freight. They started out as a freight haulier, transporting up to 140 loads a week to France, Germany and Italy. In the same year, 10 new countries were accepted into the European Union which led to more competition and lower prices. A decision was made to turn their back on Europe and focus on the UK market. This was a turning point for Kersey Freight and contributed towards to the success they’re experiencing today. Now they specialise in hazardous cargo and fertiliser transport, with a fleet of 37 trucks and 60 members of staff. The expansion of Kersey Freight has been rapid over the past few years. Joint founder, David Crawford, credits this to the relationship with their local Scania dealer. The haulier began their relationship with Scania after being identified as a new and emerging company. This loyalty has paid off. In the last three years, Kersey Freight has bought 22 Scania trucks, all sold by TruckEast Stowmarket. Their new flagship truck and the first new generation Scania in the UK is a Scania S 580 V8 mid-lift tractor unit. And it’s going down very well with driver Geraint Richards. “He joined us in 2010 and loves it, especially the cab layout and extra space he has. So far he’s been getting 29.4 litres/100 km which we’re pleased with.” Buying their first new generation Scania wasn’t a difficult decision. “We believe in the product. Scania trucks are well built, reliable and hard working tools. You know you’re buying quality with all the testing and the amount of money Scania has spent in the process.” . .

Manager Magazine / March 1, 2017 "We are developing for everyone, for MAN, for Scania, and for Navistar." Mm.de: Mr. Renschler, Daimler has just called Martin Daum to the new Truckchef . They have done the job for almost nine years. Would you have liked to have him back? Andreas Renschler: No, why are you asking? Mm.de: You want to become "Global Champion" with Volkswagen Truck & Bus. The return to Daimler would probably have been the fastest way to the top. Renschler: We have already reached that point in my time. I consciously left Daimler in 2014. Mm.de: At Daimler you had a different, much more concrete goal issued: "Beat Volvo!" The Swedes were then the best in the industry. Are there now the term "Global Champion" and a few catchphrases like innovation, employee satisfaction and profitability? Are you thus enlightened by the fighting spirit of the organization? Renschler: Sure, yes. Global Champion means that we want to be the best and not necessarily the greatest; And it also means that we want to be the most profitable truck manufacturer. This is set, which is very challenging and still a good way. Keep in mind: At Volkswagen, we started working together in the truck area just a year ago. Mm.de: Daimler needed 20 years. Renschler: At Daimler the truck brands Mercedes-Benz, Freightliner and Fuso were completely separated for a long time. Eckhard Cordes started working as a Truckchef in 2002 or 2003, in fact, to work really well. In my time we have developed this with a matrix organization. With us, everything will be faster. Mm.de: Their brands Scania and MAN were a long time spinning enemy, now the Navistar rehabilitation case from the USA comes to it. You are only involved in the Americans. You can not go through it. These are not exactly the ideal conditions for building a champion. Renschler: Sure, that's a challenge. This starts with the fact that we have two brands with Scania and MAN, both of which are strong in Europe. Scania has done a great job for many years. They have been banned over the years, "we do not need anyone!" Mm.de: Do not say now, "Renschler, what do you really want? We are the best!"? Renschler: Then I say: "True, today and only in Europe!" On the whole, Scania does not have the potential to become a global champion and quickly launch the innovations that we all need in the future. The Swedes know that. At MAN, we have a brand that had to pass through a deep valley. But the Munichers are also self-confident. "Americans are pragmatic. American truckers are even more pragmatic." Mm.de: These companies have consistently blocked joint projects. Then comes Andreas Renschler, and two years later everybody loves? Renschler: They do not have to love each other at once. But a large part of the organization begins to think of the whole. A new engine, for example, costs several hundred million euros, and that is just the development. Because it makes a difference, whether I develop this engine for a brand or three times. These are the arguments with which you convince the teams and make global engineering from MAN and Scania engineering. Mm.de: Now MAN and Scania are working on a common drive train ... Renschler: ... and thus cover well 60 percent of the costs of a truck, not to forget. Volkswagen has been looking for the synergies for a long time in the passenger car themes: the same mirrors, sheet metal, headlights, seatposts, etc. This only brings small money to Trucks. This will not take you too far. Mm.de: You have now taken a step forward. But does the enthusiasm of the self-confident Scania and MAN engineers really come as a surprise when they have to help the new American partners at Navistar ? Renschler: Why do you say "must"? The strategic alliance brings benefits for all. We can no longer think of brands. No matter who took the lead in one component; "We are developing the engine, but we are developing it for everyone, for MAN, for Scania, and now for Navistar." Mm.de: Volkswagen holds a 16.6 percent interest in Navistar. You can not determine anything. You must first convince the American developers that your engines are better than the US-provider Cummins used by Navistar. Renschler: This is not difficult. Navistar has invested a lot in its products in recent years despite the financial problems. They did well. But money was missing for future-proof engine technology. Mm.de: Purchasing suppliers does not have to be the worse solution. Renschler: In this case already. A separate engine is becoming increasingly important in our business, because of the lucrative service and spare parts business. This is missing from Navistar. The Americans need their own engine and they want it too. With Navistar such conversations are naturally easier than initially with MAN and Scania. They come by themselves and say: "Please, give us the engines". It was similar with "Rio" ... Mm.de: ... the digitalisation system for your trucks ... Renschler: ... we briefly discussed this in the morning with a visit to the Navistar headquarters, and it was said "look". In the evening the board members came back and expressed very clear interest. Americans are pragmatic. American truckers are even more pragmatic. "The results are still not good. That's true." Mm.de: You have just received the approval for the participation, after a waiting period of five months. What now has top priority? Renschler: We are starting immediately with our purchasing joint venture. Navistar wants to come through the partnership until 2021 to $ 200 million savings annually, purchasing is the fastest and easiest way. But we also go directly on the drive train. Mm.de: If Navistar wants to improve the result by the cooperation by 200 million dollars: how much is then for Volkswagen Truck & Bus in it? Renschler: I can not say that yet. Let us start with the fact that the cooperation between MAN and Scania will bring synergies of up to one billion euros per year by 2025. Mm.de: Mr. Renschler, you will be sitting together with your Chief Financial Officer Matthias Gründler in the Board of Directors of Navistar. You should also send someone to the management. Navistar is a redevelopment. Renschler: The renovation is almost completed. Board chief Troy Clarke has saved massively. Navistar has the lowest overhead costs of the entire industry. Mm.de: The company still does not earn money. Renschler: The results are still not good. That's true. But Navistar has a positive Ebitda. Mm.de: The pre-tax result remains red. Renschler: In 2010, Navistar had set the wrong technology before a tightening of the exhaust gas directives. Now they have to buy tens of thousands of affected trucks. These repurchases impacted the result. Mm.de: Navistars Dieselgate, so to speak; Only less scandalous, ... Renschler: ... maybe; But in any case a misdiagnosis of the company - at that time. Mm.de: Navistar CEO Troy Clarke has been running the company for four years. He has not succeeded in rehabilitating. Will you act as a major shareholder? Renschler: Sure, Troy Clarke did a good job for Navistar. He's been brought in as a firefighter. Others have laid the fire. The reduction in costs has already brought a lot. In 2012, Navistar has written nearly three billion dollars of loss. You can not turn this kind of society in a short time. "Our priority is clearly in Asia" Mm.de: Last year, Navistar lost 20 percent sales. This is not just proof of a turnaround. Renschler: The US market was difficult for all of us last year. In the truck sector you are much more dependent on the market than in the car business. In both North and South America, demand in 2016 has declined significantly. But it is slowly getting up again. The Navistar customers have also registered the Volkswagen participation and see that better technology will soon be available. We will gradually reinforce this confidence. Mm.de: Does this mean, in summary, that you completely do without management support from Germany and Sweden? Renschler: No, the subject will be up at some point. If appropriate positions become vacant, Matthias Gründler and I will address this in the board. We will then see if we have someone for the task. But we are not under pressure. We trust the current management a lot. Mm.de: Navistar may be another small step on the way to becoming a global truck company. But originally you wanted to take over truck manufacturers completely, in the USA and in Asia. This is no longer possible for the Group because of the billions of the bill. When can you really become Global Champion, the number one truck world? Renschler: We have to adapt to the conditions: if a path is blocked, one has to find another, smart way. Also for our goal, we did not make a specific date. We want to create it in the next decade; And of course rather sooner than later. Mm.de: And where do you stand with Volkswagen Truck & Bus? Renschler: Let's make it simple and take only the profitability. At the front is probably Paccar; And we are currently ranked third or fourth. Mm.de: In the first half of the year, you had an operating revenue of about 7 percent. Renschler: We are on a good path. In the medium term, we aim to achieve an operating return of 9 percent on average. Mm.de: They must improve above all internationally. How do you want to finance this? A stock exchange appears to be not really attractive because of the then impending depreciation. And if it were, the group would probably need more money than Truck & Bus GmbH. Renschler: You do not always have to buy entire companies, we have shown this with Navistar. And there are other financing options than selling shares. We need to expand our global business intelligently. In Brazil, we are building trucks that are ideally suited for export. We sell these trucks to South Africa, Nigeria and Mexico, for example. And there are many other possibilities. Mm.de: This alone is not enough to really globalize the Group. Renschler: Right, our priority is clearly in Asia. This is by far the largest market, and foreign truck builders have so far played no real role. Mm.de: You already have a partner there. MAN holds 25.1 percent of the Chinese truck manufacturer Sinotruk. Renschler: This partnership has existed for what seems like forever, with few ups and lots of downs. Of course, we are thinking about how we can better establish ourselves in China. For example, we could also underpin an extended partnership by sending some people into management. Mm.de: Volkswagen Group already has a truck joint venture in China. Would a second truck joint venture be an option there? Renschler: That too would be a model. Mm.de: Maybe with FAW? The company is associated with Volkswagen, especially with Audi. Renschler: They are strong in the truck business, no question.

Why is the U.S. Army (i.e. U.S. taxpayer) paying US$440 million to upgrade 1,085 mine-resistant armored vehicles for............the United Arab Emirates (UAE) ?

UPI / March 1, 2017 Navistar Defense received a $440 million contract from the U.S. Army to reset and upgrade 1,085 mine-resistant armored vehicles for the United Arab Emirates (UAE). The company will perform services on MaxxPro Mine Resistant Ambush Protected vehicles, or MRAPs, in addition to delivering specified sets, kits, packages and technical publications to the country. The contract was procured under the U.S. foreign military sales program. Work will be performed in West Point, Mo., and is expected to be finished by the end of March 2019. Navistar received $46 million at the time of the contract award. The U.S. Army Contracting Command is the contracting activity. The MaxxPro MRAP is designed to protect operators from blasts caused by improvised explosive devices, or IEDs, and other ground-level threats. Navistar says the vehicle's V-shaped hull provides improved survivability, and is designed to deflect IED blasts away from the vehicle. In addition to IED attacks, the vehicle is also designed to withstand ballistic arms fire and mine blasts. .

Trump: Infrastructure Plan Will Ride on Public Funds, Too Heavy Duty Trucking / March 1, 2017 In his address to a joint session of Congress on Feb. 28, President Trump called for a $1-trillion infusion of public and private investment to repair and expand the nation’s infrastructure. He devoted just about one minute of his hour-long speech to promoting that initiative, but it was the first time the president indicated that public— not just private— financing would be needed to fund his infrastructure proposal. Invoking President Dwight Eisenhower, who championed the building of the Interstate Highway System in the 1950s, Trump said “the time has come for a new program of national rebuilding. America has spent approximately $6 trillion in the Middle East -- all the while our infrastructure at home is crumbling. With this $6 trillion, we could have rebuilt our country twice, and maybe even three times if we had people who had the ability to negotiate.” Trump said he will be “asking Congress to approve legislation that produces a $1-trillion investment in infrastructure of the United States -- financed through both public and private capital -- creating millions of new jobs.” What remains to be heard is exactly how the administration expects to pay for the lavish infrastructure outlay promised by the president. Before moving onto other issues, Trump noted further only that his infrastructure proposal will be “guided by two core principles: buy American and hire American.” Despite the lack of details given, the American Trucking Associations was pleased for the attention paid to infrastructure in this major policy speech by the new president. “ATA was pleased to hear President Trump again sound the call to address our nation’s need to improve our transportation infrastructure,” said ATA President and CEO Chris Spear in a statement to HDT. “Trucks move 70% of our nation’s goods – more than half of our GDP – on a system of highways and bridges that is now on life support,” he continued. Spear added that the trucking lobby is “eager to work with the administration and Congress on solutions to funding this bold and long overdue goal.” The Intelligent Transportation Society of America also appreciated the mention of infrastructure by the president. “ITS America looks forward to working with the White House, Congress and others to find intelligent technological solutions to repair and rebuild our extensive transportation system,” the group’s President and CEO Regina Hopper said in a statement issued right after the speech. “Transportation drives our economy and makes America competitive around the world,” she said. “It connects communities, increases job opportunities, and it is essential to addressing equity, poverty, unemployment and access to education and health care.” Hopper added that “safer highways and roads are urgently needed. In 2016, more than 40,000 people died in accidents on our nation’s highways and roads. Intelligent transportation solutions will go a long way to saving lives and preventing injuries.” Rep. Bill Shuster (R-PA), chairman of the House Transportation and Infrastructure Committee, also released a statement soon after the address. “President Trump made infrastructure a priority before the election, and his address tonight reaffirmed his commitment to building a 21stcentury infrastructure,” Shuster contended. “Renewing the American spirit starts with creating jobs and economic opportunity,” he continued. “Our infrastructure is what ties all of these things together. The Committee looks forward to working with the president and the secretary of transportation to improve our infrastructure and strengthen our economy.” The president along with Republican and Democratic leaders as well as stakeholders large and small may all be on the same page when it comes to the crying need to fix and grow the nation’s infrastructure, but the devil in passing any such plan will be in the details. And as there are still none to pore over let alone influence, where Trump’s proposal may ultimately end up remains anyone’s guess.

Trump illustrates need for $1 trillion infrastructure package with advice from a ‘friend in trucking’ Overdrive / March 1, 2017 In an address to a joint session of Congress on Tuesday, President Donald Trump asked legislators to produce and pass a $1 trillion spending package meant to “launch a national rebuilding” of the country’s infrastructure, Trump said, including funds for rebuilding U.S. highways. “[President Eisenhower] initiated the last truly great national infrastructure program, the building of the Interstate highway system. The time has come for a new program of national rebuilding,” Trump said. “Crumbling infrastructure will be replaced with new roads, bridges, tunnels, airports and railways, gleaming across our very, very beautiful land.” Trump’s call for infrastructure investment came a day after he mentioned in a speech to the National Governors Association recently consulting with “a friend who is in the trucking business.” “He said, my trucks are destroyed going from New York to Los Angeles. They’re destroyed,” Trump said Monday. “He always prided himself on buying the best equipment. He said, the roads are so bad that, by the time we make the journey from New York to Los Angeles or back, he said the equipment is just beat to hell. I said, when has it been like that before? He said, it’s never — he’s been in the business for 40 years — he said it’s never been like that.” Tuesday’s address was Trump’s first to Congress since his inauguration as president. In most years, the speech would be referred to as the annual State of the Union address. However, presidential tradition dictates the speech only be dubbed the State of the Union if the president has been in office for a full year. Trump in his address lamented U.S. spending abroad, “all while our infrastructure at home crumbled,” he said. “America has spent $6 trillion in the Middle East. With this $6 trillion, we could have rebuilt our country twice, and maybe even three times,” he said, referring to money spent on wars in Afghanistan and Iraq and subsequent reconstruction efforts in those countries. However, unlike wartime spending in the Middle East, Trump’s infrastructure funding premise relies on enticing private investors to help reach the $1 trillion target. Trump said the investment would be split between “both public and private capital.” Privately funded infrastructure projects could mean more tolls on U.S. roadways, especially near urban centers, where traffic volume makes it easier for private companies to recoup their investment and earn profits. Talk of big spending on infrastructure was revived by Trump this week after mentioning it little in the first six weeks of his presidency. Trump promised during his campaign a $1 trillion investment into the country’s transportation infrastructure if elected. In a speech to the National Governors Association on Monday, Trump circled the issue, telling the country’s governors “it’s not like we have a choice” on infrastructure spending. “It’s not like, oh gee, let’s hold it off. Our highways, our bridges are unsafe,” he said.

Cummins X15 Efficiency Wins TWNA Technical Achievement Award The Cummins X15 Efficiency Series diesel has won the Truck Writers of North America’s 2016 Technical Achievement Award. The award was presented during an awards luncheon at the American Trucking Associations Technology & Maintenance Council’s annual meeting in Nashville, Tenn. Cummins redesigned its ISX15 to meet 2017 federal greenhouse gas and fuel economy requirements and introduced two models called X15 Performance and X15 Efficiency. The Efficiency version employs an Atkinson Cycle in its valve action that adds fuel efficiency important to fleet managers, said John Baxter, a freelance technical writer, former mechanic, and a member of the TWNA panel. That caught the attention of his colleagues in the voting. “The engine won for its advanced combustion design that includes a little-used Atkinson Cycle*, and other features,” explained Jim Park, chairman of the TWNA awards committee and Heavy Duty Trucking equipment editor. “It beat out four other finalists who had previously topped a pool of 15 candidates for the award. A panel of industry journalists from Canada and the U.S. debated and voted over a period of several weeks.” * https://en.wikipedia.org/wiki/Atkinson_cycle The 14.9-liter diesel gains 3% in fuel efficiency over the preceding model, the ISX15, through improvements to air-handling, combustion efficiency, reduced parasitic losses and advanced electronics, according to Tim Proctor, Cummins X15 engine system technical leader. Maintenance should cost 40% less than previous engines over five years. “The engine’s valve events are modified so that compression is slightly limited, allowing for greater-than-normal expansion during the power stroke that follows,” Baxter explained. “That means that the gases expand to 20 times their volume at the pistons’ top center by the time they are released, as opposed to standard expansion factors in the range of 15-17 to 1. Allowing the burning gases more room to expand captures energy that is normally thrown away when the exhaust valve opens.” Baxter continued, “The engine also features a new piston design that conducts heat more effectively away from the combustion bowl and into the cooling system. This takes considerable heat stress off the oil, allowing longer change intervals, and allows use of a smaller oil pump, reducing the parasitic loss associated with driving it. We congratulate Cummins on the originality of their re-design of the X15.” The other four finalists were: Accuride EverSteel wheel with a special anti-corrosion treatment Volvo and Mack “wave” piston, part of engine upgrades to comply with new GHG regulations SAF-Holland P89 disc brake, a high-performance, lightweight and moderate-cost braking product Volvo iSee and Mack Predictive cruise control, which “learns” routes and operates a truck’s powertrain to gain maximum efficiency TWNA first presented the Technical Achievement Award in 1991 to Grote Industries for its red LED marker lamp and has since honored companies large and small for their products and services. Founded in 1988, TWNA is a professional organization composed of writers, editors, public relations specialists, marketing personnel and others involved in the business of creating or producing information related to the world of trucking. “Cummins is honored to receive the Technical Achievement Award for our 2017 X15 Efficiency series, and it is especially relevant to us that this recognition comes from truck industry writers, many of whom have experienced the enhanced driveability and responsive performance of the X15 engine first hand,” said Proctor. .

Transport Topics / February 28, 2017 Expectations of improvements in comfort, safety and convenience underpin truck cab design, but a surge in digital information also must be accommodated in a driver’s home away from home, experts said. Representatives of three truck manufacturers addressed cab design as part of the Technology & Maintenance Council annual meeting here Feb. 28. TMC is a division of American Trucking Associations. The truck cab “must be adjustable to the driver … so they don’t adjust to it to operate their vehicle,” said Ivan Neblett, manager of international markets and product strategy at Daimler Trucks North America (DTNA), producer of Freightliner and Western Star brand trucks. For example, the seat is a critical element in the cab because that’s where a driver spends most of his or her time, he said. “Air seats have come a long way and today are almost the norm, but there will be further advancements,” Neblett said, such as with the heating and ventilation of the seat, cushion designs and how the headrests interact with the seat belts. At the same time, cab design means modeling the entire vehicle for improved aerodynamics, said Wade Long, director of product marketing at Volvo Trucks North America (VTNA). “Cab design is based on what is behind it. … We are driving the air to where we want it to be … aerodynamic mirrors help reduce noise and make it more comfortable driving,” Long said. Gauges are other key elements in the cab. In theory, the more gauges you’ve got, the more information a driver can read, said Darren Gosbee, vice president of powertrain and engineering at Navistar Inc., the parent company of the International brand of trucks. “But we can’t just keep adding gauges. We have run out of space,” Gosbee said. One consideration would be to locate a screen in front of the driver to display virtual gauges, or to assist in driver coaching using graphics that illustrate the truck’s position on the road, or show real-time fuel economy or information relayed from the back office to the cab, he said. The possibilities of what to display are endless since so much information and connectivity is available, said Gosbee. “But this could backfire because of driver distraction.” Voice activation will become more of a factor in managing the cab environment, he said. VTNA’s Long said, “You have heard about the Internet of Things, a truck is one of those things.” Meanwhile, truck makers use aluminum, steel and high-strength steel to form the shape of their cabs and apply adhesives to join the pieces together, which can present an issue when it comes to repairing the cabs, said one attendee who was an owner of a heavy-duty repair shop. For instance, when taking a roof off, then reinstalling it — what kind of glue is needed, what is the procedure “to do that in a repair-friendly cab, if there is one?” he said. One suggestion from the panel was to look at repair manuals from the truck makers, through the local dealer. “We’ve asked [for manuals],” the repair shop owner said. “We are asking for help here to get some repairs done … everything rolls in the door.” “Sometimes we don’t come up with the exact right answer in this forum,” moderator John Adami, a principal with Northwest Heavy Duty Inc., a manufacturer's rep agency, said. Adami suggested he could help arrange a conversation with technical support contacts at the truck makers who might provide more help. “That is one of the great values of TMC, that relationship-building opportunity,” he said. Adami said he understood it is frustrating to lack information in a world where we expect now to be able to repair things with internet videos. “But you suggest a scenario where that does not yet exist.” Another questioner from a motor carrier said fleets “struggle more and more” with the layout in new trucks to find a place — that won’t obscure the driver’s vision — to mount an electronic logging device, which for most will soon be mandatory. The Federal Motor Carrier Safety Administration’s ELD rule takes effect Dec. 17, and will shift almost all drivers to electronic logging and away from paper reports. VTNA’s Gosbee suggested as the industry moves forward, an app for ELDs could be available.

Navistar, Volkwagen Close Strategic Alliance Deal Heavy Duty Trucking / March 1, 2017 Navistar International Corp. announced the closing of its "wide-ranging strategic alliance" with Volkswagen Truck & Bus, which includes an equity investment in Navistar, a procurement joint venture, and technology and supply collaboration. "This alliance with Volkswagen Truck & Bus marks a significant milestone in our company's history, and we expect it will create multiple benefits for both companies in both the near and long term," said Troy Clarke, Navistar chairman, president and CEO. "Now that the transaction has closed, we will move quickly to collaborate with an industry-leading, strategic partner to increase our global scale, strengthen our competitiveness, and provide our customers with expanded access to cutting-edge products, technology and services." In fact, evidence of the new collaboration was already evident this week with Navistar's announcement at the ATA Technology & Maintenance Council annual meeting of the new A26 engine, based on the crankcase of a D26 engine from MAN – a German truck and engine manufacturer wholly owned by Volkswagen. "The authorities have given our strategic alliance with Navistar the green light. Our newly-founded purchasing cooperation will begin work immediately. This puts both partners in a stronger position for the future. The strategic alliance provides Volkswagen Truck & Bus with access to the all-important North American market. This is a major step toward becoming a global champion," said Andreas Renschler, CEO of Volkswagen Truck & Bus. With the closing of the alliance, Volkswagen Truck & Bus acquired approximately 16.2 million newly issued shares in Navistar, representing 16.6% of post-transaction undiluted common stock (or 19.9% of pre-transaction outstanding common stock), effective Feb. 28. As a result, Navistar receives $256 million to be used for general corporate purposes. Renschler and Matthias Gründler, Chief Financial Officer of Volkswagen Truck & Bus, are joining Navistar's board of directors. The companies' ongoing technology and supply collaboration, which operates out of Stockholm, Sweden, is intended to facilitate collaboration on several aspects of commercial vehicle development, including advanced powertrain technology solutions. Global Truck & Bus Procurement LLC, the procurement joint venture created by Navistar and Volkswagen Truck & Bus, will start work effective immediately. Operating out of Navistar's headquarters in Lisle, Illinois, it's made up of representatives from both companies who will be combining the demand of five brands, including Volkswagen Truck & Bus's Scania, MAN and Volkswagen Caminhões e Ônibus, in addition to Navistar's own International and IC Bus brands. Navistar continues to expect significant synergies from both the strategic technology collaboration and the procurement joint venture, expecting at least $500 million in "cumulative synergies" over the first five years.

Navistar, Volkswagen close alliance deal Fleet Owner / March 1, 2017 Navistar International Corporation announced the closing of its wide-ranging strategic alliance with Volkswagen Truck & Bus, which includes an equity investment in Navistar by Volkswagen Truck & Bus and framework agreements for a procurement joint venture and strategic technology and supply collaboration. “This alliance with Volkswagen Truck & Bus marks a significant milestone in our company’s history, and we expect it will create multiple benefits for both companies in both the near and long term,” said Troy Clarke, chairman, president and CEO, Navistar. “Now that the transaction has closed, we will move quickly to collaborate with an industry-leading, strategic partner to increase our global scale, strengthen our competitiveness, and provide our customers with expanded access to cutting-edge products, technology and services.” “The authorities have given our strategic alliance with Navistar the green light. Our newly-founded purchasing cooperation will begin work immediately. This puts both partners in a stronger position for the future. The strategic alliance provides Volkswagen Truck & Bus with access to the all-important North American market. This is a major step toward becoming a global champion,” said Andreas Renschler, CEO of Volkswagen Truck & Bus. With the closing of the alliance, Volkswagen Truck & Bus acquired approximately 16.2 million newly issued shares in Navistar, representing 16.6% of post-transaction undiluted common stock (or 19.9% of pre-transaction outstanding common stock), effective Feb. 28, 2017. As a result, Navistar receives $256 million to be used for general corporate purposes. As part of the alliance agreement and in line with Volkswagen Truck & Bus’s ownership stake, Renschler and Matthias Gründler, chief financial officer of Volkswagen Truck & Bus, are joining Navistar’s board of directors. “We are excited to welcome Andreas Renschler and Matthias Gründler to the Navistar Board, and are confident that we will benefit from their deep industry knowledge and fresh perspectives,” said Clarke. “Their expertise in commercial vehicle production will be invaluable as we strive to become the North American champion in our industry.” Global Truck & Bus Procurement LLC, the procurement joint venture created by Navistar and Volkswagen Truck & Bus, will start work effective immediately. As part of the alliance, it will create new opportunities for quality improvement and cost reduction, and will enable both companies to benefit from increased global scope and scale. The joint venture is operating out of Navistar’s headquarters in Lisle, Illinois, and comprises representatives from both companies who will be combining the demand of five brands, including Volkswagen Truck & Bus’s Scania, MAN and Volkswagen Caminhões e Ônibus, in addition to Navistar’s own International and IC Bus brands. The companies’ ongoing technology and supply collaboration, which operates out of Stockholm, Sweden, is intended to facilitate collaboration on several aspects of commercial vehicle development, including advanced powertrain technology solutions. Ultimately, it is expected to optimize research and development spend and expand the technology options both companies will be able to offer customers. Navistar continues to expect significant synergies from both the strategic technology collaboration and the procurement joint venture. As previously announced, Navistar expects the alliance to be accretive beginning in the first year, and for cumulative synergies for Navistar to ramp up to at least $500 million over the first five years. By year five, it expects the alliance will generate annual synergies of at least $200 million for Navistar. This annual run rate is expected to grow materially thereafter as the companies continue to introduce technologies from the collaboration. Volkswagen Truck & Bus houses the MAN, Scania, Volkswagen Caminhões e Ônibus, and RIO brands. The company intends to boost its profitability, customer innovation, and global presence over the next decade to become a leading commercial vehicle group worldwide. .

Transport Topics / March 1, 2017 Navistar International Corp. and Volkswagen’s Truck & Bus division completed their alliance announced in September, with the German automotive company acquiring 16.2 million common shares, or 16.6% of equity, and the Lisle, Illinois, truck maker getting $256 million. The deal was completed Feb. 28 and announced March 1 after the government regulators approved the transaction. “We never doubted it would close. The final approval was not in the U.S. or Europe but in one of the other places where we both do business,” Navistar Chairman and CEO Troy Clarke said in an interview shortly after the transaction was completed. The deal gives Navistar three separate major owners that collectively own about a half of the original equipment manufacturer: Carl Icahn, Mark Rachesky and VW. Icahn and Rachesky have had two seats each on Navistar’s board of directors, and now VW also has two. Joining the board are Truck & Bus CEO Andreas Renschler and Chief Financial Officer Matthias Grundler. Clarke said they joined the board Feb. 28, raising membership to 12 people. Renschler is the former head of the Daimler AG global truck division, the world’s largest heavy truck maker. VW’s two major heavy truck brands in Europe are MAN and Scania. Clarke said the VW money will be used for general purposes and that it gives the parent of International trucks and engines some breathing room. Clarke has been leading Navistar’s turnaround effort since 2013, during which time the company has carefully monitored cash reserves. “We do manage cash specifically and deliberately,” Clarke said. “We don’t anticipate using the money immediately, but it is good to plus-up our balances.” Although very useful, the money is probably not the most important part of the deal. Clarke said the two companies remain separate, as VW owns only about one-sixth, but the two will collaborate extensively. Most obvious is the new procurement joint venture, with the two OEMs pooling their purchasing power. Clarke said this will have three components: basic commodities, including oil, antifreeze and paints; components, such as fuel pumps; and finally, the development of future products. “This is a longer thing, where technology and procurement overlap,” Clarke said. Executives and managers from the two companies had been talking about how to proceed on a somewhat detached, conceptual basis. Now, Clarke said, they are also plunging into specifics. Not only are engineers and other professionals working with each other on trucks and engines in Lisle and VW’s headquarters city of Braunschweig, Germany, but also on technology. Clarke said Navistar and VW share an interest in connected vehicles, or the “digitization” of commercial vehicles, as the Germans call it. “This is a huge area,” Clarke said of telematics for maintenance and customer service, and technology for active safety systems, autonomous driver assistance and platooning. “There’s as much excitement here [in technology] as in the greasy bits” of oil filters and wheel ends. Technological advancement was sometimes difficult as a stand-alone company, Clarke said. That could mean prioritizing between developing a new cab and working on emissions regulations. “Now we have enough for both,” he said. “It’s great having a partner who looks at things the same way we do.”

Reuters / March 1, 2017 Volkswagen is ready to consider a new truck partner in China, for example with FAW in addition to Sinotruk (aka CNHTC), as a way to push its expansion in China, trucks chief Andreas Renschler told Manager Magazin. “We are thinking about how we can better establish ourselves in China,” said Renschler, adding that FAW is a strong player there. Asked about VW’s existing alliance with Sinotruk, in which VW Truck & Bus’s MAN unit holds a 25.1 percent stake, Renschler said: “This partnership has existed for what seems like forever, with few ups and lots of downs.”

People in Africa continue to pop out kids faster then a PEZ dispenser, creating a population far larger than the situation at any time can support, and the U.S. taxpayer is supposed to feed them ? There’s always a “famine” going on in Africa. It’s standard operating procedure. It’s not our job, and we can no longer afford it anyway. We need legislation that allows the U.S. taxpayer to “opt out”, disallowing our tax money to be spent as foreign aid. ------------------------------------------------------------------------------------------- Trump’s plan to slash foreign aid comes as famine threat is surging The Washington Post / March 1, 2017 President Trump has proposed large cuts to foreign aid at a time of acute need across Africa and the Middle East, with four countries approaching famine and 20 million people nearing starvation, according to the United Nations. It is the first time in recent memory that so many large-scale hunger crises have occurred simultaneously, and humanitarian groups say they do not have the resources to respond effectively. The United Nations has requested $4.4 billion by March to “avert a catastrophe,” Secretary General António Guterres said last week. It has so far received only a tiny fraction of that request. The details of Trump’s budget proposal have not been released, and large cuts to foreign assistance will face stiff opposition from Congress. So far, U.S. funding for the hunger crises has come out of a budget approved last year under President Obama. But the famines or near-famines in parts of Somalia, South Sudan, Nigeria and Yemen underscore the reliance on continued U.S. assistance to save some of the world’s most desperate people. In Nigeria, millions have been displaced and isolated by Boko Haram insurgents. In Somalia, a historic drought has left a huge portion of the country without access to regular food, as al-Shabab militants block the movement of humanitarian groups. In South Sudan, a three-year-old civil war has forced millions of people from their homes and farms. In Yemen, a civil war along with aerial attacks by the Saudi-led coalition have caused another sweeping hunger crisis. In 2016, the United States contributed about 28 percent of the foreign aid in those four countries, according to the United Nations. “Nobody can replace the U.S. in terms of funding,” said Yves Daccord, the director general of the International Committee of the Red Cross (ICRC), who said of the current crises: “I don’t remember ever seeing such a mix of conflict, drought and extreme hunger.” U.S. aid officials said they were still trying to discern what the White House was planning to allocate to humanitarian assistance. Even though foreign aid is typically around 1 percent of the government’s budget, that is enough to make the United States by far the world’s largest donor. Last year, the United States contributed $6.4 billion in humanitarian aid, according to the United Nations, more than a quarter of global funding. “We remain committed to a U.S. foreign policy that advances the security, prosperity and values of the American people,” said a USAID spokesman, who added that he was not authorized to speak on the record. But asked whether the United States planned to contribute to the new U.N. appeal for hunger relief, the USAID official said, “We have no new funding to announce at this time.” Early reports said Trump planned to propose 37 percent cuts to the State Department and the U.S. Agency for International Development budgets. Many experts said they expected that those cuts would exclude U.S. contributions to security assistance. “That leaves a much smaller component, which takes us directly to cuts in humanitarian assistance,” said Scott Morris, a senior fellow at the Center for Global Development. The four hunger crises pose an enormous challenge for the humanitarian community, which is now torn between those emergencies. The last time a famine was declared in Africa was in Somalia in 2011. Nearly 260,000 people died, and aid groups later determined that they had waited too long to act. Famine is only declared when at least 30 percent of a population is acutely malnourished, and two adults or four children per every 10,000 people are dying each day. Humanitarian groups have tried to apply the lessons from the 2011 disaster by moving quickly at the signs of deepening food crises. But the number of countries at risk of famine simultaneously makes a swift, thorough response to each of them very difficult. “The donors are struggling left, right and center with their own allocations,” said Silke Pietzsch, the technical director for Action Against Hunger. “There are just too many fires to take care of.” The United Nations was, by its own admission, late to recognize the scale of the crisis in northeastern Nigeria. Last year, when aid workers from Doctors Without Borders began traveling to parts of the country that had been blocked by Boko Haram fighters, they found soaring malnutrition rates and scores of people dying of preventable illnesses. Now, huge swaths of the region are still inaccessible to aid workers. “No one can go 15 miles outside of the local government capitals,” said Yannick Pouchalan, the country director for Action Against Hunger. “There are still many people without any access to humanitarian assistance.” USAID has been the largest provider of assistance in the crisis, Pouchalan said. “If that aid stops, it means we won’t reach the people in need,” he said. None of the crises are strictly about a lack of food aid or humanitarian funding. “These are man-made crises in need of political solutions,” Pietzsch said. In South Sudan, where two counties are already in the midst of famine, continued clashes between government and opposition forces have restricted the access of aid workers and kept people from farming on their land. The United Nations and other humanitarian groups have frequently been targeted by armed groups affiliated with both sides of the conflict. During fighting in July, government forces stole 4,500 metric tons of food from a World Food Program compound in Juba, the capital, enough to feed more than 200,000 people. More than 1 million children in the country are malnourished and could die without a rapid intervention, according to UNICEF. The United States has given more than $2.1 billion to South Sudan since the start of the conflict in December 2013. USAID claims that American food donations reach 1.3 million people every month and “has saved lives and helped to avert famine for three consecutive years,” according to a State Department statement last week. Yet as the situation there worsens and food prices continue to rise as a result of an unusually bad harvest across much of Africa, the need for humanitarian assistance is expected to grow. In South Sudan, 700,000 people are already in “phase four” of the hunger crisis, the last stage before famine. In Somalia, Save the Children has warned that the country has reached a “tipping point” and could quickly enter a famine “far worse than the 2011 famine.” Of the four crises, Somalia’s is the most clearly linked to drought conditions, but insecurity caused by al-Shabab militants frequently keeps humanitarian workers from reaching civilians.

Only in America........................ Will President Trump act ? --------------------------------------------------------------------------------------------------------------------- Judge approves release of Florida nightclub shooter's widow Reuters / March 1, 2017 A judge cleared the way on Wednesday for the widow of the gunman who killed 49 people at a gay nightclub in Orlando, Florida, to be released from jail and also appeared to throw doubt on the strength of the government's case against her. Noor Salman, 30, was arrested in California in January on federal charges she knew before the June 2016 shootings that her husband, Omar Mateen, was planning the attack and concocted a cover story for him. Prosecutors want Salman to remain jailed before her trial in Florida. But U.S. Magistrate Judge Donna Ryu said in an Oakland courtroom that the government had not shown Salman was a danger to the community or a serious flight risk. "I find the weight of the government evidence as debatable," Ryu added. Commenting on the prosecutor's charges against Salman, the judge said: "All the government assertions are hotly debated." Salman is charged with obstructing justice and aiding Mateen in his attempt to provide material support to a terrorist organization. Mateen was killed in a shootout with police after he took hostages during a three-hour standoff at the Pulse nightclub and carried out the deadliest mass shooting in modern U.S. history. Ryu gave prosecutors in Florida 48 hours to challenge her ruling, meaning Salman could not walk free from jail until Friday at the earliest. William Daniels, spokesman for the U.S. Attorney's Office of the Middle District of Florida, said by telephone that prosecutors would file a motion by Friday with a judge in Orlando challenging Salman's release. Ryu likened Salman's release to house arrest, ordering her to live with her uncle in Rodeo, California, and saying she could leave home only for court and medical appointments. Her conditional release will be secured with a $500,000 bond.