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The Mack ADS-1 “Bus of Tomorrow” (also known as the “Dream Bus”) was based on a design created by Russian-American Count Alexis de Sakhnoffsky, a leading industrial designer and automotive stylist who had done design work for Cord, Auburn, Packard and later White Motor Truck (the 1937 Labatt’s Streamliners). He also designed the Tucker 48 with Preston Tucker. First exhibited in the fall of 1956 at the American Transit Association convention in St. Louis, the modern Mack ADS-1 prototype was built on the company’s C-49-DT city bus platform and fitted with Mack “Air-Glide” air suspension. Low entry/exit height and a wide aisle permitted faster passenger flow for reduced stop times while providing greatly improved accessibility to passengers with physical disabilities. Oversized side and overhead windows took city bus design to a new level, providing passengers with a comfortable, airy riding environment and unsurpassed panoramic view. The Mack ADS-1 was eventually sold and put into service with Schenectady Transportation Corporation in New York where it operated in revenue service along Route 5 between Schenectady and Albany as unit #700. Interestingly, the charter division of Schenectady Transportation Corporation, Nationwide Tours, also operated the Mack MV620 Greyhound Lines prototype and two Mack 97-D coaches in revenue service. Later, Schenectady Transportation Corporation sold the Mack MV620 Greyhound Lines prototype and Mack ADS-1 prototype to ABC Bus Lines of Providence, Rhode Island. They referred to the ADS-1 as the “World’s Fair Mack”. It appears that George Kistler Jr. of Allentown, Pa., a fire protection equipment distributor, approached ABC Bus Lines in 1968 to purchase both the Mack MV620 Greyhound Lines prototype and Mack ADS-1 “Bus of Tomorrow”. However, the final deal was only for the MV620-D, which was later used by Kistler for client entertainment and company transportation until Mack repurchased the coach in 1970. Had Kistler acquired the Mack ADS-1, it would have avoided a fiery fate. In 1971, there was a catastrophic fire at ABC’s North Attleboro, Massachusetts garage. The temperature of the fire was so extreme that fire trucks were literally melting and had to pull back. Fortunately the Mack MV620 Greyhound prototype was not in the fire, however the futuristic one-of-a-kind Mack ADS-1 was. In addition, two Mack 97-D inter-city coaches formerly operated by Nationwide Tours were lost in the fire. ABC Bus Lines later operated a third Mack 97-D, which was purchased from Peninsula Transit (Pentran), formerly Citizens Rapid Transit, in Hampton, Virginia. .

The only surprise is that Ford will foolishly terminate Cummins as an engine option and go it alone with a couple of pickup truck engines in their medium trucks. In addition, Allison automatic transmissins will no longer be an option. A beefed up pickup truck auto transmission will be offered instead. This is all further proof that Ford is no longer serious about the commercial medium truck segment. As I said before, Ford has allowed their medium truck market share in the U.S. to dwindle to nothing. Despite having had a second chance when GMC withdrew from the market, Ford wasn’t interested and now Navistar and Freightliner dominate the medium-duty segment. Despite not having invested any meaningful amounts of money in Brazil and Turkey, the company continues to be a major player in both the medium and heavy truck segments. Ford excites me in those markets. Just imagine what Ford could do there with some truly new models including a serious Class 8 that could take on the European truckmakers head-to-head? However in the US, Ford has made a decision to focus on cars and light trucks. Ford has the money and wherewithal to re-enter the US heavy truck market tomorrow, or to lead in medium truck sales. But their thoughts are elsewhere.

Ford Press Release All-New Ford F-650/F-750 Anchors America's Broadest, Best-Selling Lineup of Commercial Trucks • Built Ford Tough: Fully designed and developed by Ford Truck engineers in Dearborn, robot-tested over taxing durability courses, 500,000+ miles of harsh dynamometer engine testing at extreme power levels and temperatures and built in the USA by Ford • Great Value: Ford 6.7-liter Power Stroke® V8 diesel engine and Ford TorqShift® six-speed automatic transmission enhanced for medium-duty use with great power, performance and fuel economy, backed by unsurpassed warranty and national network of more than 3,000 Ford service centers • Work-Ready: All-new, upfit friendly chassis developed in cooperation with leading industry body makers, clean chassis capable of accommodating vocational bodies with little to no modification, and all-new dedicated tractor model for heavy trailering INDIANAPOLIS, March 4, 2014 – Ford, America's truck leader, today sets a new standard in medium-duty commercial work trucks with the all-new Ford F-650/F-750 – the toughest, great value and work-ready Ford medium-duty trucks ever. The new F-650/F-750 joins America's broadest commercial vehicle lineup, delivering an impressive combination of commercial-grade quality, capability and convenience that now includes segment-exclusive Ford gasoline and diesel engines, outstanding performance at an affordable price, and comfortable and modern interiors. "Every day, we're thinking of new ways to better serve our hard-working customers," said John Ruppert, general manager, Ford Commercial Vehicle Sales & Marketing. "The same Ford engineers who developed the best-selling F-Series have designed this all-new medium-duty lineup that can meet the demands of our toughest customers with trucks that are cost-effective, ready for work, and, most importantly, can help keep them going on the job." The Ford F-650/F-750 anchors Ford's Commercial Truck lineup – America's best-selling line of commercial trucks for 29 years – giving vocational customers an unmatched one-stop shop to meet their needs, from a Class 1 Ford Transit Connect cargo van to a Class 7 Ford F-750 tractor rig. Every truck and van in the Ford Commercial Truck lineup will be all-new or significantly refreshed in the next 18 months. The Ford F-650/F-750, which will be 2016 model year trucks, will be available spring 2015. Offered in three cab styles – Regular Cab, SuperCab and Crew Cab – and three models – straight frame, dock height and an all-new dedicated tractor model for heavy towing – the new F-650/F-750 features a bold look inside and out, a powerful and efficient second-generation 6.7-liter Power Stroke® V8 diesel, medium-duty six-speed TorqShift® automatic transmission and a host of unique features not found on any other medium-duty truck. The 2016 F-650/F-750's new exterior styling commands attention on the road with Built Ford Tough looks that also help deliver improved functionality. The all-new mesh grille framed by hallmark Ford nostrils helps improve airflow for optimal cooling performance. Also new are sharp fenders, aerodynamic headlamps and F-650/F-750 badges embossed in "Bold Leadership" font. Available PowerScope® trailer tow mirrors feature large standard and spotter mirrors and segment-exclusive power telescoping and folding design. The area behind the cab was redesigned to more easily accommodate custom work bodies, such as tow truck, dump truck and ambulance bodies. Tough Testing The 2016 Ford F-650/F-750 is Ford's toughest medium-duty truck ever. Before it goes on sale, it will have been torture-tested by people and machines in labs, at Ford proving grounds and on America's highways and city roads. The grueling testing simulates the demands Ford's customers will subject the truck to throughout its useful lifetime, from hauling heavy loads through the brutal summer heat of Death Valley to towing heavy trailers up steep grades – in temperatures from 40 degrees below zero to 120+ degrees Fahrenheit. Part of the F-650/F-750 testing includes Ford's robotic test driving program – now in use at the company's Michigan Proving Grounds in Romeo, Mich. – to meet demands that Ford trucks undergo ever more strenuous Built Ford Tough testing. "Some of the tests we do on our commercial trucks for North America are so strenuous that we limit the exposure time for human drivers," said Dave Payne, manager, vehicle development operations. The robotically driven vehicles are expected to repeatedly perform tests on torturous surfaces that can compress 10 years of daily driving abuse into courses just a few hundred yards long, with surfaces that include broken concrete, cobblestones, metal grates, rough gravel, mud pits and oversized speed bumps. Tough Powertrains Newly available for F-650/F-750 is the Ford-built and proven 6.7-liter Power Stroke V8 diesel paired with a commercial-grade six-speed 6R140 automatic transmission with available power takeoff provision to run accessories in the field, a dump body, crane or other vocational equipment. Building upon the success of the Power Stroke in the F-Series Super Duty lineup, the F-650/F-750 6.7-liter Power Stroke and TorqShift have been developed and tested for medium-duty applications, with three horsepower and torque levels and a five-year/250,000 mile limited warranty. Ford is the only medium-duty truck manufacturer that designs and builds its own diesel engine and transmission combination, ensuring the powertrain will work seamlessly with all chassis components and vehicle calibrations – from concept to execution. This approach also enables Ford engineers to optimize the vehicle's performance across the entire lineup. Key innovations on the 6.7-liter Power Stroke V8 turbo diesel are its compacted graphite iron engine block and so-called reverse-flow layout. The advanced design places the exhaust inside the engine's V-shape while the air intake is positioned on the outside of the V. This segment-exclusive design naturally improves a variety of attributes: • Shorter airflow from the exhaust system to the turbocharger sitting between the engine's cylinder banks improves turbo responsiveness – key to providing torque quickly to truck customers when they need it most • Positioning the turbo inside the engine's valley helps isolate the engine's hottest temperatures, helping improve performance and efficiency, while also reducing noise, vibration and harshness to improve driver comfort Power Stroke drivability is enhanced with tow/haul mode that includes a switchable integrated engine brake. The driver can regenerate the diesel particulate filter on-demand to clear out trapped soot from the exhaust system to help maximize performance. Intelligent Oil Change Monitoring is standard so oil changes are based on driving patterns and load demands instead of fixed distance intervals. During testing, the 6.7-liter Power Stroke V8 endured the equivalent of 500,000+ miles on an engine dynamometer, replicating the duty cycle of the harshest-use customer. The fuel-efficient transmission features a low first gear ratio for optimized takeoffs under load and optimized gear ratio span across all gears for optimized fuel economy. It's also strengthened with new materials and extra pinion gears for medium-duty service. Ford remains the segment-exclusive automaker to offer a gasoline-powered engine for a medium duty truck. The 6.8-liter V10 is now available for both F-650 and F-750 models with the 6R140 six-speed automatic transmission. The 6.8-liter V10 can be factory-prepped for converting to compressed natural gas or liquid propane gas as cost-effective alternatives to unleaded gasoline. Great Value By controlling every aspect of development in-house, from design to manufacturing to service, Ford will be able to offer F-650/F-750 customers exceptional value, convenience and cost of ownership. For service needs, a network of more than 3,000 Ford Commercial Truck and retail service dealers are ready to tackle any service need with minimized travel time and extended service hours, to keep work trucks on the road and in the field longer. Leveraging the best-selling F-Series Truck lineup, the F-650/F-750 interior is designed and engineered with a level of fit, finish and refinement that matches that of Ford F-Series Super Duty F-250 through F-550 trucks. New features include a 110-volt power outlet, available SYNC® and Crew Chief™ factory-installed fleet management telematics, and a rapid-heat, supplemental cab heater that quickly warms the cab in cold climates. Remote start is also available. A new steering wheel has advanced controls to focus driver attention on the road, and a click of the turn lever features automatic five-blink turn signals. A choice of hydraulic or air brakes is available. "We have a lot of design and feature comforts that you might otherwise find in more mainstream products," said John Davis, Ford Commercial Truck chief nameplate engineer. "Comfort and convenience additions include our quiet diesel, hands-free mobile device connectivity and improvements to ride and handling." An all-new Ford engineered frame and suspension include a new anti-roll bar for enhanced roll control and longer leaf springs for an improved ride over the previous model. Work Ready The 2016 F-650/F-750 is easier than ever to prep for medium-duty jobs. Auxiliary components such as the diesel exhaust fluid tank and standard fuel tank are now located under the cab instead of behind it on the frame. This clean cab-to-axle design satisfies more truck body applications and makes customizing easier, which helps reduce the customer's final costs and time to delivery. Aluminum fuel tanks replace steel and are lighter to help efficiency. The electrical system is more robust than the outgoing model to handle larger component loads. "We leveraged our strengths from being the leader in classes 1-5 to create a better F-650/F-750," Davis said. "We brought the new medium-duty program in-house to utilize our expertise from our other tough truck and commercial vehicle lines which ultimately results in a better product at a competitive price."

Reuters / March 4, 2013 Ford introduced new versions of two medium-duty commercial trucks on Tuesday at a trade show in Indianapolis, vehicles that -- for the first time in years -- will be built without the help of Navistar International Corp., Cummins Inc. or Allison Transmission Holdings Inc. The 2016 F-650 and F-750 trucks, which will go on sale in the spring of 2015, will be assembled at Ford's plant in Avon Lake, Ohio, and feature chassis, engine and transmissions all built in-house. For years, the two vehicles were built on chassis made in Escobedo, Mexico, under a joint venture with Navistar, using diesel engines supplied by Cummins and transmissions supplied by Allison. Ford executives say bringing the components back in-house will reduce costs and simplify service issues when they arise. The production shift to the United States is welcome news for most of the 1,600 UAW-represented production workers employed at the Ohio plant. They faced the specter of mass layoffs as Ford largely phased out the E-Series "Econoline" van currently made in their plant in favor of the new Transit line of vans, which will be built in Kansas City. By moving medium-duty truck production back to the United States, only a few hundred union members will lose their jobs. F-650 and F-750 buyers will have two engine choices with the new trucks, according to Ford: a new 6.7-liter V-8 diesel, built at the company's plant in Chihuahua, Mexico, or a V-10 gasoline engine built at its plant in Windsor, Ontario, which can be factory-modified to run on compressed natural gas or liquid propane gas. Ford will no longer offer customers the option of having a 6.7-liter turbo diesel built by Cummins installed in the vehicles. That powerplant provided the muscle for all the diesel versions of the trucks in recent years but is being discontinued as Ford brings the truck's key content in-house. Both vehicles have also undergone major redesigns that have put key components under the cab instead of behind the cab or on the frame, a change Ford says will make it much easier for buyers to customize their trucks. That's important because the F-650 and F-750 are typically sold as cab-and-chassis-only skeletons and customized by purchasers to serve as everything from dump trucks to ambulances, furniture and beverage delivery vehicles to electric-utility and oil-field service trucks. Ford said it will announce pricing later this year. The current models currently retail for between $55,595 for a gas engine-powered F-650 to $70,075 for a F-750 with a Cummins 6.7-liter diesel. .

The first bus was a Mack..............The first Mack was a bus .

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Scania sales marketing videos on the Mack-Scania V-8: http://www.youtube.com/watch?v=bPK9PyenTtc&list=PL2E544D75CCFF281D http://www.youtube.com/watch?v=7CvwcMGqlZY&list=PL2E544D75CCFF281D http://www.youtube.com/watch?v=uWSYHQkUmLk&list=PL2E544D75CCFF281D http://www.youtube.com/watch?v=NLGnL_vs260&list=PL2E544D75CCFF281D http://www.youtube.com/watch?v=4la95x_QY18&list=PL2E544D75CCFF281D http://www.youtube.com/watch?v=TEVLrFB5uVk&list=PL2E544D75CCFF281D http://www.youtube.com/watch?v=DZ5Qn5FOdlw&list=PL2E544D75CCFF281D http://www.youtube.com/watch?v=j7C2OsdSH8k&list=PL2E544D75CCFF281D http://www.youtube.com/watch?v=v52etw_qTQo http://www.youtube.com/watch?v=tuu4D-j-Ymc http://www.bigmacktrucks.com/index.php?/topic/34855-the-new-scania-streamline/

If this is an on-highway application, did you ever consider a TRDLG1070 7-speed overdrive?

Put the new Streamline thru its paces yesterday. Another winner. Here's a great video on the Streamline. Scania's sales marketing is second to none. The Scania Streamline. In shape to stay ahead. http://www4.scania.com/en/streamline/Intro/ Scania Streamline - styling and aerodynamics http://www.scania.co...room.aspx?tab=8 http://www.bigmacktr...e-name-returns/

Heavy Duty Trucking / February 25, 2014 Kalmar Ottawa Trucks says it has extensively redesigned its terminal tractor, resulting in a new Ottawa T2 model with a strengthened chassis, smoother styling, an advanced cab interior and easier serviceability. "Nearly two years ago we began the process of creating the T2 by consulting with the real terminal tractor experts - our dealers and their customers,” said David Wood, vice president, sales and marketing, for Kalmar’s Americas region. “We took their advice and our engineers applied advanced design processes to build a truck that offers superior ergonomics inside the cab for improved driver productivity, easier serviceability and overall better performance." The cab's frame structure remains high-quality welded steel, but is enhanced with the addition of a ROPS (roll-over protection system) certification as a standard feature on all models. The T2’s chassis, consisting of left, right, front and rear modules, features open C-channel powder-coated rails that are stronger than the previous design, Wood said. Shackle links and pins and front spring lubrication are eliminated with smooth riding parabolic, tapered leaf springs. All chassis components are pre-drilled and powder-coated for less chance of rust and corrosion. The fifth wheel lifting mechanism is faster and has spherical bottom and top bushings and stronger lower lift supports. The T2’s redesigned cab offers more interior room and better visibility. Easier exit and entry is provided by a 23.5-inch wide door opening at the rear. Interior layout includes driver-friendly rocker switches, improved belly clearance with the steering wheel, suspended brake and throttle pedals, more room behind the driver's seat, space on the dash for yard management system devices and other electrical interfaces and a cup holder. An access panel in the front of the cab is larger and easy to open removing a few bolts. Many routine service procedures, such as oil and transmission fluid checks, can be accomplished quickly and safely from ground level. The T2 utilizes Kalmar Ottawa's proven three-point air suspension system and electric cab tilt, which also helps speed-up maintenance and servicing time. "The T2 is now more durable, serviceable and comfortable to operate, and offers a finely-tuned balance of power, functionality, performance, ergonomics and serviceability," Wood said. The off-highway T2 is powered by a Cummins QSB6.7 diesel that meets new U.S. Environmental Protection Agency (EPA) Tier 4-Interim emissions standards. On-road models use the Cummins ISB6.7 EPA 2013 diesel. Alternative-fuel engines are also available. The Kalmar Ottawa terminal tractor dealer network provides sales, service and support from 120 locations throughout North America. .

This question is a blast from the past. The Maxidyne head gasket used fire rings. So (if I recall correctly), you would have to cut grooves into the surface of your Thermodyne heads to accept the proper Maxidyne head gaskets. And as others have pointed out below, Maxidyne engines used shot-peened connecting rods.

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Presenting the Scania (Mack) V-8 http://www3.scania.com/en/V8/GB/Celebration/

I have nothing against Mr. Roy personally. However after watching the interview below, it reinforces my feeling that he's not the least bit qualified to lead the Mack brand. He's merely speaking the script written and approved by Volvo (conceived by Dennis Slagle and Olof Persson). True leaders of the truck industry that included the likes of Alfred Brosseau, Zenon C.R. Hansen, Henry Nave, Al Pelletier, John Curcio and Elios Pascual spoke from their hearts and minds, immediately earning your respect with their demeanor and in-depth knowledge of the truck business. Experienced and qualified, they were in their element and it was visibly evident. But of course Volvo doesn't actually want a president, because Mack is now merely a brand name, and no longer a (American) company. They want a guy who will be a face for the Mack brand when duty calls, subserviently go with flow and obey the "Volvo Way". A junior Volvo corporate guy is all they need. And no doubt, Persson is thrilled that Roy's salary will be much smaller than Flahertys. http://fleetowner.com/video/interview-stephen-roy

The Korea Herald / February 16, 2014 Navistar International released its signature ProStar commercial trucks in Korea on Wednesday, becoming the first U.S. truck maker to enter the market since the Korea-U.S. Free Trade Agreement went into effect in March 2012. The International ProStar is a 6-by-4 with 475 horsepower and 235 kilograms per meter of torque. Aerodynamics contribute to 50 percent of overall fuel economy, which makes it critical for a vehicle to be designed to minimize drag, Navistar said, adding that the vehicle’s aerodynamic nose and other components make it one of the most fuel efficient vehicles in the truck industry. More than 70,000 units of the model have been sold in the U.S., and the company expects the 159 million won ($150,000) vehicle to create $5 million in profit in Korea this year. U.S. Ambassador to Korea Sung Kim (left) shakes hands with Tom Clevinger, senior vice president and general manager of Navistar’s global export operations, at the Grand Hyatt Seoul Hotel. (Navistar) “In the U.S., the ProStar was used as a benchmark for developing aerodynamic standards. Under the free trade agreement, Korean truck drivers will now be able to experience the cost savings associated with the improved aerodynamics and fuel efficiency of aero-nosed on-road commercial trucks,” said Tom Clevinger, senior vice president and general manager of Navistar’s global export operations at a press conference in Seoul last week. The arrival of ProStar is expected to create a stir in the heavy load truck market, of which 55 percent is dominated by European vehicles such as Daimler AG, Skania, Volvo and MAN. Domestic players include Hyundai and Tata Daewoo. The imported truck market has shown steady growth. According to the Korea Customs Office, $129 million worth of trucks were imported to Korea in 2009 and imports jumped to $213 million in 2013, a 64 percent increase. Korea’s free trade agreements with the European Union and the U.S. are expected to improve their competitiveness due to the lowered tariffs. The current 1.6 percent and 4 percent tariffs on European and U.S. cars will be scrapped from July and 2016, respectively. Clevinger said that Navistar products have 9 percent higher fuel efficiency than their European competitors.

Truck News / February 25, 2014 A California company has invented a new tire inflation system that uses the wheel’s rotational motion to pump and maintain optimal air pressure. Aperia Technologies says it has tested its Halo Tire Inflator over eight million miles, including in Canadian winters. The bolt-on system doesn’t tap into the vehicle’s air system. Instead, it functions like a self-winding watch, using the rotational motion of the wheels for power. Aperia says its new system, which will debut at the Technology and Maintenance Council meetings in March, works with dual and wide-base single tires. “The fuel savings from properly inflated tires are well documented,” said Josh Carter, CEO and co-founder of Aperia. He cited FMCSA data that showed proper tire inflation pressure contributes to a 1-2% fuel economy increase, compared to the 55% of truck tires on the road today that are suspected of being at least 5 psi from their target pressure. Research also indicates underinflation is the cause of one tire blow-out per tractor-trailer each year. “Numerous studies, including research by the FMCSA, show that by eliminating tire underinflation, the average fleet can save more than $2,200 annually for each tractor-trailer,” explained Carter. The Halo system can be installed in five to 10 minutes per wheel-end and doesn’t require a connection to an air compressor, the company says. “Bringing truly innovative technology like the Halo to market takes a great deal of time, money and thought,” said Brandon Richardson, CTO and co-founder of Aperia. “After four years of R&D and more than two years of on-road fleet testing we are confident the Halo will satisfy the needs of the most demanding fleet operations.”

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My friend, that's simply not how business works. We're not talking about the corner hardware store hiring a new kid for the plumbing section. In three years time, an unqualified individual can cost a company billions in lost sales and mistaken strategies. This is why historically and for good reason, major companies typically hire "qualified" individuals to be presidents and/or CEOs. The only reason I can think of here is that Roy, like Flaherty, is merely a puppet under Volvo. Ask Flaherty and he'll tell you that he had none of the powers that a president of the former Mack Trucks had so as to run the company. It was a demeaning joke, and he's glad to now be away from it in retirement.

Bloomberg / February 24, 2014 Daimler, the world’s biggest commercial-vehicle manufacturer, said profit and sales growth this year will help the truck operation reach an eventual goal of an 8 percent return on sales. The Daimler Truck division’s deliveries rose in all markets last month except Latin America, where growth was hampered by processing of Brazilian state-funded lending applications, Wolfgang Bernhard, head of the business, said today at a press conference in Stuttgart, Germany. “We began the new year as we expected,” Bernhard said, reiterating forecasts of “significant” growth in sales and a “substantial” increase in earnings before interest and taxes this year. “I’m therefore optimistic that we will remain on course for success in 2014 and move a good step closer towards achieving our medium-term targets.” After revising its heavy-duty line-up in the past two years to meet stricter European Union emissions rules that took effect on Dec. 31, Stuttgart-based Daimler is focusing strategy at the truck unit on increasing profitability. New models being rolled out this year include vehicles for the BharatBenz brand in India, Western Star in the U.S. and Fuso in Asia, Bernhard said. Savings Strategy Daimler Trucks, whose biggest nameplates are Mercedes-Benz in Europe and Freightliner in the U.S. as well as Fuso, is likely to reach a goal of improving Ebit by 1.6 billion euros ($2.2 billion) by the end of 2014 through cost savings and delivery growth, Bernhard said. The program, dubbed Trucks No. 1, generated about 500 million euros of that amount last year. The division has a medium-term target of raising Ebit to 8 percent of sales. The return on sales narrowed last year to 5.2 percent from 5.4 percent in 2012 because of costs from warranties, cutting jobs and currency effects, especially the yen’s drop against the euro. Excluding those items, the margin in 2013 was 5.6 percent, Daimler said today. Daimler, whose Mercedes-Benz car brand is the world’s third-biggest maker of premium vehicles, has held back from setting a new deadline for profitability targets after postponing it twice from a 2010 target date. Truck-division revenue last year rose 0.3 percent to 31.5 billion euros while Ebit fell 3.4 percent to 1.64 billion euros. Orders jumped 19 percent because of higher demand in the Americas. Production Cuts Advance sales of trucks in Europe have been “restrained” in recent weeks after several customers bought cheaper trucks last year before models were equipped technology to comply with the new EU emissions rules, Bernhard said. Daimler Trucks has reduced production in response, eliminating some Saturday shifts at German sites under union agreements on flexible-work arrangements, he said. Investments at Daimler Trucks in the two years through 2015 will total 4.4 billion euros, focusing on research and development and building and equipping factories, the company said today. “We aim to remain the spearhead of technological developments,” with annual spending at 7 percent to 8 percent of revenue, Bernhard said. “We’re investing to sustainably secure our leadership position,” he said, reiterating Daimler’s plan to sell 700,000 trucks annually by 2020. Daimler’s truck deliveries rose 4.8 percent to 484,200 vehicles in 2013. That compares with a decline of 2 percent to 200,300 trucks at Gothenburg, Sweden-based Volvo, which ranks second to the German company in global sales. Bernhard’s Role Bernhard became head of the truck division in April in a job swap with Andreas Renschler, who was assigned to run production and purchasing at the Mercedes-Benz car business. Renschler left Daimler after 25 years last month and will join Volkswagen AG in 2015 as the German competitor pushes for its Scania and MAN heavy-vehicle businesses and VW commercial unit to cooperate more closely. Industrywide registrations in Europe of commercial vehicles heavier than 16 metric tons, excluding buses and coaches, rose 8.3 percent to 238,500 vehicles last year after sales more than doubled in December, according to data of the ACEA trade group. Daimler Trucks is predicting the European and Brazilian vehicle markets this year will decline slightly, countered by growth of as much as 10 percent in North America. That compares with Volvo’s forecasts that industrywide demand will rise 5.8 percent in North America and 13 percent in Brazil, versus a drop of 4.2 percent in Europe.

As I mentioned before, Flaherty has been replaced by Stephen Roy, a Volvo man that has only been around truck parts since 2008, as Volvo Trucks senior vice president, parts sales and marketing (he's the guy that brought you those unbelievably high parts prices so as to improve Volvo’s margins). From 2002 thru 2007, Stephen Roy was a loan guy with Volvo Commercial Finance. And that's it, the brief extent of his involvement in the truck industry. Amazing that Volvo feels his modest credentials are adequate for heading their Mack brand unit. What is Roy saying? That under Volvo, the Mack brand has fallen and now requires “revitalizing”? Roy says that Volvo plans to “re-launch” the Mack brand. That would infer the Mack brand has been off the market for a period. “Starting this year, we’ll know when a truck comes into a dealership and when a truck leaves a dealership...........we’re able to transmit this information to other companies ” Installing GPS tracking devices on all new trucks so that Volvo can follow you AND share that information with other companies sounds too much like the NSA to me. Who gave Volvo the authority to track the whereabouts of their customers?

Truck News / February 21, 2014 Stephen Roy says Mack will push for market share gains, particularly on-highway Stephen Roy, the newly installed president of North American sales and marketing for Mack Trucks, knows there’s work to be done. Mack’s market share isn’t where he’d like it to be, and a recent focus on product and customer support has taken attention away from Mack as a brand. But he also feels the pieces are in place to revitalize one of the oldest brands in trucking. This effort will officially commence with a re-launching of the Mack brand at the ConExpo construction show in early March. And you can also look for Mack to aggressively grow its on-highway presence. “If we are going to improve share, we need to have a larger presence in the on-highway market,” said Roy. The last five years have seen Mack dealers invest more than $300 million into their facilities to better serve customers. They’ve increased bay capacity by 40%, added 50% more technicians, and trained those technicians so that now one in four are top-certified Master Technicians. Dealers also have increased their hours of service, and 60% now forward after-hours calls to Mack’s call centre, so that customers can receive support around the clock. Last year, Mack launched its GuardDog Connect remote diagnostics program, which allows Mack to remotely monitor engine fault codes and advise operators on the best course of action. Included in that service is dealership geofencing, which will notify Mack when trucks have been in the shop too long. “With GuardDog Connect, we have a geofence around every one of our dealerships,” Roy said. “Starting this year, we’ll know when a truck comes into a dealership and when a truck leaves a dealership. To assist a dealer, we’ll call the dealer and say ‘We notice this truck is in, what can we do to help you get the product in and out the door as soon as possible’?” Mack officials working out of a new three-storey Uptime Centre, to be built at the company’s Greensboro, N.C. campus, will be able to intervene when trucks are down for repair too long. This may mean directing them to a less busy dealership nearby or expediting delivery of the required parts. Later this year, Mack will also be teaming with Telogis and PeopleNet to stream its remote diagnostics data to those telematics providers, who will then convert the data into useful information for fleets. “We’re never going to be the gurus of telematics, there are too many good companies doing that,” Roy said. “But since we put GPS on the trucks standard, we’re able to transmit this information to other companies to provide all the things fleets need from a productivity standpoint.” Mack continues to be strong in the vocational segment, which has seen double-digit growth in each of the past few years. But its overall share of the North American Class 8 truck market remains just under 10%. Roy hopes to change that as early as this year. “With our backlog and the amount of activity we see now, there’s no reason Mack can’t be above 10% this year, with a vision to being much greater than that,” Roy said. Having spent the last five years bolstering its customer support, Roy said the time is right to make a push in the on-highway market. “We’re known for our vocational side, but my focus is to make sure - because we now have the network support, which is key - that we get back in front of our customers and let them know we do have a value proposition for them,” Roy said. “The timing is right but it’s not going to happen overnight.” Mack’s dealer network, meanwhile, is continuing to strengthen, with another 40 projects currently underway. “Our dealers are re-investing and the company is re-investing in research and development for new product as well as for infrastructure and support,” Roy said. “We feel Mack is very well positioned with products, we’re continuing to invest in R&D and we’re well positioned with our dealer network.” Roy cited the recent World of Concrete show as evidence the vocational truck market has been revitalized. “The activity at World of Concrete was as high as we’ve seen since 2006,” he said. “Customers were not looking at two or three trucks, they were looking (to buy) 25-50 trucks, which is great…We’ve seen double-digit increases the last few years. Housing starts, GDP - everything points to improvements on the vocational side.” Roy is projecting about 250,000 Class 8 truck sales this year in Canada and the US, which would represent a slight uptick in demand from 2013. Roy demonstrated the passion and exuberance for the Mack brand that industry observers have come to expect from people holding senior positions at that company. “I’m passionate about the Mack brand and where we can go,” he said. “I’m 50 and I plan to do this for the next 15 years.” Asked what customers and industry observers can expect to see over the next year, he said “We’re going to execute better than we’ve ever done.” http://www.trucknews.com/news/were-going-to-execute-better-than-weve-ever-done-new-mack-president-vows/1002927492/

So VW, unable to grasp that the heavy truck business is totally different from the passenger car industry, believes they can buy and “share” Scania’s superior technology with MAN and VW Truck (Constellation), without damaging (gutting) Scania’s market position. VW’s CEO Martin Winterkorn certainly has a lot to learn about the heavy truck industry. When Leif Oestling was Scania’s CEO, he opposed MAN’s VW-supported hostile bid for Scania in 2006. He aptly described MAN’s offer as an unwanted German “blitzkrieg.” But now that he has sold his soul to Volkswagen, and surprise, he’s now all for the change (he retires next year with a money chest from VW). If VW successfully purchases the remaining shares of Scania and shares Scania’s cutting edge technology with MAN and VW Truck, then Scania will obviously have lost its unique identity in the global market as its once brand-unique components will have become a common market commodity. In the first nine months of 2013, Scania’s profit margin was 9.4 percent, while MAN’s was just 0.4 percent. MAN is a great company, but Scania is the most profitable truckmaker in the world. In profitability, only Paccar compares.

Bloomberg / February 23, 2014 Volkswagen’s 6.7 billion-euro (US$9.2 billion) bid for the rest of Scania is key to raising profit at its three truck brands by sharing technology and components in the same way that VW’s passenger-car brands have already successfully done. Volkswagen argues that using common parts at its commercial-vehicles operations is critical to taking on industry leaders Daimler AG and Volvo AB, and requires full integration of Scania because the plan means the brands would all share technology, something Scania’s minority investors have opposed. “It enables you to create economies of scale regardless of the volume you produce,” Horst Wildemann, a professor for business administration, logistics and production at the Technical University of Munich. “Scania has already made substantial progress in this area and can build vehicles with fewer different components than Volvo for example.” VW’s namesake commercial-vehicles unit and its MAN division, which are less profitable than Scania, stand to benefit from Scania’s industry-leading expertise. This is exactly what some Scania owners have blocked, arguing that helping the other two (competing) brands is not in the interest of Scania and minority holders. Cost Savings The strategy VW has successfully applied at the passenger car brands is to share as much as possible while still keeping their independent identities. VW has said that its modular system for compact and midsize cars, which is the basis of models including the VW Golf and Audi’s A3, saves about 20 percent in costs per vehicle and reduces engineering hours by 30 percent. “We plan the same modularity for heavy trucks,” CEO Martin Winterkorn said in an interview last March. “Sounds simple, but requires a huge effort.” VW declined over the weekend to make Winterkorn or other board members available to discuss their strategy. VW trucks chief Leif Oestling is now trying to sell the takeover, something he opposed when MAN made a hostile bid for the Scania in 2006. As Scania CEO at the time, he described MAN’s offer as an unwanted “blitzkrieg.” The 68-year-old executive said three days ago that the current ownership structure, in which VW controls 62.6 percent of Scania’s share capital, has been “unsatisfactory for all parties” and one that “caused friction.” “We’ve been working here in the past year and gradually came to the conclusion that this is one important step for an integrated truck group,” he said Feb. 21. Investor Opposition VW thus far has only achieved 200 million euros in purchasing savings from Scania, its own commercial-vehicles unit and German truckmaker MAN, which VW also controls. VW’s goal is to deepen cooperation between the three in areas such as drivetrains, chassis, cabins and electronics to reach annual operating profit synergies of 650 million Euros. Given that developing new heavy trucks takes years, the automaker doesn’t expect to reach that goal for at least a decade. Scania’s minority investors have thus far not bought into VW’s integration plan, and some instead this month asked for an independent auditor to examine whether ownership of the company by VW and MAN poses a conflict of interest. They oppose the elimination of a board-nominating committee and a 16% cut in the dividend for 2013 to 4 kronor per share. Investors over the weekend raised doubts about the offer. “Scania’s prerequisites to maintain its leading position are better as a listed company than as a subsidiary in a larger group,” said Caroline af Ugglas, head of equities and ownership at pension provider Skandia, which owns 0.8 percent of Scania. “Skandia doesn’t intend to accept the offer.” Better Margin Scania’s 2013 operating profit rose 2 percent to 8.46 billion kronor ($1.3 billion). In the first nine months of 2013, Scania’s profit margin was 9.4 percent, while MAN’s was just 0.4 percent. MAN has yet to release full-year results. VW only plans to pursue the bid if it can secure 90 percent of Scania, which is the threshold needed under Swedish law to force the remaining owners to sell their holdings and delist the company. Scania’s board said yesterday that a committee independent of the VW members will evaluate the bid and make a recommendation on the offer at a later date. VW is offering 200 kronor per share, 36 percent above Friday’s closing price of 147.50 kronor for the company’s B stock. The shares have gained 7.4 percent in the last 12 months, valuing the Swedish truckmaker at 116.8 billion kronor. Explanation Needed Arndt Ellinghorst, head of automotive research at ISI Group in London, said in a note to clients that the offer is too high given the size of the announced cost savings. “There was no sufficient explanation provided on how this valuation was justified other than the fact that VW currently can’t exercise full control,” Ellinghorst said. “We especially struggle to understand the transaction’s benefits since it was confirmed that Scania, MAN and VW Trucks will remain independent companies.” VW currently controls Scania via its direct holding and a stake owned by MAN. The German automaker started buying stock in the Swedish manufacturer in 2000 and acquired majority voting control in March 2008. The automaker already has a domination agreement with MAN, which means the two can legally work more closely. That leaves Scania as the last of the three units preventing VW from fulfilling its goal of creating a heavy truck division that can better compete with Daimler and Volvo. .