Navistar

[Mack 3P]

Caterpillar, Navistar to jointly make, sell trucks

I don't know what this all means bacasue at the same time Navistar has an agreement with Cummins.

Cummins, Navistar Extend Agreement Through 2013

[ThaddeusW]

Very interesting! Hmm no more CAT options for other makers? Looks like the USA is moving from vendor engines to propriety engines or exclusive deals. We now have:

Mack: Volvo engines

International: Proprietary MAN design and CAT for big bore most likely.

PACCAR: Cummins PX6(ISB) ; PX8(ISL) ; ISX and the proprietary DAF MX engine

Freightliner brands: Detroit and Mercedes engines along with Cummins

[james j neiweem]

It may mean that long term Cat gobbles up Navistar. CAT could be looking at the Navistar distribution network. At least this would keep Navistar out of the hands of the europians such as Man. No harm meant to the Australians just the Europeons. They own way to much of American Industry. This sounds like it would be big time competition for the construction/logging/oilfield business. This is a real tangled web Navistar-Cat-Cummins-Man-Ford.

[DADDYSLILGURL]

I COULD HAVE SWORN I HEARD THAT CAT WAS PULLIN OUT OF THE COMMERCIAL TRUCK INDUSTRY AND GOING STRICTLY CONSRUCTION CUZ THE COULDY MEET EMMISSION STANDARDS. THAT AND ALOT OF OWNER OPERATORS I KNOW WERE HAVIN PROBLEMS WITH BLOW BY AND KEPT SPINNIN TURBOS ON THEIR NEW CATS!!! SO WHY CAT WOULD BE INTERESTED IN NAVISTAR I HAVE NO IDEA

[HK Trucking]

It may mean that long term Cat gobbles up Navistar. CAT could be looking at the Navistar distribution network. At least this would keep Navistar out of the hands of the europians.

Too bad Cat didn't gobble up Mack trucks before the evil European aggressors did.

Cat and Mack would have been an awesome combination.

Oh well, too late now.

[Mackpro]

My friend up at Mack in Allentown told me today that Cat finally did come out and say they would not make any "truck engines" for the 2010 emissions. I dont blame them at all. The guy that lives across the street from me is a Cat equipment salesman and I saw him at his mailbox and asked him If its true and he said yes.

[james j neiweem]

Found this on a site called bustropolis. Very complicated

Posted: Tue Nov 18, 2003 12:54 pm Post subject: Who owns Cummins?? You'll be sorry you asked...

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(1) Isuzu owned Subaru, and sold out to Fuji Heavy Industries, which was then jointly acquired by British Leyland and Ford.

(2) BL & Ford then spun off Fuji/Subaru into an independent company. Big mistake. Ford bought BL, and owned Isuzu outright. Big mistake.

(3) Isuzu entered into a joint development partnership with Navistar International. Stock interests were traded. Eventually, one of the projects would be a 7.3L V-8 light-duty diesel. Guess who picked that one up for use in its pickup trucks?

(4) Navistar also had entered into a joint development partnership with Caterpillar. One of the projects was a direct injection system that would be picked up by -- Ford. And Isuzu mediums.

(5) Caterpillar owned a large chunk of Bosch. GM owned another big chunk. And so did a third major player -- Daimler Benz. Bosch was the primary developer of Caterpillar's direct injection system. But GM forced Caterpillar to turn over its share of Bosch, and then forced Bosch to abandon direct injection in favor of developing an "improved" generation rotary injection pumps. The initial designs for those pumps had been brought to GM by former Isuzu engineers working for Ford.

(6) What did Caterpillar receive in return for giving GM its stock in Bosch? GM's stock in Cummins. Ford then sold its small share of Cummins stock because of antitrust regulations in the U.S. Caterpillar, on the other hand, avoided antitrust problems by a joint incorporation agreement with Cummins under a Brazilian operation named Inquardo, Ltd.

(7) Eventually almost all Cummins manufacturing and design were moved over to that part of the "house". However, that move proved so efficient and profitable that Cummins began to eat into significant markets for Caterpillar, so Caterpillar merged its manufacturing and design base with Cummins in Brazil, leaving skeleton operations only in places like Peoria, Illinois. Cummins management largely pushed out Caterpillar management after several years.

( With me so far? Caterpillar owns Cummins, but Cummins has effectively "eaten" Caterpillar. In Brazil. Here, they're separate, of course, but it's only the purposes of adhering to American commercial law. But wait. There's more.

(9) Ford had some disasterous capitalization-and-flow problems after the overseas buying spree of the early nineties, during which it acquired British Leyland, Isuzu, Fuji, part of Fiat, and parts of other companies. Ford was forced to sell Isuzu to maintain cash flow beyond the U.S. Who did they sell Isuzu to? Navistar International. Along with certain manufacturing and sourcing arrangements. Navistar hoped to go global again, as in the grand old days of International Harvester.

(10) But Navistar couldn't hold on to Isuzu either, what with a $2 billion dollar loss in 1995, and eventually sold its controlling interest in the company to Daimler Benz.

(11) Isuzu was having its own problems, since its global market share in light and medium diesels was rapidly shrinking. The cause of the problem was Cummins, which, after swallowing Caterpillar - in Brazil - had also acquired NGT, Tapei Technologies, Allison Canada, and Nansen-Renault, all in hostile takeovers, all manufacturers of diesel technologies outside of the U.S. So, Cummins had effectively cornered the controlling share of the global market outside of North America and Western Europe. (Why do you think the splashgate at their website is so heavily global?)

(12) After nine months of negotiation, Cummins and its subsidiary, Allison Canada, entered into a joint development arrangement with Isuzu, owned by Daimler, and with the surviving U.S. corporation, Allison, which was at that point partly owned by GM. Cummins, however, dominated the partnership, and eventually managed to assume Daimler's and GM's interests in Isuzu and and Allison.

(13) In the case of Isuzu, Cummins has an equal partnership with Daimler, which, of course, has also acquired Chrysler Corporation. That's why, when Ford offered Cummins a billion-dollar package to manfacture medium and light truck diesels for its vehicles in 2001, Cummins said no. Again, for antitrust reasons, a public holding company was set up to handle Isuzu as a separate corporate entity. The name of the company is Benz Transporation Technologies, of San Paulo, Brazil. BTT also is a major owner of the Benz division of Daimler Chrysler, which manufacturers most of the diesel engines in Europe. In the case of Allison, Cummins controls it through a series of holding companies ending with Inquardo, Ltd., the orginal Caterpillar-Cummins creation in Brazil. Cummins also controls a fair-size block of stock in GM, through the ownership of a cartel of South Korean and Thai banks and investment groups.

(14) Navistar has continued its free-fall in spite of its partnership with Ford in the light-duty diesel area. Three weeks ago, after the implications of labor troubles, a rise in basic resource costs, and the disasterous introduction of the 6.0L PSD had become clear, Navistar's financial arrangements with Citibank and Manufacturers B&T collapsed. Both banks arranged to float the company infrastructural loans if it would agree to a merger with -- are you ready for this? -- Inquardo, Ltd. As of last Thursday, Cummins owns 67% of Navistar through Inquardo.

Right now, Cummins makes all diesels in all pickup trucks sold in the United States. Cummins makes 73% of all diesels in all trucks sold in the world. The board of directors at Inquardo -- which isn't listed on any stock exchange -- includes 9 Cummins execs, 2 Caterpillar execs, and one Wells Fargo Bank exec. The CEO and CFO are also Cummins vice presidents. And there are Cummins execs on the boards of Daimler Chrysler, General Motors, Toyota, and Honda America. Ford, the holdout, has not been doing very well.

So it isn't a question of who owns Cummins. It's a question of who Cummins owns, and who's next. Could be Ford. Could be DC. Could be both. Ford Viper, anyone? Mercedes Mustang with a 6.0L Shelby Diesel and a Holset twin turbo?

And some have claimed that the new Navistar/Ford 6.0L is Cummins' revenge for the Bosch VP44"

_________________

01 2X4 Cummins 3500 quad 3.55 auto. alarm and remote start. NurfBars, K&N filter. No silencer ring, Dr Performance injectors (65 rwh rated), comp box , Auto meter pyro, fuel, boost, piller pod. Mallery 4150 pump, DTT VB,

97 4x4 cummins 3500 3.55 extended cab auto alarm and remote start. nurfBars, GPS, p3 933 under rear seat, flat panel by ash tray, Autometer trans, Pyro, Boost, Fuel Pressure. 4k gsk, 4" pipe, 370's, K&N Air Charger, no silancer ring, custom #6 cam plate, timing @ 16, DTT Trans, Billet Servos, Billet Input shaft 89% HR TC, luke link

90 RTS

http://www.bustropolis.com

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