WARRENVILLE, Ill., Oct 30, 2009 (BUSINESS WIRE) -- Navistar, Inc. and Anhui Jianghuai Automobile Co. Ltd. ("JAC") will
explore a potential engine joint venture to develop, build and market
advanced diesel engines for commercial vehicles in China. The potential
joint venture, if formed, would have a 50/50 ownership between Navistar,
a leading U.S.-based maker of commercial vehicles, motor coaches and
diesel engines, and JAC, a leading China-based maker of commercial and
consumer vehicles and engines.
The proposed JV would establish a research and design center in China's
Anhui province for application engineering development, product design
and technology advancements. Diesel engines produced by the new venture
would primarily be used in China, as well as certain export markets.
"This proposed joint venture would bring together the resources of two
leaders, JAC in China's commercial vehicle segment and Navistar in the
global diesel engine business," said Eric Tech, president, Navistar
Engine Group. "The result would yield outstanding advanced technology
products for commercial truck owners throughout the region."
"This key initiative would not only give JAC access to world-class
engine products, technology and management but would also support our
long-term business growth strategy," said Zuo Yanan, Chairman, JAC.
Formation of the joint venture is subject to the completion of due
diligence, approval by each party's board of directors, negotiation of
definitive agreements, corporate and regulatory approvals. Management
structure would consist of eight directors, four from JAC and four from
Navistar.
About JAC
Anhui Jianghuai Automobile Co. Ltd. (JAC) is principally engaged in the
development, manufacture and sale of sport recreational vehicles,
passenger cars, commercial vehicles and related parts. The company
offers business vehicles under the brand name of Refine, light and heavy
trucks, sports recreation vehicles (SRVs) under the brand name of Rein,
carriage chassis and cars. http://jacen.jac.com.cn.
About Navistar
Navistar, Inc., the operating company of Navistar International
Corporation (NYSE: NAV), produces International(R) brand commercial
vehicles, MaxxForce(R) brand diesel engines, IC Bus(TM) brand school and
commercial buses, Monaco RV brands of recreational vehicles, and
Workhorse(R) brand chassis for motor homes and step vans. It also is a
private-label designer and manufacturer of diesel engines for the pickup
truck, van and SUV markets. The company also provides truck and diesel
engine service parts. Additional information is available at www.Navistar.com/newsroom.
SOURCE: Navistar
Navistar
Business Media contact: Roy Wiley, 630-753-2627
Trade Media contact: Steve Schrier, 630-753-2264
Investor Contact: Heather Kos, 630-753-2406
Web site: www.Navistar.com/newsroom
Copyright Business Wire 2009