WARRENVILLE, Ill.--(BUSINESS WIRE)--
Navistar, Inc. has been awarded a development contract by the United
States Postal Service (USPS) under which Navistar will engineer a diesel
powertrain replacement for USPS delivery vehicles. Navistar's re-powered
diesel vehicle effort is designed to significantly reduce the escalating
service and fuel costs associated with the USPS's aging fleet.
Under terms of the contract, the USPS will deliver one of its Long Life
Vehicles (LLV) to Navistar Engine Group's Engineering and Technical
Center in Melrose Park, Illinois, where the company's in-house re-power
engineering department will develop, install and test a diesel
powertrain that features Navistar's MaxxForce® 3.2-liter
turbodiesel engine. Financial terms were not disclosed.
"When the USPS current fleet was first put into service, diesel fuel and
advanced diesel powertrain technology were not widely available," said
Andrew Dondlinger, vice president, North America operations, Navistar
Engine Group. "Now, by replacing its gasoline powertrains, USPS could
realize diesel's benefits of fuel efficiency, long operational life and
low service and operating costs."
A proven diesel re-power solution could be used to upgrade USPS vehicles
over the next decade. It is not uncommon for diesel powertrains to
achieve fuel economy gains of up to 35 percent when compared to gasoline
powertrains. Further savings would be gained from diesel's lower
maintenance requirements, longer service life, and overall lower cost of
ownership. Navistar estimates the USPS could realize payback on each
re-powered vehicle in as little as two years depending on maintenance
and fuel costs.
Beyond Navistar's history of development work on USPS diesel re-power,
the company's reputation as an integrated truck and engine manufacturer
and its proven capabilities for on-time, on-budget work for the U.S.
military also influenced the contract award.
About Navistar
Navistar International Corporation (NYSE: NAV) is a holding company
whose subsidiaries and affiliates produce International®
brand commercial and military trucks, MaxxForce® brand diesel
engines, IC Bus™ brand school and commercial buses, Monaco®
RV brands of recreational vehicles, and Workhorse® brand
chassis for motor homes and step vans. The company also provides truck
and diesel engine service parts. Another affiliate offers financing
services. Additional information is available at www.Navistar.com/newsroom.
Navistar International Corporation
Media contact:
Roy Wiley,
630-753-2627
or
Investor contact:
Heather Kos,
630-753-2406
Web site: www.navistar.com
Source: Navistar International Corporation
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