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Navistar International Corporation (NYSE: NAV) (formerly International Harvester Company) is a U.S. manufacturer of International brand commercial trucks, MaxxForce brand diesel engines, IC Bus school and commercial buses, Workhorse brand chassis for motor homes and step vans, and is a private label designer and manufacturer of diesel engines for the pickup truck, van and SUV markets. The company is also a provider of truck and diesel engine parts and service.
The company's products, parts, and services are sold through a network of nearly 1,000 dealer outlets in the United States, Canada, Brazil, and Mexico and more than 60 dealers in 90 countries throughout the world. The company also provides financing for its customers and distributors principally through its wholly owned subsidiary, Navistar Financial Corporation .
History
The merger of McCormick Harvesting Machine Company and the Deering Harvester Company in 1902 resulted in the formation of the International Harvester Company (IH) of Chicago, Illinois, which over the next three quarters of a century evolved to become a diversified manufacturer of farming equipment, construction equipment, gas turbines, trucks, buses, and related components. During World War II, International Harvester produced the M-series of military trucks that served the Marine Corps and the U.S. Navy as weapons carriers, cargo transporters and light artillery movement. Today, Navistar produces International brand military vehicles through its affiliate Navistar Defense.
International Harvester fell on hard times during the poor agricultural economy in the early to mid-1980s and began exiting many of its business sectors in an effort to survive; in the process, it shed most of its operating divisions: Construction Equipment Division to Dresser Industries; Solar (gas turbines) Division to Caterpillar; Cub Cadet (lawn and garden equipment) to MTD Products and, lastly, the Agricultural Division to Tenneco who merged it with their JI Case subsidiary. The Scout & Light Truck Parts Business was sold to Scout/Light Line Distributors, Inc. in 1991.
After the Ag sale in 1985, all that remained of IH was the Truck and Engine Divisions. The company changed its name in 1986 to Navistar International Corporation. (The International Harvester name and IH logo were assets of the Agricultural Division and consequently were part of the sale to Tenneco; the IH name and logo are still in use being incorporated into the Case IH brand name). In the early 1980s, IH developed a series of reliable large-displacement V8 diesel engines which were sold as an option for heavy-duty Ford 3/4-ton and 1-ton pickup trucks.
IH still uses the International brand in its agricultural, construction and truck product lines and the brand name continues on in product lines of Navistar International's International Truck and Engine Corporation subsidiary.
In January 2006, the company declared it would not file its form 10-K annual report with the U.S. Securities and Exchange Commission on time. The delay was caused by the disagreement with its auditors, Deloitte and Touche, over complex accounting issues. In April, Navistar fired Deloitte, its independent auditor for 98 years, and hired KPMG to help restate earning back to 2002 in order to fix accounting errors. On December 15, 2006, Navistar executives announced further delay of its restatement and 2006 results. The announcement prompted the NYSE to announce the delisting of the company, after 98 years of trading, although the NYSE subsequently delayed the delisting pending an appeal by Navistar. However, Navistar was removed from the S&P 500 Index, and the NYSE eventually denied Navistar's appeal and delisted the stock; it traded on the Pink Sheets until 30 June 2008, when it was re-listed on the NYSE, under its previous ticker symbol, NAV, after catching up with its filings. Christopher Anderson, the Deloitte partner responsible for the 2003 audit, accepted a one-year suspension from public audits in 2008, and became the first individual to be fined by the PCAOB.
In 2001, Navistar formed a joint venture with longtime (20 years) customer Ford Motor Company to manufacture medium-duty trucks and parts including diesel engines for both parent companies. The new company, Blue Diamond Truck Co. LLC, operates in the Navistar plant in General Escobedo, Mexico . Its first products were the 2004 Ford Super Duty F-650 and F-750 trucks.
Navistar International has a contract with Budget Truck Rental to make their rental trucks.
In 2005, Navistar purchased MWM International Motores, a Brazilian engine manufacturer formerly associated with Deutz AG.
Navistar formed a joint venture with Mahindra & Mahindra to build heavy trucks in India under the Mahindra International brand, which has since been renamed Mahindra Navistar.. These Trucks were displayed at Auto Expo 2010 in Delhi,India
In 2007, Navistar's International Truck and Engine Corporation is the first company to enter hybrid commercial truck production, with the International DuraStar Hybrid diesel-electric truck.
Navistar entered into an agreement to purchase General Motors' medium duty truck unit in 2007, but because of changing market conditions the purchase was not concluded.
At present Navistar International makes the largest pick-up truck available on the market in the United States. The International CXT is the largest pick-up available to the non-commercial consumer. Navistar is also the prime supplier of MRAP armored vehicles to the US military.
Navistar International is notable for a significant workplace shooting at its Melrose Park, Illinois plant on February 5, 2001.
List of International Harvester/Navistar Diesel engines
See also: List of International Harvester/Navistar enginesInternational Truck and Engine recently launched the MaxxForce brand name for their current line of Diesel engines. Current engines were re branded as "MaxxForce" followed by a number corresponding to the engine's displacement, rounded up. So the 4.5L VT275 became the "MaxxForce 5". Ford continued to use the Power Stroke brand name on their International-sourced engines.
Plug-in hybrid vehicles
Main articles: Plug-in hybrid and hybrid electric busUSDOE announced the selection of Navistar Corporation for a cost-shared award of up to $10 million to develop, test, and deploy plug-in hybrid electric (PHEV) school buses. The project aims to deploy 60 vehicles for a three-year period in school bus fleets across the nation. The vehicles will be capable of running in either electric-only or hybrid modes and will be recharged from a standard electrical outlet. Because electricity will be their primary fuel, they will consume less petroleum than standard vehicles. To develop the PHEV school bus, Navistar will examine a range of hybrid architectures and evaluate advanced energy storage devices, with the goal of developing a vehicle with a 40-mile (64 km) electric range. Travel beyond the 40-mile (64 km) range will be facilitated by a clean diesel engine capable of running on renewable fuels. The DOE funding will cover up to half of the project's cost and will be provided over three years, subject to annual appropriations.
See also
- International Harvester
- List of International Harvester vehicles
- Odyne Corporation
References
- ^ Navistar files reports, will be relisted on NYSE: Financial News - Yahoo! Finance
- ^ Deloitte Partner Disciplined Over Navistar Audit, CNN, October 31 2008
- ^ http://www.navistarengines.com/about-us-company-heritage.aspx
- ^ http://fleetowner.com/mag/fleet_blue_diamond_formed/
- ^ http://www.internationaldelivers.com/Site_Layout/Escobedo/Escobedo_plantInfo.asp
- ^ http://driversmag.com/ar/fleet_ford_unveils_super/
- ^ Company Info - Budget Truck Rental
- ^ The Hindu on Mahindra International,.
- ^ http://www.motorindiaonline.com/2008/09/mahindra-international-is-now-mahindra.html
- ^ International Truck and Engine First Company to Enter Hybrid Commercial Truck Production, November 9 2007, Fuerteventura Digital
- ^ GM to sell its Medium Duty Truck Unit
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^
GM and Navi
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