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Scania and Cummins launch new joint venture

The new high-pressure fuel injection system jointly developed by Scania and Cummins is now entering the production phase. The system is designed to further enhance engine efficiency and environmental performance. A new 70­30 joint-venture agreement has now been signed to form Cummins-Scania High Pressure Injection LLC, a production company that is operational from 1 January 1999.

In 1992, Scania and Cummins jointly started to develop a new high-pressure injection system, the objective being to find ways to further enhance diesel engine efficiency and environmental performance.

Development has now been successfully completed and production of the new system started on 1 January 1999 in Columbus, Indiana, USA. Mr Scott Deyerling has been appointed General Manager for the operation. The new production company

- owned 70 percent by Cummins and 30 percent by Scania - will gradually raise its capacity to cater for the needs of both companies. The first engine to use the new electronically controlled system is the Cummins Signature 600.

"The R&D period has been very constructive," says Håkan Samuelsson, Chief Technical Officer and Executive Vice President at Scania. "The new high-pressure injection system will enable us to strike an even better balance between fuel consumption and emissions. Scania will use the new system to supplement capacity for future products."

"We are pleased to be able to further our relationship with Scania, with whom we developed this exciting new technology," says Cummins Chairman and Chief Executive Officer Jim Henderson.

For further information, please contact: 

Per-Erik Nordström, Product Affairs, Scania

tel. +46 8 55385577, mobile +46 70 5535577

Hans-Åke Danielsson, Corporate Communications, Scania

tel. +46-8 55385662, mobile +46 70 3468811  

Cummins, headquartered in Columbus, Indiana, USA, is the world's largest producer of diesel engines above 200 hp for automotive, power generation, industrial and filtration applications.

Scania, headquartered in Södertälje, Sweden, is one of the world's leading manufacturers of trucks and buses for heavy transport applications, and of industrial and marine engines.

With 23,800 employees and production facilities in Europe and Latin America, Scania is one of the most profitable companies in its sector. In 1997, turnover totalled SEK 39,700 million and income after financial items SEK 2,800 million. Scania products are marketed in about 100 countries worldwide and approximately 95% of total production is sold outside Sweden.

Scania press releases are available on the Internet, www.scania.com