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Fleet Owner / February 18, 2015 With regard to powertrain integration, fleets have heard it before: link engines, transmissions, and even axles together into a single, seamless package and reap the benefits of fuel savings and improved vehicle performance. Mike Roeth, executive director of the North American Council for Freight Efficiency (NACFE), says that such integration also goes far beyond fuel savings and engine responsiveness. In his view, a range of benefits from maintenance-related cost savings to safety are possible as a result of increased integration. “Once you electronically connect the powertrain, the door is wide open to all sorts of future enhancements that you can gain [without] making mechanical changes to a truck,” Roeth explains. He points to the group’s recent work analyzing the potential benefits of automated manual transmissions (AMTs). On the conservative side, fuel savings of 1% to 3% are possible; however, Roeth says there is potential for additional savings because the electronics underpinning the AMT can generate benefits when integrated with electronics within the truck’s engine, axles, and other systems. “What we’re finding is that AMTs are many times an ‘enabler’ for greater fuel savings, as they are integrated with the truck’s other systems,” he says. “It’s like buying a smartphone to get better cell phone capability and then realizing it can do a lot more like surf the web and access email.” Brad Williamson, manager of powertrain marketing for Daimler Trucks North America (DTNA), notes that power­train integration development must include a more holistic view of single-system capability. “In the past, the electronics would be combined but never developed together,” he explains. “Today, integration means understanding what the end goal of the system is and beginning development with that end in mind. It is also looking at the entire system—engine, axle, transmission, driveline, truck, etc.—and developing a truly integrated [package] that meets drivers’ needs for performance and owners’ needs for profitability and uptime.” The safety aspect comes into play with systems like Detroit Assurance, which offers active brake assist and adaptive cruise control by integrating a truck’s brakes, radar and sensor technology with Detroit-branded engines and transmissions. “It’s really about the feel, the smoothness, and how we can better integrate the intelligent controls with the truck,” explains Williamson. “That’s the main piece.” It’s important not to forget the back-end benefits of powertrain integration when it comes to warranty coverage, maintenance service and parts support, he adds. “[integration] is really about looking at the entire truck ownership experience and making it a better product for the customers’ ownership life,” Williamson says. “What that also does for customers is make the dealer a true one-stop shop for all things integrated. This eliminates the need to send an engine with repairs to an engine distributor or axle issues to an axle supplier.” More than meshing The real driving force behind powertrain integration efforts, notes Mario Sanchez, director of technical sales support for engine-maker Cummins, is the software linkage between engine and transmission along with potentially other components. “It is more than just better meshing of the transmission and engine,” he says. “The engine and transmission are linked, constantly communicating and adapting to the operating conditions due to critical data sharing. That leads to more efficient operation with more time spent in the sweet spot of the [engine’s] rpm band, which means fuel cost savings for fleets. The operational efficiency an AMT provides also means less driver fatigue and an easier overall driving experience.” Since 2013, Cummins has partnered with Eaton Corp. to develop several SmartAdvantage integrated engine/AMT packages, which combine Cummins ISX15 or ISX12 diesel engines with the Eaton Fuller Advantage 10-speed AMT. For natural gas engines, Eaton and Cummins Westport, a joint venture between Cummins and Canada’s Westport Innovations, offer an integrated powertrain package that combines the Cummins Westport ISX12 G engine and the Eaton UltraShift Plus AMT. Ryan Trzybinski, product planning manager for the Eaton Vehicle Group, notes that integrated powertrains hinge on what he calls “highly optimized control logic” to deliver fuel savings of between 3% and 6% on a consistent basis. Eaton is now working with Paccar Corp., parent company of Kenworth Truck and Peterbilt Motors, and Navistar on similar integrated packages. The linkup with Paccar’s MX-13 is called Fuller Advantage with Small Step S-Ratio at Kenworth and dubbed APEX at Peterbilt. Anthony Gansle, marketing manager for on-highway product at Peterbilt, notes that APEX is a fundamental part of the OEM’s EPIQ fuel efficiency package, which aims to improve overall fuel efficiency by up to 14%. The package is available exclusively on the Peterbilt Model 579 tractor. “In the past, traditional methods to improve fuel economy usually resulted in a trade-off of reduced performance. For instance, lowering the rear axle ratio typically meant lower startability and less power,” he explains. “Today, improved technology has helped minimize those trade-offs. The proprietary communication software developed for APEX is proof of that, resulting in both improved fuel efficiency and performance.” OEMs are deploying such powertrain integration packages with the goal of delivering increased fuel savings. Navistar, for example, relies on two such integrated packages for its ProStar ES highway tractor, unveiled late last year. Through a combination of the powertrain packages and other initiatives, the ES offers up to 11% better fuel economy versus a 2010 ProStar model equipped with a 13L MaxxForce engine and 10-speed manual transmission, says Jodi Presswood, vice president-heavy-duty truck product line at Navistar. Aaron Peterson, chief performance engineer at Navistar, notes that the setups include the Cummins/Eaton SmartAdvantage combination and a combination of Navistar’s 13L N13 engine with the Eaton Fuller Advantage 10-speed AMT. Both offer a 3% to 6% fuel economy boost. Kurt Swihart, marketing director at Kenworth, adds that the need to boost fuel economy while simultaneously improving drivability rests at the heart of OEM powertrain integration efforts. “On the fuel economy side, software calibrations between the engine and transmission optimize rpm during acceleration, deceleration, pulling hills, and coasting down hills to maximize fuel economy,” he says. “In addition, targeting low engine rpm allows transmissions and axles—both with optimized gear ratios—to minimize parasitic losses throughout the powertrain, improving fuel economy.” Spotting savings On the drivability side, Swihart continues, those same shared calibrations improve vehicle control at slow speeds and when pulling hills, for example. “The end result is a more fuel-efficient truck that provides an improved driving experience. This helps customers increase their profitability and attract drivers,” he notes. Swihart also believes that the benefits of powertrain integration can be gained regardless of whether fleets follow the proprietary or non-proprietary path. John Moore, manager of product marketing for Volvo Trucks in North America, adds that maintenance savings are another benefit that shouldn’t be overlooked. “Integrated powertrains streamline maintenance because electronic diagnostic tools, service repair information, and training are integrated with common hardware and software,” he points out. “Also, given the complexity of electronics in today’s trucks, symptoms may be related to or generated by connected controllers and not necessarily the host controller.” Moore thinks vertically integrated powertrains offer an extra advantage because they give the OEM control over more components and reduce diagnostic time. “All of this reduces repair costs and puts the truck back on the road [quicker],” he says. “As for warranty, integration provides one stop for administration, streamlining the process.” But most fleets demand concrete dollar savings before considering the oftentimes higher price tag for a fully integrated powertrain. NACFE research indicates AMTs alone cost anywhere from $3,000 to $5,000 more than a comparable manual transmission. “Linehaul fleets can save around $600 for every 1% of fuel economy improvement,” says Eaton’s Tryzybinski. “The SmartAdvantage package delivers 3% to 6% improved fuel economy over current production, non-integrated Cummins ISX and Eaton UltraShift Plus combinations; the MX-13 integrated package delivers 2% to 4% better fuel economy; and the N13 integrated package delivers 5% better fuel economy. Those are real dollars back into the pockets of fleets.” New capabilities Trzybinski adds that Eaton Fuller Advantage AMTs are lighter by 82 lbs. and eliminate the need for an external cooler, helping reduce maintenance expenses and saving test customers as much as $40 per truck per year as a result. Roy Horton, director of product marketing for Mack Trucks, notes that similar fuel savings are available with the OEM’s integrated Super Econodyne (SE) package. He says the SE package can improve fuel efficiency up to 4% compared to a standard MP7/AMT package. The SE package features a 405-hp. MP7 engine leashed to the OEM’s proprietary overdrive-equipped 12-speed mDrive AMT (the twin to Volvo’s I-Shift AMT) and Mack’s C125/126 axles. A similar integrated powertrain package featuring Mack’s bigger MP8 engine instead of the leaner MP7 offers a 3.5% fuel economy savings. “[integration] allows our customers to maximize payloads, save on fuel, and increase their return on investment—all without compromising power,” Horton says. Volvo already offers integrated XE downspeeding drivelines with its I-Shift AMT for its D11, D13 and D16 engines, explains Moore. “Now, our latest focus in powertrain integration is delivering integrated packages tailored to our customers’ specific applications,” he says. Starting this year, for example,Volvo plans to offer XE-Adaptive Gearing options for its D11 and D13 engines. “This powertrain package will offer two drivelines for applications—bulk haulers, liquid tankers, flatbeds and end dumps, for example—that typically go out loaded and return empty,” Moore explains. “By picking up a rear suspension pressure signal and sending this information to the powertrain, the engine and transmission know when a load is present and will lock out the 12th gear and run as a direct drive in 11th gear, enhancing performance while loaded.” Once the load is delivered, the system becomes a “super overdrive” powertrain with a 2.47 rear axle ratio with the ability to cruise on home at 1,050 rpm at 65 mph. “It’s the best of both worlds,” Moore explains. “And it could not have happened without an integrated powertrain.” DTNA’s Williamson thinks combining such direct and indirect savings will convince customers to eventually step through the powertrain integration doorway. “As we look forward, customer demands for fuel economy efficiency will continue to increase, and other demands on the industry, such as driver and technician shortages, will require more efficient products that contribute to ease of driving, ease of maintenance and service, improved drivability, and improved cost of ownership,” he explains.” “The acceptance of powertrain integration will grow as the products continue to prove themselves and the overall value of vehicle integration is demonstrated,” Williamson says.

Fleet Owner / February 18, 2015 The single biggest fifth wheel trend we’re seeing among fleets is to automate the coupling process, explains Rich Carroll, vice president-sales & marketing at Jost International. “Changing driver demographics and rising insurance costs, along with the need to focus on driver satisfaction and safety, is leading to the desire to eliminate this manual task with cab-actuated air release systems and advanced sensor systems.” The Jost air release fifth wheel operates independently from the standard release arm, and the system is protected by an interlock which requires that the vehicle is stopped and the trailer brakes set before air is provided to the cab controls. Jost is working to develop sensor systems to help ensure safe coupling, Carroll notes. Aaron Puckett, director of national fleet sales at Fontaine Fifth Wheel, also points to a focus on products that provide improved comfort and awareness for drivers. “Systems designed to help drivers properly, safely and easily couple tractors to trailers are in demand,” he says. “An air release option is being adopted by more fleets for driver satisfaction and retention, [and] providing the ability to open the fifth wheel from the cab can also enhance safety.” Puckett also points out that Fontaine’s TechLock electronic lock indicator helps improve safety by employing sensors that let the driver know when the kingpin is correctly positioned inside the lock and the fifth wheel is closed. Additionally, the company’s SmartLock visual lock indicator adds to the visual inspection and tug test procedures necessary for proper coupling. The dual assist camera system launched this past fall by Fontaine features two video cameras that give the driver a clear picture of the fifth wheel and approaching trailer. The cameras, which are wired to a display in the cab, are mounted back-to-back behind the fifth wheel and low on the frame to prevent damage from the trailer’s kingpin. With the Fontaine system, the cameras automatically turn on when the truck is shifted into reverse. As the tractor backs up to couple with a trailer, the monitor displays video from the rear-facing camera, including crosshairs superimposed over the screen to help the driver properly center the vehicle. As the camera setup passes under the kingpin, the video feed in the cab automatically switches to the camera facing the fifth wheel, allowing the driver to watch the kingpin enter the fifth wheel. Wendy Cowan, director of product planning & market development at SAF-Holland Powered Vehicle Systems, says a new air release option for the SAF-Holland FWAL fifth wheel line provides driver comfort while reducing the potential for injury. All standard-duty Holland fifth wheels are now available with the air release system. Along with weight savings, Cowan adds, some fleets desire fifth wheel features that help cut maintenance costs. “Our FWAL forged aluminum fifth wheel offers the benefit of Holland’s NoLube technology, which eliminates the need for lubrication of the fifth wheel locking mechanism as well as the top plate surface,” she says. Jost, notes Carroll, is seeing dealers order its “no-tilt” offering on stock trucks. The simple mechanism that does not require tools to convert the fifth wheel features pivot stops that keep the top plate rigid when required, such as in frameless dump trailers where articulation is provided in the trailer upper coupler. “When the pivot stops are disengaged, the top plate articulates,” he explains. “This design provides flexibility to satisfy the needs of different types of vocational applications.” Cowan also points to the value of no-tilt technology for fifth wheels. “We know that our customers need to be flexible in today’s business environment,” she says. “That’s why we developed a modular no-tilt fifth wheel sliding system that enables any standard (integrated low-weight slider) model to be quickly and easily converted to a no-tilt slider should the need arise.” To improve safety and retain drivers, fleets are specifying systems and components that make life on the road easier. Fifth wheel manufacturers are focused on helping meet that need, and on developing products that decrease downtime and costs. For more information, visit these websites: Jost International www.jostinternational.com Fontaine Fifth Wheel www.fifthwheel.com SAF-Holland www.safholland.us

A little downspeeding saves a lot of money Truck News / February 16, 2015 Dana took time at the Technology & Maintenance Council’s annual spring meeting to raise awareness about the benefits – and risks – of engine downspeeding. Every 100 rpm reduction in engine speed translates to a 1% improvement in fuel economy, meaning there is significant savings to be had by spec’ing downsped powertrains, according to Steve Slesinski, global product planning, commercial vehicle driveline technology with Dana. However, reducing engine speeds and spec’ing faster rear axle ratios also places greater torque on downstream components such as the driveshaft. Dana promotes a two-pronged approach to protecting against damage that can be caused by the extra torque generated by downsped powertrains: torque-limiting the engine and fortifying the drivetrain. Slesinski said Dana has come out with products engineered specifically to perform with downsped powertrains. These include the Spicer AdvanTek 40 tandem axle, the SPL 350 driveshaft and the SPL 250 inter-axle shaft. Engine providers can set parameters that torque-limit the engine and reduce the risk of damage caused during low-speed maneuvering, however that won’t protect against high-cycle fatigue, Slesinski said. While today’s downsped powertrains typically aim for a 1,150 rpm cruise speed, Slesinski said the trend is expected to continue. “We think rpm is going to continue to go down because of the big benefit you have by improving the efficiency of the engine,” he said, noting cruise speeds of 900 rpm could be attainable in the near future. To this end, Dana is anticipating the need for products that can handle the demands of downspeeding without adding substantial cost and weight to the vehicle. The company also has taken a leadership role in educating the industry about the benefits of downspeeding, through creation of a new online training module that will go live later this year. The program will help dealers, fleets, service managers and others understand the implications of downspeeding, Slesinski said. Dana also launched a new drive axle lubricant designed for high-efficiency drivetrains. The all-synthetic Spicer XFE 75W-90 axle lubricant is designed to further reduce operating costs by as much as $730 over a five-year life-cycle. It also qualifies for a 500,000-mile service interval. Combined with the AdvanTek 40 axle and an engine that is downsped by 200 rpm, a customer can achieve fuel savings of about $9,835 per vehicle over a five-year period based on US$4/gallon diesel prices.

Fleet Owner / February 17, 2015 A lighter trailer axle, a 6x2 drive axle and a super-fast ratio tandem were among the new products and services introduced by Meritor at the 2015 Technology and Maintenance Council (TMC) annual meeting. The component manufacturer also displayed a new automatic tire inflation system for linehaul tractors and announced a new programming tool that will speed up delivery of replacement electronic control units for pneumatic ABS. The new FUELite+ 6x2 drive axle is 15 to 20 lbs. lighter than the company’s current 6x2 platform, but has the same suspension fit and offers automatic and manual differential lock capability for improved traction. With GCW ratings up to 140,000 lbs., the new 6x2 is initially being introduced with fast 2.31 and 2.47 final drive ratios, with additional ratio options available in the future. It can accommodate either wide-based single or dual tires. A “super-fast” 2.28 ratio was also announced for Meritor’s 14X model tandem drive axle. The faster ratio is intended for downspeeding truck specs employing direct-drive transmissions, and the 14X also features a larger pinion system to handle the high torque levels developed by downspeeding. With claims to be the lightest trailer axle on the market in North America, the new Meritor MTec6 features a six-in. diameter axle but is still 36 lbs. lighter than industry-standard five-in. models. The larger diameter offers greater stiffness to help reduce axle deflection and resulting tire wear, while the lighter weight improves available payload capacity. Able to both monitor tire pressures and inflate tires if necessary, MTIS if the first automatic tire inflation system for linehaul tractor applications. The system can also alert drivers if a tire requires continuous inflation. Currently undergoing validation testing at several fleets, the new system will be available to truck makers on a limited basis starting in 2016. Meritor WABCO, the company’s North American joint venture with WABCO, also announced at the annual TMC meeting that it has released a new programming tool “that helps significantly shorten delivery times of replacement electronic control units (ECU) for antilock braking systems (ABS).” With over 400 variations of ABS ECUs currently in use in truck air-brake systems, service centers can only stock the most popular units, according to Meritor. The new programming tool, part of Meritor WABCO’s Toolbox diagnostic software, will allow parts suppliers to quickly configure units for specific applications, cutting both inventory costs and improving availability.

Too good to be true? Appropriate engine settings offer obvious fuel efficiency benefits Fleet Owner / February 18, 2015 At any major trucking trade show, the exhibition hall will feature dozens of vendors who market various solutions for improving fuel economy and saving on fuel costs. Mike Roeth’s pitch at this week’s Technology & Maintenance Council (TMC) annual meeting is unique: He’s giving his product away, and he has the data to prove it works. As executive director of the North American Council for Freight Efficiency (NACFE), Roeth leads Trucking Efficiency, an initiative set up by NACFE and the Carbon War Room (CWR) that aims to double the efficiency of the North American trucking fleet. To achieve this goal, the organization evaluates current technologies, discusses challenges and best practices for their adoption, and provides figures on performance gains and payback periods. Simply, the program is designed to help fleets make better decisions and, collectively, save billions of dollars. The fifth and latest “confidence report,” focused on electronic engine parameters, has just been published. And, based on Trucking Efficiency’s grid to assess whether a technology will be effective, optimizing engine settings is a fuel efficiency home run. Speaking to trade media in Nashville for TMC, Roeth compared a truck engine to a smart phone: “Once you’ve gone through the effort of programming them, you love them,” he said. The catch is taking the time to understand the many possibilities for setting up an engine to suit the truck’s operations. As explained by NACFE Program Manager Dave Schaller, there are more than 100 different parameters that control a modern diesel engine. A fleet survey found three levels of complexity as to how these settings are commonly used. Most basically, an engine is left with the factory default settings. The middle level comprises changes to a few obvious settings, such as a vehicle speed limit. At the top, the optimized level means a fleet has worked with an engine maker or a fleet expert to fully exploit the array of options. Moving from the basic settings to the middle level can deliver a 3 to 5 percent improvement in fuel economy, Schaller continued, while a fully optimized engine can deliver an 8 percent improvement – or even more. “This is pretty exciting,” Schaller said. “I don’t know of any other area here at TMC that doesn’t cost anything extra, doesn’t add extra weight to the truck, and it theoretically doesn’t add any maintenance – it doesn’t break. So it’s a really neat area.” The challenge, of course, is getting those settings right – especially when a change to one setting can impact the performance of another. And the proprietary programming that underlies the improved fuel economy of fully integrated powertrains adds even more complexity. A discussion about a fleet’s ideal operational profile should be part of ordering a new tractor, with the parameters to be set accordingly at the factory. But that’s often not the case, the researchers found. And it’s also not uncommon for the parameters to be reset at a specially center for finishing touches, or even in final prep at the dealer. Complicating the matter, OEMs often use different terms for essentially the same settings. For those fleets that do pay attention to engine settings, the survey found that templates often are used for simplicity and consistency. However, the survey also found “a huge drop off” in engine optimization that corresponds to fleet size. As an electrical engineer who helped develop programmable engine technology, Schaller noted that “this is way more complex than it needs to be.” “What we know is that optimizing the parameters is definitely worth the effort,” Schaller said. “It pays back. It enhances fuel economy and saves fleets money, but the complexity of optimizing is preventing many fleets from enjoying the benefit.” To help fleets take advantage of the technology, the confidence report includes a variety of tools and recommendations, while Roeth offers additional thoughts on FleetOwner.com’s IdeaXchange.

Heavy Duty Trucking / February 17, 2015 Fleets that optimize their electronic engine parameters for fuel economy can expect to see about a 0.5 mpg improvement in fuel economy, according to a new Confidence Report issued by the North American Council for Freight Efficiency at the Technology & Maintenance Council annual meeting. Fuel economy improvements of 5–8% are possible for fleets that previously have not used parameters to optimize for fuel economy. Much like users of common electronic devices such as smartphones and televisions, most fleets set only a fraction of the electronic engine parameters that can be used. According to the report, engine parameters add no weight or cost, and don’t require any additional maintenance; they are already an integral part of the engine control software. These benefits make engine parameters unique among efficiency technologies, and contributed to the study team’s high confidence rating. “Optimizing engine parameters is well worth the effort — it enhances fuel economy and saves fleets a lot of money. But the complexity of optimization is preventing many fleets from enjoying the benefits,” says Dave Schaller, North American Council for Freight Efficiency program manager. The Confidence Report focuses on six engine parameter categories: Vehicle speedsVehicle configuration informationEngine speed and torque limitsIdle reductionDriver rewardsMiscellaneous MPG-related featuresNACFE identified eight barriers to changing the settings that arise at three specific points during the optimization process, among them: Understanding Parameters The large number of parameters available requires extra effort to fully understand.Interrelations between multiple parameters and/or between parameters and other systems on the truck.Selecting and Ordering Parameters: Each engine OEM has its own terminology and brand names for its parameters, and even some slight differences in how they function. Even within a single OEM there will be differences from one engine model to the next.The majority of fleets have multiple years and models of engines in active operation, sometimes from multiple OEMs.Maintaining Parameters Variation in service tools and lack of telematics: Changes in duty cycles or even insights from new truck performance data may indicate that a certain parameter should be altered on a group of trucks. But right now changing parameters requires someone physically connecting with the truck. This can be a time-consuming task for a large fleet. Telematics technology would allow for parameters to be updated remotely.Negative reactions from drivers: Fleets must communicate the benefits of parameters to their drivers, as often a driver’s initial reaction to anything that places restrictions on vehicle operation is quite negative.The report offers insights and best practices to deal with the obstacles to programming and maintaining parameter settings. It also contains fleet and dealer perspectives on setting and using electronic engine parameters, a summary of service tools available from engine manufacturers, and a parameter names comparison chart. Download the full report at www.truckingefficiency.org.

Heavy Duty Trucking / February 17, 2015 The Meritor booth at the Technology & Maintenance Council's 2015 Annual Meeting & Transportation Technology Exhibition has been humming this week with word of a new inflation system for tractors. The MTIS Tire Inflation System for trucks automatically monitors tire pressure while the vehicle is in motion and will inflate an underinflated tire. If there are issues requiring continuous inflation, the MTIS system alerts the driver to check the tire or find service as soon as possible. Joe ElBehairy, vice president, Engineering & Quality at Meritor told truckinginfo.com the MTIS is a two part system consisting of an electronic control module and up to 6 proprietary wheel-end seals. "The two parts work hand in hand," he says. "You can't get the seals to work without the brains that control the air flow. Every time you pressurize the seal it wears a little. Through our internal testing we have developed the logic and the algorithms around how to make it work while minimizing the time the seal is inflated." ElBehairy says Meritor had to develop a proprietary seal that rides on the polished surface of the axle spindle. "We run air through that seal to get it out to the wheel end," he says. "It's a little different with a trailer axle. On a trailer, you can pressurize the axle tube and run the air through a very small "pin seal" out at the wheel end. It's very easy to make those last, whereas with a drive axle, first of all you have an axle shaft running through it, and second, you can't pressurize it because it has oil in it." The system is said to be fully automatic, with no driver intervention required. If the system cannot keep up with the air loss rate in the tire, it will alert the driver that service is required. "The system is designed to last for the first-owner life of the vehicle, or 500,000 miles," says ElBehairy, which is at about the same time you'd be servicing your wheel ends. Our test truck now has 300,000 miles on it, and we have 15 fleet trucks running at five customers that have various generation of the product on them, some with upwards of 50,000 miles." “Maintaining proper pressure requires constant attention,” said Ken Hogan, general manager, Rear Drivetrain for Meritor. “In addition to reducing tire and fuel costs, the MTIS system enhances performance. Tire companies have stated that up to 80 percent of roadside tire failures are a direct result of creeping air loss.” Although pressure leakage up to 2 percent per week is common for tire systems, additional pressure loss can be expected with puncture wounds from nails, a contaminated rim flange or bad valve stem. ElBehairy told truckinginfo the system is expected to pay for itself within a year, based on estimates that it could prevent two tire failures per year. "It's less about the cost of the tire, but the unplanned downtime," he noted. Validation testing with several fleets began in 2014 and will conclude in 2015. The company expects the MTIS system to be available to OEMs in North America on a limited basis in 2016. The system also has global application in the future. Pressure Systems International, Meritor's partner in the popular trailer inflation system will supply some components for MTIS. All the engineering, validation and testing has been done at Meritor's Troy, Mich. headquarters.

Fleet Owner / February 16, 2015 At the 2015 Technology & Maintenance Council (TMC) annual meeting this week, Cummins and Eaton announced plans to unveil a medium-duty version of their jointly-developed SmartAdvantage powertrain in July this year – linking a Cummins ISB 6.7-liter diesel with Eaton’s new Procision medium-duty automated manual transmission (AMT). Ryan Trzybinski said that SmartAdvantage combination should provide a fuel economy savings of 8% to 10% compared to a medium-duty powertrain featuring a torque-converter automatic transmission. “We recognize how much cost is associated with fuel, even with today’s low diesel prices,” noted Mike Taylor, global powertrain director for Cummins. “Some 30% of a typical commercial vehicles cost is associated directly with fuel expenses.” As a result, Taylor said Cummins and Eaton will “continue to look for both practical and innovative” ways to save fuel for commercial fleets, with their joint SmartAdvantage package “the shining example” of how to do that. “It’s helping us get to higher and higher levels of both fuel savings and vehicle performance,” he said. “By working together our combined [service] networks allow us to put more eyes and ears on the road, giving us both an opportunity for greater feedback.” Note: Sources say this will be a "dual clutch" AMT.

Trailer/Body Builders / February 5, 2015 BIGGER isn’t necessarily better. Just ask the team at Utilimaster who are now able to build more walk-in vans and truck bodies in less floor space. The key: getting everything under one easily manageable roof. For 40 years, Utilimaster produced a variety of vehicles at its multi-building campus in Wakarusa, Indiana. That complex had grown significantly over time--to 17 buildings spread out across approximately a half-mile stretch of State Road 19. In 2013 the company moved its operation to nearby Bristol, Indiana, where most of its manufacturing operation now fits nicely inside a single building. The company still manufactures dry-freight truck bodies and cut-aways back in Wakarusa. But production of walk-in vans (including its Reach model), high-volume cutaways, along with van upfits, is now completed under one 487,000-sq-ft roof in Bristol. “Our facilities in Wakarusa required a batch and queue approach,” says John Forbes, president. “We would partially build a batch and then move the vehicles to the next building for additional work. It was not the most efficient method to manufacture. So many things become easier and more efficient when they are all under one roof.” How much difference has the new plant made? Try this stat: The batch and queue approach in the old facility required approximately 17 work days to complete a vehicle. At the new Bristol plant, a vehicle moves from start to finish in 2.8 days. How? With a continuous flow approach, the vehicle moves smoothly through the production process, eliminating the waiting time that is inherent with batch and queue. Keeping the team together Utilimaster invested more than $10 million to convert a former warehouse into a vehicle manufacturing plant. “We were fortunate to find a facility that met our needs and was so close to home,” Forbes says. “We considered all options, including moving to Michigan or the Southeast. But we wanted to keep our team together.” The Bristol plant is only 22 miles from Wakarusa, but management nevertheless was concerned about the impact the move would have on its employees. The impact of the move, of course, varied according to where each employee lived. Those who lived west of Wakarusa were the most adversely impacted, while those living east of town had their commutes reduced. “We looked at each person’s home address and estimated the effect the move would have on them,” Forbes says. “For some, it meant an additional 22-mile drive. The move could mean a longer commute for many of our employees, although the difference was marginal for most. In the end, we were able to retain more than 85% of our employees.” Overcoming obstacles The move to the new plant, which started production in 2013, was more than a new location. For Utilimaster, it was a new way of building vehicles. “We moved from a larger footprint in numerous buildings to a smaller one, and we went from a batch and queue to a continuous flow production process,” says Steve Claude, director of value streams (operations). “We faced many different changes.” “We came into this operation with a shared vision,” Forbes says. “It was unlike our previous way of manufacturing, so much so that we treated everyone as a new employee. We provided them each with 40 hours of training before they ever went to work in Bristol. Our goal was to implement a new culture with new objectives about on-time delivery, safety, and each person’s involvement in our continuous improvement efforts. We wanted everyone on our team to understand how we are performing.” New approach The Utilimaster approach to operations views everyone in the organization as part of a team. Each member of the team is responsible to one another and to the team, and the functional teams have responsibility to each other. The work flows through the system—from sales, to engineering, to manufacturing, to delivery. As each team completes its work, it hands the job off to the next one. The team receiving the job is viewed as the customer. “This is not just a manufacturing approach,” Forbes says. “Sales, engineering, materials scheduling all play key roles. . We are achieving high quality output in part because we are spending significant time upfront to eliminate problems before they have a chance to occur downstream. “For this to work, though, we have to have people who are willing to be held accountable throughout the value stream. The company’s approach is reflected in Steve Claude’s job title—director of value streams. “Most people in my position would be called the operations manager,” he explains. “But there is a big difference. An operations manager is focused on results of one area. A value stream manager concentrates on having good hand-offs, holding each team in the process accountable. Your customer is working in the workstation next to yours, and he must accept the product that you have produced. The system emphasizes high quality, and it has built-in checks to identify mistakes and correct them right away.” Providing incentives A bonus system serves as a reminder that each individual performance affects company performance—and the company’s ability to reward that performance. The bonus, paid quarterly, is based on four components: 1. On-time delivery. 2. Involvement in continuous improvement projects. Utilimaster may have 70 different continuous improvement projects going in a given quarter. 3. Labor productivity. 4. Company profitability. As Forbes observes, the company can’t pay a bonus if it is not making any money. Utilimaster is very transparent about how well the company is performing and, by extension, how that quarterly bonus might be shaping up. “We report and share information weekly and monthly,” Forbes says. “We have shouted from the mountaintops the bonus program is designed to benefit the employee and the company. When the company pays bonuses, that means things are going well.” The weekly meetings include analysis of where any errors may have occurred during the past week. “This was a major change for us, a cultural change across the board,” Claude says. “Improvements were more difficult to achieve when we were in multiple plants and trying to hand off work from one plant to another. The new location helps the team work better together and drive improvements.” Making the switch In February of 2012, management announced that the company would be moving in one year. One challenge: Evaluating the 78 different layouts for the plant that were developed during that year. “We put some of the layout options by the time clock so our entire team could review,” Forbes says. “And we encouraged input. The result was a plant that includes a chassis upfit line, 15 work stations for body production, more than a dozen upfit stations, a state-of-the-art paint facility, a water test bay, and final quality inspection. “By the time the truck is water tested, it has been evaluated several times along the way,” Forbes says. “We have a number of quality auditing check points. We also check quality within each work station. Everyone working in that station owns the work done at that station.” Laser-guided installation Tolerances are much tighter at the Bristol location. “We are passionate about making sure that everything is square,” Claude says. To make it square, the process must start square. As jigs and fixtures were assembled and put into place, lasers were used to align them. “The investment in jigs and fixtures has allowed us to have a much more repeatable assembly process, resulting in a superior final product. “We have talked about how our departments serve one another,” says David Dillon, director of engineering. “We asked ourselves how engineering contributes to making our production more efficient. The most significant way is to design components in a way that reduces variation and then to manage that variation.” Utilimaster uses datum schemes that identify points in four dimensions and jigs that lock everything in place. “Variation is inevitable in manufacturing,” Dillon says. “When you reduce variation, you improve efficiency.” Reducing engineering lead time The engineering department is not exempt from demands for continuous improvement. The department has trimmed engineering lead times from an average of 10-11 weeks down to three weeks now. “Demand can fluctuate extensively,” Dillon says. “We need a way to be able to reasonably engineer a product in an acceptable amount of time during peak season without being overstaffed during slower periods. We hire third parties as required, and add resources, including additional personnel, as appropriate. “Using third parties allows us to gain flexibility and optimize our cost structure. We have taken on quite a few initiatives recently that have helped us reduce costs and enhance margins.” Open communication Keeping communication flowing is key at the new Utilimaster plant. “Every week we take 12 people off the shop floor and bi-weekly 12 people from the office,” Claude says. “We talk about what we would like to see happen and ideas for making things better. It’s a commitment we keep every week, something that shows everyone that this company values the people who work here and what they have to say.” Communication also is key for keeping the plant running smoothly. “Every morning at 7 a.m., team leaders walk the plant and review where we are,” Claude says. “They look for potential bottlenecks and assess how to address them before they occur.” Utilimaster has implemented 1HC—one-hour containment. If a problem does occur at a particular point in the plant, next-level management is notified so that help can be provided. “We want everyone to get the help they need when they need it,” Claude says. “It’s our goal to provide everyone with the resources they need to succeed.” It has been a very eventful couple of years for the company, one in which far more than the location has changed. In spite of considerable planning, changing company culture, along with where and how products are manufactured, the changes were not always smooth ones. “We let some customers down during that transition period,” Forbes says. “The question then was ‘How do we respond?’ The first 90 days were difficult, and we deeply appreciate how our customers stuck with us. By the fourth quarter of 2013, we began seeing the operational gains that we sought when we moved in. We hit our stride in 2014 with improvements in on-time delivery, cost, and quality. We remain focused on continuous improvement and we are confident our best days lie ahead..”

Capacity Truck shows off new Sabre tractor Fleet Owner / February 16, 2015 Terminal tractor manufacturer Capacity Trucks highlighted its all-new Sabre at the 2015 Technology & Maintenance Council (TMC) annual meeting, which will eventually replace the company’s current TJ (short for “tractor jockey”) 5000, 7000, and 9000 models. During a press conference here at TMC, Capacity’s President Scott Lord noted that the company put the new Sabre – introduced back in January this year – through the equivalent of three years’ worth of durability testing at the Bosch Proving Grounds in South Bend, IN, with focused testing on doors and other components handled in Buchanan, MI. “We used 110,000 psi [pounds per square inch] military grade steel for the Sabre’s [c-channel] frame rails; steel strong enough for us to offer a 10-year structural frame warranty,” Lord noted. Testing included 96,000 door opening and closing cycles, along with 96,000 boom hooking cycles. That test exposed the boom to 5.8 gravities worth of force, Lord pointed out; so much force that the testing equipment itself actually broke under the strain. He added that the new Sabre is engineered to deliver the lowest total cost of operation or TCO to fleets via improved durability, reliability, serviceability, and especially driver ergonomics. “We’ve been able to ‘tune’ this truck so the driver won’t feel bumps,” Lord (at right) explained, via the use of airbags under the cab and the vibration dampening design of the tractor’s seat. “We’ve also made some subtle cab changes, too; making the cab wider and raising their height of gauge display.” He also noted that Capacity offers a wide range of customization for its “yard mules” so pricing for the new Sabre model will vary. Yet the base cost for an on-road Sabre configuration will remain the same as the TJ models it’s replacing: roughly around $95,000. Capacity is a division of Allied Specialty Vehicles (ASV), a U.S.-based manufacturer that produces between 18,000 and 19,000 emergency vehicles, small buses, terminal trucks, recreation vehicles and street sweepers annually.

Transport Topics / February 17, 2015 Capacity Trucks showed a new terminal tractor for warehouse, port and intermodal operations while another terminal tractor maker, Kalmar Ottawa, said its T2 terminal tractor helped the company to its second-best year ever. The Sabre, as Capacity Trucks’ vehicle is named, was rolled out Feb. 16 at the annual meeting of American Trucking Associations’ Technology & Maintenance Council here. President Scott Lord told Transport Topics that he estimates the terminal tractor market at 4,500 to 5,000 units per year in North America, although “that’s rough — nobody tracks it, [and] there’s no registration data,” he said. Capacity’s primary U.S. market for terminal tractors is warehouse and distribution, with about 60% to 70%, Lord said. Ports make up the rest, though they account for a greater percentage of its overseas markets, which is some 15% to 20% of its sales, he said. Capacity is based in Longview, Texas. About 20% to 30% of Sabre’s market is for operations that require trucks to travel on roads to terminals or warehouses. The rest are off-road. The average price of an on-road terminal tractor would be in the mid-$90,000 range, Lord said, but “these things get so customized, depending on the customer’s needs” that they can cost much more than that. “What we tried to do with this truck is to focus on the entire cost of operations for our customers,” he said, adding that part of the reason the truck is called the Sabre is because its goal is to slash the cost of operations. Capacity Trucks plans to have its current TJ5000 model phased out by June with Sabre production rolled in by then, “depending on customer orders,” he said. Separately, Kalmar’s T2 terminal tractor, released at last year’s TMC show, went into full production in the fourth quarter of 2014, Bob McTernan, marketing and dealer operations manager, said Feb. 17 at the company's display booth. “It’s proven very popular,” McTernan said. “We’ve had in excess of 3,000 units of production [and] more than doubled our daily output” as it transitioned from its previous tractor product. For more information: http://capacitytrucks.com/sabre-truck/meet-sabre .

Exactly, the RM is set up for a steel nose (Mack never offered a fiberglass hood-equipped RM).

The Financial Times / February 17, 2015 Daimler, the world’s largest truckmaker whose brands include Mercedes-Benz, Freightliner and Western Star, has published the actual take-home pay of its senior managers under new German corporate governance rules – and revealed that chief executive Dieter Zetsche is the country’s second-highest-paid employee at a listed company, having received US$16.4 million (€14.4 million) last year. Alongside a conventional pay table detailing the pay and bonuses awarded to executives for their efforts in 2014, the Stuttgart-based car and truck maker on Tuesday published a new table showing what executives actually took home. For Daimler, that meant including details of how a stock-related long term incentive scheme entered into four years ago ultimately paid out. In its remuneration report, the group revealed that Mr Zetsche gained US$8.5 million (€7.5 million) in 2014 arising from this 2010 incentive plan, bringing the total payments that he received last year to US$16.4 million. In 2013, he received US$15.6 million (€13.7 million). The sums are subject to tax. By contrast, the company said that Mr Zetsche had been awarded – but not yet received in full – around US$9.6 million (€8.4 million) in pay and bonuses for his work in 2014, a fraction more than in 2013. How much he actually receives will depend on how the company performs in future. Daimler’s pay report demonstrates how investors are now being given much more detailed information on executive pay in Germany, following the overhaul of the country’s corporate governance code in 2013. This reform was intended to make management board members’ pay more transparent over time and also more comparable with other companies. Michael Schneider, head of environmental, social and governance at Deutsche Asset & Wealth Management, said: ““Of course we like [the reforms] – any additional transparency is helpful for investors . . . You can also see much more clearly how companies intend to balance the interests of shareholders and executives when structuring long term incentive plans.” Mr Zetsche’s US$16.4 million take-home pay puts him second only to Martin Winterkorn, Volkswagen chief executive, who was awarded US$17.1 million (€15 million) in 2013, the most recent year for which data is available – although those figures are not directly comparable. In 2012, Mr Winterkorn’s €17.5m in pay and bonuses triggered an outcry in Germany and helped catalyse the overhaul in how companies report executive pay. Under Mr Zetsche’s leadership, Daimler’s fortunes have been transformed over the past two years, thanks to a new line-up of sleek and sporty Mercedes-Benz vehicles. Its share price stood at about €37 at the start of 2010 is now above €82. Daimler’s shareholders are also set to receive a higher dividend this year. Last year, its investors voted almost unanimously voted to approve the pay scheme. But in spite of Daimler’s much improved performance, Mr Zetsche’s take home pay will not keep increasing – because the new governance rules also oblige German companies to set caps on executive pay. Daimler has set a cap of €10.15m for Mr Zetsche, which will apply from 2018 when the 2014 long-term incentive scheme pays out. If Mr Zetsche had all met his long-term targets, he would otherwise have been in line to receive a maximum of €14.6m in four years time for his work in 2014. Daimler is also saving diligently for when Mr Zetsche retires. It has made €39m in provisions to fund his pension – a jump of some €10m since last year – according to the pay report. Low interest rates have made funding future pension obligations more difficult. Earlier this month, Mr Zetsche explained that his large pension pot was due to his almost 40 years of service to Daimler and that the company’s pension system had since been reformed. Manfred Bischoff, chairman of Daimler’s supervisory board which oversees management and sets executive remuneration, received a 20 percent increase to his pay last year, taking it to €448,500. Investors also approved that increase at last year’s annual meeting.

Press Release / February 15, 2015 The challenges faced by the vehicle industry, from regulatory requirement to total cost of ownership and even market differentiation, are constantly evolving. The Jacobs Vehicle Systems’ Technology Roadshow will give your team an understanding of how we view the industry’s major challenges. It’s an opportunity to talk with our engineers about what you are facing, discuss our current technologies, and share your thoughts for future development directions. In addition, because we work with the world’s largest OEM’s, we can offer a unique perspective on trends we see and how the industry is moving to address them. Jacobs’ VVA platform allows designers to reliably optimize performance and efficiency across an engine’s operating range. It offers complete valvetrain flexibility and has enabled advances for the heavy duty and automotive industries including significant downsizing and enhancements to engine power density. For more information: http://www.jvstechroadshow.com/ .

There's only so many ways to design an aerodynamic box on wheels, so I can appreciate your thought that the H350 and European vans follow a similar exterior design theme. I saw the new H350 at the IAA Hanover show and was extremely impressed. Hyundai did their homework. In light commercial, Hyundai also has the popular H-1 mid-sized van, a size lacking in the US market since end of Chevrolet Astro production. http://worldwide.hyundai.com/wcm/idc/groups/sgvehiclecontent/@hmc/documents/sitecontent/mdaw/mdg0/~edisp/brochure-h1-2011.pdf Page 10 - http://www.hyundai.com/wcm/idc/groups/sggeneralcontent/@hmc/documents/sitecontent/mdaw/mdgw/~edisp/hw086854.pdf

With respect, MAGLEV was not developed by General Dynamics, Grumman or the the US Dept of transportation. The pioneer of MAGLEV, dating back to a 1934 patent, is Germany's Transrapid (http://www.transrapid.de/cgi-tdb/en/basics.prg), a joint venture between Siemens and ThyssenKrupp. Anyway, that concept model was developed by Volvo in Europe (and note the Volvo "V" in the grille).

Reuters / February 16, 2015 South Korea's Hyundai Motor Co.plans to spend US$1.8 billion by 2020 on a major offensive in commercial vehicles, including entering the U.S. market, to catch up with rivals in a rapidly growing global market. Hyundai said it plans to introduce "premium models in North America and Europe." Hyundai, the world's No.5 automaker when paired with sister Kia Motors Corp., expects the global commercial vehicle segment to grow 30 percent annually over the next five years. In support of the company’s commercial vehicle ramp-up, Hyundai will invest US$363.1 million to expand its truck and bus production facilities. The company plans to boost its annual production capacity by 54 percent to 100,000 units by 2020, up from 65,000. Over the remainder of the decade, the company will also spend US$1.45 billion on the development of additional new commercial vehicle models. The company introduced its new Xcient heavy truck range in 2013, and new H350 full-size van in 2014 which competes with the Ford Transit and Mercedes-Benz Sprinter. http://www.hyundaiviethan.com/uploads/image/files/qz_katalog_hyundai-truck_by.pdf .

Fleet Owner / February 16, 2015 Bose has introduced the next generation of its Bose Ride truck seat suspension system, offering new features and functionality including new ride-control options, improved seat-top ergonomics, and a built-in driver orientation training module. Presented Sunday at the 2015 Technology & Maintenance Council (TMC) annual meeting, the next generation of the driver’s seat is based on feedback from Bose Ride owners and fleets, as well as ongoing company research. The new capabilities are designed to deliver the benefits of dramatically reduced fatigue and pain to more truck fleets and drivers. “With the Bose Ride system II, more drivers can feel safer, recover faster, and expect a longer driving career, while traveling over more varying road conditions,” said Mike Rosen, Bose Ride chief engineer and general manager. “The Bose Ride system II is now an even better tool for fleets looking to improve their business performance.” The new Bose Ride system II offers a three-position Ride Control selector, allowing drivers to customize their ride throughout the day: The “Soft” setting provides the smoothest ride with maximum protection from dangerous road-induced shaking.The middle setting delivers an experience of gently following the road contours, while protecting the driver from shaking and bumps. This provides a slightly firmer ride than the Soft setting. And for drivers who haven’t experienced the Bose Ride® system before, this setting may be preferable as they begin using the product.The “Firm” setting protects the driver while adapting the ride for very rough on-road and many off-pavement environments, providing the best defense against bottoming in harsh conditions. This setting also offers drivers with years of air-suspension seat experience a more familiar feel as they transition to the improved performance of the Bose Ride system.The Bose Ride system II also incorporates improved seat-top ergonomics for better adjustability. These improvements include wider fore-aft and seat-back angle ranges, providing added comfort for more drivers. A new built-in driver orientation module allows first-time users to understand how to get the most out of the Bose Ride system, before they hit the road. Upon activating the orientation, the system uses Bose’s proprietary high-speed electromagnetic motor as a speaker to play an informational audio track, while providing the motion necessary for the driver to experience what to expect from the system when driving. Originally launched in 2010, the Bose Ride system works by cancelling the road-induced shaking, bumps, and jolts that can harm drivers. This is made possible by a high-power, regenerative electromagnetic motor, a high-speed, truck-grade computer, and precision sensors built into the suspension base. The Bose Ride system II for aftermarket installation is available for purchase from Bose beginning April 1. Volvo versions of the Bose Ride system II will be available in new Volvo trucks later this spring. For fleets purchasing 100 or more systems from Bose, the per-unit price is $2,995 plus delivery and installation. Pricing for 10 to 99 units is $3,695 plus delivery and installation. Single-system purchases and volume pricing up to nine units is also available.

Fleet Owner / February 16, 2015 Products optimized for engine downspeeding, along with additional drivetrain technologies aimed at increasing efficiency and fuel economy, will be the focus for Dana Holding Corp. at this week’s Technology & Maintenance Council's 2015 annual meeting. With a goal of decreasing the total ownership costs of line-haul trucks and other heavy-duty, on-highway vehicles, Dana's solutions are designed to reduce vehicle weight and improve reliability, company representatives explained at a press event this week. "With new, government-issued standards coming in 2016 for commercial vehicles, Dana offers technologies to improve fuel efficiency and optimize performance, helping manufacturers to meet these strict requirements without giving up power or performance," said Mark Wallace, executive vice president of Dana and group president of Dana On-Highway Driveline Technologies. "Our engineers are dedicated to establishing new benchmarks with a comprehensive range of innovations. Our line of products optimized for engine downspeeding is just one way we're helping fleet owners reach new levels of efficiency for their vehicles." Among the highlights, a new training module will instruct dealers, fleet managers, and service personnel on engine downspeeding, an increasingly prevalent strategy for improving fuel efficiency. The module is a computer-based course that instructs users on the basic principles, benefits, and challenges associated with engine downspeeding, according to Dana. The module provides a “one-stop source” for key drivetrain system knowledge, individual component specifications, literature, videos, images, service bulletins, and parts books. It also presents strategies for maintaining and servicing the Dana solution for engine downspeeding, which includes the Spicer AdvanTEK 40 tandem axle, the SPL 350 driveshaft, and the SPL 250 inter-axle shaft. The training will be available in the second quarter of 2015. The company also announced the launch of Spicer XFE 75W-90 axle lubricant, an all-new synthetic gear oil designed to further improve fuel economy in high-efficiency drivetrain solutions while qualifying for an initial 500,000-mile drive axle lubrication change interval. Spicer XFE 75W-90 axle lubricant is specifically formulated to improve drive axle efficiency in a variety of on-highway applications. Dana engineers have validated numerous performance benefits of Spicer XFE 75W-90 axle lubricant, including reduced friction and spin loss, a lower stabilization temperature, and more stable viscosity during operation. Vehicle tests indicate that the use of this lubricant could enable additional fuel savings to result in a payback of typical purchase cost within six months when compared with currently approved synthetic axle lubricants.

Transport Topics / February 16, 2015 Eaton and Cummins officials said they have continued to upgrade their SmartAdvantage integrated powertrain to boost fuel economy and that sales of the system have been strong. Ryan Trzybinski, Eaton's development and project planning manager, said SmartAdvantage has nearly 200 customers and that "sales have exceeded our expectations." While Tryzbinski and Cummins Global Powertrain Director Mike Taylor declined to give specific sales figures, it was "in the thousands," they said at a Feb. 15 kickoff breakfast at the Technology & Maintenance Council's annual meeting. Taylor announced that Cummins' ISX12 G natural-gas engine would now be available with the Eaton Fuller Advantage automated transmission. "We're very excited about continued collaboration with more choices in fuel and more choices in AMTs," Taylor said. Officials reported that Kriska Transportation fleet maintenance manager Marcel Boisvenue said that carriers' fuel economy improved to 9.5 mpg from 6.5 mpg, "just by handing [drivers] the keys to a new truck . . .at 1,000 miles a day, that's a lot of money." Tryzbinski also said that Eaton's Procision medium-duty transmission, first announced last fall, is on track for a July release.

Volvo built a handful in 2001 before putting it on sale in the global market in 2002 (ex. US). And they introduced it in the US market for the 2008 model year. We sometimes assume that a market launch means immediate high volume sales, e.g. Ford's new F-150. But that's not the case here. It took years for sales to grow in Europe, and they were problematic for many years. In many markets where second-hand Volvos are sold, they still yank out the ishift and install a ZF. In the US, the ishift (and rebadged mDrive) sold poorly for years. Only now are they seeing volume sales (frankly because Volvo is now pushing it so hard). In my humble opinion, ZF's AMT is probably the best, with the Eaton a close second but a tad lower in purchase cost. And again, for a single countershaft AMT, the Benz AMT/Voith clutch-retarder is worth a hard look in the vocational segment.

Scrambling for cash In a bid to raise at least $500 million to keep its core North American business going, Navistar has been largely trying to liquidate its global operations with the exception of Australia and Russia*. * Only 11 dealers in a vast country and an office in St. Petersburg. Sales are now limited to the ProStar, with 9800i distribution having been discontinued there. MAN is furious with Navistar for breaking their contract agreement and selling the license-built 12.4-liter MAN D26-based MaxxForce13 outside of the U.S. in Russia and other MAN markets. In February 2013, Navistar sold its 49 percent stake in its Indian joint ventures (Mahindra Navistar Automotives Ltd. and Mahindra Navistar Engines Pvt. Ltd.) to partner Mahindra for a total of US$33 million, after having jointly invested in the design of a new heavy truck range (http://www.mahindratrucksandbuses.com/trucks.html). Navistar also sold its Monaco recreational vehicle business, Garland, Texas severe-service truck plant (the former Marmon truck assembly facility - http://www.bigmacktrucks.com/index.php?/topic/28070-trucking-news-navistar-to-close-garland-truck-plant/),and this year the assets of it Continental Manufacturing subsidiary (the EZ-Pack refuse body and ready mix units - http://www.bigmacktrucks.com/index.php?/topic/37119-commercial-specialty-truck-holdings-acquires-continental-mfg/). Now, Navistar is searching for interested parties to either partner with (and accept the major financial burden) or takeover the company’s Brazilian operations including truck sales and assembly, and the MWM diesel engine producing subsidiary. The History of International in Brazil International Harvester sold its Brazilian operation to Chrysler in 1966 and walked away from the market (Volkswagen took over Chrysler’s truck plant in 1980 and became the region’s leading truckmaker). Renamed Navistar International in 1986, the truckmaker returned to Brazil in 1998.............and walked away again in 2002. Navistar returned again in 2010 under the NC2 banner, which was planned as a CAT-Navistar joint venture that would be responsible for global truck sales. However for reasons yet to be disclosed, CAT and Navistar decided to dissolve NC2 just one year later in 2011. From 2012, Navistar would become wholly responsible for producing the trucks, and they would be sold through respective CAT or Navistar global dealers. CAT would remain involved in the design of its self-branded truck models. With a come and go tradition combined with confusion over the quickly evaporated NC2 brand, it’s no wonder that most Brazilian truck operators walk past the handful (eleven) of Navistar truck dealerships. Navistar’s activity in Brazil includes the MWM diesel engine business and CKD assembly of 9800i and 4400i (DuraStar) series trucks. Now, Navistar is looking for a buyer. MWM in Brazil (MWM Motores Diesel SA) was founded in1953 by WMF (Württembergische Metallwarenfabrik), Knorr-Bremse and MWM gmbH (Motoren-Werke Mannheim). This MWM, shall we say MWM Europe, was acquired by CAT in 2010. MWM (Brazil) was purchased by Klöckner-Humboldt-Deutz AG (KHD) in 1985, and sold to Navistar International in 2005. Brazilian truck market share: Volkswagen (MAN) 27% Mercedes-Benz 25% Scania 13% Volvo 13% Ford Truck 13% Iveco 7% Other 2% (Includes Navistar, DAF, Agrale, Foton, JAC, Shacman and SinoTruk) In 2012, Navistar moved 9800i COE production out of the Agrale plant in Caxias do Sul where it had been renting space since 1997, to save money and squeezed production into the company’s Canoas facility. Canoas was originally built in 1999 at a cost of $25 million under the Maxion-Navistar joint-venture as an engine plant (Navistar bought out Brazilian engine maker Maxion in 2001). The factory produced 7.3 liter Powerstroke engines for U.S. market F-Series trucks Currently, Canoas is a parts distribution center (PDC), cab, truck and small diesel engine assembly plant all squeezed into one. To give you an idea of size, Navistar’s Canoas plant employs 700 people, while Volvo’s Sao Paulo facility has 4,500 people. In addition to the Canoas plant, the main MWM-International engine plant is located in Sao Paulo, plus a small engine plant in Cordoba, Argentina. Unlike other truck and component manufacturers including Cummins, M-B, Scania, Volvo and Volkswagen which wisely located their plants around the coastal ports cities of Sao Paulo and Rio de Janeiro because of their convenient logistics infrastructures, Navistar’s Canoas plant is essentially far out in the middle of nowhere. FYI: The 9800e* and 9800i** are the predecessors of the U.S. market 9700 axle-back COE that, in addition to the 9600 axle-forward, was originally launched in 1981. 9800e 6x4 tractor ISX400 axle-back flat-roof http://www.internationaltrucks.co.za/files/NC2SouthAfrica/assets/pdf/9800e_Spec_Sheet.pdf 9800i 6x4 tractor ISX470 axle-back raised-roof http://www.internationaltrucks.co.za/files/NC2SouthAfrica/assets/pdf/9800i_Spec_Sheet.pdf For the global market, Navistar was planning to replace the 9800 series with a refined version of their new Indian market Mahindra-Navistar model MN49* tractor (now renamed Mahindra Traco 40-260) and use the name AeroStar*. Navistar announced plans to produce the Aerostar in Brazil by 2013, while telling South African customers in 2011 that the 9800 would remain in production until 2017. Though the 9800 is dated, the low-end made-for-India MN49 was entirely inappropriate as a 9800 replacement for markets like Brazil and South Africa where it would have to compete with DAF, Iveco, Mercedes-Benz, MAN, Scania and Volvo. Trying to adapt the MN49 was a cheap way out for Navistar, rather than investing in a new world-class COE that could actually compete (Does Navistar even still have the engineering talent to design a premium COE?). Navistar’s sale of its Mahindra stake in 2013 terminated the Aerostar plan, so the 9800 will remain in production..........for now. . * http://www.mahindranavistar.com/Pager-PDF-two/MN49_brochure.pdf http://www.mahindranavistar.com/corporate/Corporate%20Brochure.pdf **

This is not a quick topic to run through. Compared to the design of the European trucks, US trucks are in many ways a decade or more behind. But there’s more to the story. If any of you had attended the 2014 IAA int’l truck show in Hannover, you would feel as though you had transported into the future. US customers want the latest technology, but they also want a low purchase price, and low parts prices. And hence, the trucks sold today in America are extreme pricing compromises on wheels. This is the reason we have cheap throw-away trucks today. There’s minimal means to reduce the costs of technology for meeting EPA2010, and use the same engine platforms as Europe, so the truck has to be cheapened elsewhere in order to meet the American price-point. The European trucks are not priced out of this world, but they do cost more. However, the efficiency, fuel economy and comfort benefits offset the higher cost. I don’t consider the European trucks to be overly complex, rather I consider them to be cutting edge design. They have the advanced trucks.........we don’t. And that’s because we don’t want to pay up for it. And yet having said that, the European truckmakers (particularly Scania) are brilliant at using modular design to streamline production (along the lines of your thoughts, “keep it simple” as much as possible). The European truck, in reality, is more properly termed the global truck because they are operated around the world. American trucks for many years now have had significantly less global presence. From World War II thru the 1980s, the American truck was the world’s benchmark. But during the 1990s, the European truckmakers passed us. The European market is intensely competitive and fast moving. I can’t emphasize that point enough. And that atmosphere forces innovation...........to ensure survival. The work ethic at the European truckmakers significantly more intense than our own, and as their R&D capability matured and passed us to become the world's dominant truckmakers. The American truckmakers didn’t pay adequate attention to the evolving competition to be reckoned with in Europe, and all but two fell victim to these capable overseas aggressors. Now, most of the trucks on the roads of America are produced by European truckmakers who proved to be savvier in our own US truck market than we are (a painful and humiliating reality). The US truck market is now one of the global battlefields for global domination, with Daimler and Volvo dominating US sales. And I expect VW to enter the fray here sooner than later. Paccar made a good gamble in buying DAF when it was floundering. But make no mistake, today it's battle-hardened European DAF management that is making the company successful. It would certainly be heartening to see U.S.-owned truckmakers take back the U.S. truck market, but I doubt now that we'll ever see that day.

Trucks. Power. Performance. Press Release / February 12, 2015 Thursday, 19 March to Saturday, 21 March 9 am – 5 pm at the MAN Truck Forum, Munich It's Trucknology® time again, and we've pulled out all the stops for you, opening the Trucknology® RoadShow 2015 with the presentation of our brand new MAN demonstration fleet, plus plenty of other truck highlights. See for yourself what we can achieve these days in terms of power and efficiency – up close and live, and discover all the advantages of our trucks, including the very latest in system and transport solutions. Here is a quick overview of what you can look forward to at the three-day event in Munich: Truck product show and test drives The latest vehicles for construction, heavy-duty, long-distance, distribution transport, and agriculture and forestry applications will all be there, ready and waiting for you. Check out how our new D38 engine performs in heavy-duty and long-distance transport and see how-well designed MAN trucks can meet the demands of these different applications. Along with plenty of our own MAN experts, there will also be over 80 renowned partners from the body manufacturing and supplier industries to provide advice and answer your questions about all the latest developments.Special exhibition: Municipal MAN's amazing track record in the field of utility vehicles.MAN Trucks to go Discover the benefits of our brand new trucks, bodied, complete and ready for the road.Product demonstrations Watch exciting demonstrations showing the advantages of our truck products and up-to-date transport solutions for a wide range of applications.Industry presentations Lecture series with our experts providing useful information about the D38 in long-distance haulage and heavy-duty transport, EfficientLine 2 and TeleMatics®.Classic trucks Something for fans of classic vehicles to look forward to: discover the tradition and passion behind MAN products. 'Rudolf Diesel' will take you on a journey through time, back to the very beginnings of the first MAN diesel truck in 1924.Entertainment An extensive events programme led by Jean-Pierre Kraemer and Sidney Hoffmann, presenters of Germany's popular TV motoring magazine, "PS Profis". You can also explore the world of MAN with a factory tour, featuring a varied programme for young and old truck fans alike. Catering facilities available.For more information: http://www.truck.man.eu/global/en/fascination-and-technology/man-truck-forum/branchen-competence-center/man-trucknology-days/Trucknology-Days.html

Heavy Duty Trucking / February 12, 2015 Analysts at GE Capital compiled a list of expected trucking industry trends for 2015. GE highlighted expected outlooks for Freight, Equipment and Rates and Capacity. The analysts believe that carriers were benefitting from an ideal supply and demand environment entering 2015 with profits strengthened by freight trends, pricing leverage due to tight capacity, and lower fuel prices. They also expect the trucking industry to be affected by challenges in 2015. Driver turnover is at a historically high level in the long-haul market. There are operating inefficiencies due to regulatory mandates, driver shortages and pressure to improve driver compensation and benefits. The freight outlook for the year is positive with new construction activity, light vehicle sales and retail sales continuing to drive freight tonnage. Demand in all these segments is expected to benefit from a modest hike in domestic GDP growth during 2015. GE analysts expect energy production to be a potential negative for freight given a sharp decline in crude oil prices but overall, they expect the lower fuel prices to counteract this and benefit trucking in the long run. They expect an upward bias in interest rates with the Federal Reserve potentially tightening in 2015 but don’t believe it will pose a significant threat to the primary drivers of freight tonnage as long as the increases come gradually and are reflective of a steadily growing economy. However a significant spike in interest rate volatility could present a challenge to positive tonnage market. GE’s outlook for equipment production and sales is that it growth will slow relative to 2014 in the medium and heavy duty truck markets but should remain positive during 2015. Much of this is due to the huge boost that came towards the end of 2014 continuing into the beginning of this year, with analysts saying that it is unrealistic to expect that pace to continue through this year. They noted that while lower fuel prices have decreased the demand for newer, more fuel efficient trucks, the market will remain positive as fleets continue to order new vehicles to alleviate capacity constraints and to stem driver turnover. Freight rates are expected to be moderate this year as all the new trucks that were ordered in 2014 relieve some of the strain in capacity. However, the difficulty of new market entrants due to stiff regulations, driver shortages, and liability and insurance costs will prevent the industry from increasing capacity enough to completely meet the demand. In addition to that, upward pressure on driver wages and benefits will help to justify higher freight rates despite the decrease in fuel surcharges.