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Transport Topics / January 27, 2015 Specialty truck maker Oshkosh Corp. reported its fiscal first-quarter profit declined from a year ago, and Caterpillar Inc. said its fourth-quarter income fell. Oshkosh's net income was $34.7 million, down from $54.9 million. Revenue for the quarter ended Dec. 31 was $1.35 billion, down 11.6% from the same period last year, the company said Jan. 27. The Oshkosh, Wisconsin-based company's commercial segment sales rose 9.1% to $210.2 million, while access equipment sales gained 7.2% to $716.7 million. Fire and emergency sales fell 15.6% to $167 million, and defense sales plunged 44.1% to $269.3 million. John Sommers II for TTOshkosh reaffirmed its projected fiscal-year 2015 adjusted earnings of $4 to $4.25 per share and sales of $6.5 billion to $6.6 billion. Caterpillar reported its fourth-quarter net income declined to $757 million, from $1.03 billion a year earlier. Earnings per share for the Peoria, Ill.-based company declined to $1.23 per share, compared with $1.54 a year earlier. Revenue declined to $14.24 billion from $14.4 billion a year earlier. Caterpillar said it expects full-year 2015 earnings per share of about $4.60 per share, or $4.75 per share excluding restructuring costs.

AP / January 27, 2015 A fire at the Western Star Trucks plant in Portland, Oregon triggered the evacuation of hundreds of workers, but the blaze was quickly put out and there were no injuries. Lt. Damon Simmons of the Portland Fire Bureau says the Western Star manufacturing plant fire on Swan Island at 6936 North Fathom Street started at about 8 a.m. Tuesday in a spray-painting booth at the manufacturing plant. The fire started in a paint booth and spread into the roof. The initial area didn't have sprinklers, and firefighters said the flames were difficult to extinguish. The fire involved flammable liquids, so several systems had to be shut down before the fire could be extinguished. Investigators have yet to determine the cause of the fire or the damage estimate. Western Star Trucks is a subsidiary of Daimler.

Car & Driver / January 27, 2015 Bad news for anyone who values privacy and the Fourth Amendment. The Wall Street Journal reports that the U.S. Justice Department has been secretly expanding its license-plate scanning program to create a real-time national vehicle tracking database monitoring hundreds of millions of motorists. WSJ pulls no punches in describing the program, calling it nothing less than “a secret domestic intelligence-gathering program.” The program, established by the Drug Enforcement Agency in 2008, originated as a way of tracking down and seizing cars, money, and other assets involved in drug trafficking in areas of Arizona, California, Nevada, New Mexico, and Texas where illicit drugs are funneled across the border. But according to documents obtained by the American Civil Liberties Union through a Freedom of Information Act request, and reviewed by WSJ and The Guardian, the goal of the program has always been nationwide expansion—a fact that was never publicly disclosed. “Many state and local law-enforcement agencies are accessing the database for a variety of investigations, according to people familiar with the program, putting a wealth of information in the hands of local officials who can track vehicles in real time on major roadways,” WSJ reports. The paper was unable to determine whether the program falls under the oversight or approval of any U.S. court. The program uses camera systems at strategic points on major U.S. highways to record time, location, and direction of vehicle travel. Some locations take photos of drivers and passengers, which are sometimes detailed enough to confirm identity, WSJ reports. Perhaps more chillingly, the documents reviewed by the news outlets indicate that the DEA has also employed license-plate-reading technology to create a “far-reaching, constantly updating database of electronic eyes scanning traffic on the roads to steer police toward suspects.” Internal documents indicate license-plate readers in locations in New Jersey, Florida, and Georgia, feeding information into a database at the El Paso Intelligence Center, or EPIC, in Texas. Member police agencies from across the country can search EPIC for vehicle records. “Anyone can request information from our [license-plate reader] program, federal, state, or local,” says a May 2010 email quoted by WSJ. Another document, a memo between the DEA and Customs and Border Protection, hints at the clandestine nature of the program: “this in no way implies that Congress will appropriate funds for such expenditures.” The stated goal of the DEA program is to “seize cars, cash, and other assets to combat drug trafficking,” part of a controversial practice known as “asset forfeiture,” where law enforcement seizes a suspect’s possessions, sometimes without evidence of a crime. But state and local law enforcement have tapped the program to hunt for vehicles tied to kidnappings, killings, rapes, and other crimes. Internal documents from 2010 indicate that the database aided in the seizure of 98 kilograms of cocaine, 7336 kilograms of marijuana, and $866,380 in cash. Those familiar with the program also told WSJ that the system helped authorities find abducted children as part of the Amber Alert system. A Justice Department spokesperson told WSJ the system complies with federal law, saying “it is not new that the DEA uses the license-plate reader program to arrest criminals and stop the flow of drugs in areas of high trafficking intensity.” A spokesman told WSJ that the agency reduced the length of time it retains data, from two years down to three months. But opponents point to the rapidly expanding size and capabilities of the program as privacy concerns for law-abiding citizens. Senator Patrick Leahy, senior Democrat on the Senate Judiciary Committee, called for “additional accountability,” saying Americans shouldn’t have to fear “their locations and movements are constantly being tracked and stored in a massive government database.” “This story highlights yet another way government security agencies are seeking to quietly amplify their powers using new technologies,” Jay Stanley, a senior policy analyst with the ACLU, told the U.K.–based Guardian. “With its jurisdiction and its finances, the federal government is uniquely positioned to create a centralized repository of all drivers’ movements across the country—and the DEA seems to be moving toward doing just that,” the ACLU warns. https://www.aclu.org/how-government-tracking-your-movements http://www.theguardian.com/world/2015/jan/27/millions-of-cars-tracked-across-us-in-massive-real-time-spying-program

The Wall Street Journal / January 27, 2015 Caterpillar Inc., which has bulked up over the past few years to prepare for a long-term boom in developing-world spending on highways, ports and other infrastructure, is finding the road ahead bumpier than it thought. The Peoria, Ill.-based maker of construction and mining machinery, hurt by falling prices for oil, copper and other commodities, reported a 25% plunge in its fourth-quarter profit and forecast a 9% drop in sales and a 22% drop in per-share earnings for 2015. "It's shaping up to be a much tougher year than we were expecting" three months ago, Mike DeWalt, a Caterpillar vice president, told analysts in a conference call on Tuesday. Business is being hurt by the plunge in crude-oil prices to around $46 a barrel from $80 in October and $100 12 months ago. Also hitting Caterpillar results are lower prices for copper, coal and iron ore, which are deterring mining companies from buying new equipment. "We were hoping that 2014 was the bottom" for the mining slump, Mr. DeWalt said, but now "prospects for a rebound in 2015 are probably just not there." Meanwhile, Caterpillar expects sales to fall in China this year as that country's economy continues to slow. Doug Oberhelman, chief executive, promised further cost cutting in 2015, though Mr. DeWalt said no major plant closures are on the horizon. Restructuring costs this year are forecast at $150 million, down from $441 million in 2014, when the company faced heavy expenses for scaling back a large plant in Gosselies, Belgium. Caterpillar's global workforce at the end of 2014 was 130,743, down 2% from a year earlier. Caterpillar said it expects per-share earnings of about $4.60 in 2015, down from $5.88 in 2014. Coming out of the latest recession, Caterpillar earnings per share jumped to $8.48 in 2012 from $1.43 in 2009. Then a slump in mining investment knocked earnings down 32% for 2013. As Caterpillar rushed to close plants and reduce its workforce, earnings began recovering in 2014, but now the collapse of oil prices has hit potential profit. Lower oil prices eventually will spur world economic growth, said Caterpillar, but the company noted it wouldn't "occur soon enough to have a significant impact on our 2015 sales." After peaking at $65.9 billion in 2012, sales will be down for the third year in a row, Caterpillar expects. The last time the company's sales declined for three consecutive years was in the early 1930s, during the Great Depression. Sales for 2015 could be about $50 billion, down from $55.18 billion in 2014, Caterpillar said. Profit for the fourth quarter came to $757 million, or $1.23 a share, down from $1.0 billion, or $1.54 a share, a year earlier. The quarter's sales edged down 1% to $14.24 billion. Excluding restructuring costs, earnings per share were $1.35 in the latest quarter, down from $1.68 a year earlier. Wall Street had expected earnings before restructuring charges of about $1.55 in the latest quarter. Operating profit from construction machinery dropped 26% in the latest quarter to $362 million, while mining was down 67% to $72 million. The energy and transportation unit, which makes a wide variety of engines, had operating profit of $1.08 billion, up 10%. But that unit, Caterpillar's main source of strength in the past few years, is expected to sputter in 2015 as demand for engines used in oil exploration and development falls. Caterpillar's sales of railroad locomotives also are expected to drop as the company races to catch up with tougher U.S. emissions standards. The surging dollar "will not be good for U.S. manufacturing or the U.S. economy," Mr. Oberhelman said. But Caterpillar benefits in some respects because it has large amounts of production capacity in Europe and Asia. Mr. Oberhelman said the European factories, once "dysfunctional," are starting to perform much better after years of streamlining and cost cuts. The plant in Grenoble, France, where workers took managers hostage during a dispute in 2009, is now a model performer, he said. A weaker euro should make those plants more competitive for exports to other parts of the world. "The currency benefit will just be kind of gravy on that" restructuring story, Mr. Oberhelman said.

The mighty Mack-Scania V-8 is already in the U.S. market, for marine and industrial applications with ratings up to 1,000 horsepower. http://www.scaniausa.com/

VW Group would create a North American market conventional heavy tractor range, just as Volvo did. I feel the basis for this product would come from Scania rather than MAN. Until very recently, Scania had a long history of producing conventionals (most recently, the T -Series). There's certainly a market for the cab-over-engine VW Constellation in the U.S., in the medium-duty and medium-heavy segments. COE design still has merits for local and regional applications. Globally, the M-B Sprinter has a solid reputation. The Ford Transit does as well, but I'm unclear how much they changed it for the US market. Ford US has a habit of taking perfected global market product and changing it......with bad results. Look at the Ford Escape engine fires. The Escape was born in Europe as the Ford Kuga, and has never had engine fire issues outside the US. Hopefully the US market Ford Transit with the Ford UK 3.2-liter diesel will be as reliable as it is in Europe (FYI: Range Rover diesel engines are sourced from Ford). I'd avoid the FIat Ducato (Ram Promaster) though, and the Nissan Titan-based NV Cargo (the lack of a fuel-thrifty diesel option). Up until now, the Volkswagen Crafter was based on the M-B Sprinter, but has a VW-unique front end and VW powertrain (http://pl.wikipedia.org/wiki/Volkswagen_Crafter#mediaviewer/File:VW_Crafter_2.0_TDI_%28Facelift%29_%E2%80%93_Frontansicht,_9._Juli_2012,_Velbert.jpg). But VW and M-B have decided to terminate that cooperation, so the soon-to-arrive next generation Crafter desitined for the US market will be 100 percent VW designed and built.

Press Release / January 26, 2015 Danish logistics giant DSV has ordered 3.000 new trailers from German manufacturer Schmitz Cargobull. On Monday, Søren Lund, equipment director for DSV Road Holding NV, took delivery of the first rail-transportable curtainsider semi-trailer resulting from the 3,000 unit order. The first trailer complete with DSV signage was produced and delivered just ten days after receiving the order. This is all possible due to a sophisticated, well-functioning logistics and production control system which takes account of inbound parts from even the smallest supplier, right up to the detailed production process. In extreme cases, the process is so efficient that it is even possible produce a new trailer within just 18 hours. The 3,000 unit order, to be completed over the next two years, includes both Universal and Mega model trailers. Schmitz Cargobull offers both the advantages of innovative, sophisticated trailer solutions, which underline this promise of quality, and also takes into account economic factors to considerably reduce the total cost of ownership. As such, all trailers are equipped with the ROTOS running gear, which has been completely developed in-house by Schmitz Cargobull, with disc brakes, a maintenance-free axle system and electronic safety assistance systems. In addition, there is the convenient VARIOS height adjustment system for the body, with its simple and self-explanatory plug-in mechanism. Adjusting the height of the body ensures adherence to local country-specific regulations concerning overall trailer height in trans-European goods transport. Yet another important deciding factor in securing the order was the modular assembly system, including the equipment for intermodal traffic: All of the trailers to be supplied can be loaded onto trains or equipped for ferry transport. The components belonging to the modular assembly system are fitted using threaded bolts, meaning that all of the parts can be safely and rapidly replaced in the event of damage or repairs being carried out. It is even possible to retrofit additional components at a later date, thus increasing their flexibility in terms of use. http://www.cargobull.com/en/trailer-for-transport-and-logistics_46_634.html .

It's as reported, the truck holding company would be structured so it could be listed if VW Group wanted to raise cash. VW will bring its next generation Crafter van to the US market to compete with the Ford Transit, M-B Sprinter and Fiat (Ram) Ducato. Beyond that, as much as I'd like to see it happen, I doubt that VW will bring its full commercial portfolio to the US market. In the long run, given that VW is obviously serious about the heavy truck segment, global aspirations would, in theory, require the company to participate in the US truck market. Having said that, the US truck market of today is far less attractive than years ago, with low annual sales volumes and slim profits.

Heavy Duty Trucking / January 26, 2015 While competition from natural gas and declining crude prices have reduced attractiveness of hybrid and electric powertrain systems in commercial vehicles around the world, the long-term regulatory and energy outlook shows promise of a strong resurgence for these systems, according to a new study from Frost & Sullivan. The report offers a 2022 outlook compared to the year 2013, when the total global sales of hybrid and electric medium-duty trucks was nearly 2,200 units, while heavy-duty was nearly 300 units. By 2020, Frost & Sullivan projects that the global hybrid and electric medium-duty market will reach nearly 83,800 units. The emergence of low-emission and noise-free zones will create demand for pure electric trucks in pickup and delivery applications, according to the report. The global heavy-duty market is projected to reach nearly 50,800 units, thanks to fully electric trucks in refuse applications, and catenary (overhead electric lines similar to an old-fashioned streetcar) in specialized applications, such as between ports and inland intermodal hubs. OEMs will develop global hybrid vehicle platforms for deployment across different regions, while focusing on production of electric vehicles with local sourcing to facilitate economies of scale in high-growth markets. Key trends the report says will drive this growth: Urbanization: Rising congestion will lead to low-noise and low-emissions zones in crowded cities, as well as subsidies, tax credits and incentives to help make this happen.Advanced battery technologies: Improvements in distance per charge and energy density will dovetail with reduced upfront and lifecycle costs.Emissions regulations in the up-and-coming BRIC countries and ChinaCharging infrastructure: Governments and OEMs find hybrids attractive compared to full electric or CNG because they require limited charging/fueling infrastructureVolatile fuel prices: They may be down now, but fuel prices will continue to go up and down, driving customers toward more fuel-efficient vehicles.Customization: Differentiated products can be built for different duty cycles and applicationsVoltage standardization will provide synergy in electric components such as motors, inverters and batteries in the car and truck segment.Intra-city pick-up-and-delivery, supermarkets, logistics companies, and private fleets that haul lightweight voluminous cargo will present demand for MD-HD hybrid and electric trucks, says the firm. Some key findings: The global medium- and heavy-duty hybrid truck market is set to reach about 90,000 units by 2022. China, North America and Europe will contribute 85.4% of global volumes.Parallel hybrid architecture is expected to penetrate 81% of hybrid truck market in 2022 with series hybrid making inroads in specialized applications.The global MD and HD electric truck market is set to reach approximately 44,800 units by 2022.Chinese manufacturers such as Dongfeng, Foton, FAW and CNHTC are expected to top the global hybrid and electric truck market. Volvo and Daimler are expected to be the non-Chinese members of the top six in the market.

Today’s Trucking / January 26, 2015 FORD Ask any fleet manager about cost savings, and fuel economy will come up quickly in the conversation. For Ford, there are a number of ways to achieve this, including buying new vehicles. “We are seeing increased growth and sales in the medium-duty segment,” says Mark Lowrey, marketing manager for F-Series Fleet Trucks at Ford. “Our customers are replacing aged vehicles as the economy begins to recover from the recession back in 2008 and 2009.” Ford continues to make improvements and enhancements with a number of different technologies, Lowrey says. They include gas-prep packages for natural gas and propane upfits, automatic transmissions that allow engines to operate at optimal rpm ranges and open opportunities for more diverse driver employment, low-rolling-resistance tires, and gear ratio selections to match engine and transmission performance. For the 2016 model year, Ford’s F-650 and F-750 trucks will be offered with both gasoline and diesel engines, as well as compressed natural gas and propane autogas engine prep packages. All models will come with Ford’s 6-speed TorqShift SelectShift automatic transmission, which features double-overdrive ratios and low-end 3.97-to-one first gear. Ford is offering, for the first time, an optional 6.8-liter V-10 gasoline engine with the 6R140 transmission, as well as the 6.7-liter Power Stroke V-8 turbo diesel engine, which is rated at 270 hp and 675 lb-ft. of torque, and offers B20 biodiesel capability. Ford also added several new interior features, including a 110-volt power outlet, available Sync and Crew Chief factory-installed fleet management telematics, and a rapid-heat supplemental cab heater. A new steering wheel offers advanced controls. Buyers have a choice of hydraulic or air brakes. FREIGHTLINER Freightliner Truck sees a change in how its clients are making truck-buying decisions. “Similar to what we’ve seen in the on-highway segment, medium-duty customers increasingly recognize the importance of purchasing a truck based on the cost of ownership over the lifetime of the vehicle,” says Mary Aufdemberg, director of product marketing. “Customers recognize the lifetime savings when they consider the bottom-line impact of a proven powertrain, durable chassis, industry-leading visibility, customizable easy-to-upfit spec, and strong dealer support.” The 2015 Freightliner M2 106 can be fitted with either a Cummins ISB or Cummins ISL engine and Eaton Fuller 5-, 6-, 8 ALL, 9 ALL, 9- or 10-speed manuals, as well as Eaton UltraShift 5-or 6-speed automated manuals and Allison automatics. Several new option packages include efficiency, which combines Allison’s new FuelSense transmission programming with a Freightliner-exclusive Cummins ISB 6.7 rating of 220 hp and 600 lb-ft. of torque. “This pairing will deliver better fuel economy and reliability than any engine in its class,” Aufdemberg says. “We’ve packaged this powertrain combination with additional fuel economy-enhancing options to further increase mpg.” Because each medium-duty application can be very different, Freightliner offers a variety of customizable options. HINO In 2011, Hino introduced the 195 cabover engine (COE) to Canada, and it has since taken the market by storm. The model represents well over 50 percent of Hino Canada’s vehicle sales and its popularity increases year after year. The 195 is powered by Hino’s 5.1L turbo diesel 4-cylinder engine, producing 210 horsepower and 440 lb.-ft. of torque. The engine is mated to the Aisin A465 6-speed fully automatic transmission for smooth and efficient power delivery. The COE was recently enhanced with the addition of a long-wheelbase option to accommodate freight bodies of up to 22 ft. in length, as well as rear air-ride suspension for shock-sensitive loads. Hino plans to improve front axle capacity for the 2016 vehicles as well as offer an optional 55-gallon aluminum fuel tank. Standard features of the 195 include a magnetic suspension driver’s seat and a Bluetooth sound system. As with all Hino models, the 195 is covered by the company’s exclusive Hino Premium Protection plan consisting of one year free maintenance, free engine oil changes in year 2 and 3, three years of HinoWatch roadside assistance and five year limited engine (and COE transmission) warranty. The Hino 195 is also available in a crew cab configuration or as a diesel-electric hybrid vehicle. ISUZU Fleet managers are often challenged with building a practical truck application with a sensible solution, according to Brian Tabel, director of marketing at Isuzu Commercial Truck. “A truck purchase decision requires a vehicle with maximum uptime. Ease and cost of maintenance, driver efficiency and fuel economy are major components of the challenge to reduce costs and maximize profit — ultimately realizing the lowest cost of operation, which provides the lowest cost of vehicle ownership,” Tabel says. For many customers, spec’ing a vehicle unique to their applications with the benefit of a reduced carbon imprint makes the purchase that much more attractive. While no single engine technology is the answer for all applications, Isuzu offers a pair of its own diesel engines and a General Motors gasoline engine that can burn natural gas or propane. Isuzu 2015 N-Series trucks are available in Class 3, 4 and 5, including: * NPR Gas and NPR-HD Gas with a 6-liter Vortex V-8 rated at 297 hp at 4,300 rpm and 372 lb-ft. at 4,000 rpm; * NPR Eco-Max with an Isuzu 3.0 4JJ1-TC diesel rated at 150 hp at 2,800 rpm and 282 lb-ft. at 1,600 rpm; * NPR-XD and NPR-HD, each with the 4HK1-TC diesel rated at 215 hp at 2,500 rpm and 452 lb-ft. at 1,850 rpm; and * NQR and NRR, also with the 4HK1-TC diesel. Isuzu’s diesel trucks come with an onboard Data Recording Module which creates a vehicle health report. “In addition to reporting operating status of all major drivetrain and major operating systems, it reports driver-operating habits including acceleration, deceleration, braking, speed, fuel consumption and engine idle times,” Tabel says. “Utilization of operation facts can improve driver behavior and safety, and further reduce your cost of operation.” PETERBILT Buying a truck that doesn’t require a commercially licensed driver can make hiring easier, notes Wesley Slavin, Peterbilt’s medium-duty products marketing manager. “Easy to operate, non-CDL trucks open up a much deeper driver pool, so businesses in local delivery applications or utility work, for instance, can operate the vehicles and not necessarily require dedicated truck drivers,” Slavin says. “Customers continue to look for operator-friendly features that help increase productivity, safety and comfort.” For 2015, Peterbilt is offering its Class 6 and 7 medium-duty cabover Model 220, which comes standard with the Paccar PX-7 diesel with up to 260 hp and 660 lb-ft. The 220 is standard with an automatic Allison transmission with a push-button shifter and an electronic braking system. The vehicle’s curb-to-curb turning radius has been reduced by 16 percent, with maneuverability further enhanced with a bumper-to-bumper spec as short as 35 feet. Even at the shortest wheelbase, the Model 220 features an additional 45 inches of payload room. While Peterbilt integrates aerodynamics to increase fuel economy, the biggest saving can come from inside the cab itself. “The biggest impact on fuel economy is the driver,” Slavin says. “It’s even more significant in medium-duty markets where routes are local, there’s urban congestion and it’s often stop-and-go deliveries. So we focus on features that help the driver operate as efficiently as possible.” This year, Peterbilt introduced Driver Performance Assistant, a coaching tool which provides operators with real-time feedback to improve driving habits, resulting in better fuel economy and reduced component wear. Mitsubishi Fuso Medium-duty drivers, just like heavy-duty, have to keep on top of a lot more today than in the past, according to Todd Bloom, president and CEO of Mitsubishi Fuso Truck of America (MFTA). “The days of a fleet owner being able to hire untrained operators to drive a light medium-duty truck are passing,” Bloom says. “With tightened emissions limits, and the more sophisticated emissions controls they have brought to the medium-duty market, the need for driver intervention has also increased. “Five years ago, drivers of Class 3–5 diesel trucks could essentially climb into the seat and drive it away in much the same way they did their personal vehicle. Today, commercial drivers have to be aware of all of the vehicle’s EPA mandated technology, in addition to all of the normal vehicle pre-run inspection and maintenance tasks.” MFTA offers five medium-duty models: the Fuso Canter FE130 (13,200 pounds GVWR), FE160 (15,995 pounds GVWR) and FE180 (17,995 pounds GVWR) standard-cab models, the FE160 Crew Cab (15,995 pounds GVWR), and the four-wheel-drive FG4X4 (14,050 pounds GVWR). All 2015 Fuso models are powered by a three-liter diesel coupled to Fuso’s Duonic 6-speed-overdrive automated manual transmission with fully automatic dual clutch control and creep function. The design focus of the 2015 Canters remains on low cost of ownership, based on long service intervals, high payload capacities and good fuel economy. Since the manufacturer’s vehicles cross a wide range of vocational markets, certain accessories remain optional. “Idle-limit systems are required in some jurisdictions, valuable for fuel sav ings in others, but not universally required or beneficial,” Bloom says. “Cab-mounted air deflectors can save substantial fuel in regional delivery [highway] applications, but do little to boost economy in stop-and-go urban traffic. By making these and other accessories optional, the fleet can choose the content for its trucks that best suits its business, operational and budget requirements.” KENWORTH While Kenworth offers a number of conventional medium-duty trucks, including the T170, T270, T370, T440 and T470, the truck manufacturer recently entered into full production on two updated cabover models, the Class 6 K270 and Class 7 K370. “Kenworth’s new cabovers feature extensive exterior and interior enhancements,” says Kurt Swihart, Kenworth marketing director. New additions include a new dash and gauge cluster, front air disc brakes, an electronic braking module, a push-button control shifter, and Dana rear axles. The K270 and K370 come standard with a 6.7-liter Paccar PX-7 diesel rated at 220 hp and 520 lb-ft. of torque, and an Allison 2100HS 5-speed transmission. Both models also feature a standard air-ride driver’s seat plus a two-passenger bench seat with storage underneath, as well as single driver and passenger seats with a large console in between as an option. Available with wheelbases ranging from 142 to 242 inches in 12-inch increments, the trucks can accommodate bodies from 16 to 28 feet. “All of the available features that come standard with the K270 and K370, such as an adjustable steering column, power-heated mirrors and an air ride driver’s seat, are proving to be a big draw,” he says. T-series conventionals can be fitted with factory-installed front drive axles, rear air suspensions and aerodynamic fairings for tractors. Kenworth recently added Allison’s FuelSense package for medium-duty trucks specified with Allison’s Highway Series or Rugged Duty Series automatic transmissions. Fuel Sense adapts shift schedules and torque based on load, grade and duty cycle to save fuel while retaining performance. NAVISTAR Navistar is focusing on “customerization,” says Bill Kozek, president of North America Truck and Parts. “What we call customerization is about empowering our customers, giving them more options, flexibility and ultimately more control in the process of selecting the right commercial truck and commercial truck components for their businesses.” Last summer, Navistar shipped its first International DuraStar and International WorkStar vehicles housing 9.3-liter N9 and N10 engines with selective catalytic reduction exhaust- emissions equipment to customers. Their ratings range from 275 to 330 hp and 860 to 960 lb-ft. Also available is the Cummins ISB6.7, also with SCR, which produces from 200 to 300 hp and 520 to 600 lb-ft. During a recent earnings call, Jack Allen, Navistar’s executive vice president and chief operating officer, said the company has produced more than 7,000 trucks with the ISB since it was unveiled in the fall of 2013, with 5,000 currently in use. The data that we’re getting back is very positive on fuel economy, on performance, on uptime,” he says. “So we do expect repeat business, but we expect a greater portion of the existing customers’ business.” Navistar still makes non-SCR diesels and still calls them MaxxForce. The MaxxForce DT inline-6 produces from 215 hp and 560 lb-ft. to 300 hp and 660lb-ft. The MaxxForce 7 V-8 makes from 240 to 300 hp and 620 to 660 lb-ft. The 2015-MY International Durastar is available with Eaton 5-, 6-, or 10-speed manual transmissions, Eaton UltraShift 5- or 6-speed automated manuals, and Allison 1000, 2000 and 3000 series automatics. Navistar recently started offering Allison’s FuelSense packages for these transmissions. Dodge Trucks (RAM) Customers are looking to save money by dropping classes instead of vehicles or drivers, says Rudy Albrecht, Ram chassis cab marketing manager. For example, a company might choose to move from Class 6 trucks to Class 5 or 4, which would reduce weight and increase fuel economy. “Truck users are paying more attention to acquisition and operating costs, making sure they get the right truck with the correct capability. Previously the tendency was to buy bigger than they might need just in case they need it down the road,” Albrecht says. Newer model Class 4 and 5 trucks are in many cases equal or more capable than the sometimes decade-old Class 6 trucks they are replacing, Albrecht says. He pointed to the ’15 Ram 4500 and 5500 chassis cabs’ high gross combination weight and tow ratings. A new Max Payload Package on 6.4-liter Hemi-powered Ram 5500s, which is made possible by a new torque converter on the commercial-duty Aisin AS66RC automatic transmission, increases gross vehicle weight ratings to 19,000 and 19,500 pounds on various wheelbases. Those GVW ratings are 500 to 1,000 pounds higher than before. Many customers are choosing the 6.4 Hemi gasoline engine because it costs about $8,500 less than the Cummins diesel, and still does a respectable amount of work. For heavy towing, though, the diesel is still the better choice. “For instance, Ram offers a 10,000-pound-GVWR option on our 3500 chassis cab for customers who don’t typically haul or pull heavy loads, but at the same time it helps them reduce some of the administrative and insurance costs that come with operating heavier trucks.”

Transport Topics / January 24, 2015 The Kenworth T880 with the Paccar MX-13 engine was honored as the 2015 commercial truck of the year. The award, which this year focused on the vocational and heavy haul/severe-duty sectors, was announced here Jan. 24 at the American Truck Dealers annual convention. ATD said the Kenworth truck was selected for its design, refined interior, torque, handling and outstanding visibility from the driver’s seat. The other finalists were the International WorkStar 7600 and the Peterbilt Model 567. This T880 is specified with a Paccar MX-13 rated at 500 hp and 1,850 pound-feet of torque. A number of Kenworth representatives, including Preston Feight, assistant general manager for sales and marketing, were in attendance to accept the award. Feight told Transport Topics the award “was the recognition of a great truck” that along with the Paccar engine was “a complete package.” Kenworth and Peterbilt Motors are both U.S.-based truck-making units of Paccar. The judges included a panel of journalists, and for the first time, an active professional driver. Greg Nauertz, a local delivery driver for YRC Worldwide based in Phoenix, participated in the selection process, which took place several days before the ATD convention began. http://www.kenworth.com/media/37274/t880.pdf

Reuters / January 21, 2015 Volkswagen Group may restructure its trucks business so that it could be spun off from the main group, and establish a separate headquarters for it in Frankfurt, German monthly Manager Magazin said, citing company sources. Manager Magazin said the trucks holding company would be structured so it could be listed on the stock exchange in the event that parent company Volkswagen wanted to raise cash. A spokesman for Volkswagen said the company declined to comment on speculation. Volkswagen has hired former Daimler manager Andreas Renschler to integrate its different trucks businesses which include Swedish truck maker Scania and German MAN SE as well as its own VW-branded commercial vehicle business. Renschler will start his job on Feb. 1, and wants to have 50 staff in Frankfurt to run the business, Manager Magazin said. .

With the election of a new director to Paccar who has zero background in the heavy truck industry, it's no wonder why foreign truckmakers now dominate the U.S. heavy truck market. Zenon C.R. Hansen adamantly opposed having anyone on Mack’s board of directors who lacked the necessary qualifications. When Zenon C.R. Hansen returned to Allentown in 1985 to speak at the American Truck Foundation directors meeting, he was asked flatly, if he was brought to Allentown as an adviser for Mack management. Hansen wasn't afraid to openly discuss Mack's recent problems. "All you have to do is read the daily business items, and you will find out that some businesses that existed 10-11 years ago have been absorbed," Hansen said. "Now, I don't think that's going to happen to Mack. What the ultimate outcome is of the problems, or questions, that they have to answer now. I can't tell you. "All I know is that I had a very fine relationship when I was in Allentown with Mack employees. They were absolutely super, and also with the Mack union (United Auto Workers). "From everything I have learned, the present management of Mack has that same relationship. But what the exact problems are, I can't say. I learned a long time ago that you don't talk about something you don't know something about. "I can't say what Mack directors are doing now," Hansen said. "I've been gone 11 years. I don't have the recent background with Mack. Now, maybe I'll have it before I leave, but I don't have it now. As far as I can see, they're doing a fine job. "But I have a very concrete background to compare with - the directors who were running the company before I came (in 1965). We dispensed with those directors and got others who knew something about trucks.

Prime Mover Magazine / January 21, 2015 Beth E. Ford has been elected to the Paccar Board of Directors, succeeding John M. Fluke Jr. effective 21 April 2015. “Paccar is very pleased that Beth Ford will be joining the Board. Her years of management experience in international business, logistics and manufacturing will benefit Paccar in its global growth,” said Mark Pigott, Paccar Executive Chairman. “The Board thanks John Fluke for his 30 years of excellent service to the company. John has provided superb judgment and counsel as a director and we will miss him.” During her 25-year career, Ford has held operating and senior leadership positions with global companies in industries including chemicals, food and beverage, publishing and oil and gas. She is currently a director of Clearwater Paper Corporation.

Go by Truck / January 20, 2015 Pennsylvania has awarded $7.3 million in funding to help 18 companies switch their heavy-duty fleets to natural gas. The grants are part of a three-year program known as the Pennsylvania Act 13 of 2012, which provided $20 million in grants to increase the use of natural gas in heavy-duty vehicles in the state. This was the third and final round of awards under the program. The 18 recipients were chosen from a pool of 37 applicants. The companies that receive the money must pay at least 50 percent of the costs to purchase each new natural gas vehicle or to retrofit existing vehicles. The maximum award per vehicle is $25,000. The conversion could involve either compressed natural gas or liquefied natural gas, as well as bi-fuel vehicles, as long as the trucks weigh at least 14,000 pounds. In addition to providing the grant money, Act 13 included provisions to help the state develop its oil and gas manufacturing. It also lined out new regulations for oversight of the drilling industry and protection of private water supplies.

http://iveco.com.au/index.php/on-road/powerstar/range/powerstar-7800

Diesel News Australia / January 21, 2015 The Dakar rally provides us with some spectacular footage as trucks rampage through the deserts and mountains of South America. This year’s event was no exception, with Russian teams dominating the race, coming in first, second and third in their KamAZ trucks. MAN managed fourth place with another KamAZ coming in fifth. Strong contenders Iveco started badly, losing a lot of time, but finished well, winning the final stage to finish sixth overall. The Hino team came in 16th overall, but first in the under 10 litre class, completing the course powered by a nine litre engine. https://www.youtube.com/watch?x-yt-cl=84411374&v=zZjGJCZv8eQ&x-yt-ts=1421828030

Overdrive / January 21, 2015 Departing from recent norms in his State of the Union addresses, President Barack Obama on Tuesday made only brief mention of infrastructure funding and no mention of issues related directly to trucking or transportation in the 2015 edition of the annual address to Congress. The president’s indirect remarks about highway funding came as part of a larger push he made in the address for modernizing and boosting U.S. infrastructure overall. “Twenty-first century businesses need 21st century infrastructure — modern ports, and stronger bridges, faster trains and the fastest Internet,” Obama said. “Democrats and Republicans used to agree on this. So let’s set our sights higher than a single oil pipeline. Let’s pass a bipartisan infrastructure plan that could create more than 30 times as many jobs per year, and make this country stronger for decades to come.” In last year’s State of the Union address, the president pushed hard for a long-term highway bill, fleshing out U.S. infrastructure for natural gas and for improving fuel efficiency for heavy trucks. This year, however, Obama’s address focused on economic gains the country has seen in recent years and “middle-class economics,” pitching proposals for free community college, paid sick leave for employees and using potential tax increases on the rich to fund other projects. He also spent time on international policy, mostly focused on the U.S.’ force against the Islamic State in the Middle East. He did not mention increasing fuel taxes or other highway funding specifics. Likewise, in the official Republican response to the president’s address, Sen. Joni Ernst (R-Iowa) was also quiet on highway funding and transportation issues. Her only mention of infrastructure funding came as a push for U.S. support for building the Keystone XL pipeline.

FYI: It appears that R.P.M. Tech will retain the truck manufacturing business. Note the specs: http://www.grouperpmtech.com/en/custom-carrier-vehicles.aspx R.P.M. Tech was founded in 1962 by Richard Piché under the name of Richard Piché Inc. Prior to the 1980’s, R.P.M. Tech concentrated its activities in the production of rugged industrial snow removal equipment. Since then, several acquisitions allowed the company to diversify its production in a wider range of products. TOR TRUCK CORPORATION Acquired in 1987 and located in Mississauga, Ontario, TOR Truck Corporation specializes in the design and manufacturing of custom built on/off highway vehicles. These include crane carriers, drill rigs, utility trucks, man-lifts, concrete pumps and scrap handlers. In addition to manufacturing various models of chassis, TOR Truck Corporation maintains large O.E.M. parts distribution centers for all types of chassis and construction equipment., one is located in Mississauga, Ontario, and one is located in Edmonton, Alberta. TOR TRUCK USA, INC. TOR Truck USA, Inc. was acquired by TOR Truck Corporation in 1999. It is located in Mechanicsburg, Pennsylvania and specializes in distributing OEM parts to heavy-duty vehicle service centers as well as independent rebuilders of transmissions and differentials. Tor Truck USA also has a distribution center in North Kansas City, Missouri. It works closely with Tor Truck Corporation relating to all matters dealing with parts inventory and distribution. .

Heavy Duty Trucking / January 20, 2015 CCC (Crane Carrier Corporation) Parts Company has completed the purchase of TOR Truck Corporation, a wholesale distribution company specializing in providing drivetrain solutions and components. TOR provides new and remanufactured OEM parts for industries such as construction, over-the-road, mining, logging, airport maintenance and material handling. The acquisition will expand CCC’s existing service and support capabilities in the U.S. and Canada and is aimed at accelerating growth into new end markets and geographies, says CCC. TOR will also expand CCC’s number of wholesale operations and product distribution centers in North America. The TOR name will continue to exist and the TOR management team will continue to operate as TOR with added resources from the CCC wholesale team. CCC Parts Company is a wholesale distributor of heavy-duty truck and trailer products with distribution centers in the U.S. and Canada. “This is a very exciting time for TOR and our customers,” said Pierre Bernard, Chairman of RPM Tech Inc., the former parent company of TOR. “This merger places a strong emphasis on broader product lines, additional inventory and a stronger distribution network for our customers.”

FYI: The Wrightspeed Route HD's electric drive system, like the Peterbilt/Wal-Mart WAVE hybrid tractor concept, is powered by a Capstone micro-turbine. http://www.capstoneturbine.com/prodsol/solutions/hev.asp

Wrightspeed and Ratto Group Clean Up the North Bay Press Release / January 16, 2015 Wrightspeed and The Ratto Group announce their partnership in converting North Bay garbage and recycling vehicles from clean diesel to electric drive. Wrightspeed and The Ratto Group announce their partnership in converting North Bay garbage and recycling vehicles from clean diesel to electric drive. The partnership is announced three weeks after Wrightspeed publicized their heavy-duty electric driveline product, the route HD. The route HD is a plug-in electric truck powertrain that uses an onboard turbine generator to charge the battery, as needed, on the road. It uses CNG, LNG, diesel, or landfill gases and burns cleaner per kilowatt-hour than the average mix of US electrical power plants, making it “cleaner than an EV.” Surpassing California Air Resources Board’s (CARB) ever-tightening emissions standards by 1000%, Wrightspeed’s Powertrains are not only hyper-clean, they are commercially future-proof. “We’re always looking for ways to reduce greenhouse gases in our pursuit of an environmentally sustainable economy,” says Chief Operating Officer, Lou Ratto. “Wrightspeed’s very efficient and super clean powertrains are a great fit for our fleet.” The Ratto Group of Companies, based in Santa Rosa, provides refuse and recycling services to cities and unincorporated areas in Sonoma and Marin Counties. Ian Wright, Wrightspeed’s founder and CEO, agrees, “The route HD was engineered for the refuse and recycling truck application, where it can reduce fuel spend by $35k per year and dramatically reduce noise pollution.” For more information on the Route HD: http://wrightspeed.com/products/the-route-hd/

Fleet Owner / January 20, 2015 Eaton has expanded its UltraShift Plus automated transmission offerings with a new A-ratio designed for extreme performance applications. The MXP (multipurpose extreme performance) transmissions have lower overall numerical ratios and higher torque ratings, the company said. The ratios and even steps on the transmissions deliver better shift performance to improve grade shifting in hilly and mountainous conditions. The 18-speed A-ratio transmissions, when designed into the appropriate driveline, can allow for unlimited payloads. “These new A-ratio transmissions are ideal for demanding applications such as those encountered on routes where steep grades are present and when vehicles are pulling extra heavy payloads,” said Ryan Trzybinski, product planning manager for Eaton. Production begins this month. The standard UltraShift Plus warranties, which are dependent on application, remain the same for the newest application expansion to Eaton’s lineup of automated transmissions. As part of the performance series of UltraShift Plus transmissions, the A-ratio transmissions use an electronic clutch actuator to provide faster shifting and smoother engagement. At idle the clutch fully engages giving drivers excellent control in challenging situations. Shift selection software uses changes in grade, weight and throttle control to calculate the most efficient and effective shift points. Additional features include: Fully automated two-pedal design (no clutch pedal).On/Off-highway performance design.Safety features, such as auto neutral and Intelligent Hill Start Aid, which prevents roll-back and roll-forward while launching on grades using foundation wheel brakes.Automatic, Manual and Low modes offering full control for drivers.Creep Mode.Pairing to the highest torque engines available today with torque capacities ranging from 1450 lb.-ft. (1966 Nm) through 2250 lb.-ft. (3050 Nm).World class start-ability and ratio coverage.Unlimited gross combination weight in 18-speed models.

Detroit Free Press / January 20, 2015 Ian Wright and a few tech-minded buddies got together about a decade ago bent on creating a fast and cool electric car. They called the company Tesla Motors. Wright left soon after Elon Musk took Tesla's financial steering wheel in 2004, but now he's back and determined to electrify a slow and ungainly automotive beast: the commercial truck. While the idea might sound crazy, Wright's logic and math are intriguingly simple. "Besides the fact that modern cars are already very clean, your average Toyota Camry driver only uses about 600 gallons a year, while a garbage truck will use 14,000," says Wright, a soft-spoken New Zealander with a passion for sports cars. "It makes the most economic sense to focus energies on a sector where you can displace the most fuel," especially true now that gas has plummeted to under $50 a barrel, says Wright. "When you switch a garbage truck to electric power, you're saving about $60,000 in fuel and $30,000 in maintenance a year." Companies gradually are buying Wright's pitch. His electric powertrain start-up, Wrightspeed, last year contracted with FedEx to retrofit 25 of its medium- to heavy duty-trucks with battery-powered engines that can be recharged through regenerative braking or by small turbines fueled by natural gas or propane. More recently, Wright got the green light from The Ratto Group, a Bay Area garbage and recycling company, to convert 17 of its garbage trucks. In California, such decisions are being spurred by changes to the state's strict California Air Resources Board standards. Certain high-polluting older and heavier commercial trucks had to be off the road by this past Jan. 1, and by 2023 nearly all trucks and buses will need 2010 model year-or-newer engines. In anticipation of increased demand for his services due to CARB's guidelines, Wright announced today that he is moving his 23 staffers from a 30,000-square-foot plant in San Jose to a 110,000-square-foot former Pan Am airplane hangar in Alameda, near Oakland. He anticipates the company's staff growing tenfold by 2018. For Lou Ratto, letting Wrightspeed revamp a group of 2003-2007 garbage trucks was "an opportunity to take myself out of the air-quality conversation," adding that while he's been keen to buy the latest in green trucks, "it's been a struggle" to keep up with CARB requirements. "What I love about this option is that it's true recycling, because we can maximize the life of the truck's bodies while getting a cost savings and environmental benefit," he says. "As for Ian, his Tesla background speaks for itself." Wright is talking about the 2.2 million medium-duty trucks consuming some 35 billion gallons of gasoline a year, as well as those noisy garbage-swallowing banes of urban and suburban existence. Beyond the savings on fuel and frequent brake replacements — Wrightspeed-equipped trucks mainly use regenerative braking to stop — Wright promises a reduction in noise during those early morning pickups. "Most of that racket is the engine revving up to allow the truck's hydraulics to compress the garbage, but that will drop drastically with our engines," he says. The most modern garbage trucks can cost a city upwards of $500,000. Wright says he can retrofit a truck with his cost- and noise-reducing engine for "a huge fraction of that price," typically under $200,000. "What you'd save on fuel and maintenance over the next four years would get that money back," he says. Wright is convinced that electric power ultimately will make a bigger splash by cleaning up the world's commercial vehicles than it will by ferrying around average citizens in often pricey machines. Wright himself doesn't drive a Tesla. He's actually more of a Maserati and Caterham 7 guy. But he has nothing but praise for Musk's stewardship of the company he dreamed up with Martin Eberhard, Marc Tarpenning and J.B. Straubel. "What Tesla has achieved in terms of changing people's perceptions about electric cars, from golf carts to vehicles that compete with Mercedes and Porsche, is beyond my wildest dreams," says Wright. "That said, we're going after high polluters, and in that sense our economic proposition could allow us to scale bigger than Tesla."

Diesel drops below $3 for first time since 2010 Commercial Carrier Journal (CCJ) / January 20, 2015 The national average price for a gallon of on-highway diesel fell below the $3 mark for the first time since September 2010 and its lowest point since the week ended Sept. 6, 2010, according to numbers released Jan. 19 by the Department of Energy. The U.S. average at-pump price for diesel dropped 12 cents in the week ended Jan. 19 to $2.933 a gallon, according to the DOE. The price is now down 94 cents from the same week last year and has fallen nearly 70 cents since the beginning of December. All regions in the U.S. saw big drops, too, led by a 15.2-cent decline in the West Coast less California region. The Rocky Mountain regional average dropped 14.3 cents, the second biggest drop. The California subregion had the country’s most expensive diesel, $3.165 a gallon, followed by the Central Atlantic’s $3.131. The West Coast less California region had the country’s cheapest diesel, $2.826, followed by the Gulf Coast’s $2.843 and the Rocky Mountains’ $2.884.