Tag Archive for 'trucks'

Stoneway Concrete Realizes Greater Payload, Enhanced Stability



  • image003Navistar and Volkswagen Truck & Bus to pursue strategic technology collaboration and establish procurement joint venture with Volkswagen Truck & Bus taking a 16.6% stake in Navistar
  • Volkswagen Truck & Bus to invest $256 million in Navistar at $15.76 per share and have the right to appoint two directors to Navistar’s board of directors
  • Alliance will uniquely position Navistar to provide best-in-class products and services to customers
  • Navistar expects to realize cumulative synergies of $500 million over first five years

 Navistar International Corporation (NYSE: NAV) today announced that it has formed a wide-ranging strategic alliance with Volkswagen Truck & Bus, which includes an equity investment in Navistar by Volkswagen Truck & Bus and framework agreements for strategic technology and supply collaboration and a procurement joint venture.

The agreements expected to be entered into in connection with the alliance will enable Navistar to offer customers expanded access to leading-edge products and services through collaboration on technology and the licensing and supply of Volkswagen Truck & Bus’s products and components, while better optimizing its product development spend. The alliance will also strengthen Navistar’s liquidity position. In addition, the procurement joint venture is expected to leverage the purchasing power of Volkswagen Truck & Bus’s three major truck brands, Scania, MAN and Volkswagen Caminhões e Ônibus, in addition to Navistar’s own International® and IC Bus brands, providing Navistar with enhanced global scale.

Navistar expects significant synergies from both the strategic technology collaboration and the procurement joint venture. The company expects the alliance to be accretive beginning in the first year, and for cumulative synergies for Navistar to ramp up to at least $500 million over the first five years. By year five, it expects the alliance will generate annual synergies of at least $200 million for Navistar. This annual run rate is expected to grow materially thereafter as the companies continue to introduce technologies from the collaboration.

“We are very pleased to partner with a global leader who shares our view of the world, in an alliance that will deliver multiple benefits and is consistent with our open-integration strategy,” said Troy Clarke, President and CEO, Navistar. “Starting in the near term, this alliance will benefit our purchasing operations through global scope and scale. Over the longer term, it is intended to expand the technology options we are able to offer our customers by leveraging the best of both companies and enabling Navistar to deliver enhanced uptime. Volkswagen Truck & Bus’s equity investment will strengthen our liquidity position and expand our financial flexibility, while aligning us with a valuable strategic partner.”

“Closer collaboration among our existing brands was a top priority for our commercial vehicles business and we are well on track in this context,” said Andreas Renschler, CEO of Volkswagen Truck & Bus and member of the Board of Management of Volkswagen AG responsible for commercial vehicles. “We are now taking the next step on our way to becoming a Global Champion in the commercial vehicles industry. The strategic alliance with Navistar is an important milestone and will be very beneficial for both sides.”

Navistar will remain a leading, independent truck, bus and engine company, focused on providing best-in-class products and related services to its customers globally and delivering value for its shareholders.

“We expect this alliance will create significant global scale, yielding considerable cost savings for both companies,” said Walter Borst, Executive Vice President and Chief Financial Officer, Navistar. “We believe working collaboratively, the two companies can optimize the capital and engineering expenditures associated with next-generation truck and bus engine development, while providing both Navistar and Volkswagen Truck & Bus with opportunities for substantial procurement savings. This alliance marks another step in Navistar’s journey to be a stronger, more profitable company.”

Equity Investment

As part of the alliance, Volkswagen Truck & Bus will acquire 16.2 million newly issued shares in Navistar, representing 16.6% of post-transaction undiluted common stock (or 19.9% of pre-transaction outstanding common stock). It will pay $15.76 per share or a 25% premium over Navistar’s 90-day volume weighted average price as of August 31, 2016, or 12% over Navistar’s closing price on September 2, 2016. Navistar will receive $256 million from the equity investment to be used for general corporate purposes.

To underscore the long-term nature of the alliance, Volkswagen Truck & Bus has agreed to hold these shares for a minimum of three years. Reflective of its shareholding post-transaction, Volkswagen Truck & Bus will have the right to appoint two directors to Navistar’s board of directors.

Procurement Joint Venture

The procurement joint venture will help source parts for both companies, providing Navistar and Volkswagen Truck & Bus with greater scale and competitiveness. It will also provide additional opportunities for Navistar suppliers to gain access to potential global sourcing opportunities, and create improved pricing for end-customers.

Technology Sharing

The strategic technology and supply partnership builds on Navistar’s open integration strategy of partnering with the best global companies in the industry to integrate cutting-edge technology. It is expected the partnership will focus on powertrain technology solutions, as well as explore collaboration in all aspects of commercial vehicle development, including advanced driver assistance systems, connected vehicle solutions, platooning and autonomous technologies, electric vehicles, and cab and chassis components. This enhanced collaboration will enable the alliance to share the overall costs associated with future vehicle development.

Navistar products will benefit from Volkswagen Truck & Bus components and technology through licensing and supply agreements entered into pursuant to the framework agreement for strategic technology and supply collaboration, which longer term will generate increased parts sales.


The strategic alliance will receive oversight from an alliance board, comprising top-level executives from both parties, which will align the product development and procurement processes between the companies.

Timing and Conditions to Close

The closing of the share purchase agreement implementing the strategic alliance is subject to certain regulatory approvals, the finalization of the agreements governing the procurement joint venture and the first contract under the technology and supply framework agreement and other customary closing conditions.

J.P. Morgan is acting as financial advisor to Navistar and Sullivan & Cromwell LLC is acting as legal advisor to Navistar.



Voters Feel Nation’s Infrastructure Needs Attention

Baby & GBy:  Greg Sitek

Days are flying by at a record-breaking pace as the presidential candidates race to the finish line in what, in my opinion, is the most vicious campaign since I was first eligible to vote. No, it wasn’t Lincoln vs. Douglas.

There are almost as many issues as there are dollars in our national debt. Among them is our infrastructure. A failing infrastructure is not conducive to growing a strong economy. Both parties recognize this face and have addressed it in campaign rhetoric.

With 90 days left before Election Day, a national poll released recently by the Association of Equipment Manufacturers (AEM) found that half of registered voters say the nation’s infrastructure has gotten worse over the last five years, and a majority of voters said roads and bridges are in “extreme” need of repair.

The findings were part of a new national poll commissioned by AEM to gauge voter perceptions and attitudes about the current and future state of U.S. infrastructure amid a high-profile election. The poll found that registered voters, regardless of political affiliation, recognize the declining state of the nation’s infrastructure as an issue that should be addressed and believe that the federal government should do more to improve infrastructure across the board.

“Americans across the political spectrum understand the dire state of U.S. infrastructure and believe that the federal government should do more to improve our infrastructure,” said Dennis Slater, president of AEM. “Voters recognized that increased federal funding for assets such as roads, bridges, and inland waterways will have a positive impact on the economy, and they are looking to the federal government to repair and modernize.”

The national poll identified a number of key findings, including:

• Nearly half (46 percent) of registered voters believe that the state of the nation’s infrastructure has gotten worse in the last five years.

• A significant majority (80 – 90 percent) of registered voters say that roads, bridges and energy grids are in some or extreme need of repairs.

• Half (49 percent) of the surveyed population feel that the federal government is primarily responsible for funding repairs to the nation’s infrastructure.

• Seven out of every 10 registered voters say increasing federal funding for infrastructure will have a positive impact on the economy.

• More than eight out of every ten Americans consider water infrastructure (86 percent), solar powered homes (83 percent) and smart infrastructure (82 percent) as the top three important innovations for the future of infrastructure.

• Voters across the political spectrum think that the federal government should do more to improve the nation’s overall infrastructure, with 68 percent of Republicans, 70 percent of Independents and 76 percent of Democrats sharing this sentiment.

Registered voters also feel that government across the board should be doing more to improve the nation’s overall infrastructure, with 76 percent of individuals surveyed wanting more from state governments, 72 percent looking to the federal government to do more and 70 percent expecting more from local governments.

“Both presidential nominees have voiced their strong support for infrastructure investment,” says Ron DeFeo, CEO of Kennametal and chairman of AEM’s Infrastructure Vision 2050 initiative. “The specific ideas and proposals they offer over the next 90 days will be critically important, and voters should consider them carefully on Election Day.”

Currently, there are 4.12 million miles of road in the United States, according to the Federal Highway Administration, including Alaska and Hawaii. The core of the nation’s highway system is the 47,575 miles of Interstate Highways, which comprise just over 1 percent of highway mileage but carry one-quarter of all highway traffic. The Interstates plus another 179,650 miles of major roads comprise the National Highway System, which carries most of the highway freight and traffic in the U.S. Most of the roads in the U.S., 2.94 million miles, are located in rural areas, with the remaining 1.18 million miles located in urban areas. Local governments are responsible for maintaining and improving 3.18 million miles of road or 77.3 percent of the total. State highway agencies are responsible for over 780 thousand miles of road, or 19.0 percent. The federal government is responsible for only 150 thousand miles of road or 3.7 percent, largely roads in national parks, military bases and Indian reservations. Of the 4.07 million miles of road, about 2.68 million miles are paved, which includes most roads in urban areas. However, 1.39 million miles or more than one-third of all road miles in the U.S. are still unpaved gravel or dirt roads. These are largely local roads or minor collectors in rural areas of the country. (Source: Highway Statistics 2013 Table HM-20, HM-10, HM-12, HM-15, VM-202)

You don’t like the way things are going?

Do something about it!


Just because you vote don’t think your job is done. Keep track of your representatives in local, state and federal government.

Remember they work for you. You pay their salaries and benefits, and they are well paid. Make them accountable and communicate with them regularly. It is your country.

Additional information is available at: The Atlantic – Donald Trump’s Big-Spending Infrastructure Dream

FORTUNE – Both Republicans and Democrats Want More Infrastructure Spending Now

The Hill – Poll: Dems, GOP agree infrastructure worsening

AEM – www.aem.org

Site-K Construction Zone http://www.site-kconstructionzone.com/?p=12782

U.S. Interstate Highway System Turns 60 Years Old Amid Increased Travel, Rising Congestion; Surging Travel And Insufficient Funding To Make Needed Improvements. Interstate System Continues To Save Lives, Time And Money While Easing Personal And Commercial Mobility

Trip LogoAs the U.S. Interstate Highway System turns 60 years old this week, it faces increasing congestion, unprecedented levels of travel – particularly by large trucks – and insufficient funding to make needed repairs and improvements. The nation’s most critical transportation link continues to save lives with its enhanced safety features and is largely well-preserved, but an aging Interstate system will increasingly require more long-term, costly repairs, according to a new report released today by TRIP, a Washington, DC based national transportation organization.

The TRIP report, “The Interstate Highway System Turns 60: Challenges to Its Ability to Continue to Save Lives, Time and Money” finds that while the Interstate Highway System represents only 2.5 percent of lane miles in the U.S., it carries 25 percent of the nation’s vehicle travel. The system is increasingly congested, with truck travel growing at a rate twice that of overall Interstate travel. And, while the nation’s Interstates tend to be in better condition than other roads and bridges, the aging system lacks the required funding for needed improvements and repairs.

The chart below details the top 10 states whose Interstate systems have the highest levels of congestion, the largest share of large truck travel, the highest increase in travel from 2000-2014, the highest share of pavements in poor and mediocre condition, the highest rate of structurally deficient bridges, and the largest number of lives saved annually. Data for all 50 states can be found in the report’s Appendix.

TRIP 60 1

“Drivers are frustrated with the condition of the nation’s transportation system,” said Jill Ingrassia, AAA’s managing director of government relations and traffic safety advocacy. “While a record 36 million travelers plan to hit the road for Independence Day weekend, nearly 70 percent are concerned that roads and bridges are not in great driving condition. AAA urges lawmakers to keep their eye on the ball to identify a sustainable funding source to maintain and improve our Interstate system for the future.”

The current backlog of needed improvements to the Interstate Highway System, as estimated by the U.S. Department of Transportation, is $189 billion. The nation’s current transportation investment is less than two-thirds (61 percent) of the amount needed to keep Interstates in good condition and make the improvements necessary to meet the nation’s growing need for personal and commercial mobility. And, while the recently enacted federal surface transportation program, the Fixing America’s Surface Transportation (FAST Act) provides a modest increase in spending, it lacks a long-term, sustainable revenue source. By 2020 the shortfall into the nation’s Highway Trust Fund will be $16 billion annually.

“The United States moves in large part thanks to the efforts of many elected officials, organizations and citizens whose shared foresight led to the construction of the national interstate system,” said Bud Wright, executive director of the American Association of State Highway and Transportation Officials. “Now, as we commemorate the 60th anniversary of the Interstate act, it’s clear that our investments in preserving the system are not keeping up even as our nation continues to grow.”

Since 2000 travel on the Interstate system is increasing two times faster than new lane capacity is being added. As a result, 43 percent of urban Interstate highways are considered congested during peak hours and the average annual amount of travel per Interstate lane mile increased by 11 percent from 2000 to 2014. Travel by combination trucks on the Interstate increased by 29 percent from 2000 to 2014, more than double the 14 percent rate of growth for all Interstate vehicle travel during the same period.

“It’s hard to believe it’s been 60 years since the Interstate Highway System was developed,” said Ed Mortimer, executive director for transportation infrastructure at the United States Chamber of Commerce. “The vision of President Eisenhower has enabled economic mobility throughout our nation and showed we can accomplish big things. As we work to maintain, and in many cases rebuild this great system, let’s continue to think big as we work to fund and finance an improved, smarter network.”

Travel on the nation’s Interstate highways has surged since 2014. In 2015 vehicle miles of travel on the Interstate Highway System was four percent higher than in 2014 and through the first three months of 2016 travel on the Interstate Highway System was five percent higher than during the first three months of 2015.

The design of the Interstate – which includes a separation from other roads and rail lines, a minimum of four lanes, paved shoulders and median barriers – makes it more than twice as safe to travel on as all other roadways. The fatality rate per 100 million vehicle miles of travel on the Interstate in 2014 was 0.54, compared to 1.26 on non-Interstate routes. TRIP estimates that the Interstate Highway System saved 5,359 lives in 2014, based on an estimate of the number of additional fatalities that would have occurred had Interstate traffic been carried by other major roadways, which often lack the safety features common to Interstate routes.

While the condition of Interstate pavement and bridges is acceptable, some deficiencies exist. Twelve percent of Interstate highways are in poor or mediocre condition. Three percent of Interstate bridges are structurally deficient and an additional 18 percent are functionally obsolete. Structurally deficient bridges have significant deterioration of the major components of the bridge, while functionally obsolete bridges no longer meet modern design standards, often because of narrow lanes, inadequate clearances or poor alignment.

“The long-term vision that helped establish the current Interstate system 60 years ago is needed again today,” said Will Wilkins, TRIP’s executive director. “In order to maintain personal and commercial mobility, transportation investment and a sustainable, long-term funding source for the federal surface transportation program must remain a priority.”

The above highlighted links will take you to the full report, including the executive summary and appendix of supporting charts and graphs.

or you can scan: Trip ReportTRIP Report qrcode-9

Appendix:TRIP Appendix qrcode-10

Liebherr Announces The Formation Of Liebherr USA, Co. To Further Expand Its Brand Positioning In The U.S.

Liebherr leverages the organization’s capabilities and announces the formation of Liebherr USA, Co., a simpler structure with a broader reach. 

Liebherr began operation in 1949 with Hans Liebherr and the invention of the TK10, the first mobile tower crane.  The company that once employed 110 people and recorded net sales of $ 1.27 million USD in 1950 is now one of the world’s largest and most successful manufacturers of construction and earthmoving machinery employing more than 41,000 people in 50 countries with total sales of $10.3 billion USD in 2015.

Liebherr’s success and expansion in North America followed a similar pattern to its success in Europe and throughout the world.  Liebherr’s commitment to the United States market began in 1970 with the construction of its manufacturing facilities and North American headquarters in Newport News, VA. Over the years  new companies were formed  to fulfill customer needs in different industries.

“As we continue to grow our brand in the United States we are transitioning into a mixed-sales company” said Dr. Torben Reher, Managing Director of Liebherr USA, Co. “We are confident that this new platform will leverage the existing know-how and expertise among Liebherr divisions providing Liebherr business partners and customers with an exceptional and consistent experience in the United States,” Reher continued.

Liebherr USA, Co., the newly formed mixed-sales organization, will serve as the umbrella company and the existing Liebherr sales and service companies will become divisions of Liebherr USA, Co.  Excluded are Liebherr-Aerospace Saline, Inc., Liebherr Gear Technology, Inc., Liebherr Automation Systems, Co., and Liebherr Mining Equipment Newport News, Co.  However, sales and service for mining equipment in the U.S. will be incorporated into Liebherr USA, Co.

“Liebherr USA, Co. will allow us to approach our customers more efficiently and ultimately increase customer satisfaction in the US.”  said, Peter Mayr, Managing Director of Liebherr USA, Co. and Head of the Liebherr Construction Equipment Division.

Liebherr USA, Co. will be organized into eight different divisions as illustrated in the diagram below.

Liebherr USA organization_2 4In practical terms, all points of contact and business relationships will remain the same for our business partners and all contracts/programs/arrangements/agreements will remain in effect.

Daniel Pitzer, Managing Director of Liebherr USA, Co. and Head of the Mobile and Crawler Cranes Division, stated, “Liebherr in the United States is an amazing success story that was made possible by our loyal American customers. The formation of Liebherr USA, Co. will elevate our organization to a higher level.” Pitzer ended by saying, “I’m extremely proud and excited for our customers and for Liebherr to ‘Be Part of something BIGGER’ going forward!” making reference to Liebherr’s new company and emphasizing the strong statement Liebherr made earlier this year during Bauma.

The new organization will become effective on June 1, 2016. Liebherr USA, Co. will be led by a team consisting of three managing directors who will be responsible for providing strategic direction.

Effective June 1, 2016 the following companies will be incorporated into Liebherr USA, Co: Liebherr-America, Inc.,(including Tower Cranes, Refrigerators and Freezers),  Liebherr Components North America, Co., Liebherr Concrete Technology, Co. Liebherr Construction Equipment, Co., Liebherr Equipment Source, Liebherr Cranes, Inc., Liebherr Mining Equipment Newport News, Co. (Sales & Service in the U.S. only) and  Liebherr Nenzing Crane, Co. Excluded are Liebherr-Aerospace Saline, Inc., Liebherr Gear Technology, Inc., Liebherr Automation Systems, Co., and Liebherr Mining Equipment Newport News Co.

About Liebherr 

Liebherr qrcode