Riding record sales, Navistar forecasts 1999 industry demand at 460,000 trucks and buses

CHICAGO (Aug. 12, 1999) — Navistar International Corp. reported record third-quarter and nine-month revenue and raised its projection for industry demand to between 430,000 and 460,000 heavy and medium trucks and school buses sold in the United States and Canada in the fiscal year ending Oct. 31, 1999.

Income for the third quarter totaled $255 million US, or $3.86 per diluted common share. Earnings without the benefit of the deferred tax asset adjustment were $77 million, or $1.17 per diluted common share, up 54% over the same period in 1998.

Worldwide shipments of International brand heavy and medium trucks and school buses during the third quarter totaled 26,200 units, compared with the 29,700 units shipped in the third quarter of 1998. Sales of service parts in the third quarter amounted to $213 million, compared with $220 million in the third quarter of 1998.

Shipments of mid-range diesel engines to other original equipment manufacturers during the quarter totaled 68,500, a gain of 44% over the 47,700 units shipped in the third quarter of 1998.

In increasing its overall market forecast, Navistar breaks out the market as follows: heavy trucks, between 263,000 and 285,000, up from the 250,000 units previously forecast; medium trucks, between 135,000 and 142,000, up from 133,000 units; and school buses, 32,000 to 33,000, consistent with the previous estimate.