So What’s Happening At Bauma?

In the right-hand column of this web site is a button that says “Get Your Passport to Bauma 2010.” Recently launched by Diesel Progress, the Passport to Bauma will include the latest new products and in-booth news, as well as the industry news before, during and after Bauma 2010 April 19-25 in Munich Germany.

Before the show, Passport to Bauma will be updated regularly as more information is released. Especially as exhibitor's announce their show plans.

During the show itself, the Passport to Bauma will be one of our main communications channels, along with our Twitter site and Diesel Progress OnLine, of all the news from Bauma, as it happens. And with Tier 4 interim, Stage 3b there will be LOTS of news coming out of the halles of Bauma.

And after the show ends, the Passport to Bauma will stay live through August 31st for all the post show news, reviews and commentary.





Caterpillar Moving Excavator Production from Japan?

Caterpillar said it has undertaken a study that could lead to a new hydraulic excavator facility being built in the United States. Cat said such a move could triple the current capacity of hydraulic excavators now produced by the company in the U.S. The Peoria, Ill.-based manufacturer also said such a move would further leverage excavator production in Japan to serve increasing demand in China and across Asia.

Currently, the company produces two excavator models at its facility in Aurora, Ill., where it also builds wheel loaders, soil and landfill compactors, wheel dozers and components. Caterpillar also manufactures excavators in Belgium, Brazil, China, France, Indonesia, Japan and Russia.

If the decision is finalized, the new U.S. facility would become the primary North American source for excavators, as well as manufacturing the two models now made in Aurora, as well as several additional excavator models now produced in Japan and exported to the United States.

Cat said its Akashi, Japan, excavator facility would have the available capacity needed to better serve customers in the expanding Asia-Pacific region. Based on Caterpillar’s current long-term forecast for the Asia-Pacific region, it is possible Akashi may need to increase capacity and employment to help meet demand. A final decision regarding this study will be made at a later date.





Commercial Vehicle Demand Rebounding?

Improving trends in the economy and the onset of capacity tightening in the truckload sector continue to point to stronger demand for commercial vehicles late in 2010 and into 2011, according to ACT Research Co. (ACT), the Columbus, Ind., commercial vehicle market research analyst.

In the latest release of its North American Commercial Vehicle Outlook, ACT continues to project heavy-duty (Class 8) vehicle production will grow 19% year-over-year in the second half of 2010 before ramping up significantly to 77% growth in 2011. Medium-duty vehicle (Classes 5-7) production, which is largely tied to the health of housing and construction, is expected to see a more steady and gradual increase in production, growing 20% in 2010 and 30% in 2011.

“The sequence of events required to put commercial vehicle production on more solid footing continues to advance as expected,” said John Burton, vice president-transportation sector with ACT Research. “Our trucking surveys are showing improving trends in volumes and pricing and our used truck analysis has shown modestly firming values for several months. All indications point to capacity tightening in the truckload sector by mid-year, which will drive improved profitability and lead to replacing an aging fleet.”





Take Five: Terex Selling Atlas

Terex Corp. is at it again. The Westport, Conn. manufacturer is on the divestment trail again, this time announcing it has entered into an agreement to sell its Terex Atlas heavy construction equipment, to a private investor that oddly is not being named. Terms of the transaction are not being disclosed, although the business is being divested with an agreed-upon amount of capital to be transferred with the business. The transaction, subject to customary closing conditions and regulatory approvals, is expected to close in the second quarter of 2010.

Terex Atlas, is based in Ganderkesee, Germany. Product lines being divested in the transaction include crawler, wheel and rail excavators, knuckle-boom truck loader cranes and Terex Atlas branded material handlers. The transaction also includes the Terex Atlas UK distribution business for truck loader cranes in the United Kingdom and the Terex minority ownership position in the Atlas Chinese joint venture.

To review, Terex’s selling spree started in late December with the blockbuster $1.3 billion sale of its mining business to Bucyrus International. About three weeks later, Terex’s Genie subsidiary sold its Load King trailer business to Manitex International, and two weeks after that Terex sold the Terex generator product line to Cummins Power Generation and its power buggy product line to Indy Equipment, an equipment dealer based in Independence, Ohio.

Whew.

 Not coincidently, March Diesel Progress North American and March-April Diesel Progress International have an exclusive interview with Ron DeFeo on the first four of these deals.

"The Atlas divestiture is another important step forward in the strategic repositioning of Terex," said Ron DeFeo, Terex Chairman and Chief Executive Officer. "We acquired the Atlas business in 2001 with the intention of having a quality full-size excavator as part of a globally competitive portfolio of construction equipment. Our goal was to grow the regionally strong Atlas excavator product as part of this strategy, but we were, for various reasons, never able to achieve the product cost advantage required for it to be successful. Despite restructuring attempts, the tough economic conditions in 2009 resulted in an operating loss for this business in excess of $61 million on sales of approximately $194 million, with approximately two-thirds of the loss coming from the construction products."

Terex compact equipment made in Germany, namely mini and midi-excavators and compact wheel loaders, as well as the Terex Fuchs material handler line, will remain with Terex as part of the Construction business segment. Also not part of the transaction are Terex rigid and articulated trucks, backhoe-loaders and other products manufactured in the United Kingdom.

The approximately 800 team members in Germany and the UK that are employed by the businesses being divested will have their employment transfer to the new owner. Additional information regarding the transfer will be provided to employees and their representatives, where provided for under local laws.





Meggitt Group Restructures

The Meggitt Group has made the transition to a new structure comprising five operating divisions: Meggitt Sensing Systems, Meggitt Aircraft Braking Systems, Meggitt Control Systems, Meggitt Polymers & Composites and Meggitt Equipment Group. Based on core capabilities, this is designed to build stronger, more integrated operating divisions. The transition should be completed in 2010, the company said.

As part of this process, operating units Endevco, Ferroperm, Vibro-Meter France (Sensorex), Vibro-Meter Inc, Vibro-Meter SA, Vibro-Meter UK and Wilcoxon Research have been combined into a single Meggitt Sensing Systems division. This combines expertise in sensing and monitoring physical parameters in extreme environments.

Meggitt Sensing Systems will incorporate best practices from each Meggitt unit to optimize business operations and align its customer-facing organization with its primary markets - aerospace; energy; and measurement. Meggit said it is confident this will provide its customers with easier access to the full range of Meggitt’s sensing and monitoring products and that, by combining resources, it will be able to provide more responsive service.

Over the next few months, changes in how the company identifies itself will become evident. There will also be branding, signage and name changes. However, as the company’s fundamental legal structure will remain unchanged and there will be no need to reassign any existing contracts or orders as the main contacts within the organization will remain the same. Meggitt said it will contact companies directly if a change will occur.





Smith U.S. To Buy Smith U.K. Division
Nissan Enters New Market
New Truck, New Engine For Navistar
Freightliner Custom Chassis Takes Big Steps
Cat Gen-Sets To Cost 25% to 50% More
New Higher Offer for Sauer-Danfoss
Daimler Sells Tata Shares
A Good Day For Oshkosh
Tognum Opens Aiken Plant
Eaton Marks Hybrid Systems Milestone


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