Navistar To Raise Prices On International Trucks Due To Continued Pressure From Commodity Costs

WARRENVILLE, Ill. (July 9, 2008) Commodity prices that have as much as doubled in the past six months have led Navistar International Corporation (NYSE: NAV) to increase prices on International trucks, effective immediately.

Price increases will vary by model, topping at $1,600 per truck.

Prices have soared for commodities essential to truck manufacturing, such as crude oil, steel, aluminum, copper, and precious metals used in new emissions-compliant diesel engines. Since the beginning of 2008, steel has increased 100 percent, aluminum by 22 percent, platinum by 32 percent and copper by 23 percent. Crude oil prices have jumped by more than 40 percent.

“We are acutely aware of the financial constraints that many truck customers are currently facing and have been working diligently to absorb as much of these costs as possible,” said James L. Hebe, senior vice president, North American Dealer Operations, Navistar. “However, global commodity spikes are affecting all manufacturing and we finally, regretfully, must now share those additional costs with the customer.”

Navistar is aggressively working to mitigate the higher commodity prices, as well as offset the negative impact of a weakened U.S. dollar, by attacking operational costs wherever possible and by negotiating greater efficiencies with suppliers.

“Even with these modest increases, customers are receiving full value with International trucks that provide superior fuel efficiency, overall performance and exceptional dealer service,” said Hebe.

ABOUT INTERNATIONAL

Based in Lisle, Illinois, International Motors, LLC* creates solutions that deliver greater uptime and productivity to our customers throughout the full operation of our commercial vehicles. We build International® trucks and engines and IC Bus® school and commercial buses that are as tough and as smart as the people who drive them. We also develop Fleetrite®aftermarket parts. In everything we do, our vision is to accelerate the impact of sustainable mobility to create the cleaner, safer world we all deserve. As of 2021, we joined Scania, MAN and Volkswagen Truck & Bus in TRATON GROUP, a global champion of the truck and transport services industry. To learn more, visit www.International.com.

Media contact:
Nick Smith
nick.smith@navistar.com
480-398-6511

Investor contact: 
Marvin Kalberlah
marvin.kalberlah@navistar.com
630-432-5179

 

*International Motors, LLC is d/b/a International Motors USA LLC in Illinois, Missouri, New Jersey, Ohio, Texas, and Utah.