WARRENVILLE, Ill. (April 22, 2009) – On a typical day, the food we eat, the clothes we wear and the products we buy will likely have traveled with the help of trucks. Tens of millions of schoolchildren will travel aboard school buses. And on Earth Day, we’re reminded that each mile these vehicles travel provides another opportunity to reduce our impact on the environment.

From aerodynamics and hybrid technology to innovative partnerships and streamlined logistics practices, Navistar (NYSE: NAV) is leading the way in delivering energy-efficient, “green” transportation solutions. In just the past two years, Navistar has introduced product innovations that save fuel, reduce emissions and help customers implement earth-friendly, sustainable business practices.

“With a wide range of hybrid trucks and buses, we continue to be a leader in providing energy-saving, environmentally friendly transportation solutions,” said Jack Allen, president, Navistar’s North American truck group. “By developing hybrid vehicles that reduce fuel consumption and greenhouse gas emissions, we’re able to deliver significant savings to the customer’s bottom line and, at the same time, help them reduce their overall carbon footprint.”

Extensive Line-up of Hybrid Vehicles
In November 2007, Navistar launched the Class 6 medium-duty International® DuraStar® Hybrid, becoming the first OEM (original equipment manufacturer) to enter assembly-line production of hybrid commercial trucks. Building on the success of that platform, Navistar expanded its hybrid product portfolio in October 2008 with the Class 7 International DuraStar Hybrid Tractor, targeting general freight haulers and food/beverage distributors with diminishing loads.

In March 2009, Navistar introduced yet another hybrid vehicle, the Class 7 severe service International WorkStar® Hybrid 4x4, the industry’s first hybrid four-wheel-drive commercial truck. The four-wheel drive capability of the truck is ideal for customers like utility companies, who need a truck to operate in off-highway conditions but are also looking to save energy and project a green image.

Depending on the specific application and other conditions, International’s hybrid trucks can deliver up to 40 percent fuel savings in stop-and-go driving and pick-up/delivery operations. In utility-type applications when the engine often can be shut off, but electric power still operates the vehicle, the DuraStar Hybrid and WorkStar Hybrid can provide fuel savings of nearly 60 percent. Beyond the fuel savings potential, the hybrid trucks produce zero emissions when auxiliary equipment (like an overhead utility bucket) operates solely on the truck’s hybrid battery power.

Hybrid School and Commercial Buses
Beyond its medium-duty and severe service line-up of hybrid trucks, Navistar affiliate, IC Bus, offers a comprehensive portfolio of hybrid-electric school and commercial buses. In February 2007, IC Bus was first to enter assembly-line production of hybrid buses. While offering a battery-powered hybrid electric system similar to that used in commercial trucks, IC Bus is the first and only manufacturer of a factory-built plug-in electric hybrid vehicle. The IC Bus line-up of hybrid school buses can deliver fuel savings of up to 65 percent and reduce greenhouse gas emissions by nearly 40 percent. Even non-hybrid buses have a positive impact on the environment. Every school bus takes 36 cars off the road which saves more than 3 billion gallons of fuel each year.

Both International hybrid trucks and IC Bus hybrid buses use a mild parallel-type, diesel-electric hybrid architecture which leads to less diesel fuel use and fewer emissions. The hybrid-electric system utilizes a regenerative braking system to recover energy normally lost during braking, stores the energy in batteries and adds power back into the driveline during starts and acceleration.
 

Environmental Leadership, the SmartWay
In addition to hybrid-electric trucks and buses, the conventional line-up of International brand commercial trucks is among the most aerodynamic, fuel efficient in the industry. In fact, Navistar recently became the first OEM to receive dual certification through the U.S. Environmental Protection Agency (EPA) SmartWay Program for helping to reduce greenhouse gas (GHG) emissions. Navistar produces two industry-leading Class 8 trucks with SmartWay certification — International LoneStar® and International ProStar® — a distinction they received for their superior aerodynamics and fuel economy. While the aerodynamic ProStar Class 8 tractor is the market leader in fuel-efficiency, in June 2008, the groundbreaking LoneStar became the first classic-styled Class 8 tractor to receive the SmartWay certification.

In January 2009, Navistar also became a SmartWay Transport Partner, becoming the first OEM with SmartWay-certified tractors to also be certified as a transport partner. The SmartWay Transport Partnership is a voluntary program that recognizes partners for setting and achieving greenhouse gas (GHG) reduction goals in freight transport. The program also helps lower operating costs by reducing fuel surcharges and offers customers EPA-certified, fuel-efficient tractors.

Innovation and Collaboration: UPS Hydraulic Hybrid Delivery Vehicle
Navistar also continues to pursue opportunities with emerging technologies. In October 2008, Navistar announced the delivery to UPS of a little-known technology—the hydraulic hybrid vehicle—that promises dramatic fuel savings and environmental benefits.
Through a private-public partnership with UPS, Eaton, and the EPA, the hydraulic-hybrid delivery vehicle has undergone extensive testing over the last two years. UPS will incorporate seven hydraulic hybrids into its fleet in the next year.

“The diesel hydraulic hybrid vehicle has the potential to offer our truck customers something very unique — performance and near zero emissions with dramatic improvements in fuel economy,” added Jack Allen. “Navistar is proud to be a part of the integration of this technology into the entire vehicle system to provide true value to our customers.”

With a diesel “series” hydraulic hybrid of the type being purchased by UPS, a high-efficiency diesel engine is combined with a unique hydraulic propulsion system, replacing the conventional drivetrain and transmission. The vehicle uses hydraulic pumps and hydraulic storage tanks to capture and store energy, similar to what is done with electric motors and batteries in a hybrid electric vehicle. In this case, the diesel engine is used to periodically recharge pressure in the hydraulic propulsion system. Fuel economy is increased in three ways — vehicle braking energy is recovered that normally is wasted, the engine is operated more efficiently, and the engine can be shut off when stopped or decelerating.

Department of Energy Programs: Aerodynamic Tractor-Trailers and Hybrid School Buses
In December 2008, Navistar was selected by the U.S. Department of Energy (DOE) to participate in an alternative vehicle technology project aimed at accelerating the development, evaluation, and deployment of advanced aerodynamic trailers to significantly reduce fuel consumption by heavy-duty tractor-trailers. The DOE will contribute half of the $2 million cost of the 30-month project. The DOE project is aimed at protecting U.S. national and economic security by promoting a diverse supply and delivery of reliable, affordable and environmentally sound alternative energy.

Earlier this week, in another DOE project, Navistar was selected for a cost-shared award of up to $10 million — half of the total projected cost — as part of the Plug-in Hybrid Electric Vehicle (PHEV) Technology Acceleration and Deployment Activity Program. Through this project Navistar will develop and deploy 60 plug-in electric hybrid buses to fleets across the nation during a multi-year program.

“Navistar is committed to green technologies that deliver significant fuel savings to our customers and environmental benefits to the communities we serve,” added Jack Allen. “Over the last several years, we’ve developed some of the cleanest, most energy-efficient vehicles on the road today.”