Cummins Buys Remaining Ownership Stake in Tata Holset Limited
-- Company to be Called Cummins Turbo Technologies --
PUNE, India--(BUSINESS WIRE)--
Cummins Inc. (NYSE:CMI) announced today that it has acquired the remaining equity ownership in Tata Holset Limited from the Tata Group of Companies. Cummins' subsidiary, Cummins Turbo Technologies, and the Tata Group have manufactured turbochargers through a 50/50 joint venture agreement since 1994.
Tata Holset will be renamed and rebranded as Cummins Turbo Technologies, in line with the Company's branding strategy announced last year.
"We have enjoyed our partnership with the prestigious Tata Group over the last 12 years and will continue to sell our Holset-branded products to Tata Motors, one of our key strategic customers," said Jim Lyons, President, Cummins Turbo Technologies. "This move will enable us to further leverage the Cummins brand in India where we already have many successful business and customer relationships."
Lyons continued: "Our track record in India has been excellent. We have experienced strong growth both in domestic and export business over the last few years, as a result, we expanded and upgraded our manufacturing facility two years ago so that we now have a state-of-the-art, world-class operation in Dewas. We have also opened an office in Pune to support our domestic and global operations. We expect to further tap into the impressive growth in the domestic market in India."
Cummins Turbo Technologies will continue to market turbochargers and other products under the Holset brand. Along with Tata Motors, Cummins Turbo Technologies' other key Indian customers include, Cummins India, Eicher Motors, Mahindra & Mahindra and Tata Cummins - a joint venture partnership between Cummins Inc. and the Tata Group. Tata Cummins will not be affected by the change in equity holdings announced today.
Cummins Turbo Technologies manufacturing facilities in India, are located in Dewas, Madhya Pradesh, where they produce turbochargers for medium and heavy-duty diesel engines for power generation, off-highway and on-highway vehicles. Headed by Managing Director, Shyamsunder Seshadri, the Company employs over 200 people in the manufacturing facility and more than 25 people in its Pune office.
About Cummins Turbo Technologies
Cummins Turbo Technologies is the world's largest manufacturer of turbochargers for the medium-heavy duty diesel engines market and has a reputation for bringing innovative solutions to the specific product requirements of this key market sector. Its Holset brand is the best known in the industry. The company's manufacturing plants located in Europe, North and South America with joint ventures in China and India to ensure support for engine and vehicle makers across the world. For further information visit Cummins Turbo Technologies website at www.cummins.com/turbos
About Cummins
Cummins Inc., a global power leader, is a corporation of complementary business units that design, manufacture, distribute and service engines and related technologies, including fuel systems, controls, air handling, filtration, emission solutions and electrical power generation systems. Headquartered in Columbus, Indiana, (USA) Cummins serves customers in more than 160 countries through its network of 550 Company-owned and independent distributor facilities and more than 5,000 dealer locations. Cummins reported net income of $715 million on sales of $11.4 billion in 2006. Press releases can be found on the Web at www.cummins.com.
Forward-looking disclosure statement
Information provided and statements in this release that are not purely historical are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the company's expectations, hopes, beliefs and intentions on strategies regarding the future. It is important to note that the company's actual future results could differ materially from those projected in such forward-looking statements because of a number of factors, including, but not limited to, general economic, business and financing conditions, labor relations, governmental action, competitor pricing activity, expense volatility and other risks detailed from time to time in Cummins Securities and Exchange Commission filings.
Source: Cummins Inc.
Released March 1, 2007