Navistar Suspends Production of Power Stroke(R) Diesel Engines To Ford

Navistar International Corporation (OTC:NAVZ - News) announced today that it is suspending production of the Power Stroke® diesel engine that it builds for Ford Motor Company because Ford has stopped honoring the terms of agreement under which the engines were built.

avistar's principal operating company, International Truck and Engine Corporation, has been the exclusive diesel engine supplier for Ford's heavy duty pickup trucks since 1979 and recently launched a new 6.4L Power Stroke® diesel engine that meets 2007 emissions standards while increasing performance, durability and fuel economy.


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Mark - 2/26/2007 6:11:41 PM

+4 Boost

I hope they [Ford] fixes whatever problem they have. That is one massive and amazing engine.

Westside7th - 2/27/2007 11:42:54 AM

+1 Boost

And here is the other side of the story that of course the Navistar press release would fail to include:

"The dispute goes back to problems with 6-liter diesels that International supplied for previous Ford heavy-duty trucks beginning in 2002.

In a lawsuit filed Jan. 11 in Oakland County, Mich., Circuit Court, Ford says it "has incurred warranty repair, owner notification program and reacquired vehicle costs related to the 6.0L engine," and International hasn't paid its share, as required in a contract. To compensate, Ford withheld engine payments to International in December 2005 and again last month."