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Navistar, Ford to end diesel-engine deal 3 years early to settle long dispute
www.chicagotribune.com ^ | 6:14 PM CST, January 13, 2009 | By James P. Miller

Posted on 01/13/2009 6:29:50 PM PST by Red Badger

Navistar International Corp., which has been locked in a bitter legal feud with Ford Motor Co. over a longstanding diesel-engine supply contract, said late Tuesday that the two companies have agreed to end their legal dispute – and to terminate Navistar's supply contract three years early.

The two companies "benefited from a successful partnership that provided value to both companies for nearly three decades," said Chairman and Chief Executive Dan Ustian. "However, it's in our best interests to resolve our conflict and continue our relationship with each other in other areas."

Navistar's contract to supply diesel engines for Ford's heavy-duty pickups had been slated to expire at the end of 2012, but the companies said Tuesday evening that it will end Dec. 31, 2009.

The two emphasized that they will continue to collaborate on other initiatives, including their Blue Diamond joint venture, which makes medium-duty trucks on Navistar designs and sells them under the Ford F-650 and F-750 nameplate. As part of the accord, Navistar said it will boost its stake in the Blue Diamond venture, as well as in a second Blue Diamond JV that makes truck parts.

(Excerpt) Read more at chicagotribune.com ...


TOPICS: Business/Economy; Culture/Society; News/Current Events
KEYWORDS: automakers; diesel; fordmotor
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o Red Badger | 12/17/2008 10:27:38 AM PST sent

Rest In Peace, old friend, your work is finished.....

If you want ON or OFF the DIESEL ”KnOcK” LIST just FReepmail me.....

This is a fairly HIGH VOLUME ping list on some days.....

1 posted on 01/13/2009 6:29:50 PM PST by Red Badger
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To: sully777; vigl; Cagey; Abathar; A. Patriot; B Knotts; getsoutalive; muleskinner; sausageseller; ...

KnOcK!........


2 posted on 01/13/2009 6:30:23 PM PST by Red Badger (I was sad because I had no shoes to throw, until I met a reporter who had no feet.....)
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To: Red Badger

Wow, so does this mean no more Powerstroke-powered Super Dutys?


3 posted on 01/13/2009 6:31:48 PM PST by ZirconEncrustedTweezers (I figure the odds be fifty-fifty I just might have somethin' to say)
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To: Red Badger

what was their problem?


4 posted on 01/13/2009 6:33:54 PM PST by the invisib1e hand (revolution is in the air.)
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To: ZirconEncrustedTweezers

Not unless Ford can get them from somewhere else.....Does Navistar make them?......


5 posted on 01/13/2009 6:34:49 PM PST by Red Badger (I was sad because I had no shoes to throw, until I met a reporter who had no feet.....)
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To: Red Badger; Pete-R-Bilt; B4Ranch; glock rocks; SouthTexas

Ping...Knock...Rattle...


6 posted on 01/13/2009 6:37:48 PM PST by tubebender (Search continues for missing Tag line... More news at 11)
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To: the invisib1e hand

From the link:

The once-close relationship between supplier and key customer soured in the last two years, however. Ford filed a breach-of-contract suit against Navistar over the price the supplier was charging for a new-generation engine and refused to pay for the engines. After the total Ford had refused to hand over reached $160 million, Navistar suspended production, threatening Ford’s ability to produce pickups until Ford persuaded a court to force Navistar to resume shipments.


7 posted on 01/13/2009 6:38:13 PM PST by Red Badger (I was sad because I had no shoes to throw, until I met a reporter who had no feet.....)
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To: Red Badger

Yes, they do. But apparently Ford is planning to build their own diesel engines starting in ‘11 (if you can take Wikipedia at their word, anyway).


8 posted on 01/13/2009 6:39:29 PM PST by ZirconEncrustedTweezers (I figure the odds be fifty-fifty I just might have somethin' to say)
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To: ZirconEncrustedTweezers
Wow, so does this mean no more Powerstroke-powered Super Dutys?


Check out this video on the 2012 Pelosi GTxi SS/RT Sport Edition

Click here for the video clip

Calling All Car Guys – This One’s For You!!

9 posted on 01/13/2009 6:40:51 PM PST by B-Cause (It's not what you gather, but what you scatter that tells what kind of life you have lived.)
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To: Red Badger

Eek. Glad I was out of the truck market when those “forced” engines were shipped.


10 posted on 01/13/2009 6:46:43 PM PST by the invisib1e hand (revolution is in the air.)
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To: B-Cause

Now THAT is funny!


11 posted on 01/13/2009 6:47:14 PM PST by Army Air Corps (Four fried chickens and a coke)
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To: Red Badger

I had a 2000 F-250 with a power stroke. I loved that engine. I really loved that engine. Really.

Sigh.

Did I say I loved that engine?


12 posted on 01/13/2009 6:50:15 PM PST by Random Access
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To: the invisib1e hand

The ones prior to that weren’t much better - Ford insisted on screwing up the Navistar 6.0L diesel with their own control electronics, which failed early and often and left owners stranded. And pissed off Navistar.


13 posted on 01/13/2009 6:55:20 PM PST by Spktyr (Overwhelmingly superior firepower and the willingness to use it is the only proven peace solution.)
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To: Red Badger

Yes, International made them.


14 posted on 01/13/2009 6:56:36 PM PST by Colvin (Harry Reid is a sap sucking idiot.)
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To: Random Access

That was the 7.3L Navistar, not the ill-fated 6.0 and the 6.4L (that’s the subject of the aforementioned lawsuit, I believe.)


15 posted on 01/13/2009 6:57:21 PM PST by Spktyr (Overwhelmingly superior firepower and the willingness to use it is the only proven peace solution.)
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To: Random Access

I am hoping to get a rolled Ford pickup and power a 70’s travelall or ole Travelette with one.


16 posted on 01/13/2009 7:00:13 PM PST by Colvin (Harry Reid is a sap sucking idiot.)
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To: Colvin

FYI, unless you find a diesel TA/TE, it’s still a federal crime to repower a gasoline car or 1/2 ton truck with a diesel engine.

Stupid, but that’s the law.


17 posted on 01/13/2009 7:03:42 PM PST by Spktyr (Overwhelmingly superior firepower and the willingness to use it is the only proven peace solution.)
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To: ZirconEncrustedTweezers

I’ve been waiting for the day when ford makes a diesel version of their V10. Now maybe that day will come a little sooner. I hope.


18 posted on 01/13/2009 7:15:21 PM PST by mamelukesabre (Si Vis Pacem Para Bellum (If you want peace prepare for war))
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To: Red Badger
The real big problem between the two was the PowerStroke 6.0 fiasco.

That engine was rushed to market too soon and with the Ford software turning the power up on their F250 - F550 trucks was too much for the engine. Ford was paying HUGE money in warranty repairs from 2003 - 2008.

I remember Ford trying to sue International for payment for these faulty engines and recoop some of their warranty payments.

International’s VT365 engines (the same 6.0L that Ford used was detuned for their 4200 trucks and were just fine.

If Dodge goes under (which I hope does not happen), Ford will be all over the Cummins diesel like Ted Kennedy at an Open Bar.

19 posted on 01/13/2009 7:34:14 PM PST by CapnJack
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To: Spktyr
not the ill-fated 6.0 and the 6.4L

I haven't had any issues with the 6.4L. The new emission controls (dpf) suck, but there are ways around that.

So I've been told.

20 posted on 01/13/2009 7:37:04 PM PST by VeniVidiVici (Barack Obama is a Disney character. His wife - a product of Marvel Comics.)
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