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Cummins in parts deal

20th October 1984
Page 5
Page 5, 20th October 1984 — Cummins in parts deal
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CUMMINS is believed to be negotiating the purchase of the Cummins Diesel Sales and Service company in the UK from its parent, the Blackwood Hodge group.

Blackwood Hodge became Cummins' parts distributor in this country over 20 years ago and then set up the company specialising in providing parts and service for Cummins engines.

Now there are 11 Cummins Diesel Sales and Service depots in the UK.

Blackwood Hodge's last annual report said that the sale of its engine parts and service company was likely. Cummins recently took over the aftermarket business from Blackwood Hodge in the Republic of Ireland.

Meanwhile, Cummins Engine subsidiary Holset Engineering of Huddersfield has reached an agreement with Eaton Corporation whereby all Holset's fan drive assets will be acquired by Eaton.

Manufacturing of Holset's range of commercial vehicle and car fan drives is being transferred by the end of this year to Eaton Fluid Power Operations' Markdorf plant in West Germany.

Holset Engineering's manufacturing of turbochargers, torsional vibration dampers and power transmission couplings for industrial and marine use will be unaffected by the deal.

About 60 per cent of Holset's revenue comes from turbocharger sales, while the fan drive business has been steadily shrinking for a number of years until it generated only about five per cent of Holset's revenue.

Eaton will take over full responsibility for engineering, manufacturing and marketing the complete range of Holset's viscous fan drives for commercial vehicles and cars.