immins buys SCG
Page 5
If you've noticed an error in this article please click here to report it so we can fix it.
)ne of Leyland's smaller 3rofitabLe subsidiaries, !ntry-based Self-Changing .s, is being sold to Arneri)wners.
announced this week it has reached agreement inciple with the Cummins ne Company to sell SCG n undisclosed sum, probnext month.
immins, which already has sh engine manufacturing s in Darlington, Daventry Shotts, is diversifying into r driveline products and ; the Holset turbocharger Fleetguard filters busies.
:quisition of SCG, whose employees and managing :tor Ian Williamson retain posts, will give Cummins ss to UK and overseas [ets for road, rail, military marine transmissions, Leyland Bus makes SCG gearboxes under licence at its Lancashire works and will continue to do so by agreement with Cummins.
The Continuously Variable Transmission system developed by Leyland, and which it plans to produce soon, remains with Leyland and will not be taken over by Cummins.
According to Cummins, the deal is a "very logical development" and SCG management says it is in the company's best interests.
Leyland does not give separate trading figures for its subsidiaries, but SCG is known to have made a profit on £11 million turnover.
• Leyland Bus has declared another 70 redundancies among staff at its headquarters in Lancashire.