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Cummins loses more

26th October 1989
Page 6
Page 6, 26th October 1989 — Cummins loses more
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Which of the following most accurately describes the problem?

• Cummins Engine company lost 225.3 million in the third quarter — more than doubling its previous loss.

Cummins is the world's largest manufacturer of diesel engines, with a 50% share of the US heavy-duty truck market — but it is laying off 300 production workers following a downturn in US truck sales.

Sales for the third quarter were £514.4m compared with 514.8m for the same time last year, which produced a net loss of £11.2m. For the first nine months of 1989 Cummin net loss was £5.4m on sales' £1,558.4m.

"This year engine orders from heavy-duty truck custon ers, our largest single market have dropped substantially. The company has also implemented stringent restrictions on salaries, expenses ar capital spending," says Cummins in the United States.