MTU Continues Detroit Diesel 2-Cycle Legacy With New Foreign Military Sales Contract

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Recent order for three hundred 6V-53T engines for Jordan Armed Forces. Renewed company emphasis on 2-Cycle parts and new engine sales.

MTU Detroit Diesel, the leading supplier of heavy duty diesel engines to the U.S. Army, recently received a multi-million dollar contract to provide three hundred 6V-53T engines to the Jordan Armed Forces. This order encompasses Phase 4 and Phase 5 of a five-phase initiative to upgrade Jordan's fleet of M113 Armored Personnel Carriers from 210 bhp to 265 bhp. MTU Detroit Diesel also provided the engines for Phases 1 - 3 of this project.

MTU Detroit Diesel will contract directly with BAE Systems of Santa Clara, California, which was named prime contractor for this Foreign Military Sales (FMS) project. The engines will be built at Detroit Diesel's facility in Emporia, Kansas, under contract to MTU Detroit Diesel, and are scheduled to be delivered in 2009 and 2010.

The M113 family of armored vehicles has been a mainstay of many of the world's armies for nearly 50 years. In 1960, the M113 began production as a gasoline powered vehicle. Yet by 1964, the gasoline engine was replaced by a 210 bhp Detroit Diesel 6V-53N diesel engine. With the release of the diesel powered M113A1, the universal popularity and acceptance of the M113 family of vehicles grew and by 1987, over 70,000 of these armored vehicles had been built.

Over the course of time, demands for increased M113 load carrying capabilities began to put a strain on the 210 bhp 6V-53N. The old warhorse was tiring. However, new engines suitable for replacing the 6V-53N were released with 265 bhp and 275 bhp ratings to breathe new life into the M113. While the U.S. Army opted for the 275 bhp version, many countries around the world, such as Jordan, are choosing the 265 bhp M113A2 MkI upgrade.

MTU Detroit Diesel is the exclusive manufacturer of all new Detroit Diesel 2-Cycle engines and parts. As part of its separation from Detroit Diesel Corporation in 2006, MTU Detroit Diesel, Inc. took with it full responsibility for the sales and service of legacy Detroit Diesel 2 Cycle engines. With a renewed focus on this market, MTU Detroit Diesel has launched an aggressive genuine 2-Cycle parts campaign to promote the availability of genuine Detroit Diesel 2-Cycle parts. In addition, this year the company expects to produce an estimated 1,500 new 2-Cycle engines at its facility in Emporia, Kansas.

About MTU
MTU Detroit Diesel, Inc. is the North American regional headquarters of MTU Friedrichshafen GmbH, one of the world's most important providers of diesel engines and drive and propulsion systems for ships, heavy-duty land and rail vehicles, and decentralized power plants. It offers a complete line of power solutions from 30 to 12,200 bhp (20 to 9,100 kW) for applications in the marine, rail, power generation, oil and gas, agriculture, mining, construction and industrial, and defense markets. MTU Detroit Diesel is part of the MTU Engines division of Tognum AG. http://www.mtu online.com

About Tognum
With its two business units, "Engines" and "Onsite Energy & Components", the Tognum Group is one of the world's leading suppliers of engines, propulsion systems and distributed energy systems. These products are based on diesel engines with up to 9,100 kilowatts (kW) power output, gas engines up to 2,000 kW, fuel cells up to 363 kW and gas turbines up to 50,000 kW.

The product portfolio of the "Engines" business unit comprises MTU engines and propulsion systems for ships, for heavy agricultural, rail and military vehicles, and for the oil and gas industry. The portfolio of the "Onsite Energy & Components" business unit includes distributed energy systems of the brand MTU Onsite Energy, fuel-injection systems from L'Orange, and drive shafts from Rotorion. The energy systems comprise diesel engines for emergency power generation, basic and peak load, and cogeneration power plants based on gas engines, fuel cells and gas turbines that generate both electricity and heat.

In 2007, Tognum generated revenue of more than €2.8 billion and employs approximately 8,600 people. With 26 fully consolidated subsidiaries, more than 130 sales partners and 1,100 authorized dealers, Tognum's sales and service structure has a global reach. The shares of Tognum AG (ISIN: DE000A0N4P43) have been listed in the MDAX share index since 2007.

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Jennifer Riley
MTU
313 592 8103
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