Truck Builders Anticipate Strong Profits Through ’06

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img src="/sites/default/files/images/articles/printeditiontag_new.gif" width=120 align=right>NEW YORK — Truck makers and their vendors anticipate strong profits through 2006, said two major manufacturers. They said they were optimistic because reduced manufacturing capacity in recent years has left survivors in a position to generate significant earnings, now that the economy appears to be in a strong recovery.

The chief executive officers of Mack Trucks and diesel engine maker Cummins Inc. told investors here May 11 that reorganizations that took place from 2001 through last year should yield better earnings now that demand for their products is rising.

The manufacturers advised fleet owners to plan carefully with their brand manufacturers and hinted that they should not expect steep discounts. They spoke at an investors conference here sponsored by Bear, Stearns & Co.

For the full story, see the May 17 edition of Transport Topics. Subscribe today.