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New emissions standards drive up Cummins profit

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Diesel engine maker Cummins Inc. posted its most profitable fourth quarter in company history, thanks to a rush on engines that won't have to conform to new emission standards that took effect this year.

Cummins said year-over-year sales grew 3 percent from $3.29 billion in the fourth quarter of 2008 to $3.4 billion in the same period last year. Net income attributable to Cummins increased from $43 million, or 22 cents a share, to $270 million, or $1.36 per share. The net income attributable to Cummins does not include earnings from various joint ventures.

New emissions standards for diesel engines drove fourth-quarter sales, company spokesman Mark Land said. Many customers rushed to buy under the old standards, because engines were cheaper and more familiar. "Our revenues were significantly higher because of that," Land said.

Full-year revenue was $10.8 billion, down 25 percent from $14.3 billion in 2008. The company noted that despite a deep global recession, its results improved from quarter to quarter throughout 2009.

CEO Tim Solso said that through early cost reductions, the company delivered as promised in 2009. "We earned a solid profit during the deepest recession in decades and generated a significant amount of cash while continuing to invest in technologies and programs critical to our success," Solso said.

Shares of Cummins rose close to 9 percent on Tuesday by the end of trading, finally resting at $51.12.

 

 


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  1. something to take iman's mind off CART,,,the league itsownself doesn't do it

  2. Someone mentioned a green roof. Every designer of a new urban building should be required to at least explore the feasibility of a green roof. The ability to cut carbon dioxide, save precious rainwater (drought this summer??) and re-use grey water, cool the building cheaper, and improve the view for neighbors, should be, not only the good neighbor thing to do, it should be the responsible neighbor thing to do. Too bad the city didn't require it when they gave up downtown green space for the Simon Building. Surprised they aren't requiring it now.

  3. About the same means down, like the TV ratings.

    My favorite tradition that needs to be brought back is the 25/8 rule.

  4. Your stats are incorrect. The 85k Government employees working in Marion County includes all government workers in Marion county. That is state, federal, non profit agencies, city and county. The stats the article list is the number of employees for all of the city/county employees and it is correct. That number includes the library, airport, convention center, and so on. The policy of extending benefits to domestic partners is consistent with private sector companies of the same size. Isn't the mantra of most conservatives "run the government like a business."

    Also, too say the "fiscal proposil is huge" without considering the actuarial factors involved is a bit of an overstatement. We really don't know if it is huge or not. If all of the people added to the plan are healthy and don't have claims then it could bring cost done or hold them neutral.

  5. There are 85,346 government employees in Marion county according to Stats Indiana.

    My understanding is that this proposal covers not only same sex partners and children, but opposite same sex partners who are not married and any kids.

    It also covers all city and county employees, plus municipal corporations which use city/county benefits packages including Health and Hospital Corporation (Wishard), Indianapolis Airport Authority, Indianapolis Convention Center,Lucas Oil,Bankers Life, Indianapolis Marion County Library, and Indianapolis Public Transportation Corporation (IndyGo).

    Certainly Indianapolis Public Schools will also want more benefits also.

    The fiscal cost on this proposal is huge.

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