Key Developments: Navistar International Corp (NAV)
35.88USD
24 May 2013
$-0.57 (-1.56%)
$36.45
$36.16
$36.18
$35.51
587,200
1,936,600
$38.81
$18.17
Latest Key Developments (Source: Significant Developments)
Rigrodsky & Long, P.A. Announces Securities Fraud Class Action Lawsuit Against Navistar International Corp
Rigrodsky & Long, P.A. announced that a complaint has been filed in the United States District Court for the Northern District of Illinois on behalf of all persons or entities that purchased the common stock of Navistar International Corp (Navistar or the Company) between November 3, 2010 and August 1, 2012, inclusive (the Class Period), alleging violations of the Securities Exchange Act of 1934 against the Company and certain of its officers (the Complaint). According to the Complaint, prior to the Class Period, the EPA had imposed new regulations on 2010 model trucks that included strict emissions standards. The two primary engine technologies that emerged to meet the new standards were Exhaust Gas Recirculation (EGR) and Selective Catalytic Reduction (SCR). Navistar chose the EGR technology, not the SCR technology its competitors were using to meet the new standards, and then represented that the new EGR technology was compliant and the vehicles were ready for sale. By the beginning of the Class Period, however, it was clear this product differentiation strategy was not working. Despite the $700 million Navistar had spent on developing its EGR engine, the Company had not even applied for certification of the EPA emissions standard by the start of the Class Period - 10 months after the EPA standards had become effective. Thus, by the beginning of the Class Period, Navistar faced technological, legal and liquidity issues which threatened its business. Full Article
Harwood Feffer LLP Announces Investigation of Navistar International Corp
Harwood Feffer LLP announced that it is investigating potential claims against the board of directors of Navistar International Corp (Navistar or the Company), concerning whether the board has breached its fiduciary duties to shareholders. In July 2012, the Company disclosed that a clean emissions technology on which it had spent approximately $700 million in research and development would not be EPA-compliant and would need to be abandoned. Company stock, which had reached $70 per share in anticipation of successful production of this technology, collapsed to lows below $20 per share. On August 2, 2012, the Company announced that it had received a letter of inquiry from the SEC relating to an investigation of accounting and disclosure matters since 2010. Upon information and belief, the accounting and disclosure matters were connected to the Company's statements regarding the failed clean emissions technology. Our investigation concerns whether the Company board of directors has breached its fiduciary duties to shareholders, grossly mismanaged the Company, and/or committed abuses of control in connection with the foregoing. Full Article
Robbins Geller Rudman & Dowd LLP Files Class Action Suit Against Navistar International Corp
Robbins Geller Rudman & Dowd LLP announced that a class action has been commenced on behalf of an institutional investor in the United States District Court for the Northern District of Illinois on behalf of purchasers of Navistar International Corp common stock during the period between November 3, 2010 and August 1, 2012 (the Class Period). The complaint alleges that during the Class Period, defendants issued materially false and misleading statements concerning the Company`s financial condition and future business prospects. Prior to the Class Period, the U.S. Environmental Protection Agency ("EPA") had imposed new regulations on 2010 model trucks that included strict emissions standards. The two primary engine technologies that emerged to meet the new standards were Exhaust Gas Recirculation ("EGR") and Selective Catalytic Reduction ("SCR"). Navistar chose the EGR technology, not the SCR technology its competitors were using to meet the new standards, and then represented that the new EGR technology was compliant and the vehicles were ready for sale. By the beginning of the Class Period, however, it was clear this product differentiation strategy was not working. Despite the $700 million Navistar had spent on developing its EGR engine, the Company had not even applied for certification of the EPA emissions standard by the start of the Class Period - 10 months after the EPA standards had become effective. Full Article
Navistar International Corp Announces Appointment Of Chairman, President And Chief Executive Officer
Navistar International Corp announced that Board of Directors has appointed Troy A. Clarke as President and Chief Executive Officer of Navistar, effective April 15, 2013. Clarke, currently the Company's President and Chief Operating Officer, will also join the Board. At the same time, Lewis B. Campbell, who has served as Executive Chairman and Interim CEO since August 2012, will step down from those positions and from the Board. James H. Keyes, who has served as a Board member since 2002, will become non-executive Chairman, also effective April 15. Full Article
Mahindra And Mahindra Ltd Completes Purchase of Navistar International Corp's Stake in India Joint Ventures
Mahindra And Mahindra Ltd and Navistar International Corp announced that Mahindra has completed its purchase of the Navistar Group's stake in Mahindra Navistar Automotives Ltd (MNAL) and Mahindra Navistar Engines Pvt Ltd (MNEPL), The deal has received regulatory approval in India and Mahindra has taken complete ownership of operations and continue to sell MNAL and MNEPL products. Full Article
Mahindra And Mahindra Ltd To Purchase Navistar International Corp's Stake In India Joint Ventures
Mahindra And Mahindra Ltd and Navistar International Corp announced that Mahindra intends to purchase Navistar Group's stake in Mahindra Navistar Automotives Ltd (MNAL) and Mahindra Navistar Engines Pvt Ltd (MNEPL). Following the purchase, both MNAL and MNEPL would become wholly owned subsidiaries of Mahindra. Mahindra would take complete ownership of operations and continue to sell MNEPL and MNAL products. The sale requires regulatory approval in India , is subject to the conclusion of definitive agreements, and is expected to be completed in early 2013. The terms of the proposed transaction call for Mahindra to pay approximately INR1.75 billion, or $33 million , for Navistar Group's stake in both ventures. The agreement allows Navistar to continue sourcing components from India while Mahindra would continue to provide engineering services to Navistar. Navistar group would continue to support M&M through a license agreement and extend necessary support to MNAL and MNEPL for the purposes of business continuity. Full Article
Navistar International Corp Mulls Asset Sales, No Deep Discounts-Reuters
Reuters reported that Navistar International Corp is willing to look at the possible sale of any part of its business as it tries to return to profitability but it is not willing to consider fire sale prices for its assets. Full Article
Navistar International Corp Announces Pricing Of Public Offering Of Common Stock
Navistar International Corp announced the pricing of a public offering of 10,666,666 shares of common stock at a price of $18.75 per share. Closing of the offering is expected to occur on October 30, 2012. In addition, the Company will grant the underwriters a 30-day option to purchase up to 1,600,000 shares of common stock. The Company intends to use all net proceeds from the offering for general corporate purposes. J.P. Morgan Securities LLC, Goldman, Sachs & Co., BofA Merrill Lynch and Credit Suisse Securities (USA) LLC are acting as joint book-running managers for the offering. Full Article
Navistar International Corp May Close Plants To Cut Costs-Reuters
Reuters reported that Navistar International Corp is cutting administrative and engineering spending and may close factories as it works to lower its costs. The Company is cutting its white-collar work force by about 800 people through a combination of voluntary buyouts and layoffs, reducing its engineering spending by 28% and will review whether it needs all 19 of its North American factories, CEO Lewis Campbell said in his first interview since taking the reins at Navistar on August 27. Full Article
Navistar International Corp Names Lewis B. Campbell Executive Chairman And Interim Chief Executive Officer
Navistar International Corp announced that the Board of Directors has appointed Lewis B. Campbell, former Chairman, President, and Chief Executive Officer of Textron Inc., Executive Chairman of the Board of Directors and interim Chief Executive Officer. Daniel C. Ustian has informed the Board that he is retiring as Chairman, President, and Chief Executive Officer, effective immediately. He is concurrently leaving the Board of Directors. The Company also announced that it has promoted Troy A. Clarke, currently President of Truck and Engine operations at Navistar, to the position of President and Chief Operating Officer of Navistar. Full Article
RPT-Fitch Affirms Navistar's IDR at 'CCC' & Upgrades Sr. Unsecured to 'CCC'; Outlook Positive
March 21 () - (The following statement was released by the rating agency) Fitch Ratings has affirmed the Issuer Default Ratings (IDR) for Navistar International Corporation (NAV), Navistar, Inc. and Navistar Financial Corporation (NFC) at 'CCC'. In addition, Fitch has upgraded NAV's senior unsecured notes to 'CCC' from 'CCC-' and NFC's senior secured bank credit facilities to 'CCC' from 'CCC-', based on modestly improved recovery prospects. Fitch has also affirmed the rating for Navistar,
Earnings vs. 
Estimates
Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. Thomson Reuters journalists are subject to an Editorial Handbook which requires fair presentation and disclosure of relevant interests.
NYSE and AMEX quotes delayed by at least 20 minutes. Nasdaq delayed by at least 15 minutes. For a complete list of exchanges and delays, please click here.
