Navistar posts 4Q, year-end financial results

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Updated Dec 29, 2010

Citing improved performance of its core business and military sales, Navistar International Corporation reported net income of $39 million for the fourth quarter ended Oct. 31. Results included costs related to the ratification of the new UAW contract, which provides the company the ability to ensure a competitive cost structure across its production platforms and clears the way for future bottom-line improvements. For fiscal 2010, the company posted net income of $223 million, compared to $320 million the previous year.

Navistar’s truck segment posted a profit of $424 million for 2010, a $277-million increase from 2009. The company’s engine segment realized a profit of $51 million, down $202 million from 2009.

“The North American truck market has been depressed for three years now and the company has been able to provide good profits while investing in the future growth,” said Daniel C. Ustian, Navistar chairman, president and chief executive officer. “The company is well positioned to take advantage of the growing North American market as well as expanding globally.”

“Going forward, we anticipate investments in our global operations will deliver profits by fiscal 2011 and provide solid returns to our bottom line in 2012 and 2013,” said Ustian. The company has invested more than $55 million in global expansion in 2010.