SHANGHAI, China (November 21, 2006) - Cummins Inc. (NYSE:CMI) displayed a full lineup of EPA Tier 3 emissions-capable engines at the BAUMA China Show, Shanghai (Nov. 21-24), ready for installation by construction equipment manufacturers in China. Spanning a wide 23-522 kW (31-700 hp) power band, the Tier 3 range will bring the latest low-emissions, high-performance industrial engines to the Chinese market. The arrival of the Tier 3 engines will build on a strong Cummins presence in China, with a total engine population of over one million units.

Although no off-highway emissions regulations are currently in effect for China, it is widely anticipated that emissions regulations will be introduced within the next few years. By releasing Tier 3 engines ahead of other engine suppliers, Cummins believes this will enable original equipment manufacturers (OEMs) in China to demonstrate they are fully capable of moving ahead to meet emissions standards comparable to that of North America, Europe and Japan. Cummins latest generation QSB Series with a common-rail fuel system is anticipated to attract significant interest. Available in 3.3-, 4.5- and 6.7-liter configurations, these engines extend across the important 60-205 kW (80-275 hp) power band for premium equipment.

"Most of Cummins off-highway equipment customers in China utilize our locally built Tier 1 and Tier 2 engines," commented Ric Kleine, Cummins Vice President, Off-Highway Business. "Now, with Cummins Tier 3 availability, this means our OEM partners in China can continue to maintain technology leadership in the domestic market by specifying our cleanest high-performance engines. And, of course, it offers an opportunity for OEMs to export their equipment anywhere in the world, fully supported by Cummins global service support network.

"Cummins Tier 3 engines are purpose-designed to operate effectively anywhere in the world, which makes them ideal global platforms for equipment manufacturers. Importantly, our robust Tier 3 in-cylinder solution ensures that Cummins engines are tolerant of high sulfur content in diesel fuel, which can be a problem for other engines requiring more complex engineering to meet Tier 3," added Kleine.

Cummins advanced combustion results in a simpler and more reliable Tier 3 emissions solution achieved within the engine cylinder. Low piston speeds and low cylinder pressures are retained, with correspondingly lower mechanical and thermal stress for the engine. With more efficient combustion, this also reduces the level of soot transmitted to the engine oil. For the operator, all this translates into higher levels of in-service dependability and low maintenance requirements. Cummins expertise in heavy-duty durability and wear-resistant engineering also ensures that the Tier 3 engines will offer the longest time-to-overhaul in their class.

Tier 3 Technical And Service Support

With such a wide choice of Tier 3 engine platforms, extending from the compact A Series to the powerful QSK19, Cummins offers Chinese OEMs the opportunity to standardize on a single engine supplier across their equipment range - from skid-steers to the largest wheeled loaders. Electronic commonality offered by Cummins Quantum System (QS) architecture means that equipment manufacturer, service engineer and operator can benefit from using the same INSITETM diagnostic software across the engine range.

Chinese equipment manufacturers specifying Cummins engines will also have access to the new state-of-the-art Cummins East Asia Research and Development Center. Opened the 8th of August this year in Wuhan, the facility offers expert application engineering and a pilot installation capability. Here, calibrations and electronic feature sets can be developed for specific duty cycles to enhance machine productivity and maximize fuel efficiency.

All off-highway engines are backed by Cummins industry-leading QuickServe® rapid service response program. QuickServe offers factory-certified technicians the most sophisticated diagnostic and repair tools in the industry and the largest international parts and service network of any engine manufacturer.

About Cummins In China

Cummins has become the largest foreign investor in China's diesel engine sector with significant ownership in nine factories producing eight of the fourteen Cummins engine families, turbochargers, filters, exhaust systems, alternators and gensets. The company's investment in China currently exceeds $140 million (US dollars) and has ten regional service centers and over 240 authorized dealers across the mainland to support an engine population of about 1,000,000 engines.

Cummins first China office was established in Beijing in 1979. In 1981, Cummins signed its first license agreement with China Heavy Duty Truck Corporation and became one of the earliest foreign companies to form a cooperative venture in China's heavy-duty industry. Since then, Cummins has cooperated with China's leading enterprises, including Dongfeng Motor Company. Currently China has become one of Cummins fastest-growing geographical markets with consolidated and unconsolidated sales in excess of $1 billion both in 2004 and 2005.

About Cummins Inc.

Cummins Inc., a global power leader, is a corporation of complementary business units that design, manufacture, distribute and service engines and related technologies, including fuel systems, controls, air handling, filtration, emission solutions and electrical power generation systems. Headquartered in Columbus, Indiana (USA), Cummins serves customers in more than 160 countries through its network of 550 company-owned and independent distributor facilities and more than 5,000 dealer locations. Cummins reported net income of $550 million on sales of $9.9 billion in 2005.