TRUCKMAKERS NEWS * Germany

Wofsburg,Germany -Bloomberg, by Andreas Cremer/Aaron Kirchfeld/Chad Thomas and Chris Reiter -9 May 2011:  --  Volkswagen AG plans to boost its holding in German truckmaker MAN SE to as much as 40 percent to forge a truck alliance with Scania AB in Sweden that could save upwards of 1 billion euros ($1.43 billion) in annual costs... A merger of the two would create Europe’s largest truckmaker. MAN and Scania together had 30 percent of the European heavy-truck market last year, according to the European Automobile Manufacturers’ Association. Volvo and Daimler each had 21 percent...  MAN has been working on a combination with Soedertaelje- based Scania since the German company’s hostile bid for the Swedish competitor failed in 2007. VW bought its MAN stake to help Scania fend off MAN’s hostile approach...  MAN, Scania and rival truckmakers have reported surging earnings as demand for trucks rises. MAN’s first-quarter operating profit more than doubled on higher deliveries to freight transporters and construction companies, while Scania’s earnings before interest and taxes climbed 41 percent...   (Image from wallpapers-diq: MAN TGX V8 680 Commercial Truck)

* Germany - Volkswagen Plans MAN Bid. Auto Maker's Lowball Offer Would Permit Cost-Sharing Without Full Buyout

Wolfsburg,Germany -The Wall Street Journal, by VANESSA FUHRMANS -May 10, 2011:  --  Volkswagen AG said it would submit a formal offer to acquire all of MAN SE, while signaling that its planned lowball offer was aimed more at complying with German antitrust rules rather than toward securing a majority in the German truck maker anytime soon...  Volkswagen set the bid in motion by raising its share of voting rights in MAN to just over 30% from 29.9%, a threshold that requires it under German law to launch a mandatory offer for all remaining shares...

* Japan - VW in talks with Isuzu on parts cooperation

(Photo by Mike Segar/Reuters: The Volkswagen logo is seen on display at the New York International Auto Show in New York City, April 20, 2011)

Tokyo,Japan -Reuters, by Kentaro Sugiyama/Jan Schwartz/Chang-Ran Kim/Nathan Layne and Alexander Smith -May 10, 2011: -- Japanese truckmaker Isuzu Motors Ltd and Volkswagen AG are considering an operational tie-up in areas such as truck engines, but have no immediate plans for capital ties, a top Isuzu executive said... While the two companies were not discussing any capital ties now, that was a possibility in future if cooperation deals evolve, the executive added... A spokeswoman for Volkswagen confirmed Europe's biggest carmaker is in talks with Isuzu over a possible cooperation on parts, but declined to be more specific... Media reports have said Isuzu and Volkswagen were aiming to close an operational deal this autumn and that VW was looking to take a stake in Isuzu...

* Wiscosin - Paper Transport to test dual-fuel system

Green Bay,WI,USA -Fleet Owner -May 10, 2011: -- Paper Transport, has signed a vehicle test agreement with American Power Group (APG), a subsidiary of GreenMan Technologies, to run a trial of the company’s dual-fuel system. APG will collect data on the engines before and after the installation of the dual-fuel system... Paper Transport is a regional fleet operator with over 280 power units offering dedicated and regional routes... APG’s dual fuel system converts diesel engines to run on both diesel fuel and up to 60% of compressed natural gas, liquefied natural gas, well-head gas, or bio-methane... Paper Transport represents an ideal opportunity for us because they are already operating natural gas vehicles and are looking for a cost effective retrofit solution for a large portion of their remaining diesel vehicles... Paper Transport will retrofit a 2009 Freightliner Cascadia running a 14.8L Detroit Diesel DD15 Series engine...