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PACCAR Commences Production of DAF Trucks in Brasil

October 2, 2013, Ponta Grossa, Brasil PACCAR held an opening ceremony today to launch its new DAF assembly plant in Brasil.  The ceremony, led by Mark Pigott, PACCAR chairman and chief executive officer, and Parana Governor, Beto Richa, was attended by state and local officials, DAF Brasil dealers, suppliers, transport companies and business and educational leaders.

DAF Brasil Factory
DAF Brasil Factory in Ponta Grossa, Brasil

"PACCAR is pleased to officially dedicate our new DAF Brasil factory," said Mark Pigott.  "The 300,000-square-foot assembly facility on 569 acres is a high-technology, environmentally friendly plant that will assemble the premium-quality DAF XF, CF and LF vehicles.  The factory will build DAF trucks for Brasil and the South American market.  Our DAF dealers have invested in the newest and most modern distribution network in the country to support our growing customers."

"We are proud to be able to drive the first DAF truck made in Brasil," said Governor Richa.  "The $320 million investment by PACCAR reinforces Paraná's commitment to attract high-quality jobs to the state.  This DAF facility will stimulate economic growth and contribute to an improved quality of life in the region."

DAF's premium-quality vehicles have achieved industry leadership in Europe.  "DAF is the European leader in on-highway tractors and has achieved a market share of 15.8 percent in the above 16-tonne segment this year.  Customers appreciate the robust quality leadership, low operating costs and excellent resale value of DAF trucks and PACCAR engines," said Ron Armstrong, PACCAR president.

"The above six tonnes truck market in Brasil is projected to be over 140,000 units in 2013, with further growth expected in future years," shared Bob Christensen, PACCAR executive vice president and chief financial officer.  "The largest and fastest growing segment of the Brazilian truck market is the premium segment where DAF has launched its flagship model XF-105 vehicle."

DAF Brasil Truck Lineup
DAF XF, CF and LF Trucks Powered by PACCAR Engines for the Brazilian Market

"We look forward to manufacturing the full range of industry-leading DAF trucks powered by PACCAR engines for customers in Brasil and South America," shared Marco Davila, DAF Brasil president.  "The independent dealer network in Brasil consists of 20 service locations in 2013 and will expand to 40 locations in 2014.  The first DAF model produced in this plant is the premium DAF XF-105, designed for long-haul applications.  In the future, the factory will also produce the versatile CF and LF models.  The DAF CF is designed for a wide number of applications, ranging from regional transportation to heavy construction.  The DAF LF is ideal for distribution and urban delivery."

PACCAR is a global technology leader in the design, manufacture and customer support of high-quality light-, medium- and heavy-duty trucks under the Kenworth, Peterbilt and DAF nameplates.  PACCAR also designs and manufactures advanced diesel engines, provides financial services and information technology, and distributes truck parts related to its principal business.

PACCAR shares are traded on the Nasdaq Global Select market, symbol PCAR, and its homepage is www.paccar.com.

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