Navistar, JAC Receive Joint Venture Approval

                 Navistar, JAC Receive Joint Venture Approval

Chinese Government Approves Engine Joint Venture Business License for
Navistar, Chinese Truck Maker Anhui Jianghuai Automobile Co. Ltd. (JAC)

JV Will Leverage Navistar's Fuel Efficient Advanced 'Clean Engine' Emissions
Technology for Chinese Commercial Truck Market; Companies to Submit
Application for Truck JV this Fall

PR Newswire

BEIJING, Aug. 22, 2012

BEIJING, Aug. 22, 2012 /PRNewswire/ -- Navistar International Corporation
(NYSE: NAV) and Chinese truck maker Anhui Jianghuai Automobile Co. Ltd. (JAC)
announced this week that the two companies have received formal approval from
the Chinese government to move forward with their commercial engine joint
venture. The joint venture will focus on meeting the emerging needs of the
Chinese commercial truck market by providing JAC with access to Navistar's
Euro IV and Euro V compliant technology. The JV also sets the stage for global
export opportunities of JAC's light-, medium- and heavy-duty commercial
trucks.

(Logo: http://photos.prnewswire.com/prnh/20120127/MM32830LOGO-a)

"Our joint venture with JAC represents a significant step in Navistar's global
growth," said Troy Clarke, president Navistar Truck & Engine. "Consistent with
our strategy, this partnership will leverage the assets and capabilities of
both companies. We recognize the importance of the Chinese market and our
joint venture with a strong partner such as JAC enables us to establish an
immediate presence in China as we grow our business in the Asia Pacific
region."

"Our partnership with Navistar will bring cutting-edge diesel and commercial
truck technology to our customers, as we deliver on our mission to make better
products while we build a better society," said Mr. An Jin, chairman, JAC.
"Durable, fuel efficient products will enable JAC to continue leading in the
commercial vehicle market in China and to export globally."

Navistar and JAC signed their joint venture agreements in September 2010 and
since that time the companies have been setting things in motion for a swift
and smooth launch upon formal government approval. Navistar has established a
central China office in Shanghai, as well as satellite offices in Beijing and
Hefei with a well-rounded team of Chinese nationals and U.S. and Brazilian
employees who work closely with their JAC counterparts, gaining insight and
understanding of the Chinese market. In Hefei, product development engineers
from both companies have been collaborating on engine and vehicle design.
Additionally, construction has started on a 93,000m2 machining and assembly
facility, research and development center, and administrative offices in Hefei
to support the new venture.

Global Collaboration

The engine joint venture represents the first phase of global collaboration
between Navistar and JAC. The companies plan to formally submit their
commercial truck joint venture application to the Chinese government later
this fall. In addition, earlier this spring the two companies signed letters
of intent (LOIs) to collaborate on design and production of light-duty
commercial truck export opportunities for Navistar dealers in Brazil and
Mexico.

"We look forward to continuing our collaboration with Navistar beyond just our
joint venture, but to create a truly 'global' partnership," Chairman An added.
"By taking the best of both companies, together we can develop products in
China for China, and in China for other markets around the world."

Products

The products slated for the joint venture include Navistar's MaxxForce^® 3.2,
4.8, 7.2 and JAC's 2.8 4DA1 liter engines. The engines offer up to  118 kW
power and 45.9 kgf.m torque @ 1,500-2,200 rpm; 140 kW power and 73.4 kgf.m
torque @ 1,200-1,600 rpm,243 kW / 132.6 kgf.m @ 1,200-1,600 rpm, and 88wW/28.5
kgf.m @ 2,000-2,200 rpm respectively. All engines deliver quiet, fuel
efficient operation.

"From medium trucks to heavy trucks, from 2.8-liter engines on up to 15-liter
engines, cab-over trucks to aero-nose trucks, Navistar has global expertise in
a comprehensive portfolio of products," Clarke added. "Navistar has an array
of truck and engine designs that will serve the Chinese commercial vehicle
market today and innovative technologies for tomorrow as China's
infrastructure and logistics needs continue to grow in the future."

* In September 2010, Navistar signed a joint venture agreement with JAC to
develop, build and market advanced diesel commercial engines in China. In
August 2012, Navistar and JAC announced that they received formal approval
from China's National Development and Reform Commission (NDRC) on the engine
joint venture and the JV has received its business license. Later this fall,
the two companies will submit their commercial truck joint venture for formal
approval. Formation of the truck joint venture is subject to finalization of
certain procedural steps and the finalization of certain ancillary commercial
agreements among the parties.

About Navistar

Navistar International Corporation (NYSE: NAV) is a holding company whose
subsidiaries and affiliates produce International^® brand commercial and
military trucks, MaxxForce^® brand diesel engines, IC Bus^™ brand school and
commercial buses, and Navistar RV brands of recreational vehicles. The company
also provides truck and diesel engine service parts. Another affiliate offers
financing services. Additional information is available at
www.Navistar.com/newsroom.

About JAC

Anhui Jianghuai Automobile Co. Ltd. (JAC) is principally engaged in the
development, manufacture and sale of sport recreational vehicles, passenger
cars, commercial vehicles and related parts. The company offers business
vehicles under the brand name of Refine, light and heavy trucks, sports
recreation vehicles (SRVs) under the brand name of Rein, carriage chassis and
cars. http://jacen.jac.com.cn.

All marks are trademarks of their respective owners.

SOURCE Navistar International Corporation

Website: http://www.Navistar.com
Contact: Navistar media contact U.S., Steve Schrier, +1-331-332-2264, or
Navistar media contact China, Rick Jiang, + 86 10 65393368, or JAC media
contact China, Mr. Zhang Jian, +86 55 12296990, or Navistar Investor Contact,
Heather Kos, +1 331 332 2406
 
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