Cleaire Division of Cummins West Awarded EPA Grant to Provide Emission-Reducing Technologies in California; Demonstration Project to Retrofit Heavy Construction Equipment; Evaluate Results

The team also includes the West Coast Diesel Emission ReductionCollaborative and the Sacramento Metropolitan Air Quality ManagementDistrict. Cleaire will be the technology provider for the project andalso has committed to providing $760,000 in funding for the effort.

The award is the first of a series of EPA grants totaling $1.4million for projects aimed at reducing diesel emissions in California,Oregon and Washington. The grants will leverage another $5.8 millionin matching funds from private businesses and local governmentagencies.

Together, the partners on this project will retrofit five piecesof heavy construction equipment with emission-reduction technology andthen evaluate the ability of the technology to lower emissions ofparticulate matter (PM), nitrogen oxides (NOx), hydrocarbons andcarbon monoxide.

The construction equipment being retrofitted includes backhoes,loaders and excavators, which will have their old mufflers replacedwith the advanced catalytic and filtration technology made by Cleaire.The retrofit equipment is expected to reduce PM emissions by more than85 percent, NOx emissions by up to 25 percent, and carbon monoxide andhydrocarbon emissions by up to 90 percent.

California's construction sector is among the largest sources ofdiesel particulate matter (PM), or soot, in the state, accounting fornearly 30 percent of all PM emissions. The microscopic PM has beenlabeled as a toxic air contaminant by the California Air ResourcesBoard (CARB), and has been linked to a number of respiratoryillnesses.

"We are very pleased to have been selected as the technologypartner for this EPA-funded construction retrofit project," said KevinShanahan, President and CEO of Cleaire. "Our California-basedcompanies are committed to developing retrofit technologies that makeit possible for 'in-use' diesel engines to achieve dramatically loweremission levels. This means we've developed, and will continue todevelop, cost-effective retrofit systems that can clean up the vastmajority of diesel engines in operation today, including the dieselengines in construction equipment."

Cummins is a leader in diesel engine emission technology and wasthe first company to fully comply with the current EPA regulationsgoverning on-highway emissions in October 2002. The Company iscommitted to meeting even more stringent EPA standards that are set totake effect in 2007.

Cummins also was the first engine manufacturer to receive a Tier 3Certificate of Conformity from the EPA with its QSM engine, and isready to meet the challenge of the Tier 4 Interim off-road dieselemissions rule scheduled to take effect beginning in 2008.

About Cleaire Advanced Emission Controls, LLC

Cleaire is a division of Cummins West Inc., focused on developing,verifying and manufacturing CARB and EPF verified emission controlsystems to reduce NOx emissions from diesel engines. Cleaire iscurrently focused on marketing its technologies under the names ofLongview(R), Lonestar(TM), and Horizon(TM). Cleaire is aCalifornia-based company headquartered in San Leandro with testingfacilities in Richmond, Calif., and manufacturing facilities in SanDiego.

About Cummins West, Inc.

Cummins West is the northern California and Hawaii distributor forCummins engine products, Komatsu heavy equipment and Cleaire emissioncontrols technologies. Cummins West has been doing business for morethan 70 years.

About the Sacramento Metropolitan Air Quality Management District

The district works with local, state and federal agencies, as wellas the business community and private citizens to achieve and maintainhealthy air quality for Sacramento.

About the West Coast Diesel Emission Reduction Collaborative

The Collaborative is a partnership of leaders from federal, state,and local government; the private sector; and environmental groups inCalifornia, Oregon, Washington, Idaho, Arizona, Alaska, Canada andMexico committed to reducing diesel emissions along the West Coast.The Collaborative is part of the National Clean Diesel Campaign. Formore information, go to www.westcoastcollaborative.org.

About Cummins Inc.

Cummins Inc. (NYSE:CMI), a global power leader, is a corporationof complementary business units that design, manufacture, distributeand service engines and related technologies, including fuel systems,controls, air handling, filtration, emission solutions and electricalpower generation systems. Headquartered in Columbus, Indiana, (USA)Cummins serves customers in more than 160 countries through itsnetwork of 550 Company-owned and independent distributor facilitiesand more than 5,000 dealer locations. With more than 28,000 employeesworldwide, Cummins reported sales of $8.4 billion in 2004. Pressreleases can be found on the Web at www.cummins.com.