COLUMBUS, IN — Joe Loughrey, president of Cummins’ engine business, has been promoted to president and COO of Cummins Inc. His new appointment is part of a strategic reorganization and growth plan, Tim Solso, Cummins chairman and CEO noted in a press release yesterday.

“Coming off a record year in 2004 and an outstanding first quarter in 2005, Cummins is not content to rest on its recent successes,” said Solso. “We are restructuring critical elements of the company to help us better execute our plans, grow faster – especially in developing markets – capture more synergies between businesses and generate more profit for shareholders.”

Loughrey has been with Cummins for 31 years, during which time he has held a number of leadership positions. Succeeding Loughrey as president of the Engine Business will be Jim Kelly who has served as vice president and general manager of Cummins MidRange and heavy duty engine businesses.

Prior to becoming president of the engine business in October 1999, Loughrey served in a variety of leadership roles in Cummins, including executive vice president – industrial business, chief technical officer and group vice president – worldwide operations.

During his tenure, the engine business recorded its highest level of sales and earnings and substantially reduced the break-even level for the heavy-duty engine portion of the engine business. In addition, the success of Cummins emission-compliant engines has helped it capture market share from competitors in various markets.

Kelly joined Cummins in 1976, and previously was plant manager of the Charleston, Jamestown and Columbus Engine Plant facilities. He led the industrial marketing and MidRange businesses before assuming his current position last year.

In his new role, Kelly will have responsibility for engineering, manufacturing, purchasing, sales and marketing for all engine families and markets worldwide.

The company also announced that Rick Mills will become president of the new components group. Mills has led Cummins filtration business since 2000. Rich Freeland will become president – worldwide distribution business, which combines Cummins International and North American distributors under one organization.

As president of the components group, Mills will assume responsibility for the following Cummins businesses: Fleetguard/Nelson, Emission Solutions, Holset Engineering Co. and Fuel Systems. Mills joined Cummins in 1970 and has served as the corporate controller. He was named to lead the filtration business and to be president of Fleetguard in 2000.

Rich Freeland, who has been vice president and general manager – PowerCare and North American distribution, joined Cummins in 1979 and has served as vice president of heavy-duty operations, fuel systems and purchasing.

Freeland will manage the company’s wholly- and majority-owned distributors, have oversight of distributor joint ventures where Cummins has a minority share and drive distribution channel management worldwide.

Steve Chapman, who has served as president of the international distributor business, will become group vice president – emerging markets and businesses. He will assume an expanded role in growth markets, such as China, India and Russia, as well as corporate business development.

Solso said Chapman will use his broad international experience and entrepreneurial instincts to speed the growth of Cummins businesses in China, India, Russia and other emerging markets. He will also have oversight of a number of other ventures and projects as well as responsibility for overall corporate business development. Chapman joined Cummins in 1985 and has been heavily involved in international business development, particularly in the Asian markets and global distribution.

In addition, Tom Linebarger, president of Cummins Power Generation, and Jean Blackwell, CFO, have been named executive vice presidents. They also will serve as members of the executive committee along with Solso, Loughrey and Mark Gerstle, vice president – corporate quality and chief risk officer.

All of these changes are effective immediately, the company said.

For more information about Cummins, go to: www.cummins.com.

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