STOCK TITAN

Food and Distribution Fleets Choose Allison’s 3414 Regional Haul Series™ Transmission

Rhea-AI Impact
(Neutral)
Rhea-AI Sentiment
(Positive)
Tags
Rhea-AI Summary

Allison Transmission has announced the successful implementation of its award-winning 3414 Regional Haul Series (RHS) transmission in three of North America's five largest private fleets, comprising approximately 25,000 tractors. This development is attributed to Allison's consistent investment in the 3414 RHS, representing a potential $100 million in annual revenue. Two major food distributors have adopted this technology, highlighting its efficiency in reducing fuel consumption and emissions. The 3414 RHS offers up to 8% better fuel economy and faster acceleration, enhancing fleet productivity.

Positive
  • Three of the five largest private fleets in North America are now utilizing the Allison 3414 RHS transmission, indicating strong market demand.
  • Projected opportunity of $100 million in incremental annual revenue due to the adoption of the 3414 RHS.
  • The 3414 RHS transmission provides up to an 8% improvement in fuel economy compared to previous models, reducing costs for fleets.
  • The transmission's design enables faster acceleration and improved maneuverability, enhancing overall fleet performance.
  • Allison 3414 RHS-equipped fleets can potentially save approximately $5,340 in annual fuel costs per truck.
Negative
  • None.

INDIANAPOLIS--(BUSINESS WIRE)-- Allison Transmission is pleased to announce that the award-winning Allison 3414 Regional Haul Series fully automatic transmission is now running in three of the top five largest private fleets in North America, which operate approximately 25,000 tractors combined. This growth is the result of Allison’s investment in developing the 3414 Regional Haul Series, along with expanded OEM releases that will support customer demand in this segment. The 3414 RHS represents an opportunity of $100 million in incremental annual revenue for Allison Transmission.

Two major wholesale food distributors have recently selected the award-winning Allison 3414 RHS for their fleets. The first will integrate up to 500 International® RH Series vehicles equipped with the 3414 RHS into its fleet. A second wholesale food distributor has selected Freightliner Cascadia® tractors featuring the 3414 RHS. The purpose built 3414 RHS fully automatic transmission is designed to provide leading maneuverability, performance, and efficiency, reducing fuel consumption and emissions to support fleet sustainability efforts.

The 3414 RHS is also making inroads with regional food and beverage distribution fleets like Burklund Distributors, headquartered in Illinois, who recently selected Allison 3414-equipped trucks to support its food and beverage delivery in the petroleum convenience store market. Commonwealth Edison (ComEd), a unit of Chicago-based Exelon Corporation, utilizes its Allison 3414-equipped trucks to transport large power transformers. A specialty distributor based in Texas will add Allison 3414 RHS-equipped International RH Series vehicles to its beverage delivery fleet after seeing exceptional performance from an initial vehicle order in Q1 of 2022.

“The 3414 RHS was designed to meet the needs of the markets we serve, including faster acceleration, seamless shifting, increased maneuverability and improved fuel economy,” said Rohan Barua, Vice President of North America Sales, Global Channel, and Aftermarket, Allison Transmission. “We’re honored to play a role in helping our regional distribution customers deliver vital goods efficiently, reliably and on time to communities across North America.”

An uprated variant of Allison’s proven 3000 Series™ fully automatic transmission, the 3414 RHS offers up to 8% fuel economy improvement over the Allison 3000 Highway Series™ transmission. For example, based on the national average cost for diesel (on 7/28/22) of $5.36 per gallon, the average regional haul fleet could spend more than $66,750 on fuel per truck this year. By integrating the 3414 RHS, fleets could reduce this annual fuel burden by approximately $5,340 per truck, while simultaneously increasing performance through full power shifts and increased ratings. The lightest transmission in the segment, the 3414 RHS also provides 25% faster acceleration when compared to competitive automated manual transmissions, while also eliminating downtime associated with automated manual transmissions through the avoidance of clutch replacements. Increased horsepower and the fully automatic architecture translate into more deliveries, reduced route times and more productivity, especially in frequent start-stop duty-cycles.

About Allison Transmission

Allison Transmission (NYSE: ALSN) is a leading designer and manufacturer of propulsion solutions for commercial and defense vehicles and the largest global manufacturer of medium- and heavy-duty fully automatic transmissions that Improve the Way the World Works. Allison products are used in a wide variety of applications, including on-highway trucks (distribution, refuse, construction, fire and emergency), buses (school, transit and coach), motorhomes, off-highway vehicles and equipment (energy, mining and construction applications) and defense vehicles (tactical wheeled and tracked). Founded in 1915, the company is headquartered in Indianapolis, Indiana, USA. With a presence in more than 150 countries, Allison has regional headquarters in the Netherlands, China and Brazil, manufacturing facilities in the USA, Hungary and India, as well as global engineering resources, including electrification engineering centers in Indianapolis, Indiana, Auburn Hills, Michigan and London in the United Kingdom. Allison also has more than 1,400 independent distributor and dealer locations worldwide. For more information, visit allisontransmission.com.

Claire Gregory

Director, Global External Communications

Claire.Gregory@allisontransmission.com

(317) 694-2065

Source: Allison Transmission

FAQ

What is the significance of the Allison 3414 RHS transmission for ALSN?

The Allison 3414 RHS transmission is now part of three of the five largest private fleets in North America, potentially generating $100 million in annual revenue for Allison Transmission.

How much fuel savings can fleets expect by using the 3414 RHS transmission?

Fleets utilizing the Allison 3414 RHS transmission can save approximately $5,340 in fuel costs per truck annually.

Which companies have adopted the Allison 3414 RHS for their fleets?

Two major wholesale food distributors have integrated the Allison 3414 RHS into their fleets, incorporating up to 500 vehicles in total.

What are the performance benefits of the Allison 3414 RHS transmission?

The 3414 RHS offers up to an 8% fuel economy improvement, faster acceleration, and enhanced maneuverability compared to previous models.

How does the Allison 3414 RHS support sustainability efforts?

The 3414 RHS transmission reduces fuel consumption and emissions, aligning with fleet sustainability initiatives.

ALLISON TRANSMISSION HOLDINGS, INC.

NYSE:ALSN

ALSN Rankings

ALSN Latest News

ALSN Stock Data

9.45B
86.05M
0.52%
99.59%
2.22%
Auto Parts
Motor Vehicle Parts & Accessories
Link
United States of America
Indianapolis