Cummins Exceeds EPA Climate Leaders Goal; Achieves 28 Percent Greenhouse Gas Reduction

COLUMBUS, IN--May 27, 2011: Cummins announced today that the company exceeded its 25 percent greenhouse gas (GHG) emissions reduction commitment upon completion of the U.S. Environmental Protection Agency's (EPA) Climate Leaders Program.

“They are proving that they can be both industry leaders, and leaders in the fight against climate change.”

Companies in the Climate Leaders Program complete a corporate-wide inventory of their GHG emissions based on a quality management system, set aggressive GHG emissions reduction goals, and report their progress annually to the EPA.

Cummins joined the program in 2006 and set the goal of a 25 percent reduction of GHG emissions per dollar revenue from 2005 to 2010. As of year-end 2010, the Company achieved a 28 percent reduction in GHG emissions.

“Cummins strongly believes in the business case for climate change actions,” said Dr. John Wall, Vice President and Chief Technical Officer. “It is good business, good for our business, and it is the right thing to do. Meeting our goal not only has been good for the environment, it saves Cummins more than $20 million dollars annually.”

“We have created a culture and structure for energy efficiency that is now part of how we do business,” said Ignacio Garcia, Vice President and Chief Manufacturing Officer. “Our global energy efficiency team has implemented nearly 300 energy efficiency capital projects across seven specific energy themes, with an average return on investment of 50 percent. In addition to implementing capital projects, we have trained a broad network of Energy Champions who coach and mentor site Energy Leaders to find and implement low and no-cost energy projects that also save money for their sites.”

The Company’s wide-ranging energy savings actions have included projects such as high-efficiency lighting upgrades, power management systems, energy efficient motors, pumps and fans, compressed air optimization, heating and cooling equipment upgrades, and energy recovery from engine test cells. Energy efficiency is also incorporated in Cummins’global environmental management system, implemented at 69 sites around the world and the key mechanism for driving environmental improvements at Cummins facilities.

“We congratulate Cummins for meeting their goal to reduce greenhouse gas emissions through the Climate Leaders Program,” said Beth Craig, EPA's Acting Director of the Office of Atmospheric Programs. "They are proving that they can be both industry leaders, and leaders in the fight against climate change.”

About Cummins

Cummins Inc., a global power leader, is a corporation of complementary business units that design, manufacture, distribute and service engines and related technologies, including fuel systems, controls, air handling, filtration, emission solutions and electrical power generation systems. Headquartered in Columbus, Indiana, (USA) Cummins employs approximately 40,000 people worldwide and serves customers in approximately 190 countries and territories through a network of more than 600 company-owned and independent distributor locations and approximately 6,000 dealer locations. Cummins earned $1.0 billion on sales of $13.2 billion in 2010.