Stock Symbol: NAV

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Business Description
Navistar International Corporation is a holding company that, through its principal operating subsidiary, International Truck and Engine Corporation, operates in three principal industry segments: truck, engine and financial services. The truck segment is engaged in the manufacture and marketing of Class Five through Eight trucks, including school buses, and operates primarily in the United States, Canada, Mexico and other selected export markets. The engine segment is engaged in the design and manufacture of mid-range diesel engines and primarily operates in the United States and Brazil. The financial services segment, which includes Navistar Financial Corporation (NFC) and the Company's foreign finance subsidiaries, provides wholesale, retail and lease financing for sales of trucks sold by the Company and its dealers in the United States and Mexico. The financial services segment operates in the United States, Mexico and Bermuda.

Financial Information
For the nine months ended 7/31/04, sales rose 23% to $6.55 billion. Net income from continuing operations totaled $88 million vs. a loss of $91 million. Revenues reflect higher sales of manufactured products. Net income reflects lower postretirement benefits and interest expenses.