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Mar 26 2008 PETERBILT ANNOUNCES FULL PRODUCTION OF MEDIUM DUTY HYBRID ELECTRIC VEHICLES

LOUISVILLE, Kentucky (March 26, 2008) – Peterbilt Motors Company announced plans for full production of its Model 330 and Model 335 medium duty hybrid vehicles during its press conference at the 2008 Mid-America Trucking Show. The vehicles will be in full production at its manufacturing facility in Ste. Therese, Quebec, Canada in summer 2008.

Both the Peterbilt Model 330 and Model 335 Hybrid Electric vehicles feature the Eaton Hybrid Power system and provide customers with impressive fuel savings benefits. The Model 330 utilizes components that provide up to a 30 percent improvement in fuel economy in an urban driving cycle. The Model 335 Hybrid Electric utilizes these same components to provide up to a 60 percent improvement in overall fuel efficiency, when configured for utility applications. The Model 330 Hybrid Electric can be configured for non-CDL operation with hydraulic brakes for a greater range of driver options.

Additionally, the Model 330 and Model 335 hybrids are eligible to receive tax credits from the United States Federal Government as certified by the Department of Treasury’s Heavy Manufacturing and Transportation Group. The maximum $12,000 credit for Class 7 hybrids is available for the Model 335 Hybrid Electric in both utility-boom and pickup and delivery applications. A $6,000 credit, the maximum for Class 6 hybrids, is available for the Model 330 Class 6 Hybrid Electric.

“With higher fuel costs and growing concerns with the global carbon footprint, Peterbilt is at the forefront in the development of green technologies that help the environment by providing greater fuel savings and reducing emissions,” says Bill Jackson, Peterbilt General Manager and PACCAR Vice President. “Our medium duty hybrid vehicles have been proven in testing across North America to demonstrate impressive fuel efficiency improvements.”

Medium Duty Hybrid Electric Vehicles

Both trucks use a parallel hybrid system with an electric motor that assists the diesel engine with supplemental torque for improved fuel economy. The system stores energy during stopping through a process called regenerative braking, and then reuses it to launch and accelerate the vehicle.

The Class 6 Model 330 is powered by the PACCAR PX-6 engine rated at 260 horsepower and 620 ft-lbs of torque. With the hybrid system engaged, horsepower increases to 300 and torque is limited to 860 ft-lbs. This configuration is ideal for stop-and-go use, such as urban pickup and delivery, resulting in up to a 30 percent fuel savings.

Peterbilt’s Class 7 Model 335 uses the hybrid electric system for both on-road driving and stationary PTO applications. Also powered by the PACCAR PX-6 engine, it uses the system’s lithium-ion batteries to electrically operate the PTO. During bucket operation, the engine needs to run only about 1/6th of the time, versus non-hybrid vehicles. The engine then automatically starts to recharge the batteries, which takes approximately 4.5 minutes, and then shuts off. Fuel use, emissions and noise are greatly reduced when used in municipal and utility applications.

Maintenance requirements are also reduced from the regeneration reducing brake wear, as well as less wear and tear on the engine.

Peterbilt Motors Company, a division of PACCAR Inc (Nasdaq: PCAR), manufactures premium quality trucks for a wide range of markets, including over-the-road, construction, municipal and medium duty. Based in Denton, Texas, Peterbilt combines classic styling, innovative design and superior-quality features in a custom-engineered truck that stands as the "Class" of the industry. Through its 240-plus North American dealer locations, Peterbilt also provides a comprehensive array of TruckCare® aftermarket support programs, including preventive maintenance plans, expedited QuickCare services, automated parts inventory replenishment and 24/7 complimentary Customer Assistance through 1-800-4-PETERBILT. For more information about Peterbilt, visit http://www.peterbilt.com.