50,000th Chassis Marks Workhorse's Success.

Business Editors and Automotive Writers

UNION CITY, Ind.--(BUSINESS WIRE)--Sept. 13, 2002

Workhorse Custom Chassis produced its 50,000th chassis this week, three and a half years after the company acquired the rights to General Motors' entire P-Chassis production line for motor homes, buses and walk-in trucks. This milestone marks the maturation and success of a new company determined to make a difference.

"Our strategy was to add value by being 100 percent focused on underserved niche markets," said Chairman and CEO Andrew Taitz. Workhorse officially purchased the GM product line in January 1999 and by the end of that February was producing chassis at its new 209,000-square-foot operation in Union City.

50,000 chassis and a number of market-altering innovations later, Workhorse is a market leader for Class A gasoline motor home chassis and is making inroads into new markets with its integrated approach to walk-in truck manufacturing.

"We've had a significant impact on the markets we serve," said Workhorse President Tom Frey. "Our improvements to the General Motors P Series product have given the RV customer more power with better ride and handling. Then our all-new heavy-duty W Series chassis firmly established our "value - performance" position, meeting the demand for bigger, more powerful units. We simply listened to what RV customers wanted and responded with the products they demanded. Now, when potential buyers look at a Class A motor home, they're asking if it's built on a Workhorse."

Workhorse hasn't stopped innovating. Recently Workhorse introduced another all-new chassis, this one for diesel-powered motor homes, called the R Series. The R Series now positions Workhorse to compete in an additional 40 percent of the motor home market. It also positions Workhorse as the only chassis manufacturer to provide products for the total Class A motor home market.

Similarly, Workhorse has met customer demand by improving the performance of GM's commercial chassis for walk-in trucks with several new choices, such as the recent introduction of a new Cummins diesel engine and a heavier 19,500 lb. GVWR gasoline chassis. "Most significantly, we have changed the way that walk-ins are sold," said Tim Logsdon, vice president of commercial marketing. "By working with our sister company, Union City Body Company, Workhorse can make complete, integrated vehicles and market them under our own badge. Rather than ordering from separate chassis and body manufacturers, businesses can now more easily obtain Workhorse walk-in trucks right off the dealer lot, or through a one-order process in less than half the standard timeframe for the industry."

Customized interiors for specific vocations can also be handled on the same order. "Custom fitting a walk-in truck for specific needs has never been simpler," said Logsdon. "Whether you manage a big fleet or a one-truck business, we've made it easy to get the most of your walk-in."

"This 50,000 unit milestone is a tribute to the vision of Andrew Taitz and the hard work of our employees," said Frey. "We've succeeded because we made the commitment early on to give customers the best value and best service possible."

Among other things, Workhorse committed to, and developed, the largest engineering team of any strip chassis manufacturer. It also committed to, and developed, an extensive service network that now includes more than 550 motor home service facilities and more than 480 walk-in truck service and sales locations across the United States and Canada. It also changed the paradigm of RV service by creating the convenience of many "one-stop shops" where chassis warranty service can be performed at the same place as coach service. The largest field service team of any strip chassis manufacturer also supports Workhorse's service and sales networks.

"We've done what we said we would do," said Frey. "But most gratifying is that we've built a reputation for responsiveness and a willingness to go `the extra mile' for the customer. That reputation is built on the `extra miles' our employees have given us, for which we're very grateful." Workhorse employs more than 500 people, most of them at its Union City facility.

Frey concluded, "50,000 chassis gives us a chance to pause and reflect. But we won't pause too long. More product offerings are on the horizon, and we expect to continue our market leadership for years to come."

Specializing in the manufacture of chassis for motor homes, walk-in trucks and buses, as well as integrated walk-in trucks, Workhorse Custom Chassis is ISO 9001 certified and considered a leader in the motor home and walk-in truck industries. Its manufacturing facility is in Union City, Ind., and its corporate headquarters are in Highland Park, Ill. For more information call toll-free 877-294-6773 or visit www.workhorse.com.