Cummins Turbo Technologies Expands Capacity with New Charleston Manufacturing Facility.

CHARLESTON, S.C. -- Cummins Turbo Technologies, formerly known as Holset Turbochargers, officially opened its newest manufacturing plant in Charleston today. The business, a division of Columbus, Ind.-based Cummins Inc. (NYSE:CMI) is headquartered in Huddersfield, England, and is one of the world's largest manufacturers of turbochargers for diesel engines.

The new 110,000-square-foot plant will produce turbochargers for heavy-duty engines and will complement the Company's existing manufacturing facility in Charleston. The new plant, built at a cost of approximately $13 million, is expected to eventually employ about 180 workers and produce 200,000 turbochargers a year.

Cummins Inc. Chairman and Chief Executive Officer Tim Solso, and Paul Ibbotson, Managing Director of Cummins Turbo Technologies, were among the Cummins leaders on hand to officially open the plant, which produced its first turbocharger on June 30.

"The turbocharger business is an important part of the success of Cummins, and we're pleased to be able to build on the good work being done at Cummins Turbo Technologies with this expansion," Solso said. "This state-of-the-art facility will allow us to further leverage the Holset product name and grow our business in markets around the world."

Ibbotson said the Company considered a number of locations - both in the U.S. and internationally - for the new plant before settling on Charleston, where Cummins has had operations since 1989. The new plant is only 14 miles from the Company's existing turbocharger plant and the two facilities are expected to work closely together in the future.

"Two factors were instrumental in this decision: A competitive incentive package and a strong base of existing resources in the region," Ibbotson said. "The Charleston area offers a good quality of life for our workers, and both the city and the state have shown that they value having Cummins as an employer."

He also noted that the Company's strong ties to the Charleston community enabled Cummins Turbo Technologies to open the factory more quickly and at a lower cost than in other locations.

The new facility brings Cummins Turbo Technologies' number of worldwide manufacturing locations to six, and builds on its existing presence in the U.S., Brazil, the United Kingdom, and its Asian joint ventures in China and India.

In addition to members of the Cummins leadership team, the opening was attended by North Charleston Mayor Keith Summey and members of both the Charleston Regional Development Alliance and the Charleston County Economic Development Committee.

About Cummins Turbo Technologies

Cummins Turbo Technologies is the world's largest manufacturer of turbochargers for the medium-heavy duty diesel engines market and has a reputation for bringing innovative solutions to the specific product requirements of this key market sector. Its Holset brand is the best known in the industry. The company's manufacturing plants located in Europe, North and South America with joint ventures in China and India to ensure support for engine and vehicle makers across the world. For further information visit Cummins Turbo Technologies website at www.cummins.com/turbos

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 serves customers in more than 160 countries through its network of 550 Company-owned and independent distributor facilities and more than 5,000 dealer locations. Cummins reported net income of $550 million on sales of $9.9 billion in 2005. Press releases can be found on the Web at www.cummins.com.

Forward-looking disclosure statement

Information provided and statements in this release that are not purely historical are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the company's expectations, hopes, beliefs and intentions on strategies regarding the future. It is important to note that the company's actual future results could differ materially from those projected in such forward-looking statements because of a number of factors, including, but not limited to, general economic, business and financing conditions, labor relations, governmental action, competitor pricing activity, expense volatility and other risks detailed from time to time in Cummins Securities and Exchange Commission filings.