The rush to buy trucks before the EPA’s new 2007 limits on diesel engines explains, in large part, how heavy-duty truck leader Paccar motored to a record profit in 2006 on all-time high sales. But Paccar and CEO Mark Pigott deserve credit, too. The company’s custom-built Kenworth and Peterbilt trucks are a favorite among drivers, helping it begin 2007 with a $2.7 billion backlog. But with so many new rigs on the road, analysts expect profits to slide 26% in 2007, the first reversal since 2001. Profits could rise again by 2008: With the takeover of two European truckmakers, Paccar now sells more overseas than at home—and those markets are growing.
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|Industry||Construction & Farm Machinery & Heavy Trucks|