International Truck and Engine Corp. and the leadership of the United Auto Workers union have reached tentative agreement on a new five-year labor agreement, it was announced Friday.

The agreement is subject to ratification by the UAW membership, which was to take place Sunday. No details were to be announced pending ratification.
International Truck and Engine is the operating company of Navistar International Corp. Negotiation towards new labor agreements began in late July in Louisville, Ky. The contract expired on Oct. 1 and was extended on a day-to-day basis until Oct. 22.
Robert C. Lannert, vice chairman and chief financial officer, said a number of factors will result in the company revising its fiscal 2002 fourth quarter earnings guidance to a loss of $1.05 to $1.10 a share from continuing operations. He said those factors include production slowdowns in both engine and truck, the inefficiencies of building medium trucks at both Escobedo and Springfield during the protracted negotiations, and the continued weakness of the Brazilian exchange rate.
The UAW represents about 7,100 employees in manufacturing plants in Indianapolis, Ind., Melrose Park, Ill. and Springfield, Ohio; parts distribution centers in Atlanta, Baltimore and Dallas and at the truck technical center in Fort Wayne, Ind.
Headquartered in Warrenville, Ill., International Truck and Engine Corp. is a leading producer of mid-range diesel engines, medium trucks, heavy trucks, severe service vehicles and a provider of parts and service sold under the International brand. IC Corp., a wholly owned subsidiary, produces school buses. The company also is a private label designer and manufacturer of diesel engines for the pickup truck, van and SUV markets. Additional information can be found on the company's web site at www.nav-international.com.