Torotrak PLC Regulatory News (TRK)

22 Mar 2007 11:51

Torotrak PLC22 March 2007 22 March 2007 TOROTRAK PLC ("TOROTRAK" OR "THE COMPANY") Torotrak announces commencement of pilot build at Infinitrak and Infinitrak's first product - the Twin Toroidal Transmission (TTT) Torotrak announces that Infinitrak, the Company's 50:50 joint venture companywith MTD Holdings Inc (MTD), has commenced pilot build of Infinitely VariableTransmissions (IVTs) on its production facilities in Leitchfield, Kentucky. Thisrepresents the first phase of production of Infinitrak's initial product, theTTT, which incorporates Torotrak's patented transmission technology. These first series built IVTs are being manufactured by Infintrak for sale toMTD, a major player in the global Outdoor Power Equipement (OPE) sector. Theinitial application will be in MTD's range of ride-on mowers, where MTD enjoys asubstantial share of the North American market of 1.9 million units per year. The plan for the first year of production, starting from today, remainsunchanged - to deliver our previously announced sales and production targets. The initial build rate of TTTs in the Leitchfield facility during this firstphase of production will be at controlled levels in line with MTD's requirementfor further batches of IVTs to support their final production vehicle testingand limited release to specific markets. The second phase of production,anticipated in the second half of this calendar year, will see an acceleratedbuild rate. This stepped approach to production build-up is consistent with the objectiveTorotrak shares with MTD of achieving a volume launch of their new TTT equippedride-on mower during this year to satisfy anticipated high volume demand for the2008 mowing season. The financial impact of this for Torotrak will be seen inthe second half of its financial year ending 31st March 2008. Commercial launch of MTD's first vehicle to incorporate the TTT, the new CubCadet i1000 lawn tractor, will follow later this year showcasing the ability ofthe TTT to provide a very controllable, smooth and refined driving experience ata highly competitive cost. The Cub Cadet i1000 will feature the TTT linked to the lawnmower's steeringsystem. The combination of the TTT and the innovative steering system will allowthe Cub Cadet i1000 to turn within its own vehicle length - bringing significantbenefits to the consumer in terms of manoeuverability and time saved whenmowing. Dick Elsy, CEO of Torotrak, said: "The first IVTs to be produced on Infinitrak'smanufacturing facilities at Leitchfiled, Kentucky mark a major milestone. Forour JV partners MTD, it represents the first stage of a stepped approach tovolume launch of IVT in their lawn tractors and other OPE products. For Torotrakit represents a highly significant step in the commercial development of ourbusiness." -ends- For further information: Dick Elsy, Chief Executive Simon HudsonJames Batchelor, Commercial Director Lulu BridgesTorotrak Plc Tavistock CommunicationsTel: +44 1772 900938 Tel: +44 20 7920 3150 www.torotrak.com About TorotrakTorotrak is the world leader in full-toroidal traction-drive transmissiontechnology, focused on the development of IVT (Infinitely Variable Transmission)and TCVT (Toroidal Continuously Variable Transmission) systems which deliveroutstanding levels of performance, functionality and commercial advantage inautomotive, truck, bus, outdoor power equipment, agricultural and off-highwayapplications. This information is provided by RNS The company news service from the London Stock Exchange