New Holland - Case Proposed Merger Approved by European Commission

Amsterdam, Netherlands (PROTEXT) - The following was issuedtoday by New Holland: "The announcement today by the European Commission is a majorstep toward completion of the merger between Case and NewHolland. The competitive concerns expressed by the EuropeanCommission have been addressed by our proposed remedies withoutcompromising the tremendous potential this merger holds for ourcustomers. On a pro forma basis, the impact of the proposedremedies on combined 1998 revenue would have been approximately3%. "We will continue to provide Case and New Holland customersaround the world with products and services that maximize theirproductivity. By our business approach, we will preserve customerchoice through the retention of the brands and correspondingdistribution networks of both organizations. "We are excited about the prospects for the merger. Ourproduct lines, geographic sales distribution and business mix arecomplementary on a global basis. Together, the two companies willcreate a new organization that has numerous opportunities inmarkets around the world." -- Joint Statement by Jean-Pierre Rosso, Chairman and CEO ofCase Corporation (NYSE: CSE), and Umberto Quadrino, Chairman andCEO of New Holland N.V. (NYSE: NH) Notes: In approving the merger, the European Commissionidentified certain concerns related to the parties combinedposition in certain product lines and markets. The parties haveaddressed these concerns and have committed to a number ofactions including four divestments: * Divestiture of the Case CX and MXc product lines and theDoncaster, United Kingdom, plant in which they are assembled. * Divestiture of the New Holland Laverda combine harvesterproduct line (excluding hillside models) and the Breganze, Italy,facility in which they are made * Divestiture of the Case large square balers assembled inNeustadt, Germany. * Divestiture of the Case Fermec brand backhoe loader andindustrial tractor product lines and the Fermec manufacturingplant in Manchester, United Kingdom. In addition, to address specific market issues in Austria, theparties have agreed to license or build the Steyr model M-948 andM-958 (and equivalent Case IH models) for sale by a third party. Discussions between the companies and the U.S. Department ofJustice are ongoing. Approval is required in order to completethe transaction. New Holland is a world leader in the design and manufacture ofa full line of agricultural and construction equipment, andoffers a rapidly expanding line of financial services in many ofits markets. The Company and its joint venture partners operatein 160 countries through a network of approximately 6,100 dealersand distributors. Case Corporation is a leading worldwide designer, manufacturerand distributor of agricultural and construction equipment, andoffers a broad array of financial products and services.Headquartered in Racine, Wisconsin, Case had 1998 revenues of$6.1 billion and sells its products in 150 countries through anetwork of approximately 4,900 independent dealers. ots OriginalText Service: New Holland Internet: http://www.newsaktuell.deContact: Media Relations - Jeffrey Walsh of New Holland +44-181-479-8809, or fax, +44-181-479-8626, or jwalsh@newholland.com

Subscribers please note that material bearing the slug"PROTEXT" is not part of CTK's news service and is not to bepublished under the "CTK" slug. Protext is a commercial serviceproviding distribution of press releases from clients, who areidentified in the text of Protext reports and who bear fullresponsibility for their contents.

PROTEXT