Case IH-Hesston Announce Joint Venture
RACINE, WISCONSIN J I
Case Company of Racine, Wis
consin, and Hesston Corporation
of Hesston, Kansas, announced
today that they have agreed in prin
ciple to form a joint venture to
manufacture hay and forage equip
ment at the Hesston Corporation
facilities in Hesston, Kansas.
The joint venture, which will be
owned equally by the two compa
nies, will substantially increase the
Coke By-Product Is Good Feed
When the price is right, a mill
ing industry byproduct used to pro
duce a soft drink sweetner is much
better than com as cattle feed.
The byproduct, corn gluten
feed, helps cows eat more, digest
better and produce more meat,
Missouri Scientists told the annual
meeting of the American Society
of Animal Science.
“Com gluten feed increases the
cellulytic bacteria in the rumen,”
explained Scott Hannah, “Those
bacteria break down the cell walls
in forage and increase the rate of
digestion.
“Com, on the other hand,
increases the lactic acid-forming
bacteria. Those bacteria actually
slow digestion by producing acid
detrimental to cellulytic bacteria.”
In his studies, Hannah said, the
best ration for cattle was one in
which com gluten made up 40 per-
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utilization of manufacturing
capacity at the Hesston, Kansas
location. Chief executive officers
of both companies stated the for
mation of the joint venture is a sig
nificant step toward supplying the
farm equipment markets for hay
and forage in North America with
high quality, state-of-the-art
machinery.
Case IH, a worldwide manufac
turer and marketer of agricultural
and construction equipment, is a
cent of the ration. The rest of the
cattle diet was alfalfa haylage.
Com gluten is the product that
remains after corn syrup is
extracted for Coke and other soft
drinks.
John Paterson, UMC animal sci
entist who worked with Hannah on
his com gluten study, said com
normally has more energy than
com gluten.
‘There’s no doubt in my mind
that cattle producers should feed
com gluten when the price is
right,” Paterson said.
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subsidiary of Tenneco Inc., Hous
ton. Hesston Corporation is one of
a group of companies owned by
Fiat Trattori, S.p. A. of Torino, Ita
ly, which manufactures and mark
ets farm equipment products worl
dwide under the name Fiatagri.
Formation of the partnership is
subject to the completion of docu
ments by the parties, and its manu
facturing operations are expected
to commence in the fourth quarter
“Com has 9 percent protein;
com gluten, 20 percent If you’re
getting the same energy values
from both products, you’re getting
the extra protein for free when
you’re using the com gluten.”
Hannah said com gluten had
also improved digestibility of
timothy and other forages besides
alfalfa haylage.
“In our studies with timothy, we
found that a mixture of com and
urea depressed digestibility by 13
percent, while com gluten depress
ed digestibility only 4 percent,”
Hannah said.
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of this year.
Jerome K. Green, president and
chief executive officer of Case IH,
and Mario Chessa, president and
chief executive officer of Hesston,
said that the two companies would
share equally the estimated $4O
million initial investment required
for the new venture, which will
consist primarily of the existing
manufacturing facility and related
equipment and offices of Hesston
located in Hesston, Kansas.
Case IH and Hesston will each
sell equipment manufactured by
the venture which will be marketed
separately by each partner under
its own brand name through its
own distribution system.
Green said, “This joint venture
offers Case IH an excellent oppor
tunity to broaden its product line
and improve its product distribu
tion. Hesston has a reputation for
high quality and Case IH dealers
will now be able to market these
high quality products under the
Case IH name.”
Mario Chessa emphasized that
Hesston’s position in the North
American farm equipment markets
will be significantly enhanced by
storage now
in your future
I"lllll“l]'i illlllUl'li Jill |||tl!ll| l l|"l|i| 1 |
"'I 1 h „i|,||||l{
""tiSiilii
R.D. #1 Mountain Road, Dillsburg, Pa. 1701
the formation of the joint venture.
“The formation of the joint venture
between Case IH and Hesston will
strengthen the Hesston product
line in the marketplace. It reaf
firms the high quality and
advanced nature of the line and
guarantees its continuity to our
dealers.”
Hesston currently employs
approximately 785 people in its
manufacturing and related activi
ties at its facilities in Kansas.
Headquartered in Houston, Ten
neco Inc. is a diversified company
with major business interests in
oil, natural gas pipelines, agricul
tural and construction equipment,
shipbuilding, automotive parts,
chemicals, packaging, agriculture
and land management.
Fiat Trattori is a wholly-owned
Italian subsidiary of Fiat S.p.A. of
Torino, Italy, which is engaged in
various manufacturing and service
sectors including automobiles,
commercial vehicles, farm and
construction equipment, metallur
gical products, civil engineering,
aircraft engines, rail cars, diesel
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