CHANGE OF CORE ACCEPTANCE FOR 3406 ENGINES Caterpillar

  September 2000

CHANGE OF CORE ACCEPTANCE FOR 3406 ENGINES

Program

AVSpare Remanufactured Products announces a change to the core acceptance guidelines for 3406 engines, which supersedes IRM REM00-28A. Effective October 1, 2000, when a 3406 engine is ordered and an older model 3406 is returned as core, the core engine will be subject to an upgrade charge per the following matrix:

Upgrade Charges
 

An Upgrade Charge will not be assessed in a situation where a Damaged Core Charge is applicable. Normal core deposit transactions will apply.

Example:
If a 3406C engine is purchased and a full credit 3406B core is returned, the $542 upgrade charge is assessed on the 3406B core. However, if the returned 3406B core is damaged and qualifies for only partial credit, normal core refund transactions will be processed and the Damaged Core Charge will supersede the Upgrade Charge.

Like Damaged Core Charges, Upgrade Charges represent the replacement value of parts required to build a product when components from the returned core cannot be used. Upgrade charges help to maintain a viable remanufacturing program that provides high quality and readily available products for the customer. In turn, the customer enjoys the performance, economy, and many other benefits of AVSpare engines that incorporate the latest critical engineering changes applicable.

Core Management/Returns

In addition to the normal AVSpare Core Management Information System (CMIS) electronic transaction, dealers are required to submit a paper copy of the Core Credit Request (CCR) Packing List (AVSpare form no. 01-089514-00) with the returned core engine. This paper copy must contain the serial numbers of both the engine sold and core engine returned. The form must be included for all engines sold on or after June 15, 2000.

The engine serial number information is critical to ensure proper credit is granted and so must be clearly identifiable. The serial number of the sold engine should be written into the CCR form space designated "PART SERIAL NUMBER A" and the serial number of the core engine should be written into the CCR form space designated "PART SERIAL NUMBER B". Refer to the Serial Number Index (SEBF9451) for engine serial number information.

Please refer to the AVSpare Core Management Information System (CMIS) entitlement parts inquiry screen describing the list of parts in a Core Acceptability Family (CAF) and related part number detail. This information is available at all North American Commercial Division AVSpare Dealerships. Also, refer to the Reman Products Guide section called "Operations & Core Management" for complete information concerning Reman Policies and Core Management
(SELD0122-05), Core Management Systems & Operations Procedures (SELD0040-07), and Shipping Instructions (SELD0039-04).

If you have questions regarding core management and returns, feel free to call the Reman Core Administration toll free at (800) 537-2928. For assistance with technical questions, call the Reman Customer Satisfaction Hot Line also toll free at (888) 88-REMAN or use our E-mail address--REMANHE.