BUDAPEST, April 23 (Reuters) - Hungarian commercial vehicle manufacturer Raba Rt signed a five-year framework agreement with U.S. Marmon-Herrington Co, under which it would supply its own-developed axles to trucks of the U.S. firm, Raba said.
The deal is an extension of an existing cooperation between the two firms. The orders will ensure annual revenues of one billion forints ($4.73 million) to Raba for a further five years.
They will set the amount of products to be delivered and the price on an annual basis, Raba said in a statement.
Raba's overall sales dropped by 16.2 percent in 2003 to 31.67 billion forints and it made a loss of 7.25 billion forints. The company hopes to return to the black and increase sales by 30 percent this year.
At 1117 GMT Raba traded at 850 forints, up five forints.