Oshkosh Corp. has replaced Humvee in the light trucks department for the U.S. Army and Marine Corps. The Pentagon announced on Tuesday that it was awarded a $6.7 billion contract to the company, allowing it to produce 55,000 light trucks for the U.S. military.
Oshkosh beat out Lockheed Martin Corp. and AM General LLC to build thousands of Joint Light Tactical Vehicles.
The three companies emerged from a pack that included Navistar International Corp., General Dynamics Corp. and Ford Motor Co. for what has been billed by analysts as the Army’s most important acquisition program in years.
Oshkosh watched its defense sales slide 60% in the latest quarter from a year ago as the Pentagon slowed buys of heavier military vehicles. Rumors quickly began to swirl that Oshkosh might split off its various businesses to make up for the losses, a rumor the company denied.