OSHKOSH, Wis. (Dec. 20, 2010) — Oshkosh Defense, a division of Oshkosh Corporation (NYSE:OSK), will deliver more than 40 additional MRAP All-Terrain Vehicle (M-ATV) variants for the U.S. Special Operations Command (SOCOM) as well as more than 130 spare-parts kits for the vehicle following orders from the U.S. Army TACOM Life Cycle Management Command (LCMC) awarded in November and December 2010. Oshkosh worked closely with SOCOM to design the Special Forces Vehicle (SFV) variant and meet the Special Operation Forces’ demanding operational requirements.
“We continue to answer the Warfighters’ needs in theater for the armored and highly mobile M-ATV, and we have flexibility at the design, production and sustainment levels to fully support the program,” said Ken Juergens, vice president and general manager of Joint Programs for Oshkosh Defense. “The SFV variant is part of the M-ATV family of vehicles, which we designed to support the most challenging tactical operations in rugged and mountainous off-road terrain.”
Oshkosh is delivering the spare-parts kits as part of its complete sustainment support of the M-ATV fleet. The company also has received orders to provide more than 330 field service representatives (FSR) to support the vehicles with onsite technical assistance, proper maintenance procedures, correctly identifying parts, and troubleshooting techniques and maintenance training for troops.
The M-ATV SFV features alterations specific to the needs of U.S. Special Forces, including a modified cargo deck, intended to accept specialized equipment based on each mission’s requirements, and larger front windscreens for increased visibility. Vehicle deliveries are scheduled to take place in May 2011, and deliveries of the spare parts are scheduled to begin in March 2011 and be completed in June 2011. The orders have a combined ceiling price of nearly $55 million.
In addition to the SFV, Oshkosh produces the M-ATV base and tactical ambulance variant for the U.S. military. Oshkosh has received awards to date for nearly 8,400 M-ATVs, including more than 460 SFV variants, as well as spare parts kits, upgrade kits and aftermarket support.
Oshkosh is continuing to explore new potential mission solutions for the M-ATV. The company has designed the M-ATV 2.5 Cargo vehicle to support resupply operations and the M-ATV Multi-Oshkosh Defense to Deliver Additional M-ATV Variants for U.S. Special Operations Forces Dec. 20, 2010 Mission Vehicle (MMV) to support reconnaissance, missile-carrier and command-and-control operations in unforgiving landscapes.
Photo caption: Oshkosh worked with SOCOM to design an M-ATV variant for U.S. Special Operation Forces missions. It has a modified cargo deck that can accept specialized equipment for varying missions and larger front windscreens for increased visibility.
About Oshkosh Defense Oshkosh Defense, a division of Oshkosh Corporation, is an industry-leading global designer and manufacturer of tactical military trucks and armored wheeled vehicles, delivering a full product line of conventional and hybrid vehicles, advanced armor options, proprietary suspensions and vehicles with payloads that can exceed 70 tons. Oshkosh Defense provides a global service and supply network including full life-cycle support and remanufacturing, and its vehicles are recognized the world over for superior performance, reliability and protection. For more information, visit oshkoshdefense.com.
About Oshkosh Corporation Oshkosh Corporation is a leading designer, manufacturer and marketer of a broad range of specialty access equipment, commercial, fire & emergency and military vehicles and vehicle bodies. Oshkosh Corporation manufactures, distributes and services products under the brands of Oshkosh®, JLG®, Pierce®, McNeilus®, Medtec®, Jerr-Dan®, Oshkosh Specialty Vehicles, Frontline™, SMIT™, CON-E-CO®, London® and IMT®. Oshkosh products are valued worldwide in businesses where high quality, superior performance, rugged reliability and long-term value are paramount. For more information, visit www.oshkoshcorporation.com.
®, ™ All brand names referred to in this news release are trademarks of Oshkosh Corporation or its subsidiary companies.
Forward-Looking Statements This press release contains statements that the Company believes to be “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact, including, without limitation, statements regarding the Company’s future financial position, business strategy, targets, projected sales, costs, earnings, capital expenditures, debt levels and cash flows, and plans and objectives of management for future operations, are forward-looking statements. When used in this press release, words such as “may,” “will,” “expect,” “intend,” “estimate,” “anticipate,” “believe,” “should,” “project” or “plan” or the negative thereof or variations thereon or similar terminology are generally intended to identify forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties, assumptions and other factors, some of which are beyond the Company’s control, which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These factors include the impact on revenues and margins of the projected decrease in M-ATV production rates; the cyclical nature of the Company’s access equipment, commercial and fire & emergency markets, especially during periods of global economic weakness and tight credit markets; the Company’s ability to produce vehicles under the FMTV contract at targeted margins; the duration of the ongoing global economic weakness, which could lead to additional impairment charges related to many of the Company’s intangible assets and/or a slower recovery in the Company’s cyclical businesses than equity market expectations; the expected level and timing of U.S. Department of Defense (DoD) procurement of products and services and funding thereof; risks related to reductions in government expenditures in light of U.S. defense budget pressures and an uncertain DoD tactical wheeled vehicle strategy; the potential for the U.S. government to competitively bid the Company’s Army and Marine Corps contracts; the Oshkosh Defense to Deliver Additional M-ATV Variants for U.S. Special Operations Forces Dec. 20, 2010 consequences of financial leverage associated with the JLG acquisition, which could limit the Company’s ability to pursue various opportunities; the potential for commodity and other raw material costs to rise sharply, particularly in a future economic recovery; risks related to the collectability of receivables, particularly for those businesses with exposure to construction markets; the cost of any warranty campaigns related to the Company’s products; risks related to costs and charges as a result of facilities consolidation and alignment; risks related to production delays arising from supplier quality or production issues; risks associated with international operations and sales, including foreign currency fluctuations and compliance with the Foreign Corrupt Practices Act; risks related to work stoppages and other labor matters; the potential for disruptions or cost overruns in the Company’s global enterprise system implementation; the potential for increased costs relating to compliance with changes in laws and regulations; and risks related to disruptions in the Company’s distribution networks. Additional information concerning these and other factors is contained in the Company’s filings with the Securities and Exchange Commission. All forward-looking statements speak only as of the date of this press release. The Company assumes no obligation, and disclaims any obligation, to update information contained in this press release. Investors should be aware that the Company may not update such information until the Company’s next quarterly earnings conference call, if at all.
