U.S. Army Orders Oshkosh FMTVs
Oshkosh provides the U.S. Army record-setting quality while delivering significant cost savings
OSHKOSH, Wis. (Dec. 18, 2014) — Oshkosh Defense, LLC, an Oshkosh Corporation (NYSE: OSK) company, will produce 256 Family of Medium Tactical Vehicles (FMTV) trucks and trailers for the U.S. Army following a $67 million order from the U.S. Army TACOM Life Cycle Management Command (LCMC). Deliveries will occur from 2015 to 2016.
“The Oshkosh FMTV program exemplifies the quality and value that we provide to our military customers,” said John Bryant, senior vice president of defense programs at Oshkosh Defense. “Since the day Oshkosh was awarded the FMTV program, we’ve applied our vehicle expertise and operational efficiency to dramatically improve quality – all while saving U.S. taxpayers more than $2 billion. Today’s Oshkosh-produced FMTVs are supporting soldiers in operations around the world with the more reliable equipment they deserve.”
Oshkosh began producing FMTVs for the U.S. Army in 2010. Since then, Oshkosh has delivered more than 22,000 trucks and 11,000 trailers. In 2012, amidst the sharp ramp up of monthly deliveries, the U.S. Department of Defense recognized Oshkosh with the 2013 Value Engineering Achievement Award. Oshkosh earned the award in the “Contractor” category for significantly improving product quality and reliability, as well as reducing product and life cycle costs.
The FMTV program supports the U.S. Army and National Guard at home and abroad in tactical and combat operations, relief efforts, and unit resupply missions. The vehicles feature crew-protecting armor and advanced technologies to provide the capability, versatility, mobility and protection to move troops and supplies, recover vehicles and weapon systems, or haul equipment wherever the mission requires. The FMTV is a series of 17 models and 23 configurations ranging from 2.5-ton to 10-ton payloads. Vehicles have a parts commonality of more than 80 percent, resulting in streamlined maintenance, training, sustainment and overall cost efficiency.
About Oshkosh Defense
Oshkosh Defense is a leading provider of tactical wheeled vehicles and life cycle sustainment services. For decades Oshkosh has been mobilizing military and security forces around the globe by offering a full portfolio of heavy, medium, light and highly protected military vehicles to support our customers’ missions. In addition, Oshkosh offers advanced technologies and vehicle components such as TAK-4® independent suspension systems, TerraMax® unmanned ground vehicle solutions, Command Zone™ integrated control and diagnostics system, and ProPulse® diesel electric and on-board vehicle power solutions, to provide our customers with a technical edge as they fulfill their missions. Every Oshkosh vehicle is backed by a team of defense industry experts and complete range of sustainment and training services to optimize fleet readiness and performance. Oshkosh Defense, LLC is an Oshkosh Corporation company [NYSE: OSK].
To learn more about Oshkosh Defense, please visit us at www.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®, Jerr-Dan®, Frontline™, 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, please visit www.oshkoshcorporation.com.
®, TM All brand names referred to in this news release are trademarks of Oshkosh Corporation or its subsidiary companies.
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 cyclical nature of the Company’s access equipment, commercial and fire & emergency markets, which are particularly impacted by the strength of U.S. and European economies; the strength of emerging market growth and projected adoption rates of work at height machinery; the expected level and timing of DoD and international defense customer procurement of products and services and funding thereof; risks related to reductions in government expenditures in light of U.S. defense budget pressures, sequestration and an uncertain DoD tactical wheeled vehicle strategy, including the Company’s ability to successfully manage the cost reductions required as a result of lower customer orders in the defense segment; the Company’s ability to win a U.S. JLTV production contract award and international defense contract awards; the Company’s ability to increase prices to raise margins or offset higher input costs; increasing commodity and other raw material costs, particularly in a sustained economic recovery; risks related to facilities consolidation and alignment, including the amounts of related costs and charges and that anticipated cost savings may not be achieved; global economic uncertainty, 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 Company or equity market expectations; 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 production or shipment delays arising from quality or production issues; risks associated with international operations and sales, including foreign currency fluctuations and compliance with the Foreign Corrupt Practices Act; the Company’s ability to comply with complex laws and regulations applicable to U.S. government contractors; the impact of severe weather or natural disasters that may affect the Company, its suppliers or its customers; cyber security risks and costs of defending against, mitigating and responding to a data security breach; and risks related to the Company’s ability to successfully execute on its strategic road map and meet its long-term financial goals. 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.
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