OSHKOSH, Wis., May 20, 2008 — Oshkosh Defense, a division of Oshkosh Corporation (NYSE:OSK), announced today the signing of two memorandums of understanding relating to aftermarket support of the Joint Light Tactical Vehicle (JLTV) program. Oshkosh signed a memorandum of understanding with the Red River Army Depot (RRAD) on March 25, and the Marine Corps Logistics Base (MCLB), Albany on April 1. Oshkosh Defense solidified the arrangements with the military at a ceremony on May 9 at the RRAD, near Texarkana, Texas.
While the U.S. Department of Defense (DoD) has not yet awarded Technology Development (TD) phase contracts, these arrangements help establish a framework for the Army and Marine Corps to better service, upgrade and repair the new JLTV family of vehicles.
Northrop Grumman Corporation and Oshkosh Corporation, which teamed to compete for the JLTV program, submitted its proposal in April for the 27-month TD phase. The service depot arrangements will only go into effect if the team receives one of at least three contracts anticipated to be awarded in late June.
The arrangements will open the door for the Army and Marine Corps to develop depot-level maintenance support capabilities for the JLTV family of vehicles. Specific roles and responsibilities are flexible and would be defined after a JLTV production contract is awarded.
“These cooperative efforts between Oshkosh and the military help lay the groundwork for our long-term service and support plans for the JLTV program,” said John Stoddart, executive vice president and president, Defense, Oshkosh Corporation. “The Northrop Grumman-Oshkosh team encourages mutual leveraging of investments to achieve lower lifecycle costs, greater efficiencies and increased value for soldiers and Marines.”
Oshkosh Defense already has contracts with both the RRAD and the MCLB for existing Oshkosh vehicles. The RRAD repairs, rebuilds and converts the Army’s workhorse – Oshkosh’s Heavy Expanded Mobility Tactical Truck (HEMTT) – in addition to providing other equipment and system maintenance. The MCLB in Albany, Ga., procures, maintains, repairs and rebuilds Marine Corps vehicles and equipment, and is currently under contract for the Oshkosh Logistics Vehicle System (LVS).
The JLTV family of vehicles will replace the current fleet of light tactical trucks and will be capable of performing a full range of military missions. It is envisioned to be stronger and more survivable than other vehicles in its class, and to be more mobile and maneuverable than the Mine-Resistant Ambush-Protected vehicle, or MRAP, now being deployed in Iraq.
Northrop Grumman and Oshkosh Corporation announced their team for the JLTV program on Jan. 8. If selected, Northrop Grumman’s Mission Systems sector will be the prime contractor and systems integrator. Oshkosh Corporation’s Defense group will be responsible for designing, engineering and manufacturing the vehicle, including the armor system.
Northrop Grumman integrates a broad spectrum of critical joint combat and C4ISR platforms, including serving as the prime contractor for the Army’s Command Post Platform, Force XXI Battle Command Brigade and Below (FBCB2)/Blue Force Tracking (BFT), and Command and Control Personal Computer (C2PC) programs.
Oshkosh Defense has nine decades of proven experience developing advanced automotive systems, on/off road capabilities, extreme-duty vehicle platforms, military vehicles and integrated armor solutions. Oshkosh has advanced on-board vehicle power capabilities on two prototype vehicles: the Marine Corps’ Medium Tactical Vehicle Replacement (MTVR) and the U.S. Army’s HEMTT.
Oshkosh Defense, a division of Oshkosh Corp. leads the way in military trucks and armored wheeled vehicles. Since 1917, Oshkosh has continuously developed new products and technologies that make military jobs easier, safer and more efficient. Oshkosh Defense’s comprehensive product lines are recognized for superior performance and reliability, particularly in off-road environments. For more information, visit http://oshkoshdefense.com.
About Oshkosh Corp.
Oshkosh Corp. 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 Corp. manufactures, distributes and services products under the brands of Oshkosh®, JLG®, Pierce®, McNeilus®, Medtec®, Jerr-Dan®, BAI®, Oshkosh Specialty Vehicles, Frontline™, SMIT™, Geesink™, Norba™, Kiggen™, 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, log on to www.oshkoshcorporation.com.
Forward-Looking Statements
This press release contains statements that the Company believes are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact, including statements regarding the Company’s future financial position, business strategy, targets, projected sales, costs, earnings, capital spending and debt levels, and plans and objectives of management for future operations, are forward-looking statements. When used in this press release, words such as “expects,” “intends,” “estimates,” “anticipates,” or “believes” and similar expressions 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 that 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, especially during a recession, which many believe the U.S. economy has already entered; risks related to reductions in government expenditures and the uncertainty of government contracts; and the Company’s ability to turnaround its Geesink Norba Group business. Additional information concerning these and other factors is contained in the Company’s filings with the Securities and Exchange Commission.
# # #
