Oshkosh gets $1.06 billion contract from the Army for new MRAPs for Afghanistan

Oshkosh gets $1.06B for new MRAPs in Afghanistan

WASHINGTON — Vehicle maker Oshkosh Corp. received a $1.06 billion contract from the Pentagon to build an additional 1,700 off-road terrain vehicles to outfit ground forces in Afghanistan, the Pentagon said late Friday.

The Oshkosh, Wis.-based company was expected to receive a sizable order in July, after being selected by the Defense Department last month as the primary maker of the new vehicles.

In after-hours trading, the company stock added 11 cents to $27.56. Oshkosh added $1.14, or 4.3 percent, to close the regular session at $27.45.

The military has said it needs a hybrid armored vehicle to provide the same type of protection as mine-resistant, ambush-protected vehicles that have been used in Iraq. But it must be far more agile, lighter and provide increased maneuverability to handle Afghanistan’s rocky terrain.

The Defense Department has previously said it could buy between 2,080 and 10,000 of the so-called MRAP-All Terrain Vehicles for use by the Army and Marine Corps.

In late June, Oshkosh beat out three teams for a $1.06 billion deal to build 2,244 vehicles. Those teams included: BAE Systems, the U.S. subsidiary of subsidiary of British defense conglomerate BAE Systems PLC, Navistar International Corp., and Force Dynamics, a joint venture between Force Protection Inc. and General Dynamics Corp.