WASHINGTON (AP) — 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.
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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.