The $6.75 Billion Contract to Build Army Humvees Goes to OshKosh Corporation

Oshkosh Corporation of Wisconsin won a big contract to replace the Army Humvee. The contract worth $6.75 billion is to build the first batch of as many as 55,000 light trucks to replace the aging Humvees used by the U.S. Army and Marine Corps. The Pentagon awarded Oshkosh the contract over rival bids from Lockheed Martin and AM General. Oshkosh shares soared 11% after hours to $43 dollars. It's a vital win for Oshkosh, whose defense sales slid 60% in the latest quarter from a year earlier as the Pentagon slowed purchases of heavier military vehicles. Oshkosh had said it would have to close 2 of its 3 facilities in Wisconsin if it lost the JLTV contract.