The U.S. Army TACOM Life Cycle Management Command has awarded Navistar Defense nearly $79 million to provide 605 vehicles for Operation Iraqi Freedom. Navistar says the award, awarded Jan. 15, demonstrates the company’s ability to leverage its existing commercial vehicle platforms for continued success.
The Warrenville, Ill.-based company also received a new foreign sales award from Canada on Jan. 9 to provide up to 1,300 military vehicles. The Canadian Department of National Defence contract was Navistar’s first award in 2009 for vehicles based on the WorkStar platform.
“Navistar’s core strength is its ability to leverage its engineering, manufacturing and sustainment expertise across a large portfolio of products,” says Archie Massicotte, president of Navistar Defense. “Our existing commercial platforms allow us to rapidly modify vehicles for the military, as well as customize them for specific mission types.”
Navistar says its growth strategy is to expand in sectors beyond the company’s core commercial truck market. As part of this strategy, Navistar Defense will continue to pursue new U.S. and foreign military sales to sustain a $2 billion business annually. Navistar already has won military contracts to provide vehicles to U.S. allies such as Israel, Taiwan and Canada.
Navistar says it has delivered thousands of units based on the WorkStar since 2004. While the company says this commercial platform has played a significant role in its success, other adaptable vehicle platforms offered by Navistar Defense include the International PayStar and MXT. Navistar also produces multiple variants of its International MaxxPro MRAP vehicles, which also are built on the WorkStar base.
Under the new contract, Navistar will provide the Army with 328 fuel trucks and 277 water tankers, all customized from the WorkStar platform. Work for the contract will be performed at the company’s plant in West Point, Miss. About 40 percent of the order will be delivered in 2009, with the remaining units to be delivered by the end of July 2010. The award is in addition to the $2.3 billion in military contracts for 2009 announced on Jan. 5.
