Army Makes FMTV Competitive Re-buy Contract Award Decision
(Source: US Department of Defense; issued Feb. 12, 2010)
The Department of the Army announced today that it has re-evaluated the contract award decision for its Family of Medium Tactical Vehicles (FMTV) originally made on Aug. 26, 2009.

This change was based on Government Accountability Office’s (GAO) recommendations.

Accordingly, Oshkosh Corp. has been awarded a competitive, five-year requirements contract for production of up to 12,415 trucks, 10,926 trailers, and associated support and engineering services. The total estimated contract value at award was $3.023 billion.

The Army originally awarded the contract to Oshkosh, but BAE Systems, Tactical Vehicles LP and Navistar, LLC filed GAO protests against the contract award to Oshkosh.

GAO sustained portions of the Navistar and BAE protests on Dec. 14, 2009. The GAO recommended that the Army re-evaluate the offerors’ proposals under the Key Tooling and Equipment Element and conduct a new evaluation of Navistar’s past performance that adequately documented the agency’s judgments, and make a new source selection decision.

The Army notified the GAO on Dec. 28, 2009, that it would comply with its recommendations to re-evaluate the proposals and make a new source selection decision. From Dec. 21, 2009, to Jan. 22, 2010, the Army re-evaluated the proposals in accordance with the GAO’s recommendation. Subsequently, there was an Office of the Secretary of Defense peer review affirming the Army’s reevaluation process.

Click here for GAO’s Dec. 14, 2009 statement upholding bid protest by Navistar Defense and BAE Systems Regarding Army Truck Award to Oshkosh.

BAE Systems - FMTV Re-Compete
(Source: BAE Systems; issued Feb. 15, 2010)
On 27 August 2009 BAE Systems announced that it had been notified by the US Department of Defense (DoD) that it had not been awarded a follow-on contract for production of vehicles under the Family of Medium Tactical Vehicles (FMTV) programme.

Following protests of that decision the US Government Accountability Office recommended a re-evaluation of the offerors' proposals.

The Group has now been informed that the decision not to award the contract to BAE Systems has been confirmed.

With confirmation of this decision the Group will include in its 2009 accounts an impairment of goodwill and other intangible assets amounting to £592 million relating to the Armor Holdings Inc. transaction and specifically the FMTV product line. (ends)

U.S. Army Affirms FMTV Contract Award to Oshkosh Corporation
(Source: Oshkosh Corporation; issued February 12, 2010)
OSHKOSH, Wis. --- Oshkosh Corporation today announced the U.S. Army has affirmed the contract award to the Company, originally received on Aug. 26, 2009, to produce the Family of Medium Tactical Vehicles (FMTV).

The bids of all three competitors for the FMTV program were re-evaluated by the U.S. Army in response to recommendations made by the Government Accountability Office (GAO) following a review of competitors’ protests of the original contract award to the Company. The Army undertook an exhaustive review during this FMTV bidding process and applied fairness and rigor to its decision.

Upon completion of a thorough, in-depth re-evaluation, the Army determined the contract would remain with Oshkosh.

Additionally, the Army canceled the September 4, 2009, stop-work order it had issued pursuant to the GAO’s protest procedures. The Oshkosh contract allows the Army and U.S. taxpayers to begin realizing significant cost savings for the FMTV program.

“We are very pleased the Army affirmed its original decision that Oshkosh Corporation’s FMTV bid clearly represents the best overall value for the Army, the taxpayers and the Warfighter,” said Robert G. Bohn, Oshkosh Corporation chairman and chief executive officer. “Oshkosh Corporation, our employees and our suppliers stand ready to serve our customer, and we are delighted that the Army has yet again concluded that Oshkosh was the right choice. Our focus has always been on the Warfighter and making sure we deliver high-quality, high-performing vehicles on time.”

The FMTV rebuy program is a five-year, firm fixed-price requirements contract for the production of up to 23,000 vehicles and trailers, as well as support services and engineering. Oshkosh received the contract from the U.S. Army Tank-automotive and Armaments Command Life Cycle Management Command (TACOM LCMC) with an initial delivery order valued at $280.9 million for the production and delivery of 2,568 trucks and trailers.

The FMTV is a series of vehicles consisting of up to 23 variants and 17 different models, ranging from 2.5-ton to 5-ton payloads. Oshkosh already produces the Army’s Family of Heavy Tactical Vehicles (FHTV) and works with nearly every one of the FMTV current component suppliers across the country as integral partners in other military programs.

Oshkosh is the only current manufacturer of both medium and heavy tactical wheeled vehicles in the U.S. defense industry, having produced more than 70,000 military-class vehicles in its manufacturing facilities. Oshkosh’s manufacturing facilities have ample production capacity for all current and pending military vehicle programs, including the FMTV and the MRAP All Terrain Vehicle (M-ATV), as well as any surges in production.

The company’s advanced and integrated assembly line facilities allow for the simultaneous production of several different vehicle models and variations. Oshkosh Corporation’s proven production capabilities were recently recognized by the National Center for Advanced Technologies (NCAT), which awarded Oshkosh with a 2009 Defense Manufacturing Excellence Award for its M-ATV launch team, which has exceeded delivery requirements for seven consecutive months.

Oshkosh Defense, a division of Oshkosh Corporation, is an industry-leading global designer and manufacturer of tactical military trucks and armored wheeled vehicles, delivering a full product line of conventional and hybrid vehicles, advanced armor options, proprietary suspensions and vehicles with payloads that can exceed 70 tons. Oshkosh Defense provides a global service and supply network including full life-cycle support and remanufacturing, and its vehicles are recognized the world over for superior performance, reliability and protection.


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