Navistar Defense to develop vehicles for military applications

WARRENVILLE, Ill. — Navistar Defense LLC, an affiliate of Navistar International Corp., will convert commercial vehicles for military applications in Afghanistan and Iraq.

Two contracts totaling $60.4 million were awarded to Navistar Defense by the U.S. Army TACOM Life Cycle Management Command. One contract calls for 289 passenger buses, and the other calls for 196 refrigerator trucks.

The buses produced for the first contract, worth $31.6 million, will be based on IC Bus’ CE 300 school bus platform and will be powered by MaxxForce DT engines. Work will be conducted at the company’s Conway, Ark., bus plant, with deliveries scheduled to begin in February 2009 and be completed by June 2010.

The refrigerator trucks produced for the second, $28.8 million contract will be based on International’s WorkStar platform and run on MaxxForce engines. Deliveries will begin in January 2009 and be completed by August 2009.

“The core of Navistar's strength is the ability to leverage our engineering, manufacturing and sustainment expertise to rapidly provide the U.S. and its allies with a wide portfolio of products," said Bob Walsh, vice president of Navistar Defense. "We are proud that the military entrusts Navistar to produce a wide portfolio of products to serve the troops."

In related news, Navistar was awarded a $35.8 million contract for engineering changes to mechanical systems for the MaxxPro Mine Resistant Ambush Protected (MRAP) vehicle. The contract was granted by the U.S. Marine Corps and is part of the company’s ongoing sustainment of the MaxxPro to improve its capabilities. Work is expected to be completed in April 2009.

Moreover, Navistar has begun transitioning its production of MaxxPro MRAP vehicles to the lighter and more mobile MaxxPro Dash, designed for the unique conditions in Afghanistan. Full production of the Dash, which is also built off the company’s commercial severe service platform, was scheduled to begin this month.