Spartan Motors Receives Mine Resistant Vehicle Orders From BAE
January 20 2010 - 8:30AM
PR Newswire (US)
CHARLOTTE, Mich., Jan. 20 /PRNewswire-FirstCall/ -- Spartan Motors
Chassis, Inc., a subsidiary of Spartan Motors, Inc. (NASDAQ:SPAR),
has been awarded subcontract orders from defense contractor BAE
Systems to support the production of advanced tactical vehicles
under the Mine Resistant Ambush Protected (MRAP), Iraqi Light
Armored Vehicle (ILAV) and Medium Mine Protected (MMPV) or Panther
programs. Total value of the combined awards is in excess of $14
million. "Improvised explosive devices - IEDs - continue to be the
number one threat to American troops serving overseas," said John
Sztykiel, president and CEO of Spartan Motors. "Spartan is proud to
continue its work in support of protecting our service men and
women against this powerful enemy." Under the terms of the MRAP
subcontract, the Mich.-based custom chassis manufacturer will
supply and integrate key chassis components, including independent
suspension systems, for eight United States Special Operations
Command, or SOCOM, MRAP vehicles. The Category 1 RG33s are
scheduled for completion in the first quarter of 2010. Under the
ILAV program, Spartan Chassis will produce 109 ILAVs in three
different configurations. These mine protected vehicles, provided
to the United States Government as part of a Foreign Military Sales
contract with BAE Systems, are scheduled to be completed in the
third quarter of 2010. Spartan has a proven history of building
ILAVs for BAE Systems since 2006. The terms of the Panther
subcontract require Spartan to deliver two additional MMPVs in the
Prophet vehicle variant. In the MMPV program, Spartan provides
automotive integration kits to BAE Systems' assembly operations at
Letterkenny Army Depot. These kits are configured so they can be
easily integrated into the vehicle production stations. In addition
to this new award, Spartan also continues its ongoing support of
MRAP prime contractors and the U.S. Government by providing
spare/replacement parts for many of the vehicles built at Spartan
during the MRAP program. About Spartan Motors Chassis, Inc. Spartan
Motors Chassis, Inc., (http://www.spartanmotors.com/) a subsidiary
of Spartan Motors, Inc. (NASDAQ:SPAR), designs, engineers and
manufactures custom chassis, specialty vehicles and truck bodies
and aftermarket parts for the outdoor recreation/RV,
emergency-response, defense, delivery and service markets. The
company's brand names - Spartan(TM), Crimson Fire(TM), Crimson Fire
Aerials(TM), Road Rescue(TM) and Utilimaster® - are known for
quality, value, service and being the first to market with
innovative products. The company employs approximately 1,500 at
facilities in Michigan, Pennsylvania, South Carolina, South Dakota,
Indiana and Texas. Spartan reported sales of $844.4 million in 2008
and is focused on becoming a global leader in the manufacture of
specialty vehicles and chassis. This release contains
forward-looking statements, including, without limitation,
statements concerning our business, future plans and objectives and
the performance of our products. These forward-looking statements
involve certain risks and uncertainties that ultimately may not
prove to be accurate. Actual results and future events could differ
materially from those anticipated in such statements. Technical
complications may arise that could prevent the prompt
implementation of the plans outlined above. The company cautions
that these forward-looking statements are further qualified by
other factors including, but not limited to, those set forth in the
company's Annual Report on Form 10-K filing and other filings with
the United States Securities and Exchange Commission (available at
http://www.sec.gov/). Government contracts and subcontracts
typically involve long payment and purchase cycles, competitive
bidding, qualification requirements, delays or changes in funding,
extensive specification development and changes, price negotiations
and milestone requirements. An announced award of a governmental
contract is not equivalent to a finalized executed contract and
does not assure that orders will be issued and filled. Government
agencies also often retain some portion of fees payable upon
completion of a project and collection of contract fees may be
delayed for long periods, which can negatively impact both prime
contractors and subcontractors. The company undertakes no
obligation to publicly update or revise any statements in this
release, whether as a result of new information, future events or
otherwise, except as required by law. DATASOURCE: Spartan Motors,
Inc. CONTACT: Karen Hildebrant of Spartan Chassis, Inc.,
+1-517-543-6400 ext. 3111; Jeremy Bakken or Jeff Lambert, of
Lambert, Edwards & Associates, +1-616-233-0500 Web Site:
http://www.spartanmotors.com/
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