CHARLOTTE, Mich., May 11, 2010 /PRNewswire via COMTEX/ –Spartan Motors Chassis, Inc., a subsidiary of Spartan Motors, Inc. (Nasdaq: SPAR), has been awarded a $6.8 million subcontract order from defense contractor BAE Systems to support the production of advanced tactical vehicles under the Mine Resistant Ambush Protected (MRAP) program.
John Sztykiel, President and CEO of Spartan Motors, said: “The improvised explosive device threat around the world continues to expand, and has nearly doubled in Afghanistan during the last year. This new order speaks to Spartan’s demonstrated experience and success in producing threat-specific vehicles.”
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 United States Special Operations Command (“USSOCOM”), MRAP vehicles in the third and fourth quarters of 2010. The units will then ship to Letterkenny Army Depot for final assembly and acceptance by the U.S. Government.
Sztykiel added: “This subcontract supports comments of ours made over the past few quarters that the defense business–for Spartan–is becoming smaller in order volume with greater product variation, which is in alignment with our strategic and operational strengths.”
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 MRAP vehicles built at Spartan since 2005.
About Spartan Motors Chassis, Inc.
Spartan Motors Chassis, Inc., a subsidiary of Spartan Motors, Inc. (Nasdaq: SPAR), is a world-class leader in the engineering, manufacturing and marketing of chassis and aftermarket parts for emergency-response, outdoor recreation/RV, defense and specialty vehicles. End users of our products recognize – and request – the Spartan Chassis brand, which consistently delivers superior performance, exceptional safety ratings and technological innovations that distinguish us from our competitors. Visit Spartan Chassis on the web at www.spartanchassis.com.
About Spartan Motors, Inc.
Spartan Motors, Inc. (theshyftgroup.com) designs, engineers and manufactures specialty chassis, specialty vehicles and truck bodies and aftermarket parts for the Outdoor Recreation/RV, emergency-response, defense, government services, delivery and service markets. The Company’s brand names – Spartan(TM), Crimson Fire(TM), Crimson Fire Aerials(TM), Road Rescue(TM) and Utilimaster(R) – are known for quality, value, service and being the first to market with innovative products. The Company employs approximately 1,600 at facilities in Michigan, Pennsylvania, South Carolina, South Dakota, Indiana and Texas. Spartan reported sales of $430 million in 2009 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. Forward looking statements are identifiable by words such as “believe,” “anticipate,” “will,” “sustain,” and “continue.” These forward-looking statements involve certain risks and uncertainties that ultimately may not prove to be accurate. For example, we may encounter unforeseen difficulties and challenges in entering new markets or in pursuing strategic acquisitions. In addition, technical and other complications may arise that could prevent the timely implementation of our plans or that may impact the expected outcome of those plans. As a result, actual results and future events could differ materially from those anticipated in such statements. 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.
SOURCE Spartan Motors, Inc.