Caterpillar Scores Big Defense Contract

Sept. 23, 2010
USMC, Army book $640-million order for construction equipment

Caterpillar Inc. has won a lucrative long-term defense contract involving “wheeled tractor scrapers” that the U.S. Marine Corps and U.S. Army will use to build roads, airfields, and other demanding engineering projects around the world. According to Cat, the five-year program is valued at up to $641.2 million.

The five-year contract is structured with an optional extension for up to an additional five years. If the contract is extended for the full 10 years, the U.S. Dept. of Defense may receive more than 900 of the earth-moving machines.

"This contract marks the largest single award Caterpillar has won from the U.S. Department of Defense. This is an important win for Caterpillar, our Decatur facility and U.S. Marines and Army soldiers," stated Caterpillar vice president Bill Springer.

The Caterpillar 621G wheeled tractor scrapers will be manufactured at its plant in Decatur, Ill. The machines will support the U.S. Marine Corps and the U.S. Army and will be used, along with other key pieces of Cat equipment, in construction engineering operations around the world, such as to construct roads and airfields and in other jobs requiring large amounts of dirt to be moved quickly.

The machines will have specifications called for by the U.S. Marine Corps and U.S. Army, including lift and tiedown provisions to allow for military transportation and keyless engine start.

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