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Freightliner Awarded $400 Million Contract by U.S. Army

14 September 2000

Freightliner Awarded $400 Million Contract by U.S. Army

            Truck Manufacturer to Supply 3,400 Vehicles to TACOM;
                          Production Begins in 2001

    PORTLAND, Ore., Sept. 14 The U.S. Army Tank-Automotive and
Armaments Command (TACOM) has awarded Freightliner LLC a seven-year contract
to build almost 3,400 vehicles. Under terms of the agreement, Freightliner
will provide TACOM with M915A3 line haul tractors, M916A3 light equipment
transporters and M917A2 dump trucks, as well as training, logistics
provisioning support and interactive electronic technical manuals. The
contract is valued at just under $400 million; production begins in 2001.
    "We are honored the Army has chosen to maintain its strong partnership
with Freightliner with this new contract award," Freightliner President and
CEO James L. Hebe said.  "The newest generation of trucks which the Army will
procure represent the latest proven commercial trucking technologies and will
assist our servicemen and servicewomen in performing their very important
duties around the world."
    Freightliner has provided vehicles to the military since 1989.  The Army's
current fleet of linehaul tractors and trucks is based upon Freightliner's
very successful commercial FLD120 tractor, which has sales exceeding
330,000 since its 1988 introduction.  Freightliner's military trucks have
enjoyed a reputation for high fuel efficiency, low operating costs, and
extremely high field operational readiness rates.
    Specifications on the new vehicles include Detroit Diesel Series
60 engines, Allison World transmissions, anti-lock brakes, Eaton-VORAD
collision warning systems, tilt/adjustable steering columns, air conditioning
and TufTrac heavy-duty suspensions.
    "The Army trucks are optimized for performance, uptime, low maintenance
and safety," Hebe said.  "Wherever these trucks deploy in the world, they will
be backed and supported by the worldwide support network of Freightliner and
Mercedes-Benz dealers."
    Freightliner LLC, headquartered in Portland, Oregon, is the leading heavy
truck manufacturer in North America.  Freightliner produces and markets Class
3-8 trucks under the Freightliner, Sterling, American LaFrance and Thomas
Built Buses nameplates and is a DaimlerChrysler company, the world's leading
commercial vehicle manufacturer.