Replies to post #673 on Oshkosh Truck Corporation (OSK)

[Investorman]

The market makes no sense. Increasing future profits and the stock price goes down.

Wall Street is out of touch with reality.

[Investorman]

Shareholders Reports on Oshkosh and Wabash National -- Overview of the Trucks & Other Vehicles Industry

JOHANNESBURG, SOUTH AFRICA--(Marketwire - 07/30/10) - www.RothmanResearch.com undertakes intensive analysis of the trucks & other vehicles industry and provides systematic research on Oshkosh Corporation (NYSE:OSK - News) and Wabash National Corporation (NYSE:WNC - News).

The trucking industry is growing concerned over a new proposed bill that would place greater emphasis on non-highway freight movement. The bill wants to increase other means of freight movement, with rail being the primary alternative. Currently, 70% of America's freight is moved via truck and the bill wants to see an increase of 10% in other methods by 2020. Senator Frank Lautenberg is one of the chief proponents of the bill and explains, "This legislation will establish a national policy that improves safety, reduces congestion, creates jobs, and protects our environment."

The trucking industry is not immediately pleased with this proposal. There is some reason for optimism though. The increased emphasis on environmental protection and reduced carbon dioxide emissions is good news for leading truck manufacturers who have already begun to go green.

Hybrid truck sales are currently slow because they cost on average, $23,000-$45,000, more than regular models. Prices can't go down until volume goes up. The proposed bill, which is expected to be modified further, could create the favourable conditions needed to boost volume and lower hybrid truck costs.

[Investorman]

Oshkosh gets $201.5 million Defense Department order for tactical vehicles

On Monday August 16, 2010, 6:23 pm EDT

NEW YORK (AP) -- The U.S. Defense Department said Monday it has awarded Oshkosh Corp. a contract worth $201.5 million to provide tactical vehicles.

The agency said the deal calls for 1,288 medium tactical vehicles, which will be built in Oshkosh, Wis.

It expects the work to be completed by the end of March 2012.

[Investorman]

NEW YORK (MarketWatch) -- The U.S. Army said Wednesday it has cancelled the original contract solicitation for its combat-vehicle modernization program, delaying the replacement of thousands of vehicles by at least six months. "The Army determined that it must revise the acquisition strategy to rely on mature technologies in order to reduce significant developmental risk over a seven-year schedule following the initial contract award," the military said in a statement. Details of the next proposal request from the Army for contractors are still being finalized. The Army had expected to field the first of the new vehicles by 2017. The program was originally a part of the $160 billion Future Combat Systems, which was canceled in 2009 because of cost overruns.