Oshkosh Corp. (NYSE: OSK) said Friday it will continue work on the potential $6.75 billion contract awarded in August 2015 to build the Humvee ground vehicle replacement for the U.S. Army and Marine Corps after a federal claims court denied Lockheed Martin‘s (NYSE: LMT) request for a preliminary injunction.
Lockheed shifted its challenge of Oshkosh’s selection for the Joint Light Tactical Vehicle contract to U.S. Federal Claims Court in December and the injunction request was denied Thursday.
Lockheed filed its initial protest days after the announcement of Oshkosh’s selection to the Government Accountability Office, which ended its review in December after Lockheed decided to challenge Oshkosh’s selection in court.
The Army lifted a stop-work order on Oshkosh after Lockheed said it would take its concerns over JLTV to the federal claims court.
Wisconsin-based Oshkosh is contracted to build 17, 000 JLTV vehicles over the contract’s first three years, while the Army intends to acquire 49, 099 full-rate production vehicles for the Army and 5, 500 for the Marine Corps.
As of 10:10 a.m. Eastern time, shares in Oshkosh were up 2 percent while Lockheed’s stock was down a nominal 0.22 percent.