US Army awards AM General $428M military ambulance contract

Initial phase includes 654 vehicles for the National Guard.

SOUTH BEND, Ind. — The Army has awarded a $428 million contract to AM General to build Humvee ambulances for domestic disaster relief efforts by the Army, Army Reserve and Army National Guard.

The Indiana company announced Sept. 8 it will receive $89.5 million to build 654 vehicles for the National Guard under the initial phase of the multi-year contract.

The contract follows an announcement two weeks ago by the Defence Department that AM General had not been awarded a major contract to build a new combat vehicle to replace a large share of the US military’s Humvee troop carriers. That $6.7 billion contract went to Wisconsin-based Oshkosh Corp.

AM General announced Sept. 9 it will not protest that contract.

The company last month began making Mercedes-Benz R-Class SUVs at its Mishawaka plant.

© 2015 The Associated Press

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