Pentagon awards Cat $663 million military equipment contract

Updated Sep 1, 2017

Cat 415 F2 Backhoe Loader In Working Application C10302830

Caterpillar has been selected to supply the U.S. government with more than $663.5 million worth of construction equipment, according to a Pentagon announcement.

The five-year, fixed-price contract comes from the Defense Department’s Defense Logistics Agency and has no option periods. Cat’s bid of $663,584,042 beat out three other manufacturers.

The contract will supply equipment to the U.S. Army, Navy, Air Force, Marine Corps and federal civilian agencies.

The Pentagon did not state which machines Cat will supply.

Here’s the full release:

“Caterpillar Inc., Peoria, Illinois, has been awarded a maximum $663,584,042 fixed-price with economic-price-adjustment contract for commercial construction equipment.

This is a five-year contract with no option periods. This was a competitive acquisition with four responses received.

Locations of performance are Illinois, North Carolina, Georgia, Texas, Arkansas, Wisconsin, Minnesota, Austria, Belgium, England, France, Italy and Japan, with an Aug. 28, 2022, performance completion date.

Using customers are Army, Navy, Air Force, Marine Corps and federal civilian agencies.

Type of appropriation is fiscal 2017 through 2022 defense working capital funds. The contracting activity is the Defense Logistics Agency Troop Support, Philadelphia, Pennsylvania (SPE8EC-17-D-0012).”