Oshkosh Defense on Tuesday announced it has been awarded a contract from the U.S. Army for procurement of Family of Heavy Tactical Vehicles or FHTV.

The $40 million delivery order comes from the U.S. Army Tank-Automotive and Armaments Command. Under the contract, Oshkosh will install the latest model configuration to the Army's fleet of Heavy Expanded Mobility Tactical Trucks, or HEMTT, enabling them to be set at "zero-mile, zero-hour conditions," the same as newly produced vehicles.

The HEMTT is a 13-ton, diesel-powered, eight-wheel drive tactical truck used by the U.S. military used for hauling gear and equipment.

"Our recapitalization services officer significant cost savings to the Army Reserves by returning vehicles to current operational readiness with the same performance and life cycle advantages of a new vehicle," Pat Williams, Oshkosh Defense vice president and general manager of Army and Marine Corps programs, said in a press release.

"Recapitalized vehicles are assembled on the same production line as new vehicles, and put through the same extensive performance tests and inspection procedures as new vehicles. As the Original Equipment Manufacturer, Oshkosh can modernize these vehicles to the latest configuration and quickly return them to operations," said Williams.

Work on the contract will occur in Oshkosh, Wisc., and is expected to be completed by fiscal year 2019.

Last week, Oshkosh was awarded a modified contract from the U.S. Army for the procurement of 258 joint light tactical vehicles and 1,727 kits under a deal worth more than $100.1 million.

The joint light tactical vehicle is primarily used by the Navy, the Army and Special Operations Command. The U.S. military has been replacing its fleet of hummers with Oshkosh vehicles to include their Family of Medium Tactical Vehicles, which is a series of armored tactical cargo trucks of different variants.

Oshkosh was given an initial award by the U.S. military in 2015 to produce more than 16,000 joint light tactical vehicles to start replacing the Humvee.

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