SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(D)
OF THE SECURITIES EXCHANGE ACT OF 1934
DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED): SEPTEMBER 9, 1999
STEWART & STEVENSON SERVICES, INC.
(Exact name of registrant as specified in its charter)
TEXAS 0-8493 74-1051605
(State or other jurisdiction (Commission File Number) (I.R.S. Employer
of incorporation) Identification No.)
2707 NORTH LOOP WEST
HOUSTON, TEXAS 77008
(Address of principal executive offices) Zip code)
Registrant's telephone number, including area code: (713) 868-7700
Item 5. Other Events.
On September 9, 1999, Stewart & Stevenson Services, Inc. (the "Company") issued
the press release attached hereto as Exhibit 99.1 announcing that the Company's
FMTV A1 is entering production.
Item 7. Exhibits.
Exhibit 99.1 Company Press Release dated September 9, 1999 titled
"Stewart & Stevenson's FMTV A1 Enters Production."
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
STEWART & STEVENSON SERVICES, INC.
Date: September 9, 1999 By: /s/ JOHN H. DOSTER
Name: John H. Doster
Title: Senior Vice President and Chief
Financial Officer
99.1 Company Press Release dated September 9, 1999 titled "Stewart &
Stevenson's FMTV A1 Enters Production."
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Exhibit 99.1
NEWS FROM: STEWART & STEVENSON
CORPORATE HEADQUARTERS
P.O. BOX 1637
HOUSTON, TX 77251-1637
FOR IMMEDIATE RELEASE:
STEWART & STEVENSON'S FMTV A1 ENTERS PRODUCTION
HOUSTON, TX September 9, 1999, STEWART & STEVENSON SERVICES, INC.
(NASDAQ:SSSS), a leading manufacturer and distributor of industrial and energy
related equipment announced the U.S. Army today approved production of the A1
Model of the Family of Medium Tactical Vehicles (FMTV) built by Stewart &
Stevenson Services, Inc.'s Tactical Vehicle Systems Division. Stewart &
Stevenson has manufactured and rebuilt vehicles for a variety of military and
commercial requirements since World War II.
Production of the first FMTV A1 will begin immediately at Stewart &
Stevenson's state-of-the-art assembly facility in Sealy, TX. These trucks are
the first of approximately 7,800 FMTV A1s the Tactical Vehicle Systems Division
will build through the year 2003 under a new $1.4 billion multi-year contract
with the Army.
The Army's approval of A1 production follows a strenuous but successful
government-run Production Verification Test during which the FMTV A1
demonstrated more than 13,000 mean miles between hardware mission failure
against a reliability requirement of 5,500 miles. The Army increased the
threshold for the A1 because of the extraordinary reliability of the original
FMTV as demonstrated in more than one million miles of on-road and off-road
testing since 1991.
Under the leadership of new Vice President and General Manager Richard
Wiater, Stewart & Stevenson's Tactical Vehicle Systems Division utilized the
time between completion of the first contract in January 1999 and now to make
significant improvements to both its manufacturing facilities and processes. The
changes are designed to provide higher quality vehicles, reduce costs and
improve responsiveness to the Army's needs.
Specific improvements to the A1 Model FMTV include: a new EPA-compliant
3126B 7.2-liter diesel engine with greater horsepower, an improved WTEC III
transmission, an antilock brake system, and an SAE J1939 databus for digital
communications and superior diagnostic capabilities. In addition, the A1
incorporates new Integrated Electronic Technical Manuals, corrosion resistance
enhancements, and other upgrades identified by the Army's FMTV Continuous
Improvement Program.
The FMTV A1 will include the enhanced driveline now being upgraded into
the currently fielded FMTV fleet. Stewart & Stevenson is well ahead of schedule
in the driveline program having upgraded about 2,000 vehicles as of late August.
The upgrade will be completed by June 2000.
Relying on the principle of commonality to simplify logistics and reduce
life-cycle cost, the Army plans to procure approximately 80,000 new 2.5-ton and
5-ton trucks in the $16 billion FMTV program. The 2.5-ton version is available
in cargo and van variants and the 5-ton truck comes in cargo, dump, tanker,
line-haul tractor, wrecker and material handling variants.
"Stewart & Stevenson is proud to be the Army's partner in the continuous
improvement of FMTV," said President and Chief Executive Officer Michael Grimes.
"We look forward to immediately providing the soldier with what we believe is
the world's safest, most capable and ultra-reliable tactical truck."
This report contains forward-looking information. The forward-looking
statements, including without limitation statements relating to the Company's
performance and industry conditions for the year, are made pursuant to the Safe
Harbor provisions of the Private Securities Litigation Reform Act of 1995. These
forward-looking statements may be significantly impacted by various factors
described herein and in the Company's Annual Report and Form 10-K filed with the
Securities and Exchange Commission of the year ended January 31, 1999. There can
be no assurance that anticipated developments will occur.
Contact: Richard Wiater
Vice President and General Manager
Phone: 713-867-1513
Fax: 713-867-1688
Email: [email protected]
HTTP://www.ssss.com
