Oshkosh’s massive stock purchase took place before the USPS award


Illustration for the article titled House Committee Investigating the Oshkosh Stock Purchase Just Before the USPS Fleet Award Announcement

Photo: GRAEME JENNINGS / POOL / AFP (fake images)

Postmaster General Louis DeJoy recently awarded Oshkosh Corp. a contract to supply the United States Postal Service with its next generation of vehicles, but some members of the House of Representatives are questioning that award after it was revealed that someone purchased a large chunk of the company’s stock just before the award was announced.

A letter signed by Carolyn B. Maloney, Chair of the Oversight and Reform Committee reads as follows:

The night before the award announcement, an unknown party bought 524,400 Oshkosh Corp. shares worth $ 54.2 million. According to Bloomberg News, “the size of that trade was almost as much as the average daily volume in stocks from the previous year.”

These concerns have stemmed from previous concerns about this whole fleet decision. Specifically, the fact that only 10 percent of Oshkosh’s fleet would be electric, while the second option, Workhorse Group, could have provided an all-electric fleet. Which is an important thing, since President Biden Executive order of January 27 on climate change explicitly calls for “clean, zero-emission vehicles for federal, state, local, and tribal government fleets, including United States Postal Service vehicles.”

DeJoy was also a bit vague about the exact terms of the deal until pressed. Here’s more from the committee’s letter:

Shortly after the announcement, the reports raised concerns about various aspects of the award. While two competing vehicles featured electric powertrains, the winning bidder Oshkosh submitted a prototype with a gasoline engine. Although the initial announcement said that Oshkosh vehicles would be “equipped with energy efficient internal combustion engines or battery electric powertrains,” you clarified in your testimony before the Committee that only 10% of the initial order for the fleet would be electric.

The Committee requests documents related to the selection of Oshkosh as the USPS airline.

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