Navistar International Corp. on Wednesday (March 10) reported first quarter net income of $17 million, down from $234 million for the same period 2009, as the company continues to grapple with a downturn in the economy.

Sales for the first quarter were $2.8 billion, down $161 million from $2.97 billion for first quarter 2009. The company’s truck and business segments both saw notable declines in sales for the first quarter, while the company’s engine business saw business increase.

Despite the decline is sales and net revenues, Navistar reported several positive developments. Among them, the company noted that it continues to invest heavily in research and development, that it launched its first commercial trucks for the Indian market, and that after the close of the first quarter it was awarded a $752 million contract with the U.S. military for 1,050 Mine Resistant Ambush Protected (MRAP) vehicles. It is also preparing to launch its new Class 4-5 commercial truck.