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Rail News Home Rail Industry Trends

4/9/2009



Rail News: Rail Industry Trends

Updates from EMD, Alstom/Bombardier, Thales, Greenbrier, BASF PVM and Railpower


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• Electro-Motive Diesel Inc. (EMD) obtained a contract from Saudi Arabia’s Public Investment Fund - Ministry of Finance to manufacture 25 SD70ACS heavy-haul AC diesel-electric locomotives for Saudi Railway Co. (SAR). The railroad will use the motive power on its North-South line to move minerals. Delivery is scheduled to begin in second-quarter 2010. The order will boost SAR’s EMD locomotive fleet to 72 units. The SD70ACS unit will feature EMD’s IGBT AC drive system, a pulse filtration system and movable sand plows to operate in the nation’s extreme desert environment.

• An Alstom Transport/Bombardier Transportation consortium has obtained a $1.2 billion contract from France’s RATP to provide 60 M109 double-decker trainsets. Alstom will carry out 70 percent of the contract, which includes an option for additional trainsets. The 30 trains (including two five-car trainsets each) will be used on Paris’ RER Line A and will replace single-decker MI84 rolling stock. Trains will be manufactured at Alstom plants in France. End cars will be assembled at Alstom’s Valenciennes site, and middle cars at Bombardier’s Crespin site. Delivery is scheduled to conclude at 2010’s end, with the trains entering service in 2011.

• Germany’s Berliner Verkehrsbetriebe has renewed Thales AG’s contract to supply advanced signaling systems for the Metro's No. 9 line. Thales will supply an electronic interlocking system and rail field equipment to replace older systems. The project will extend over four miles between the Leopoldplatz and Spichernstrasse stations to ensure safe traffic flows on both tracks and in both directions. The new system is scheduled to be fully operational by 2010’s end.

• In its second fiscal quarter, which ended Feb. 28, The Greenbrier Cos. generated revenue of $287 million, up 11 percent compared with the same period in the prior fiscal year. However, the rail-car builder reported a net loss of $6.9 million vs. net earnings of $1.4 million a year earlier. Greenbrier completed new car deliveries of 1,300 units in the quarter, which was “consistent” with the second quarter of FY2008, the company said. As of Feb. 28, Greenbrier’s backlog stood at 15,100 units valued at $1.31 billion vs. 15,900 units valued at $1.39 billion on Nov. 30, 2008. Based on current production plans, about 1,900 cars included in the backlog are scheduled for delivery in FY2009’s second half.

• BASF Professional Vegetation Management’s Habitat® herbicide has received supplemental label approval for terrestrial use from the U.S. Environmental Protection Agency. The herbicide now is labeled for spot treatments along railroad, utility and highway right-of-ways, and in pastures, rangelands and other areas. Habitat is designed to control invasive grasses, such as bermudagrass and bahiagrass.

• Railpower Technologies Corp. announced that a Quebec superior court issued an order providing the company an additional period of protection under the Companies' Creditors Arrangement Act (CCAA). The initial order, which was first granted on Feb. 4, has been extended until April 20. Creditors and other third parties will continue to be stayed from taking steps against Railpower during the extension. The stay will provide Railpower an opportunity to develop a comprehensive business restructuring plan for consideration by its creditors and the superior court, the company said. Railpower also announced that its securities have been delisted from the Toronto Stock Exchange as of April 6.