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Rail News Home Rail Industry Trends

7/24/2009



Rail News: Rail Industry Trends

Updates from GATX, Koppers, Siemens Mobility, Gannett Fleming and Starfire Engineering & Technologies


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• GATX Corp. reported second-quarter net income of $12.7 million compared with net income of $40.2 million during the same 2008 period. For the first six months of 2009, GATX recorded net income from continuing operations of $40.3 million compared with the $92 million the lessor recorded during first-half 2008. “Customers continue to trim their rail fleets and seek the most competitive rates when renewing leases,” said GATX President and CEO Brian Kenney in a prepared statement. Kenney added that the company is “well positioned to manage through this downturn and remains in a unique position of having the capacity and the willingness to invest.”

• Koppers Holdings Inc. acquired the crosstie pre-plating business and related assets from Coastal Timbers Inc. for an undisclosed purchase price. Koppers management expects the business to generate about $15 million in annual revenue, and estimates that the annual market for pre-plated crossties is $20 million to 25 million, according to a prepared statement. The purchase includes the rights to a patent on the pre-plating equipment. “The purchase of this business is a continuation of our strategy of performing more services for the Class I railroads," said Koppers President and CEO Walt Turner.

• Siemens Mobility recently received “significant orders” from two United Kingdom passenger-rail service providers: London Midland, which ordered 37 Desiro Class 350/2 units, and First ScotRail, which ordered 38 Desiro Class 380 units. Siemens recently unveiled the Desiro City, which incorporates a single-car concept, reduced train weight, and a flexible and modular interior design that “enable primary energy consumption reductions of up to 50 percent,” according to a prepared statement.

• Gannett Fleming named Greg Nazarow vice president. He previously served as a senior rail operations analyst with Gannett Fleming Transit & Rail Systems. In his new position, Nazarow is responsible for evaluating a range of issues related to existing capacity and requirements; operational constraints; line, rail yard and station configuration; and right-of-way and signal system improvements. He also is charged with developing network operations simulations, particularly those for testing rail operating plans and physical plant modifications.

• Starfire Engineering & Technologies Inc. has provided “state-of-the-art” designs for three rail cars to an eastern European rail-car builder, according to a prepared statement. So far, the company has produced covered hopper, container flat and gondola designs.