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Rail News Home Railroading Supplier Spotlight

10/26/2011



Rail News: Railroading Supplier Spotlight

Updates from Harsco, Carmanah, Vossloh, ENSCO, Kelso, Wabtec and Trinity


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• Harsco Corp. announced new orders for railway track maintenance equipment from New Zealand and North America that are expected to generate more than $13 million in revenue and add to Harsco Rail’s production and delivery order book for 2012, according to a press release. In New Zealand, KiwiRail ordered three consists with each featuring a Harsco tamper and ballast regulator. The North American orders include several tamper configurations for use by short lines and passenger and industrial railroads.

• Carmanah Technologies Corp. has named Bruce Cousins chief executive officer and a board director. Cousins succeeds Ted Lattimore, who has served as CEO and board director since 2007. Cousins has 22 years of entrepreneurial and executive experience, beginning with a 13-year stint in finance operations at Johnson & Johnson. More recently, he spent the past few years in the renewable energy industry, including stints at Xantrex Technology Inc. and Ballard Power Systems.

• Vossloh AG has obtained a contract worth $104.5 million from Germany’s Verkehrsbetriebe Karlsruhe and Albtal-Verkehrs-Gesellschaft to supply 25 low floor Tram-Trains. The contract includes an option for 50 additional vehicles. Vossloh Rail Vehicles’ Tram-Train is called “Citylink NET 2012” and will be equipped with the Vossloh Kiepe traction system. The Tram-Trains will be designed to suit to the needs and requirements of the city and region of Karlsruhe, and will have a capacity for a maximum of 224 passengers. Delivery is scheduled to begin in October 2013.

• An undisclosed Canadian railway has deployed ENSCO Inc.’s Digital Track Notebook® track asset management system in the United States, according to an ENSCO press release. More than 350 track inspectors currently are using the system. Implementation in Canada is scheduled to be completed by early 2012, ENSCO officials said. The system is designed to automatically schedule track inspections based on federal and railroad specific requirements; electronically log inspections and defects; and create FRA and Transport Canada reports.

• Kelso Technologies Inc.’s external constant-force spring pressure relief valves have been chosen by the world’s largest petroleum company for use on rail tank cars that transport sour crude oil, Kelso officials said in a prepared statement. “It is expected to be a full adoption strategy and will apply to the client’s tank cars scheduled for retrofit and new tank cars to be built in the future,” they said. In addition, the company’s Kelso Klincher™ manway securement system is being assessed by petroleum and ethanol stakeholders. The system will be available for initial commercial distribution in January, Kelso officials said.

• Wabtec Corp. reported income from operations of $75 million for the third quarter, an increase of 13.5 percent compared with the year-ago period. Earnings reached 96 cents per diluted share, up 52 percent. Sales for the quarter climbed 33 percent to a record $499 million, Wabtec officials said in a prepared statement. Cash from operations totaled $34 million for the quarter and $100 million for the year’s first nine months. The company’s backlog grew 38 percent during the quarter to $1.5 billion. As of Sept. 30, the company retained $221 million in cash and posted debt of $406 million.

• Trinity Industries Inc. reported third-quarter net income of $31.9 million, or 40 cents per diluted share, up from net income of $29.7 million, or 37 cents per share, in third-quarter 2010. Revenue grew to $796.8 million, up from $540 million a year earlier. The Rail Group reported revenue of $320.9 million and an operating profit of $18.2 million for the quarter, compared with revenue of $131 million and operating profit of $3.3 million in the year-ago period. “The order backlogs in both our North American rail-car and barge businesses increased during the third quarter, providing a nice foundation for our 2012 planning activities,” said Trinity Chairman, Chief Executive Officer and President Timothy Wallace in a prepared statement. “Our Rail Group is beginning to achieve increased operating leverage associated with strong revenue growth, which should have a positive impact on earnings going forward.”