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Rail News Home Railroading Supplier Spotlight

8/14/2012



Rail News: Railroading Supplier Spotlight

Railroad supplier news from Wabtec, Siemens, Alion, L.B. Foster and Stella-Jones; Also, in memoriam: Midland's Keith Miller (Aug. 14)


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• Wabtec Corp. subsidiary MotivePower has obtained a $45 million contract from Metrolinx to repower 11 locomotives with new engines and propulsion systems that meet the U.S. Environmental Protection Agency’s Tier 4 emission standards, according to a press release. The systems include technologies designed to reduce diesel particulate emissions by about 85 percent and nitrous oxide emissions by about 75 percent compared with current models. Deliveries are expected to begin in 2014.

• Siemens and ESTEL RA, a joint venture of the Algerian National Co. for Rail Transport SNTF, have obtained an $85.2 million contract from the Algerian railway agency ANESRIF to equip the rail line from Mecheria to El Bayadh with signaling and communication systems. Commissioning is slated for fall of 2015, according to a Siemens press release. “Siemens has in recent years played a significant role in expansion of rail transportation in Algeria,” said Jochen Eickholt, chief executive of the Rail Automation Business Unit.

• Alion Science and Technology has obtained a $10 million contract from the Federal Railroad Administration (FRA) to conduct research aimed at gauging human performance in rail operations and maintenance. The firm will provide technical expertise to the FRA’s Human Factors Research Division, which aims to reduce the human factors that cause train, trespasser and grade-crossing accidents, according to an Alion press release. Under the five-year contract, Alion will assess equipment and technology, organizational culture and behavior, and polices and system performance. The firm also will provide technical assistance and recommendations to continue the FRA’s efforts to reduce accidents.

• L.B. Foster Co. reported a second-quarter net loss from continuing operations of $3.2 million, or 31 cents per diluted share, compared with net income of $6.2 million, or 59 cents per diluted share for the same period a year ago. Excluding concrete tie charges from both second-quarter periods, earnings from continuing operations per diluted share would have been 87 cents and 86 cents in 2012 and 2011, respectively. The company reported second-quarter net sales of $164.9 million, down 3.8 percent compared with the same period a year earlier. The company also announced a $19 million pre-tax charge ($1.27 per diluted share) related to a product warranty claim the company has been investigating since July 2011. Also during the quarter, the company posted a record $212.3 million in orders, up 69 percent.

• Stella-Jones Inc. reported that second-quarter net income jumped 20.6 percent to $20.8 million, or $1.30 per diluted share, compared with $17.3 million, or $1.08 per diluted share, in the same period a year ago. Sales for the quarter rose 13 percent to $203.9 million and operating income reached $32.6 million, or 16 percent of sales, compared with $27.6 million, or 15.3 percent of sales a year ago. Railway tie sales climbed 25.7 percent to $120 million, reflecting solid market demand as well as a $10 million contribution from the facility in Russellville, Ark., which was acquired from Thompson Industries Inc. in December 2011, according to a press release. All figures are reported in Canadian dollars.

• Midland Manufacturing officials have announced the death of longtime employee Keith Miller. He joined the company in 1977 in the shipping department and later worked in the customer service department, where he advanced to manager. Miller finished his career with Midland as key account manager. “Keith was loved and respected by all of our customers as well as his co-workers for his passion and drive to please customers,” said Kevin Cook, director of the Global Rail Business Unit, in a prepared statement. “He went above and beyond to satisfy and ensure that his customers were taken care of. Every customer knew to call Keith if they had a problem; and every time they called he would solve it.” Miller is survived by his wife, Julie, and three children.