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Rail News Home Railroading Supplier Spotlight

5/5/2011



Rail News: Railroading Supplier Spotlight

Updates from Ansaldo, Televant, Vossloh, Southfield Capital and KBR


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• Ansaldo STS and Metroselskabet have signed a framework agreement for the upgrading of Copenhagen Metro. The agreement calls for reinvestment to upgrade existing technical systems originally supplied by Ansaldo STS as part of Metroselskabet’s capital asset replacement program. In addition, Ansaldo will define the reinvestment plan, as well as develop a detailed proposal for the supply and installation of new equipment. The expected value of the reinvestment plan is $49 million.

• Televant has obtained a contract from the city of Calgary, Alberta, to implement a contactless electronic fare collection system for Calgary Transit. When completed, the project will provide 94 million riders per year a “more convenient” way to pay for fares, Televant officials said in a prepared statement.

• Unrest in Libya, delayed deliveries in China and rising costs resulted in lower net earnings and sales in the first quarter for Vossloh Group. Earnings fell 54 percent to $15.4 million, or $1.20 per share, compared with $33.8 million, or $2.50 per share, a year earlier. Group sales dropped 12 percent to $384.8 million compared with $437.6 million in the same period a year ago. Rail infrastructure division sales fell 8.2 percent to $242.1 million. However, the group’s product orders surged 138 percent to $924.2 million compared with $387.6 million a year earlier, while the backlog reached an all-time high of $2.2 billion, up from $1.6 billion in 2010. “Even though Q1 sales were down compared with last year, in view of the very good order situation this will not reflect on the year as a whole,” Chief Executive Officer Werner Andree said in a prepared statement.

• Private investment firm Southfield Capital Advisors has acquired a majority ownership of Hallcon Corp., which provides cleaning and other outsourcing services to the railway and transit sectors. Hallcon’s senior management team will continue in their current roles and maintain minority ownership in the company, Southfield Capital officials said in prepared statement. “In addition to helping us manage our current growth, we believe Southfield Capital will help us identify and pursue new opportunities and assist us in implementing best practices across the entire platform,” said Hallcon President and Chief Executive Officer Tony Plut.

• KBR has been selected to provide engineering, design and construction services for the New South Wales Transport Construction Authority’s South West Rail Link project in Sydney, Australia. KBR’s infrastructure and minerals team will provide permanent way, overhead wiring and communications system design for the Glenfield-to-Leppington rail line for John Holland as part of the project, which currently is the largest rail project under construction in New South Wales, Australia, according to KBR.