The Greenbrier Companies Monday said it has received orders for 3,000 new railcars with an aggregate value of approximately $200 million. The orders announced Monday, which consist of 2,250 doublestack intermodal platforms, 500 covered hopper cars, and 250 railcars of various types for the European market, are expected to be delivered in calendar 2010 and 2011.
Lake Oswego, Ore.-based Greenbrier noted the new orders are incremental to the orders to build 1,700 new railcars and refurbish 1,100 existing railcars announced on August 25.
The company Monday also announced preliminary unaudited financial results for its fourth quarter ended August 31, 2010. Based on the Company’s initial closing, revenue is expected to be approximately $185 million. Greenbrier anticipates a net loss for the quarter, before a special item, to be in the range of $0.15 to $0.20 per share. In addition, the company anticipates earnings of $0.50 per share, related to a special non-cash item for the release of the liability related to the 2008 deconsolidation of its former subsidiary, TrentonWorks.
Net earnings (including the special item) are anticipated to be in the range of $0.30 to $0.35 per share. The preliminary quarterly results announced are subject to further review by Greenbrier and year-end audit, and the company stressed that the results “should be considered preliminary and subject to change.”
In a statement, William A. Furman, president and chief executive officer of Greenbrier, said, “Over the past two months, we have received orders for over 4,700 new railcars and refurbishment work for 1,100 existing railcars, which taken together have a combined value of approximately $330 million. These new orders are expected to have a meaningful positive impact on our financial results in 2011 and reinforce our view that a recovery is under way in the overall North American new railcar market.”
He continued, “Our fourth-quarter financial results were below our expectations, due primarily to our refurbishment & parts and marine operations. New railcar manufacturing and leasing & services exceeded our expectations.”
CN and the Montreal Port Authority have signed memorandum of understanding that they say commits them to “develop a best-practices vision for the gateway’s supply chain, improve productivity, and leverage these gains to increase their transportation market share.” They noted that “the Port of Montreal is a leading gateway for freight traffic moving between North America's industrial heartland and northern European and Mediterranean markets.”
“The agreement flowing from this MOU will fulfill CN’s objective of reaching supply chain collaboration pacts with all of Canada’s major east coast and west coast ports,” said Claude Mongeau, CN president and chief executive officer. “We believe these agreements will bolster the competitiveness of these important maritime gateways and enhance the competitiveness of our customers in global markets.”
“There is no doubt that this agreement will help strengthen the Port of Montreal’s position as the market leader in the North Atlantic,” said Sylvie Vachon, president and chief executive officer of the MPA. “It will also confirm the status of the port as an intermodal gateway serving global markets.”
U.S. energy options in the coming decades will need to be plentiful and diverse. Count on the Reading & Northern Railroad to contribute to any solution.
The Maryland Transit Administration has reached a contract agreement with Bombardier Transportation.
In a letter to congressional leaders, the Association of American Railroads has made clear its objections to proposals increasing truckweight limits on Northeast U.S. highways to 100,000 pounds. The exemption is included in the Obama Administration’s continuing resolution proposal.
AAR President and CEO Edward R. Hamberger (pictured at left) said such increases, particularly onInterstate highways in Maine and Vermont, could provide enough momentum to trucking interests to lift the federal truck weight ban elsewhere.
“Not only do extremely heavy trucks today exact a serious wear and tear toll on America’s already overextended highways, but much of the costs to repair roads and bridges damaged by heavy-load trucks is paid by taxpayers and not thetrucking companies responsible for the damage,” said Hamberger.
Calling it the “largest locomotive purchase agreement in the history of Brazil,” Brazilian rail operator MRS Logistica S.A. and GE Transportation announced Thursday plans to deliver 115 AC44i locomotives to MRS. The contract includes an option for 100 additional locomotives.
Both companies made the announcement Thursday at InnoTrans 2010 in Berlin.
Erie, Pa.-based GE Transportation will manufacture the locomotives at the company’s plant in Contagem, Brazil. GE’s plant in Grove City, Pa., will supply key components, including the 12-cylinder FDL diesel engine.
The locomotives will be delivered between 2011 and 2015, the companies said. Ninety units are scheduled for delivery in 2011, including 30 units covered under a previous contract and 60 as part of the newly signed agreement. GE will provide the remaining 55 locomotives between 2012 and 2015. GE says the new locomotives generate up to 15% fewer greenhouse gas emissions while lowering operating costs by approximately 15%. Three AC44i locomotives generate enough tractive effort to replace four older generation locomotives, GE claims.
“GE’s locomotives will be utilized to meet the growing demand for locomotive power in light of dynamic infrastructure development in the years ahead,” said MRS Development Director Henrique Ache Pillar. “We are looking forward to increasing our transportation capacity.” “GE is a global locomotive manufacturer who partners with railroad customers around the world,” said Lorenzo Simonelli, president and CEO of GE Transportation. “We are pleased to serve our customer MRS by providing advanced AC technology that requires less maintenance, reduces fuel consumption, and lowers emissions.”
Amtrak Thursday announced it has hired Albrecht P. Engel to head up its new high speed rail department so that Amtrak can expand its HSR opportunities. Engel, an ardent supporter of U.S. high speed rail, comes to Amtrak from AECOM.
“Engel has more than 40 years of experience in the rail transportation business and over that time has been active in the study, advocacy, and development of high speed rail projects,” said Amtrak. Engel was involved in the launch of the highly successful Acela service on Amtrak’s Northeast Corridor 10 years ago.
Engel (pictured at left), currently vice president and high speed rail director with AECOM, also serves on the American Public Transportation Association (APTA) board of directors. He also has served as chairman of the High Speed Ground Transportation Association.
“Al has considerable expertise, is a dedicated proponent for public transportation, and shares our conviction that Amtrak plays a vital, leading and necessary role in expanding and operating high speed rail service across the country,” Amtrak President and CEO Joseph Boardman said.
Said Engel in a statement, “Amtrak is an integral part of America’s high speed rail future as highways and aviation networks reach capacity in our urban areas. … I am very enthused to have this opportunity to work for Amtrak and with national and regional leaders to help implement a new balanced transportation vision for the U.S.”
U.S. intermodal freight traffic for the week ending September 18 marked a record for the year, and rose 16.9% when measured against the comparable week in 2009, the Association of American Railroads said Thursday. Intermodal also gained 2.4% over the comparable week in 2008.
Within the intermodal sector, U.S. container volume gained 18.8% for the week over 2009, and was up 11.4% for the week compared with the 2008 period.
U.S. freight carload traffic also gained when compared to the 2009 period, up 8.1%, though it still trailed 2008 levels by 2.4%. Seventeen of the 19 carload commodity groups listed by AAR increased from the comparable week in 2009 with only waste and scrap and non-metallic minerals, both down 3.3%, posting declines. Metallic ores, up 94.6%, led those commodity groups with increases from 2009. Compared with 2008, only six commodity groups registered gains, including farm products excluding grain, up 23.8%; chemicals, up 23.5%; and grain, up 20.5%.
Canadian freight carload traffic rose 10.9% for the week compared with 2009, while intermodal advanced 14.4%. Mexico’s two major railroads reported freight carload traffic up 11.7% over the comparable week in 2009, while intermodal rose 10.6%.
Combined North American freight carload volume for the first 37 weeks of 2010 on 13 reporting U.S., Canadian, and Mexican railroads was up 9.8%, while intermodal notched a 15.1% increase.
Germany’s Deutsche Bahn AG has signed a cooperation agreement with High Speed 1 Ltd., the owner of the right-of-way linking London with the Channel Tunnel, opening the possibility of direct rail service between the United Kingdom and Germany, beginning in 2013.
The pact could allow DB to run Siemens AG’s InterCity Express trains through the tunnel in competition with Eurostar Group Ltd., which operates from London to Paris and Brussels. DB seeks to connect London with cities in western Germany, the company said Wednesday. But DB still must win authorization from the French and British governments to run passenger trains via Eurotunnel.
“We can now focus on joint working to ensure all safety, technical, and commercial requirements are met prior to operation,” Ulrich Homburg, Deutsche Bahn’s board member for passenger services, said in a statement.
Direct trains from London to Frankfurt might take about five hours, DB said, suggesting such travel time could be competitive with air travel given the increasing security measures and overcrowding at airports.
Deutsche Bahn will begin safety tests through the tunnelwith Siemens ICE rolling stock on Oct. 19. The European Union last January introduced rules requiring track owners to grant access to new operators for cross-border services.
Last month DB was one of several bidders submitting a plan to operate over the High Speed 1 route, seeking a 30-year franchise.