Tuesday, December 03, 2013

FreightCar America gets Saudi order

Written by 
FreightCar America gets Saudi order Bruce Harmon

Saudi Railways Organization (SRO) has awarded FreightCar America a $67 million contract to supply 500 freight cars, including cement, cereal, limestone, and ballast hoppers.

SRO President Mohammed Al Suwaiket said the wagons will be compliant with Association of American Railroads (AAR) standards and will be equipped with ABDX brake control valves and UBX bogie-mounted braking assemblies. The contract with FreightCar America reportedly also includes training for Saudi engineers.

Delivery is scheduled to occur within 12 months.

Chicago-based FreightCar America suffered a loss in its fiscal third quarter, which KeyBanc Capital Markets Inc. analyst Steve Barger attributed to "lower railcar deliveries and negative impact from mix (revenue per car in the quarter was $71,400 vs. last year's $82,000)," but noted the company's backlog had increased.