Pittsburgh, Pa.-based L.B. Foster has restructured, creating two primary business units.
The Rail Technologies & Services and Infrastructure Solutions segments will “better align the organization with future growth strategies,” L.B. Foster said.
Rail Technologies & Services is the new name for L.B. Foster’s Rail Products & Services segment. The company said it is increasing its emphasis on technology development “to support new products and services and deliver real benefits to customers with improved efficiency, reduced disruptions, improved passenger comfort and information, and enhanced safety.” Additionally, the company’s core track products are being “re-imagined, redesigned and improved with respect to resiliency and concerns around noise, vibration, and exposure to tough environmental conditions.”
The Infrastructure Solutions segment will combine all businesses that were part of the Construction Products and Tubular and Energy Services segments. It will support engineering and construction firms and general contractors looking for design and application engineering help to address highway, bridge, ports, railways, heavy civil, marine, water and storm water, agricultural, commercial, and residential projects. L.B. Foster said the consolidated segment is “positioned to benefit from anticipated investment in a wide range of infrastructure needs.”
“The alignment we’re creating within these two segments, that will report to two senior business leaders, is designed to provide clear line of sight around the opportunities for growth and asset leverage,” L.B. Foster President and CEO Robert Bauer said. “During the past year, we have focused on ways to reduce cost and streamline operations as we were faced with challenging business conditions. Our goal was to emerge stronger, leaner, and focused on the actions intended to create value for our shareholders. We took steps in 2020 to restructure certain businesses and exit others that were unattractive and didn’t have a sustainable path to acceptable returns on capital. Among our diverse businesses in the Infrastructure Solutions segment, we will challenge the team to create scale around the most attractive markets and products. We plan to share more tools and assets and expose untapped leverage opportunities with customers and back office support that should result in lower costs and improved return on capital.”