October 11, 2010

German Bombardier plant resumes production

Production work at the Bombardier Transportation site in Bautzen, Germany resumed and is increasing, according to the company.

Two months ago the Bombardier Bautzen site, where trams and light rail vehicles are being manufactured, was hit by a flood in the Saxony area.

Ninety-nine percent of the facility has now been cleaned and the infrastructure has been restored, with production resuming at the Bautzen site in September. Since then, welding production has gradually increased. Other sections will follow within the next weeks. Full production readiness is expected to be achieved by the end of the year.

Bombardier's Görlitz site situated near-by has been supporting Bautzen since early August. A team of 40 Bautzen workers has been transferred to Görlitz to produce parts and components in order to get projects up to speed as soon as possible.

Damage assessment in close cooperation with the insurer has been continuing since the day of the flood. The financial impact for Bombardier Transportation amounts to $20 million representing the self insured amount under the insurance policies, which will be recorded in the third quarter.

 

 

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