Rail

Alstom partners with Russian rail manufacturer

Posted on March 31, 2009

Alstom and Transmashholding (TMH), the main rail rolling stock manufacturer in Russia, signed a technological, industrial and financial strategic agreement.

 

According to this agreement, which follows a letter of intent announced in October 2008, Alstom Transport will support the modernization of the manufacturing sites of TMH and the development of a new generation of rolling stock adapted to the Russian market. In addition, Alstom will acquire 25 percent (+ one share) of the capital of TMH holding company at a price that will be defined, taking into account the financial results of TMH over the 2008-2011 period.

 

Alstom Transport will provide technological and methodological support in terms of manufacturing processes and expertise and will appoint a deputy general manager to oversee TMH’s internal operations. Already launched in March 2008, the upstream phase of this technological cooperation has made it possible to plan the modernization of three TMH factories. It will be extended to TMH’s other nine factories.

 

Alstom and TMH have also committed to creating a joint venture for the development of new models of rolling stock, which will be based on Alstom Transport and TMH’s latest technologies and adapted for the Russian rail market.

 

The manufacturing by TMH of the new products aimed to the Russian and Commonwealth of Independent States (CIS) countries’ markets will be performed in Russia up to 75 percent to 80 percent. The first product launched by the new joint venture will be an electric locomotive based on platform concept. The partners are planning to deliver the first locomotive by mid-2010.

 

Both companies also intend to continue their cooperation with the manufacturing of double-decker passenger cars. Alstom and TMH participated in October 2008 in a call for tenders launched by RZD for the design and manufacture in Russia of passenger cars and are currently in negotiations with the customer to reach a final agreement between the parties. This rolling stock will consist of double-decker cars, with sleeping and seating sections, equipped with a range of amenities.

 

 

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