Wednesday, December 12, 2012

L.B. Foster, Union Pacific enter agreement for concrete crossties

L.B. Foster Company has agreed on a multi-year contract extension with Union Pacific for the supply of prestressed concrete railroad ties from its Tucson, Ariz., facility. The previous supply contract was set to expire on December 31, 2012.

L.B. Foster's Tucson, Ariz., facility is dedicated to the production of concrete tie products. The company has invested more than $15 million in production machinery and employs approximately 50 people at the plant which has been in operation since 2006.

The agreement to extend the Tucson concrete tie supply contract follows an agreement the two companies have reached on a path forward for handling warranty claims on concrete ties previously made at its Grand Island, Neb., facility, which was closed in 2011.

"We're very pleased that the Union Pacific has decided to extend the Tucson contract with L.B. Foster. As a leader in innovation and performance among rail companies, UP helps us to drive improvement throughout our organization on an ongoing basis. We believe L.B. Foster makes the best concrete ties in the industry today and will strive to demonstrate this for all of our customers," said Robert Bauer, L.B. Foster president and CEO.

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