Harsco Rail received a railway track and infrastructure maintenance equipment award from SBB, the federal railway system of Switzerland.
The contract comprises of an initial order worth more than $100 million through 2016 with provisions for future options. Harsco Rail will supply SBB with a combination of specialty vehicles and Utility Track Vehicles (UTVs) with cranes, generators and/or work platforms. Delivery of the first vehicle is scheduled for 2015.
The units will be deployed on the Gotthard and Ceneri Base Tunnels. Both tunnels are integral parts of the Swiss AlpTransit project, a major undertaking to increase transport capacity across the Alps, while at the same time reducing the environmental damage associated with highway truck transport. The new technology Harsco Rail is developing for SBB is said to further support emissions reduction by utilizing an advanced, dual-mode traction system which, in turn, reduces diesel fuel consumption.
“This contract is a major strategic win that goes beyond simply the dollar size of the order,” said Harsco President and CEO Patrick Decker. “Not only does it energize the growth of our European Rail business model and support our future objectives, it speaks also to our capacity for technical innovation and responsiveness to stringent customer specifications.”
The SBB award broadens the business landscape for Harsco Rail, introducing the first products the division will design and manufacture in Europe. Harsco Rail will purchase 40 percent of the content for the UTVs from Swiss suppliers and will utilize components from other European railway suppliers.