Trains ordered for Busan metro Line 1
CRRC to supply Noida metro trains
Jakarta – Bandung DBOM concession agreed
Myanma Railways orders Indian locomotives
DBK-Leasing completes Ijara wagon deal
Bangkok railway engineering education agreement signed
Singapore sovereign wealth fund takes stake in Railpool
Bangkok monorail lines approved
Contactless ticketing to be tested in Singapore
Kawasaki Chief Executive Yoshinori Kanehana, after announcing disappointing quarterly results, said the Japanese company is reviewing options for its rolling stock division, including getting out of the business, according to published reports.
The builder would explore alliances or possibly closing its rail unit if a turnaround isn’t successful.
Kawasaki plans to outline a restructuring for the rail business this fiscal year after announcing a net loss of $31 million for the six months ended September, down from a profit of $95 million a year ago. That included a reported loss of $78 million in its rolling stock division, primarily on contracts with Washington’s Metro and the Metropolitan Transportation Authority’s Long Island Rail Road.
The company operates Kawasaki Rail Car at U.S. facilities in Lincoln, Neb., and Yonkers, N.Y.
Kanehana also said that a labor shortage and Buy American requirements complicated the company’s business plans in North America.
Following early design issues and delivery delays, Metro inspections earlier this year found flaws that will require replacement of all wiring in 548 of about 600 new 7000 series cars. The agency has a $2-billion contract with Kawasaki for a total 748 cars, all of which it expects to be delivered ahead of schedule by late 2019.
Profits were also dragged by additional orders in a 2013 contract with LIRR that were less than expected.
The post Report: After losses, Kawasaki mulls future of railcar business appeared first on Railway Age.
This article first appeared on www.railwayage.com
About this website
Railpage version 3.10.0.0037
All logos and trademarks in this site are property of their respective owner. The comments are property of their posters, all the rest is © 2003-2019 Interactive Omnimedia Pty Ltd.
You can syndicate our news using one of the RSS feeds.