Hitachi : Alstom, Stadler win $5 billion contract to build trains for Trenitalia
June 28, 2016 at 10:43 pm IST
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ROME (Reuters) - Hitachi Rail Italy, France's Alstom and Swiss firm Stadler have won contracts worth a combined 4.5 billion euros (3.74 billion pound) to build trains for Trenitalia, the Italian train operator said on Tuesday.
Hitachi Rail Italy, born out of Hitachi's (>> Hitachi, Ltd.) purchase of AnsaldoBreda from Finmeccanica last year, won the biggest chunk of the contract, to build 300 trains.
A person familiar with the deal told Reuters that Hitachi's contract, consisting of trains with at least 450 seats, was worth about 3 billion euros. Trenitalia did not say how much it would pay each individual supplier.
Alstom (>> Alstom) will build 150 medium-capacity trains, Trenitalia said in a statement. Stadler won the bid to build diesel-powered trains, but Trenitalia said it reserved the right to re-evaluate the Swiss firm's proposal.
Trenitalia is part of national railway operator Gruppo Ferrovie dello Stato , in which the government plans to sell a stake as part of a long-delayed programme of privatisations to reduce its huge public debt.
Hitachi specializes in manufacturing and marketing of electronic and industrial equipments. Net sales (including intragroup) break down by family of products and services as follows:
- social infrastructure and industrial systems (24.7%): elevators, escalators, industrial facilities, railway systems, power generation units, etc. The group also provides engineering and construction of nuclear, hydroelectric, and thermal power plants services;
- information and telecommunications products and services (20.1%): systems integration, cloud computing, software, servers, hard disks, PCs, ATMs, data communication base stations, payment terminals, etc.;
- materials and components (16.6%): semi-conductor materials, printed circuit cards, cables, copper and forged steel products, magnetic materials, organic and inorganic chemical products, etc.;
- construction equipment (10%) : hydraulic excavators, wheel loaders, mining equipment, etc.;
- automotive systems (9.4%): powertrain systems, control systems, etc.;
- electronic products (9.2%): fiber-optic components, screen tubes, testing and measurement equipment, medical equipment, equipment for manufacturing semiconductors, etc.;
- household appliances (4.7%): heating and air conditioning equipments, refrigerators, washing machines, etc.;
- other (5.3%): mainly transport, financial and logistical services.
Net sales are distributed geographically as follows: Japan (49.2%), Asia (21.3%), North America (12.7%), Europe (10.8%) and other (6%).
HITACHI, LTD. 
