GE Transportation (NYSE:GE) has received an order of 60 additional locomotives from Canadian National Railway Co. (TSX: CNR) (NYSE: CNI) will acquire 60 additional locomotives, expanding the class I’s 200-unit order placed in December 2017. The manufacturing will take place at GE Manufacturing Solutions’ Fort Worth facility.
“With strong demand across our business, we continue to invest for the long haul with these locomotives that further expand the reliability and size of our fleet,” said JJ Ruest, president and chief executive officer of CN. “With expanded infrastructure and new equipment, we are giving our industry-leading transportation team the tools they need to provide higher levels of service with greater operating efficiency.”
Similar to CN’s 2017 purchase, this order includes Tier 4 Evolution Series locomotives equipped with GE Transportation’s GoLINC Platform, Trip Optimizer™ System and Distributed Power LOCOTROL eXpanded Architecture to maximize train effectiveness and efficiency, according to the news release. These solutions are part of GE Transportation’s Train Performance product suite, which optimizes power distribution, train handling, brake control and fuel utilization. The new purchase also includes a multi-year service agreement that supports CN’s long-term operational needs. No price for the transaction was disclosed.
“This agreement will expand on our valued relationship with CN. Our Tier 4 technology will further increase CN’s productivity and reliability and help them grow in the resurging North American segment,” said Rafael Santana, president and CEO of GE Transportation. “We are proud to partner with CN to meet their future needs and drive further efficiency into their freight rail operations.”
CN and the industry are seeing rail traffic growth. Year to date, North American rail volume is up roughly 3.5 percent compared with 2017, according to the Association of American Railroads.