Kawasaki Rail Car, Inc.
Contract awarded from Long Island Rail Road and Metro-North Railroad
Tokyo, September 19, 2013 — Kawasaki Heavy Industries, Ltd. announced today that Kawasaki Rail Car Inc. (KRC), its U.S. subsidiary based in Yonkers, New York, has received an order for 92 M-9 Passenger Cars via a joint procurement by Long Island Rail Road (LIRR) and Metro-North Railroad (MNR), both affiliated with the Metropolitan Transportation Authority (MTA).
Manufacturing of the carbody structure and equipment installation of the M9 cars will be conducted at the Lincoln Plant in Nebraska, and the final assembly and function testing will be performed at the Yonkers Plant in New York. The cars are scheduled to be delivered to the Railroads from 2017 through 2018.
In addition to the base order of 92 cars, the contract includes options for up to 584 cars that the Railroads may exercise bringing the total number of the cars to 676, with a total contract value of $1.83 billion U.S. dollars. In the event all options are exercised, the M-9 contract would be the largest rail contract ever awarded to Kawasaki, enabling Kawasaki to keep its US production line in operation up until the year 2022.
The new M-9 cars are scheduled to be used for the East Side Access project, a new line that will connect Long Island to the east side of Manhattan. The M-9 cars will also replace the Railroads' aging fleets, while introducing new state-of-the-art technologies enhancing passenger services.
To date, Kawasaki has successfully been awarded contracts for more than 4,000 cars from major transit authorities in the United States, including the New York City Transit Authority. Kawasaki has gained credibility through its past project performance, including on-time delivery, high technology, vehicle reliability, commitment to after-sales support as well as high local content rate, which all contributed to the successful award of the M-9 contract.
In addition to the Metro-North’s commuter vehicles and subway cars for New York City Transit and Washington Metropolitan Area Transit Authority which are currently under production in Kawasaki’s Nebraska plant, the M-9 contract will expand Kawasaki's future business in the United States.
As part of the economic stimulus measures by President Obama, the United States is actively considering capital investments in transportation and infrastructure to reinforce transportation capacity for metropolitan transportation in the Northeastern Corridor, as well as intercity transits including Amtrak.
Kawasaki will continue to enhance its credibility with its technological expertise by providing environmentally friendly modes of transportation to the United States and markets around the world.