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June 1st, 2011
Siemens to Build Regional Trains in Russia

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Siemens has formed a joint venture in Russia with its Russian partner Sinara Group to deliver regional trains. The new company Train Technologies has entered into an agreement on main terms for delivery of Desiro RUS electric trains with Russian Railways (RZD). The preliminary contract covers 240 trainsets comprising 1,200 railcars, with a total value of about EUR 2 billion.

The underlying agreements were signed today during the Forum 1520 congress in Sochi by RZD President Vladimir Yakunin, Hans-Jörg Grundmann, CEO of the Mobility Division of Siemens, and Dimitry Pumpyanski, CEO of the Sinara Group. Final contract details will be agreed during the following negotiations. Starting in the year 2013, the trains will be produced at a manufacturing facility close to Yekaterinburg. Initially, the joint venture will produce the remaining 16 trains from an order encompassing a total of 54 railcars that was placed with Siemens by RZD in 2009. The contract had a volume of approximately EUR 580 million. In connection with that order acquired in 2009, RZD and Siemens already agreed on a partial train production in Russia. The Siemens plant in Krefeld has recently started producing the first 38 of these trains of the model Desiro RUS in Germany. Now the legal basis is being laid for producing the remaining 16 trains in Russia.

Siemens’ Desiro-model trains, which are designed for regional transit, can reach speeds of up to 160 km/h. In Russia, they are known by the name of “Lastochka,” which means “little sparrow.” The first units are planned to go into service in Sotchi starting in the autumn of 2013. Russia has a great need for modern rail technology. Over the next 30 years, the country plans to invest roughly EUR 300 billion in new trains and infrastructure. “Russia is a strategic growth market for rail technology. Cities in Russia are likewise faced with the challenge of having to increase the quality of life and the competitiveness while conserving resources and protecting the environment at the same time. Our green infrastructure technologies are helping Russia to reach its goals of energy efficiency and climate protection,” said Hans-Jörg Grundmann, CEO Siemens Division Mobility.

You can access the press release in the Internet at:
www.siemens.com/mobility/press/pressreleases

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