Derby train deal as Virgin order looms

Adtranz UK, the Derby rolling stock manufacturer, was this week named as preferred bidder in a speculative train order worth £25m to supply diesel trains to Porterbrook Leasing, owned by Stagecoach. Porterbrook placed a similar order with Adtranz in November. Adtranz is also in the running – along with a joint venture between GEC-Alsthom and […]

Adtranz UK, the Derby rolling stock manufacturer, was this week named as preferred bidder in a speculative train order worth £25m to supply diesel trains to Porterbrook Leasing, owned by Stagecoach.

Porterbrook placed a similar order with Adtranz in November. Adtranz is also in the running – along with a joint venture between GEC-Alsthom and Italy’s Fiat Ferroviaria – for orders worth up to £750m to supply trains to Virgin Rail.

German industrial giant Siemens last week withdrew from the bidding process, protesting at Virgin’s insistence on heavy penalty clauses – amounting to up to 30% of the contract value – for late delivery.

The £750m package consists of a £500m order for tilting trains for the West Coast Main Line and £250m for high speed diesel trains for the Cross Country line.

Virgin Rail said contracts were due to be announced by the end of the month.