ALSTOM awarded business worth one billion euros by chinese
railways

The Ministry of Railways of the Peoples Republic of
China has announced that ALSTOM has been chosen for the supply
of regional trains and locomotives. The contract specifies that
60 regional trains are to be supplied and built in China by
ALSTOM working in partnership with the Changchun Railway
Company.

This business is expected to be worth over 620 million euros
for ALSTOM including a technology transfer enabling 51 of the
trains to be built locally. ALSTOM will supply 3 complete
trainsets, 6 trainsets in kits, and equipment for the remaining
51 trainsets, from its sites in Savigliano, Italy, and La
Rochelle in France. The trainsets will be composed of 8 cars
each and based on ALSTOMs PENDOLINO technology for the
carbody, but will not use a tilting system. Entering commercial
service in 2007, they will run at a speed of 200km/h on various
regional lines. They represent ALSTOMs latest EMU
(Electrical Multiple Units) technology and are true high
performance products that gained an excellent international
reputation through numerous worldwide references.

180 high-power double locomotives are also to be supplied
and built in China by ALSTOM working in partnership with the
Datong Electric Locomotive Company. ALSTOMs share of
this business will account for around 380 million euros and
covers the supply of the first 12 locomotives and a technology
transfer to enable the remaining 168 to be built locally. The
double electric locomotives are derived from ALSTOMs
successful PRIMA range and will be used primarily for heavy
freight duties on the Datong-Qinhuangdao line.

ALSTOMs site in Belfort will provide the first
locomotives in the order and the relevant technology transfer,
other French sites - Ornans, Tarbes and Le Creusot - as well as
Charleroi in Belgium participating in the supply of bogie and
traction elements.

Patrick Kron, Chairman and Chief Executive Officer of ALSTOM
said: "
These announcements are very encouraging for ALSTOM and
confirm our strong belief that we have both experience and
know-how in technology and project management to serve rail
transport needs in China with our local partners. We have
created a strong technological and industrial platform that
enables us to participate in the future high-speed lines
projects".

ALSTOMs Transport sector has a long-standing
commitment to serving Chinese national and urban rail transport
markets, dating back to the 1950s when starting to supply
diesel and electric locomotives to China. Today the Group has
established several joint ventures and partnership agreements
such as in Shanghai with Satco for the production of mass
transit vehicles, Satee for propulsion equipment and Casco for
signalling equipment; and in Qingdao with Qingdao Railway
Equipment company for the supply of dispen dampers. With more
than 35 product lines and a presence in more than 60 countries,
ALSTOM's Transport sector offers complete products and services
for new rolling stock, signaling, and electrical and mechanical
infrastructure as well as maintenance and rehabilitation
services to four distinct types of customers: urban transit
authorities and operators; intercity passenger rail operators
and rolling stock owners; rail freight operators; and intercity
railway infrastructure owners. ALSTOM's Transport sector, with
sales of 4.9 billion euros in financial year 2003-2004, is
among the world's leading suppliers to the railway
industry.

Press information :

Susanne Trabitzsch

Tel. + 33 (0) 1 41 66 97 16

susanne.trabitzsch@transport.alstom.com