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ALSTOM and General Motors Electro-Motive Division to create
joint venture in locomotive maintenance services

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(Paris, France/Chicago, Ill.) - ALSTOM and General Motors
Electro-Motive Division (EMD) announced today that they have
entered into an agreement in principle to form a Joint Venture
that will create a leading provider of locomotive maintenance
services to railroad customers worldwide. The Joint Venture, to
be called ALSTOM EMD SERVICES, will be a cooperative effort
between two world leaders in the locomotive and transportation
businesses. The Joint Venture will focus on servicing
locomotives of all types and brands, not just those
manufactured by ALSTOM and EMD. ALSTOM will hold a majority
stake in the new company. The formation of the Joint Venture is
subject to the negotiation and execution of definitive
agreements and to the satisfactory completion of due

Michel Moreau, President of ALSTOM's Transport Sector, said:
'By linking ALSTOM's worldwide reach in the transportation
business with EMD's proven reputation for product design and
quality, the Joint Venture is expected to make both companies
more globally competitive in the locomotive maintenance

According to R. William Happel, GM Vice President and
General Manager of GM's Electro-Motive Division, 'The
companies' combined superior products and technologies, along
with proven solutions approaches and an international presence,
would allow the Joint Venture to offer an unprecedented range
of services to locomotive customers.'


ALSTOM is the global specialist in energy and transport
infrastructure. The company serves the energy market through
its activities in the fields of power generation, power
transmission and distribution, power conversion and electrical
contracting and the transport market through its activities in
rail and marine. ALSTOM today has annual sales in excess of 20
billion euros and employs more than 140,000 people in over 70

ALSTOM Transport, with sales of over 4 billion euros and a
near 20% market share, is a leading supplier of rolling stock,
signaling, services and railway systems to the rail industry

GM's Electro-Motive Division is one of the world's largest
manufacturers of diesel/electric locomotives, as well as a
provider of power generation and marine power products,
services, and parts. Since its founding in 1922, EMD has
shipped more than 56,000 locomotives to 73 countries


For further information:



S. Gagneraud/G. Tourvieille

+ 33 (0)1 47 55 25 87 Work

Investor Relations:

Heather Green

+ 33 (0)1 47 55 25 78
 Sheri Woodruff

+ 1 (708) 387-3791 Work

+ 1 (773) 793-7003 Mobile 



The first sentence of the first paragraph and the second
paragraph of this release are forward-looking statements,
within the meaning of Section 27A of the Securities Act of 1933
and Section 21E of the Securities Exchange Act of 1934. By
their very nature, forward-looking statements involve inherent
risks and uncertainties that the forward-looking statements
will not be achieved. Such statements are based on management's
current plans and expectations and are subject to a number of
important factors that could cause actual results to differ
materially from the plans, objectives and expectations
expressed in such forward-looking statements. These factors
include: (i) the effects of, and changes in, laws, regulations,
governmental policy, taxation or accounting standards or
practices; (ii) the effects of competition in the product
markets and geographic areas in which the proposed Joint
Venture would operate and (iii) ALSTOM's success at adjusting
to and managing the risks of the foregoing. ALSTOM cautions
that the foregoing list of important factors is not exhaustive;
when relying on forward-looking statements to make decisions
with respect to the Company, investors and others should
carefully consider the foregoing factors and other
uncertainties and events, as well as other factors described in
other documents ALSTOM files from time to time with the
Securities and Exchange Commission, including reports on Form
6-K. Such forward-looking statements speak only as of the date
on which they are made, and ALSTOM undertakes no obligation to
update or revise any of them, whether as a result of new
information, future events or otherwise.