ALSTOM Awarded 980 Million Euro Contract To Supply 660
Subway Cars To New York City

The
Metropolitan Transportation Authority - New York City Transit
(MTA-NYCT) Board of Directors voted today to award ALSTOM in
partnership with Kawasaki a 980 million euro contract ( 961
million $ ) for the design and manufacture of 660 new heavy
rail subway cars. The contract includes supply of the cars,
spare parts, special tools and training.

The
award also includes two options totalling an additional 1000 -
1040 cars for a total contract value of 2.4 billion euros (
2.358 billion $ ) if exercised by the MTA-NYCT.

The new
carriages will replace R32, R38, R40 and R42 cars, and give the
NYCT additional new carriages for expansion purposes. The 660
cars of the base order will be delivered in a 2006-2007
timeframe.

'ALSTOM
is very pleased to have won this highly competitive tender
where our advanced technology and efficient manufacturing
capabilities were the key success factors to supply the
MTA-NYCT with its new trains,' said Michel Moreau, President of
ALSTOM s Transport Sector. 'This new contract further
demonstrates the market confidence in our products and
commitment to quality and service. Many of the leading transit
systems across the US and around the world have chosen ALSTOM
and we are delighted to be working with the MTA on this major
project. Winning such a significant contract from the world's
largest subway fleet operator is a credit to all of our
employees and a major accomplishment in ALSTOM s strategy to be
one of the leaders in the U.S. passenger rail business.'

The body
shells will be manufactured in ALSTOM s facilities in Lapa,
Brazil, and the cars will be built up and tested in Hornell,
near New York.

This
success follows the 137 million euro (129 million $) order
received on 20
^th June from the Washington Metropolitan Area
Transportation Authority (WMATA) for 62 new cars.

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 and power
transmission and distribution, and the transport market
through its activities in rail and marine. In fiscal year
2001/02, ALSTOM had annual sales in excess of ¬ 23
billion and employed 118,000 people in over 70
countries.

ALSTOM
is listed on the Paris, London and New York stock
exchanges.

ALSTOM's Transport Sector, with annual sales of
¬ 4.4 billion, is an internationally leading supplier of
rolling stock, information systems, services and complete
turnkey systems to the rail industry.

[MTA
New York City Transit is the largest subway fleet operator
and one of the most extensive and complex public
transportation systems in the world. Each day, more than
seven million people use New York City Transit over two
billion customers annually.]

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