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Home Page / Media Centre / Company News / Brunswick Rail signs agreement with UralVagonZavod to purchase new-generation railcars

Brunswick Rail signs agreement with UralVagonZavod to purchase new-generation railcars

8 November 2013  Brunswick Rail, Russias leading private freight railcar operating lessor, announces the purchase of new-generation railcars as part of its strategic partnership with UralVagonZavod.

According to the agreement, by the end of 2013 UralVagonZavod will supply Brunswick Rail with new-generation gondolas, based on Russian wheelbase specifications and with loading capacity of 25 tonnes per axle.

The Company plans to use the newly acquired railcars for its own Proftrans transport division for general freight purposes.

CEO of Brunswick Rail Alex Genin said:
We follow the market closely and respond rapidly to new trends. For the last few years, we have been steadily developing the use of new-generation railcars with enhanced technical specifications. This new contract, which comes as part of long-term, successful cooperation with UralVagonZavod, is another step towards realising Brunswick Rails strategic plans. We view innovative railcars as a promising development line for the sector and plan to strengthen our position in this segment, hence the Companys plans to expand our railcar fleet.

Brunswick Rail
is a private railcar operating lessor providing freight railcars to large corporate clients in Russia. Established in 2004, Brunswick Rail currently owns a fleet of over 24,000 railcars (as of 30 Jun 2013), which represents approximately 2% of the total Russian railcar fleet. For the 6 months ended 30 June 2013, the Company generated gross revenues of USD 136.5 million and Adjusted EBITDA of USD 98.8 million.

OJSC Research and Production Corporation UralVagonZavod is a Russian corporation that unites over 30 industrial enterprises, research and development institutions, and design bureaus in Russia and Europe working on the development and production of military technology, road-building equipment, and railcars.