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11/19/2002



Rail News: Rail Industry Trends

CSXT contracts Wabtec as lone locomotive brake component supplier


CSX Transportation recently signed an exclusive 10-year contract with Wabtec Corp., under which the supplier will provide various pneumatic locomotive brake components manufactured by subsidiary WABCO Locomotive Products for 10 of the railroad's maintenance facilities.


Wabtec plans to manage CSXT's parts inventory through its online system. Each CSXT location would record daily parts usage, then the system would automatically generate a purchase order and 10 separate weekly shipments based on each shop's pre-determined minimum and maximum inventory levels.


"The customer receives only what is needed when it is needed, while enjoying lower costs, increased operating efficiency and reduced inventories," said James Hoffner, Wabtec Global Services vice president and general manager, in a prepared statement.


Under contract terms, the Class I and supplier could expand their agreement next year to include other equipment manufactured by Wabtec subsidiaries Cardwell Westinghouse, WABCO Freight Car Products and Wabtec Railway Electronics.


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