Tuesday, July 22, 2014         

 Print   Email   Comment | View 0 Comments   Most Popular   Save   Post   Retweet

Ansaldo Honolulu's parent firm rethinking rail car business

By Gene Park

LAST UPDATED: 10:19 p.m. HST, Jul 29, 2011

Finmeccanica, the Italian parent company of winning rail car contractor Ansaldo Honolulu, said its rail car business needs "urgent restructuring," or else it may sell it off. 

Finmeccanica Chief Executive Officer Giuseppe Orsi said that he will make a decision on whether to restructure or sell AnsaldoBreda, one of the two Finmeccanica companies that form Ansaldo Honolulu, by the end of the year.

He cited "difficult" relationships with customers and difficulty in producing rail cars, and that the company must drive for "great efficiency." The rail car business has not been a focus for Finmeccanica, a conglomerate that specializes in defense systems. 

"It's really a matter to give to somebody who believes in that kind of product more than we do," Orsi said Thursday in a presentation to investors and analysts in London. 

Toru Hamayasu, interim executive director for the Honolulu Authority for Rapid Transportation which oversees the city's rail transit plan, said today that the agency is monitoring the situation. 

Ansaldo Honolulu won the city's contract to design, build, operate and maintain the rail car system for as long as up to 2029. The contract went for $1.45 billion.

Ansaldo Honolulu is embroiled in bid challenges by losing bidder Sumitomo Corp. of America, who has filed an appeal with the state Department of Commerce and Consumer Affairs.

 Print   Email   Comment | View 0 Comments   Most Popular   Save   Post   Retweet

You must be subscribed to participate in discussions
By participating in online discussions you acknowledge that you have agreed to the TERMS OF SERVICE. An insightful discussion of ideas and viewpoints is encouraged, but comments must be civil and in good taste, with no personal attacks. Because only subscribers are allowed to comment, we have your personal information and are able to contact you. If your comments are inappropriate, you may receive a warning, and if you persist with such comments you may be banned from posting. To report comments that you believe do not follow our guidelines, email commentfeedback@staradvertiser.com.
Leave a comment

Please login to leave a comment.
Breaking News