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China changes mix of Bombardier train order; contract value unchanged

BERLIN – China’s Ministry of Railways is making changes to its order for 80 of Bombardier Inc.’s very high speed trains, the transportation division of the Montreal-based plane and train maker said Wednesday.

However, Bombardier (TSX:BBD.B) says the changes to the order originally won’t alter the value of the contract placed in 2009 with its joint venture company, Bombardier Sifang Transportation Ltd.

“After reviewing its operational strategy, the MOR decided to vary its original order of 80 very high speed trains from 2009 to include 70 eight-car Bombardier Zefiro 380 trains, 46 Zefiro 250 stainless steel trains and 60 Zefiro 250NG trains.

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“This variation provides MOR with increased flexibility in delivering its passenger services. The original contract value from 2009 remains unchanged,” Bombardier said.

The 70 Zefiro 380 trains are Bombardier’s most technologically advanced rail vehicles to date and are designed to operate at speeds of up to 380 kilometres an hour.

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The Zefiro 250 train is already operating in various parts of China, with a fleet of 115 trains, 1,200 cars in total, currently in service.

The ZEFIRO 250NG is a newly developed product designed to meet the future demands of the Chinese rail market. An evolution of the ZEFIRO 250 train, it features numerous technological advances.

“This variation order supports the global strategic shift towards rail as the backbone of national transportation infrastructure,” said Anders Lindberg, president , mainline and metros, Bombardier Transportation.

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