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Press Release

26 October 2004 - GE Transportation's Rail division Technology Key Contributor to the Pan-African Rail Industry

October 26, 2004

GE Transportation's Rail division provides a broad portfolio of rail technology solutions and products to help customers around the world optimize the efficiency of their locomotives, improve productivity of their rail operations and decrease operational costs.

Based in Erie, Pennsylvania, GE Transportation's Rail division is very active throughout the African continent, where GE has been present for more than 100 years, having established its first foreign office in what is now South Africa as far back as 1898.

"GE Transportation's Rail division has service, maintenance and refurbishment contracts with several major rail utilities, in countries such as Egypt, Cameroon, Congo, Gabon, Namibia, Zambia, Tanzania and South Africa," says Kevin Prozesky, Business Leader of GE Transportation Rail in South Africa.

The entire installed base of GE's locomotives is in the region of 1 200 across the African continent. The division is also involved in the supply of spare parts and support to African countries that run GE's locomotives, and is also exploring upgrade programmes for some of these ageing locomotives," Prozesky comments.

According to Prozesky, GE Transportation has been the market leader for diesel-electric locomotives globally for the past decade.

"With leading-edge technology products and services, and clients that range from Spoornet to other pan-African rail utilities such as CamRail (Cameroon Rail Authority) and Tazara (Tanzanian/Zambian Railways Authority), GE Transportation's Rail business in Africa is positioned to make a pivotal contribution to the African rail industry," Prozesky maintains.

According to Prozesky, the Rail division has a long history of product and service delivery in South Africa particularly, beginning some forty-six years ago.

The local GE office handles all sales and marketing of GE products in collaboration with implementation partner DCD-DORBYL, which is responsible for the integration and physical assembly required, using only GE packages and components.

"An excellent example of locomotive upgrades is the Brightstar package, which effectively
focuses on replacing the old control equipment in diesel-electric locomotives with its Brightstar microprocessor system, giving control benefits such as increased traction control and operational efficiency.

This is an affordable option to purchasing a new locomotive; particularly for many African railroad authorities, that do not have the capital finance to purchase new stock," explains Prozesky.

According to Prozesky, several African rail authorities have chosen the BrightStar route, with Cameroon (Camrail) and local company's Sasol Secunda plant fleet currently in the process of fitting this proven technology.

Apparently ,the GE Rail team also supports Kenya Railroad to improve productivity and efficiency by helping them better manage their aging locomotive fleets.

"In Kenya, the U26C locomotives were old and badly maintained due to lack of resources and orientation. The customer did not have the financial support to purchase a new fleet and needed a solution to overhaul and improve the performance of the existing 35 locomotives.

Because these locomotives serve the community - transporting everything from people to goods - GE Rail's Maintenance Service Agreement is not only helping the customer improve the rail service, but also the quality of life in the region," Prozesky maintains.

As a result, GE Rail helped Kenya Railroad reduce the amount spent on maintenance - plummeting from 40% of their revenue to just 8%. As the locomotives were overhauled and availability improved to over 90%, the amount of cargo they were able to transport skyrocketed from 65% to 95%.

In addition to the Brightstar upgrade packages, spares and service level agreements, the Rail division provides a unit exchange service, whereby major locomotive parts are re-engineered and remanufactured; as well as an 'Indigenisation' programme, whereby locomotive engine parts are locally re-engineered, in accordance with GE's quality standards and controls.

The Global Signaling section of the Rail division offers several innovative technologies to the market, including GE's Incremental Train Control System.

ITCS allows customers to run more trains, more safely, using their existing infrastructure. The system increases both the freight and passenger-carrying capacity making rail more economical to use and maintain and getting the most use out of the existing track.

This is according to Jeff Baker, Business Leader for Global Signaling's Advanced Systems Group.

"With Africa's vast distances and low overall population density, ITCS is a natural solution to address many of Africa's rail challenges," Baker continues.

According to Baker, using satellite positioning technology and radio communications to provide a train control solution, ITCS can offer a vital solution at 25% of the cost and twice the functionality of traditional train control schemes.

"The needs and challenges of the African rail system are a natural fit for our technology products. We are excited about the emerging opportunities in Africa and look forward to playing a key role in the region's rail transportation development," comments Baker.

In addition to ITCS, GE Transportation provides customers with on-board and wayside signaling and communications systems, train inspection systems, crossing warning systems, switch machines, services, and information technology solutions for the global railroad and transit industry. Its products help to ensure the safe reliable operation of rail systems worldwide.

Chris Banocy


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