Nuremberg S-Bahn Contract

RNS Number : 8397D

National Express Group PLC

03 February 2015

 



3 February 2015

National Express Group PLC

More German rail success for National Express

Latest success builds on recent contract wins

National Express Group PLC ("National Express" or "the Group") is a leading international public transport operator, with bus, coach and rail services in the UK, Continental Europe, North Africa and North America.

National Express - which operates the UK's best performing rail franchise, c2c - is delighted that the Bavarian passenger transport authority (BEG) yesterday announced them as the preferred bidder for all Nuremberg S-Bahn services.

The award of two twelve-year contracts for commuter rail services follows a competitive tender process.

These two contracts are to operate the whole S-Bahn Nuremberg network, covering five rail lines in one of the most prosperous parts of Bavaria, Germany's second most populous state. The contract is expected to generate revenues in excess of €1.4bn over the twelve-year period.

The S-Bahn service is currently operated by Deutsche Bahn (DB Regio) and carries more than 20 million passengers per year. National Express will start operating from December 2018 and will buy 38 new electric five car trains on behalf of the Bavarian passenger transport authority.

S-Bahn services, which are broadly comparable to London's Overground network, operate in all major German metropolitan areas. This contract win follows National Express' success in 2013 in winning two regional rail routes in North Rhine-Westphalia. These services will begin operation in December this year.

Dean Finch, National Express Group Chief Executive said: "National Express is delighted to have won another rail contract in Germany, confirming this market as an exciting growth opportunity for the Group. This new rail contract in Bavaria, which builds on our earlier success in North Rhine-Westphalia, is further evidence that our track record in running the UK's leading rail franchise is recognised internationally. We look forward to providing passengers in the Nuremberg region with a high quality rail service for many years to come."

Notes to editors

The two contracts cover the five lines that make up the Nuremberg S-Bahn. The five lines serve routes from Nuremberg to Erlangen and Bamberg, Ansbach, Roth, Allersberg, Neumark, Altdorf and Hartmannshof

The five lines serve a region of almost 1.5 million inhabitants.

National Express will organise the procurement process on behalf of the local authority. However, similar to the UK, the new trains will be procured by a rolling stock lessor and leased by National Express for the duration of the franchise.

With the exception of a small service in Bremen, all S-Bahn services across Germany have thus far been operated by Deutsche Bahn. Today's announcement means National Express is therefore the first overseas operator of a significant German S-Bahn.

Combined with our previous contract wins, by 2019 National Express will now be the seventh largest (out of 30) operator by train kilometres operated per year. The combined figure for our North Rhine-Westphalia and Nuremberg services will be 12.4 million train kilometres a year.

Enquiries:

National Express Group PLC Matt Ashley, Group Finance Director Michelle Dovey, Director of Capital Markets Anthony Vigor, Director of Policy and External Affairs	0121 460 8655 07767 603386 07767 425822
Maitland Nathalie Falco Andy Donald	020 7379 5151

 

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