Kansas City Southern (KCS) announced that its U.S. and Mexico rail subsidiaries will acquire a combined total of 50 new locomotives from GE Transportation to be delivered during 2019, as well as digital solutions to drive improved operational and fuel efficiency.
With the North American rail market improving and freight volume up roughly 5% in 2017 and expected continued growth in 2018, the company expects the advanced locomotives will help it deliver on its expected future growth, while driving operational efficiencies across the KCS network.
“KCS is pleased to have GE as our partner,” said in a statement KCS executive vice president and chief operating officer Jeffrey M. Songer. “This purchase will help us continue the modernization of our locomotive fleet and position KCS for future expanded volumes.”
The order includes GE’s Tier 4 Evolution Series locomotives, equipped with GE Transportation's GoLINC Platform, Trip Optimizer System and Distributed Power LOCOTROL technologies. As part of GE Transportation’s Train Performance product suite, these technology solutions optimize power distribution, train handling, brake control and fuel utilization.
“This agreement will expand our relationship with KCS, drive operational efficiency across their system, and further meet the needs of their future growth,” said Rafael Santana, president and CEO of GE Transportation. “Our leading Tier 4 locomotives will give KCS the productivity and reliability needed to move and grow with its customers.”
The locomotives will be produced at the GE Manufacturing Solutions facility in Fort Worth, Texas beginning in 2018. The first units are expected to be delivered in early 2019. The financial terms of the deal were not disclosed.