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Subway Cars Delivered to New York City Transit

Nov. 15, 2006

 Tokyo, November 15, 2006 — Kawasaki Heavy Industry, Ltd. announced today that its U.S. subsidiary, Kawasaki Rail Car, Inc. (KRC), based in Yonkers, New York delivered and received conditional acceptance of the first ten-car R160 subway train to MTA New York City Transit (NYC Transit).

 Kawasaki and France’s Alstom Transportation Inc. formed a New York Limited Liability Company in October 2002 to supply a base order for 660 R160 subway cars to NYC Transit. Kawasaki will manufacture 260 cars out of the total 660 cars. Kawasaki is also serving as the engineering leader for the R160 contract, providing technical assistance that utilizes the experience it gained with the R143 car which has been in revenue service in the NYC Transit since 2002. Kawasaki will supply bogies for all of the R160 cars including Alstom’s portion. The contract includes two options for additional orders of 620 cars and 380 - 420 cars.

 The R160 subway cars will be equipped with the latest technological controls for HVAC*, door operating and public address systems to guarantee optimum safety and passenger comfort. The ten-car train delivered to NYC Transit is a prototype manufactured and tested at Kawasaki’s Hyogo Works, however, the remaining carbodies will be manufactured at its railcar plant in Lincoln, Nebraska. Equipment installation, final assembly and testing will be conducted at the plant in Yonkers, New York. Kawasaki is the only company in the U.S. capable of full-scale integrated product manufacturing from beginning to end. Production has already commenced and the last production car for the base contract is scheduled for delivery in 2008. The cars in the first optional agreement (620 cars) are scheduled for delivery between 2008 and 2009, and those in the second optional agreement (380 - 420 cars), between 2009 and 2010.

 Since its initial delivery of 325 R62 subway cars in 1985, Kawasaki will have delivered 1,625 cars, including 260 R160 cars to NYC Transit. Once all of its R160 cars are delivered, including those under the options if exercised, Kawasaki will have delivered over 2,000 cars in total, taking the largest share of NYC Transit’s entire subway car fleet.

*HVAC = Heating, ventilation and air conditioning/cooling


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