The news is out this morning that Nippon-Sharyo in partnership with Sumitomo Corporation has been selected to build the 130 corridor bi-level cars at their new plant in Rochelle, IL. The bid was only $352 million, well below the amount allocated by the FRA grants, although I'm sure there are overhead, training, and spare parts costs built into the HSIPR and CA allocated amounts. With the low price per unit, exercise of options to buy more cars if Nippon-Sharyo can deliver satisfactory cars on the initial order is likely.
Chicago Tribune AP article on the breaking news.
Excerpt:
Chicago Tribune AP article on the breaking news.
Excerpt:
CHICAGO — The company that makes cars for Japan's bullet train has been picked to build a fleet of next generation passenger cars for rail corridors in the Midwest and California.
Illinois, Michigan, Missouri and California teamed up to buy the 130 bi-level cars at a lower cost.
The cars will be made at a new plant opened up by Nippon-Sharyo's U.S. subsidiary in Rochelle, Ill. It submitted a bid of $352 million with partner Sumitomo Corporation of America.