HARRISBURG, Pa., August 3, 2001 (PRIMEZONE) -- Worldwide industrial services and products company, Harsco Corporation (NYSE:HSC), announced today that its Harsco Track Technologies (HTT) division has been awarded two contracts for railway track maintenance services and equipment having a combined value of nearly $20 million. The contracts, both involving Class 1 US railroads, include a four-year order for rail flaw detection services, HTT's longest order ever for these services, and the sale of a complete 26-machine tie renewal and track surfacing equipment section under an innovative operating lease arrangement.
Rail flaw detection is used extensively by major railroads and short lines to locate internal fractures or damage in the rail, which if left uncorrected could severely restrict high-speed rail traffic and lead to possible rail breakage and train derailments. Employing state-of-the-art ultrasonic inspection and digital data transfer technology, Harsco Track Technologies has developed a two-vehicle rail flaw detection system configuration that enables up to 25 miles of rail to be inspected per hour. This new product offering is expected to nearly double the current productivity of a single start/stop inspection vehicle.
Under the second order, Harsco Track Technologies will supply a complete tie renewal and surfacing section to a railway equipment leasing company that in turn will lease the machines to the railroad over a multi-year period. While equipment leasing is common throughout the railroad industry, this order is believed to be the first-ever U.S. leasing arrangement for an entire tie renewal and track surfacing consist from one manufacturer. The equipment comprises some 26 HTT-built track maintenance machines, including several new product introductions. In another first, HTT will be consigning a mobile spare parts stockroom to travel with the section, providing the railroad with on-demand ordering of factory-authorized spare parts staffed by a full time spare parts manager and a service technician. This mobile stockroom will allow HTT to expand its spare parts sales to an industry that is increasingly valuing supply chain innovation to maintain peak operating efficiency.
Harsco Track Technologies is the second largest track maintenance equipment and services organization in the world, serving an estimated $1.6 billion global market as a single source for over 140 types and models of equipment used in the maintenance, renewal, and new construction of railway track.
Harsco Corporation is a diversified provider of market-leading industrial services and products serving the worldwide infrastructure development, steel, railway transportation, gas and energy industries. The company employs more than 20,000 people in 40 countries of operation, and recorded 2000 revenues of $2 billion. Additional information about Harsco, including its Harsco Track Technologies division, can be found at www.harsco.com.