Business performance

The key production activities are summarised by geographical segment below.

ITALY

Production activities on high-speed railway projects mainly involved the Treviglio-Brescia section as part of the Saturno consortium, with respect to which the group continued the executive design and materials procurement.

In the on-board SCMT/ERTM systems segment, production mainly related to development of ERTM systems for new ETR 1000 high-speed trains for the Trenitalia fleet, as well as the supply of other types of rolling stock to AnsaldoBreda S.p.A..

In the ACC business segment, production mainly related to the project for the technological upgrade of the Turin-Padua line, specifically the detailed executive design, materials procurement and start-up of the sites, the partial completion of which is expected before the end of the year.

With reference to Line 6 of the Naples metro, the works at the Arco Mirelli station resumed, following the release from seizure of the station shaft and the completion of the implementation of safety measures on the areas in front of the buildings affected by the collapse of 4 March 2013. For additional information, reference should be made to the notes to the consolidated financial statements at 31 December 2013.

With respect to the Rome metro line C, the dynamic tests of the systems necessary to operate the first part of the section by the end of the year are being completed.

With reference to the Milan metro line 5, the design activities to extend the line from the Garibaldi to the San Siro stations continued with the aim of completing the assembly of the devices necessary to partially open the line for EXPO 2015 by the end of the year.

REST OF EUROPE

In France, activities mainly related to on-board systems (South Europe Atlantique and Bretagne Pays de la Loire projects) and equipment (Thalys project) for the country’s high-speed network, as well as the maintenance, assistance and production of individual parts contracts.

In Sweden, production mainly related to the Ester and Stockholm Red Line projects.

In the United Kingdom, completion of the Cambrian line project (the first line in Britain to be equipped with the standard European level 2 ERTMS) has been pushed back again to the end of 2014 due to an additional variation requested by the customer.

Activities in Germany for the Paris-Ostfrankreich-Südwestdeutschland and Rostock-Berlin projects have been downscaled, due to the revision of the contract following a redefinition of the contractual requirements. With respect to the Velaro project, the development of software to supply on-board devices for the high-speed trains Velaro D and Velaro Eurostar continued.

In Turkey, works continued solely on the Northern section of the Mersin-Toprakkale project, where the installation and roll-out of two multistations were completed. An agreement is being formalised with the customer to resume works on the Southern section.
In relation to the Ankara metro, the M2 and M3 lines were rolled out in DTP mode and the CBTC system is currently being installed on the M1 (slated for completion in the current year) and M2 lines.
With respect to the Gebze-Kosekoy project, the roll-out at the Derinice station trial site began.

In Denmark, design activities continued for the Copenaghen Cityringen project.

AMERICAS

The group continued the third and last design stage for the Honolulu contract, with a view to obtaining approval of the documentation on the first half of the line (Segment 1) and filing it before the end of 2014. As per the revised work schedule, construction is expected to commence in the first quarter of 2015 and Segment 1 is slated for roll out before the end of 2017.

With reference to the contract with Southeastern Pennsylvania Transportation Authority (SEPTA) for the supply of the Positive Train Control integrated signalling system, the group continued wayside, on board and communication design and configuration, as well as procurement activities during the period.

Production for the sale of components for the existing eight product lines (Electronics, Ground Material, Relays, End of Train, Cab Signals, Highway Crossings, Component Projects and Services) is worth mentioning.

NORTH AFRICA AND THE MIDDLE EAST

The dispute ongoing with the customer in Tunisia continued and the dates of the arbitration procedure have been set.

It is presently difficult to say when production for the Libyan railway project will resume. The arbitration procedure for the dispute with the Russian customer Zarubezhstroytechnology (ZST) formally commenced before the Vienna International Arbitral Centre with the serving of the statement of claim. In May 2014, the procedure to form the arbitration panel was completed with the appointment of the chairman, in addition to the arbitrators.
For additional information, reference should be made to the notes to the consolidated financial statements at 31 December 2013.

In the United Arab Emirates, section 1 (Habshan-Ruwais) of the Abu Dhabi (Shah-Habshan-Ruwais line) project was completed.

The design stage for the Riyadh Metro System project is underway.

In China, the projects related to the CBTC systems for the Chengdu Shenyang, Xi’an, Zhengzhou, Hangzhou and

Dalian metros continued, along with the design of the Zhuhai tramway.

ASIA PACIFIC

In Australia, production of the period mainly focused on projects covered by the master agreement with Rio Tinto (RAFA), the Roy Hill’s and PTA’s Butler Extension projects.

Specifically, with reference to the RAFA projects, works continued on AutoHaul, where wayside commissioning was completed. With respect to RCE333 and ECP, commissioning is nearing completion.

In Taiwan, the group is currently involved in the design and production for all subsystems of the Taipei Metro Circular Line project.

In India, production mainly focused on the KFW projects, with respect to which works are set to continue after the last extension date following the many variations made, also requested by the customer, and the delays suffered, and the Calcutta metro project, which currently shows a delay of more than a year due to the delay for civil works and the unavailability of project inputs.

 

 

Registered Office: 16151 Genoa Via Paolo Mantovani, 3 - 5
Paid-in Share Capital EUR 100,000,000 R.E.A. n. 421689 Register of Enterprises of Genoa Tax Code 01371160662
A Finmeccanica Company