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GE Transportation and Tülomsaş Combine Expertise To Supply Markets with GE’s PowerHaul™ Series Locomotives

December 30, 2008

Categories:
Rail Freight
GE Transportation, a unit of General Electric Company (NYSE: GE), and Tülomsaş have announced the signing of a Memorandum of Understanding (MOU) for a strategic relationship in which GE Transportation and Tülomsaş have agreed to collaborate to supply the market with GE’s PowerHaul™ locomotives.

Under the terms of the agreement, GE will supply Tülomsaş with the necessary technology and material to assemble GE’s PowerHaul series locomotives in Turkey for the European, Middle East and North African markets.

"Our strategic approach is to bring to the market advanced technology from GE, a world leader in diesel electric locomotives, with Tülomsaş’s manufacturing expertise, while remaining a productive, profitable and competitive enterprise,” said Hayri Avci, General Director and Chairman of Board of Directors of Tülomsaş,. “Our strategic relationship with GE will be beneficial to both companies and help Tülomsaş expand its footprint and increase its technological prowess and profitability. This relationship brings two companies together, each of which has over 100 years of locomotive manufacturing experience.”

“GE Transportation is committed to growth by focusing on technical leadership, deep enduring customer relationships and global competitiveness,” said Lorenzo Simonelli, President and CEO of GE Transportation. “We are very pleased to be working with Tülomsaş on this MOU as it is a natural step along the path to regional localization of our capabilities.”

Added Simonelli: “We're investing in Turkey because of its strategic proximity to the customers we wish to serve and its advanced technology and manufacturing skills. Finally, we hope to leverage GE’s longstanding expertise and global reach to be a true partner in the economic development of the country. “

GE’s PowerHaul series locomotives are driven by the 16-cylinder PowerHaul engine, which is GE’s most technologically advanced locomotive engine to-date. This new engine combined with other technologies from GE is projected to reduce PowerHaul Locomotive fuel use by up to 9% compared to current operating fleet averages.

The 3,700 GHP engine is European Stage IIIa compliant and Ecomagination certified. Ecomagination is a GE-wide commitment to developing technology designed to help GE customers satisfy environmental challenges, while maximizing performance and reducing cost. GE Transportation’s PowerHaul Locomotive is based on the company’s global Evolution® Series locomotive platform introduced in 2005. With close to 3,000 units in use today, the Evolution Series locomotive is one of GE Transportation’s best-selling products worldwide.

“The PowerHaul engine used in these locomotives significantly increases fuel efficiency while lowering emissions, said Simonelli. “PowerHaul Locomotives are designed for cost-effective long-haul operating range, high pulling power, long-term emissions compliance and reduced life-cycle cost.”

GE Transportation received an order for 30 locomotives, powered by GE’s PowerHaul engine, from UK-based Freightliner Group Ltd. in November 2007. The purchase represented the largest order of freight locomotives in Freightliner’s history and the PowerHaul engine’s debut into the UK and European market place.

More than 16,500 GE locomotives are currently in use in more than 50 countries around the world. GE Transportation has evolved from a supplier to the North American rail industry to a global transportation leader. Through the end of 2008, international locomotive orders will contribute more than 40% of the company’s locomotive-related revenue.

About TÜLOMSAS
Tülomsaş, the only locomotive supplier in Turkey with a longstanding and vast experience in manufacturing and maintenance, started in 1894 as a maintenance and repair workshop for locomotives. As an affiliated company of the Turkish Railways, Tülomsaş has been responding to all the locomotive and wagon needs of Turkey for more than a century. Throughout the years it has developed into a heavy industrial player as well as the biggest and most modern locomotive and freight car manufacturer of the Middle East and the Balkans. Tülomsaş gained a new identity in 1986 as the Turkish Locomotive and Engine Industry Inc. Today, Tülomsaş fulfills the locomotive and freight car needs of TCDD (TÜRKİYE CUMHURİYETİ DEVLET DEMİRYOLLARI - Turkish State Railways) and other organizations in Turkey, while increasing its competitiveness in the global market through exports.
As of today, Tülomsaş has manufactured 850 locomotives, 650 diesel motors, 9000 freight cars. With an annual production capacity of over 100 locomotives, 1,500 bogie freight cars, 100 various type diesel engines, Tülomsaş be regarded as the locomotive of the Turkish heavy industry. Based in Eskişehir Tülomsaş employs 1,700 people. http://www.tulomsas.com

About GE Transportation
Established more than 100 years ago, GE Transportation, a unit of General Electric Company (NYSE: GE), is a global technology leader and supplier to the railroad, marine, drilling, mining and wind industries. GE provides freight and passenger locomotives, railway signaling and communications systems, information technology solutions, marine engines, motorized drive systems for mining trucks and drills, high-quality replacement parts and value added services. With sales in excess of $4.5 billion, GE Transportation is headquartered in Erie, Pennsylvania, USA, and employs approximately 10,000 employees worldwide. For more information visit www.getransportation.com.

About GE
GE (NYSE: GE) is a diversified technology, media and financial services company dedicated to creating products that make life better. From aircraft engines and power generation to financial services, medical imaging, television programming, and plastics, GE operates in more than 100 countries and employs more than 300,000 people worldwide. For more information, visit the company's Web site at www.ge.com.

Media Contacts GE Transportation:
Ferhal Şencan
Bersay Communications Consultancy
+90 212.337.5100 / 5176
Cell: +90 532.570.1269 / +90 555.811. 2225
FerhalSencan@bersay.com.tr




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