alstom sa-unspon adr (ALSMY) Key Developments
Alstom Announces Operation of Citadis Tram in Paris
Dec 25 14
Alstom SA has announced the operation of Alstom Citadis tram at the Saint-Denis Porte de Paris station on line eight of the Ile-de-France tram network, linking Saint-Denis with Epinay-sur-Seine and Villetaneuse. This new service is a result of the contract between RATP and Alstom, signed in 2010, for the supply of 19 trams for line T7, with an option on 20 trams for line T8. This option was exercised in April 2013. The trams for the Ile-de-France region are financed by STIF. The line serves 17 stations and covers a distance of more than 8 kilometres. It improves transport services to the north-western Seine-Saint-Denis area and provides easier access to centres of learning and business parks. Since the Citadis is modular, Alstom has been able to offer RATP and STIF a product with a personalised design, both for the exterior and the interior of the trams.
Alstom to Pay $772 Million Bribery Fine
Dec 24 14
Alstom pleaded guilty and agreed to pay a record $772 million (EUR 634.1 million) to end a US Justice Department investigation into bribes paid to win power-plant contracts in Indonesia and the Middle East. UK authorities also charged another unit on December 23, 2014 with paying bribes in Lithuania. The US fine is the large criminal penalty paid to the Justice Department under the Foreign Corrupt Practices Act, eclipsing the $450 million paid by Siemens in 2008.
Alstom Agrees to Pay Record $772 Million to Settle U.S. Criminal Charges
Dec 23 14
Alstom agreed to pay the large criminal fine ever under a U.S. law that prohibits bribery of foreign officials. Alstom, which is about to sell most of its power business to General Electric Co., will pay $772 million after admitting that for more than a decade its U.S. subsidiaries paid bribes to officials in Indonesia, Saudi Arabia, Egypt, Taiwan and the Bahamas. The fine, eclipsing the $450 million paid by Siemens in 2008, will go to the U.S. Treasury. Criminal charges against some company officers and former employees are still pending. Alstom agreed to plead guilty to two charges filed in a U.S. District Court in Connecticut of violating the Foreign Corrupt Practices Act, the Justice Department said. The settlement also involved two U.S. subsidiaries, Alstom Power Inc., based in Connecticut, and Alstom Grid Inc., based in New Jersey. The Justice Department said Alstom had admitted to bribing a high-ranking member of the Indonesian parliament and officials of the country's state-owned electricity company in return for help winning contracts worth $375 million. In all, Alstom paid more than $75 million in bribes to win $4 billion in contracts around the world. The Foreign Corrupt Practices Act bans individuals and companies from making payments to foreign government officials to win or retain business. The 1977 law lets the U.S. government claim jurisdiction over non-U.S.-based companies whose shares are traded in U.S. markets or if any of the alleged fraud occurred in the U.S. The case against Alstom focused on its Connecticut unit and bribes wired through a bank account in Maryland. Its shares don't trade in the U.S. Cases enforcing the anti-corruption law have drawn attention in recent years for the magnitude of corporate penalties they command. Among the U.S. penalties for foreign bribery are KBR Inc.'s $579 million settlement in 2009 and Alcoa Inc.'s $384 million penalty this year. Those cases included criminal and Securities and Exchange Commission penalties. In the Alstom probe, investigators had to build their case using informants and recorded phone calls when the French company refused to cooperate at first.
Alstom Receives a Contract to Supply Metro System for Guadalajara Line 3
Dec 19 14
Alstom, in association with CPVM, a company from OHL group, has received a contract from the Secretariat of Communications and Transport of Mexico to supply a full system for Line 3 of Guadalajara metro. Alstom's share in the contract is worth around EUR 240 million. The line is 20 km long and will run through Zapopan, Guadalajara and Tlaquepaque municipalities in the State of Jalisco. It will provide fast, comfortable and safe transportation to 233,000 passengers daily. Alstom will supply 18 Metropolis trains, the communication systems, the high-voltage and traction substations, the traffic control systems based on Urbalis 400, Alstom's CBTC system. Widely proven and constantly upgraded, Urbalis represents the ideal CBTC solution for urban transit operators aiming to maximise performance and capacity and who require traditional interlocking systems for operational needs.
Acciona, Alstom, Capella Capital and Transdev Sign Australian Rail Contract Worth EUR1.4 Billion
Dec 17 14
Acciona announced that a consortium it is part of has signed a contract worth EUR 1.4 billion ($1.7 billion) to build and operate a light-rail line through Sydney. The regional government of the state of New South Wales on the east coast of Australia in October announced that it had selected the Connecting Sydney consortium, which also includes Alstom, Capella Capital and Transdev, to carry out the project. The 12-kilometre (7.5-mile) light-rail link will link Sydney's central business to the southeast of the city and will include stops in several key locations such Sydney Football Stadium and the University of New South Wales. Work on the line is scheduled to start in April 2015 and it is expected to start operating at the beginning of 2019. The light-rail link will allow carrying up to 15% more passengers during peak hours and provide 33% more seats during the day once it is completed.