RAIL.ONE wins further major order from Saudi Arabia

RAIL.ONE will again deliver at least 600,000 additional concrete sleepers for the North-South Line

Neumarkt, Germany, 17 February 2010 – RAIL.ONE Group, successful international manufacturer of concrete sleepers and systems provider for railtrack infrastructure, has successfully bid for delivery of an additional 600,000 concrete sleepers for contracted project sec-tion CTW 400 of the North-South Line in Saudi Arabia. The new contract includes the option of increasing the quantity delivered by a further 250,000 sleepers. Already during the years 2007 to 2009, the company – together with its joint-venture partner, Office 15 of Chinese Railways Construction Corporation (CRCC) – was contracted to manufacture and deliver 850,000 main-track sleepers as well as approx. 78,000 linear metres of turnout sleepers for project sections CTW 100 to 300 of this line.

The North-South Line project is a key undertaking of the Saudi Arabian government. Its objective is construction of a 2,400-km connection between the mining regions in the north-west of the country and Dammam. Implementation of additional railway projects – e.g., the Saudi Landbridge Project and the rail line between Mecca and Medina – will create a highly advanced rail network for freight and passenger traffic.

Top quality in a diversity of climate zones

For RAIL.ONE Group, the additional order for this project represents significant success for its concrete-sleeper technology in the Near East. For this line, which is single-track for most of the stretch, specifications placed on technical sleeper design stipulate an axle load of 32.5 metric tonnes. In comparison, the maximum axle load in Germany is 25 tonnes. The RAIL.ONE Type AR 06 heavy-haul sleeper meets these strict demands: first by its massive concrete body, and second by prestressing greater than that of standard European sleepers. In addition, production processes and concrete mix formulation have been adapted to local conditions.

Production of the 600,000 to 850,000 concrete sleepers takes place in Hail, approx. 700 km north of Riyadh, under management of the newly founded subsidiary RAIL.ONE Saudi Arabia L.L.C. After completion of the existing supply contracts, production of concrete sleepers for the Saudi construction company Al Ayuni will begin in October of this year. For Ralf Sobottka, President and CEO of RAIL.ONE GmbH, this contract is a significant step toward further internationalization of the company: “Foreign business – especially involving countries of the MENA Region and the Emirates on the Arabian Gulf – represents for us, as sleeper manufacturers and systems provider, exceptionally exciting markets – which will demonstrate appreciable growth potential over the coming years. Thanks to our unique product portfolio, our proven expertise, and our broad positioning, we are well equipped to handle the effects of the still continuing economic crisis.”

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About the PCM RAILONE Group

The PCM RAILONE Group has been manufacturing concrete sleepers and track systems for urban transit and long-distance rail transportation for over 60 years. The technology leader also offers its expertise in the fields of engineering and plant construction. Its customer-driven innovations fulfill the highest quality standards and are installed around the world

The PCM RAILONE Group is comprised of several companies and eleven production facilities with a presence in Germany, Romania, Saudi Arabia, Spain, South Korea, Hungary, Turkey, the United States, Canada and lndia. lt maintains annual capacities of over 5 million track sleepers and 840,000 linear meters of turnout sleepers. RAILONE produces optimized products and custom solutions with over 550 employees around the world.