Economy

Siemens in $410 million deal with Finnish Rail

HELSINKI (AP) — Finnish Rail says it is buying 80 electric locomotives from Siemens for more than 300 million euros ($410million), in one of the largest such deals in Europe this year.

The VR rail group says the entire fleet will be delivered by 2026 with the first locomotives being operational in 2017. The purchase also includes an option for an additional 97 engines from Germany's Siemens Rail Systems.

VR Group said Friday the deal is expected to close in early 2014. The government-owned rail operator has 155 electric locomotives. The new engines will gradually replace the company's first electric locomotives that were acquired from the Soviet Union in the 1970s.

The environmentally friendly Vectron locomotives have been made to operate in temperatures as low as minus 40 degrees Celsius (minus 40 F).

Related Headlines