of bombardier inc. industry rail vehicle manufacturing headquarters berlin germany key people laurent troger president products locomotives high speed trains intercity and commuter trains trams people movers signalling systems revenue us 8.8 billion 2013 ; 1 us 9.6 billion 2014 2 number of employees 34 900 parent bombardier inc. website www.bombardier.com en transportation bombardier transportation is the rail equipment division of the canadian firm bombardier inc. bombardier transportation is one of the world s largest companies in the rail vehicle and equipment manufacturing and servicing industry . the division is headquartered in berlin germany and has regional offices and major development facilities in canada montreal and toronto and the united states plattsburgh new york . 3 bombardier transportation has many minor production and development facilities worldwide . bombardier transportation produces a wide range of products including passenger rail vehicles locomotives bogies propulsion and controls and offers a number of services . laurent troger is the president and chief operating officer of bombardier transportation . 4 in january 2011 the company had 34 900 employees 25 400 of them in europe and 60 manufacturing locations around the world . 5 contents 1 history 1.1 legal issues 1.1.1 deutsche bahn 1.1.2 everline 1.1.3 toronto transit commission 2 products and services 3 services 4 facilities 5 see also 6 references 6.1 literature 7 external links history edit bombardier transportation s first order for mass transit rolling stock was in 1974 for the soci t de transport de montr al stm montreal transport authority to build metro trains for the montreal metro . 6 the core of the transportation group was formed with the purchase of montreal locomotive works mlw in 1975 . with that purchase bombardier acquired mlw s lrc light rapid comfortable tilting train design which it produced in the 1980s . the group also purchased urban transportation development corporation utdc from the government of ontario which had acquired hawker siddeley canada citation needed . mlw was sold to general electric in 1988 . ge ended railcar operations in canada in 1993 . bombardier transportation continues to operate the railcar operations in thunder bay . citation needed in 1987 bombardier bought the assets of us railcar manufacturers budd and pullman standard . in the late 1980s bombardier transportation gained a manufacturing presence in europe with the acquisition of a 45 % share in bn constructions ferroviaires et m talliques 6 whose principal site was in brugge bruges belgium in 1986 and the acquisition of anf industries whose principal site was in crespin france near the belgian border in 1989 . 6 in 1990 procor engineering ltd. of horbury near wakefield uk ; a manufacturer of bodyshells was acquired 6 and renamed bombardier prorail . 7 in 1991 the grouping bombardier eurorail was formed consisting of the company s european subsidiaries ; bn anf industrie prorail and bws . 8 9 in 1992 the company acquired mexico s largest railway rolling stock manufacturer concarril from the mexican government . 10 in 1995 waggonfabrik talbot kg in aachen germany and in 1998 deutsche waggonbau ag dwa and ateliers de constructions m caniques de vevey in vevey switzerland 11 were acquired . 6 dwa encompassed the major portion of the railway equipment industry of the former east germany kombinat schienenfahrzeugbau and had its principal sites in bautzen and g rlitz . citation needed in 2001 bombardier transportation acquired adtranz from daimlerchrysler and became by many measurements the western world s largest rail equipment manufacturer . 12 the takeover was approved by the eu competition commission subject to a number of minor clauses including the divestment of bombardier s stake in adtranz stadler joint venture stadler pankow gmbh sold to stadler rail and an agreement to retain kiepe as a supplier and elin as a partner for a number of years after the acquisition . 13 the addition of adtranz made bombardier a manufacturer of locomotives along with its existing product lines of passenger carriages multiple unit trains and trams . with the acquisition of adtranz bombardier also gained competence in the electrical propulsion components business . after the adtranz acquisition in 2001 bombardier transportation published its core manufacturing strategy for europe three sites for bogie manufacture were to be at siegen in germany derby uk and at the former anf plant in crespin france . vehicle body manufacturing was to be done at bautzen and g rlitz germany at the former kalmar verkstad plant sweden at the bombardier s derby carriage plant and the former bn constructions ferroviaries et m talliques in brugge . for final assembly the company chose the former waggonfabrik talbot plant in aachen and the former lew hennigsdorf nr . berlin in germany the former sorefame plant in amadora portugal and its plants in derby uk crespin france brugge belgium kalmar sweden and pratteln switzerland . additionally a number of plants would have specialised manufacturing roles including esk l pa czech republic and the pafawag facility in poland which would supply parts and welded structures and sites in vienna austria and bautzen germany which would specialise in light rail vehicle lrv manufacture whilst double deck trains for the german market would be manufactured in g rlitz . other sites had their work mandate reduced in scope or were closed . 14 15 in 2004 due to overcapacity in the european passenger train industry bombardier announced a restructuring program resulting in the closure of several plants ; in the uk the bogie production site at pride park derby bombardier prorail wakefield and a maintenance facility in doncaster were closed ; in mainland europe the plants at pratteln kalmar and amadora were to be closed 16 as well as plants in ammendorf and vetschau in eastern germany which had been slated for closure in 2001 . 14 16 in late 2012 bombardier announced the closure of the bombardier talbot plant in aachen and a reduction in workforce in the transportation division of 1 200 people . 17 18 the company obtained two major orders in 2014 san francisco bay area rapid transit district bart ordered an additional 365 rail cars from bombardier in early 2014 to be assembled at bombardier s plant in plattsburgh new york ; 19 transport for london united kingdom awarded a 1.3 billion contract to provide 65 aventra trains for crossrail and included the building of a maintenance depot at old oak common . 20 in may 2014 bombardier extended its presence in australia by purchasing a 100 % stake in rail signalling service rss an australian company focused on designing and constructing rail signalling solutions . 21 in sep 2014 the downsizing and eventual closure of the maryborough factory was announced 22 the factory closed in dec 2015 . 23 in january 2015 the government of hungary nationalised the loss making and under utilised bombardier carriage works at dunakeszi bombardier m v kft . hungarian acquiring a 64.9 % stake for 7.8 million . 24 in may 2015 the parent company bombardier inc. announced that it intended to split or spin off bombardier transportation as a separate publicly traded company while retaining control as the majority owner . 25 lutz bertling president and ceo of bombardier transportation stated that a primary motivation for the sell off was to increase the company s financial flexibility for potential acquisitions or consolidations allowing the company to better compete with an anticipated chinese presence in the european market . 26 an ipo was planned for late 2015 . 27 in late 2015 the public investor caisse de d p t et placement du qu bec cdpq acquired a 1.5 billion usd stake in bombardier transportation in the form of a bond equity hybrid with the shares returned to cdpq dependent on the financial performance of the company . the investment initially representing a 30 % stake a valuation of 5 billion . the sale was required in part to continue the financing of the parent company s c series jet a major cause of a 4.6 billion loss for the parent company in 2015 . 28 29 in late 2015 the national railway company of belgium awarded a bombardier alstom consortium a large 3.3 billion contract for 1 362 m7 doubledecker passenger rail vehicles with a value to bombardier of around 2 1 billion . 30 in aug 2016 bombardier opened a 6 000 square metres 65 000 sq ft production facility in isando johannesburg south africa . the site was specialised for the production of electric traction equipment mitrac . 31 legal issues edit deutsche bahn edit in early 2013 deutsche bahn announced that it was suing bombardier for 350 million because of some serious defects in trains used on the suburban s bahn rail network in berlin . this was in addition to the 160 million it was asking for from bombardier because of problems with more than 200 regional trains operating in southern germany and problems with the brakes in regional and local trains in munich . 32 the matter was settled out of court in march 2015 . lutz bertling head of bombardier s transportation division at the time confirmed the two firms had come to an agreement saying the settlement is a positive signal for our future cooperation . 33 everline edit in january 2015 the canadian broadcasting corporation cbc reported 34 35 36 that south korea s special investigation unit for anti corruption produced a report accusing bombardier transportation of corruption in the pursuit of the 2004 contract to build an 18 km elevated light rapid transit lrt rail system called the everline connecting the giheung station on the bundang yellow line of the seoul metropolitan subway system to a large amusement park named everland via yongin the 12th largest city in south korea about 30 km from central seoul . the investigation report alleges that bombardier provided gifts and trips to canada for civil servants and politicians involved in the contract decision which was based on revenue expected from an inflated estimate of 180 000 passengers per day using the service . it also alleges that bombardier created a 2 million slush fund for the canadian citizen kim hak pil a high ranking bombardier executive in south korea . bombardier has consistently denied the corruption allegations stating that they were not pleasure trips . there is a need to convince the people that our technology works well ... . if it had been corruption they would have charged us . the statute of limitations has now expired due to lack of evidence according to bombardier . everline operation has been financially troubled since construction was completed in 2010 . 37 the system remained dormant until service began in 2013 38 while the line owner successfully negotiated with the city of yongin a minimum revenue guarantee of 29.5 billion krw 39 per year regardless of passenger load . 40 this is said to be a serious burden for the city because ridership is reported to have risen to only about 20 000 passengers per day on the 30 carriages or about a quarter of the maximum possible capacity of the fleet in a 12 hour day . a reason suggested for this is the fare of 1100 krw about us 1 in 2015 ; it is impossible to pay for everline trips via a transfer surcharge on a connecting subway ticket . a 2014 web page 41 of a seoul tour service retailer makes no mention of the everline among the suggested modes of bus transport between seoul and everland . a lawyer who filed legal action on behalf of the citizens of yongin is reported to have provided details about bombardier s pursuit of the contract . he said that between 2003 and 2005 bombardier funded three luxurious trips to canada to each of 37 people including 18 yongin city councillors on so called lrt field trips . 34 35 toronto transit commission edit on october 16 2015 the toronto transit commission ttc announced that