In the world of train car construction, there aren’t too many choices. Alstom and Kawasaki dominate the field, and both enjoy hundred-million-dollar contracts from the MTA. But Altsom, who made headlines a few years back for tardy delivers after their cars suffered major damages, is at it again.
This time, Alstom has fallen another five months behind schedule in delivering R160s to New York, and the MTA doesn’t seem keen on penalizing the company. Bruce Golding of The Post has more:
The problem-plagued French company building New York’s new high-tech subway cars has fallen five months behind schedule without being penalized by the MTA, The Post has learned. Alstom Transport even won a contract extension in July for $700 million more of the cars, despite its dismal deliveries.
Alstom’s upstate Hornell factory has only turned out about 80 of the R160-model cars since starting production last year, an industry source told The Post. The company was supposed to have delivered about 200 of the total 400 cars under its original contract.
According to Golding’s article, the contract Alstom signed with the MTA contains a late-delivery provision. Allegedly, Alstom must pay $800 a day for late deliveries on four-car trains and $1000 a day for five-car trains. So far, no fines have been levied against the Paris-based company.
Now, doesn’t that strike you as silly? The MTA is foisting a fare hike on the public because they won’t have enough money soon. Well, if these charges against Alstom are true, the MTA not has kept rewarding a perennially delayed company but also has some free money awaiting them. Just enforce the terms of the contract, and voilà, cash.