Adtranz
| Company type | Joint venture (1996–1999), Subsidiary (1999–2001) |
|---|---|
| Industry | Rail transport equipment manufacturing |
| Founded | 1996 |
| Founder | ABB and Daimler-Benz |
| Defunct | 2001 |
| Fate | Acquired by Bombardier Transportation |
Area served | Worldwide |
| Products | Locomotives, high-speed trains, regional and metro passenger trains, trams, people movers, freight wagons, railway electrification and signalling systems |
| Owner | ABB (50%, 1996–1999), DaimlerChrysler (50%, 1996–1999; 100%, 1999–2001) |
| Parent | ABB and Daimler-Benz (joint venture), DaimlerChrysler (after 1999) |
Adtranz was an international manufacturer specializing in rail transportation equipment, with primary production sites located across Europe and the United States. Officially named ABB Daimler-Benz Transportation, it emerged in 1996 as a joint enterprise between ABB and Daimler-Benz, aiming to merge their rail equipment operations. In 1999, DaimlerChrysler—successor to Daimler-Benz—purchased ABB’s shares and rebranded the company as DaimlerChrysler Rail Systems. Subsequently, in 2001, Bombardier acquired the firm, incorporating it into its Bombardier Transportation division, which was then the largest global rail equipment manufacturer; Bombardier itself was later taken over by Alstom in 2021.
The company’s portfolio included locomotives, high-speed trains, regional and metro passenger trains, trams, people movers, and freight wagons. Additionally, Adtranz was active in railway electrification and signalling system infrastructure.
History
On 8 May 1995, ABB and Daimler-Benz announced plans to merge their rail-related businesses into a joint venture equally owned by both parties, intending to establish the world’s largest rail technology company.[1] This merger created a near-duopoly in Germany alongside Siemens, spanning electric locomotives, multiple units, trams, metros, and overhead catenary systems.[2] Regulatory approval was granted on the condition that both partners divest their shares in traction components manufacturer Kiepe.[3] The joint venture officially began operations on 1 January 1996.[4]
Adtranz undertook a rationalization of its manufacturing processes and product lines by standardizing car body designs; within a year and a half, production costs were reduced by 30%, while revenues and order volumes increased between 1996 and 1997.[5] Nevertheless, the company recorded a loss of $111 million in 1997.[5] Expansion efforts included acquiring Polish manufacturer Pafawag, upgrading its facilities, and obtaining controlling stakes in Hungary’s MÁV Dunakeszi and Switzerland’s Schindler Waggon by late 1997.[6]
In March 1998, Adtranz launched modular product platforms designed to meet diverse customer requirements: the Innovia guided transport system, the low-floor tram Incentro, the diesel multiple unit Itino, the electric locomotive Octeon (derived from DBAG Class 145), and the diesel locomotive Blue Tiger featuring a General Electric powertrain.[7][8][9] The strategy involved consolidating future offerings around these product families after fulfilling existing contracts.
Despite securing new orders—including a significant deal for 400 locomotives from Deutsche Bahn—and acquiring Swiss Locomotive and Machine Works in 1998,[10] Adtranz continued to face losses due to underestimated project expenses and technical challenges.
In January 1999, ABB divested its entire 50% shareholding to DaimlerChrysler for $472 million as stipulated in the original joint venture agreement.[11][12]
By the year 2000, Adtranz returned to profitability amid DaimlerChrysler’s intentions to exit the business. Early that year, its freight wagon segment was sold to The Greenbrier Companies[13], followed by the sale of its overhead electrification division to Balfour Beatty for €153 million later in 2000.[14] The signalling division remained under company ownership.[5]
In August 2000, DaimlerChrysler reached an agreement to sell Adtranz’s remaining assets to Bombardier for $711 million—a figure regarded by industry experts as undervalued—with final terms contingent on profitability.[15][16] The European Union approved this acquisition in April 2001 on condition that Bombardier license or divest Adtranz’s regional train and tram products within Germany to competitor Stadler Rail, ensuring continued market competition.[17] The transaction concluded on 1 May 2001 at $725 million,[18][19] integrating Adtranz into Bombardier Transportation.
Shortly after completion of the sale, Bombardier alleged that DaimlerChrysler had misrepresented Adtranz’s financial status and initiated legal action seeking damages. The dispute was resolved in September 2004 when DaimlerChrysler reimbursed $209 million to Bombardier, effectively lowering the purchase price to $516 million.[20][21][22]
Brand
The Adtranz brand was created by Landor Associates to establish the corporate identity for ABB Daimler Benz Transportation.[23] This name is an acronym derived from the founding entities: ABB, Daimler-Benz, and Transportation, with the letter z substituting the final s to convey a full-spectrum product range from A through Z.[24] The company stylized it as ADtranz, although it is frequently presented as Adtranz. The logo included a green dot representing a green signal and a commitment to environmental sustainability.[24] The tagline ADtranz – we speak railways was officially registered by the firm, but the rights were removed between 2007 and 2008.[23][25]
Products
- Locomotives
- E464 electric locomotive
- Norges Statsbaner El 18
- Indian Railways WAP-5 (in collaboration with Chittaranjan Locomotive Works)
- DE2000 for the Hellenic Railways Organisation, identified as OSE Class 220
- DB Class 101
- Subway rail vehicles
- M4 subway and elevated cars for SEPTA's Market–Frankford Line in Philadelphia
- Propulsion systems supplied for NYC Subway R110A and R142A cars until 2001
- Washington Metro 5000-series cars produced jointly with CAF
- Hong Kong MTR Lantau Airport Railway Train developed alongside CAF
- DBAG Class 481 units for Berlin S-Bahn
- Metro Bilbao 550 series EMUs in partnership with CAF
- Metro cars of the 2000B and 6000 series for the Madrid Metro, developed with CAF, Alstom, and Siemens Mobility
- Eleventh-generation metro cars for Athens Metro Line 1, created with Siemens and Hellenic Shipyards
- Stockholm Metro C20 units
- Metro cars for Shanghai and Guangzhou, produced in cooperation with Siemens
- High-speed trains
- Passenger trains
- Swedish intercity EMUs known as the Regina
- Adtranz-CAF Series 6000 trains, including MTR EMUs
- Danish IC3 Flexliner
- Norwegian RegioSwinger tilting trains
- Australian NSW TrainLink Endeavour and Xplorer railcars
- UK Bombardier Electrostar and Turbostar trains
- Queensland Rail Suburban and Interurban Multiple Units in Australia
- Brazilian CPTM 2000 series EMUs developed with CAF and Alstom
- Spanish Renfe Class 447 commuter EMUs made in collaboration with CAF, Alstom, and Siemens
- Trams
- Socimi Eurotram
- Flexity Outlook tram series
- Stadler Variobahn (also called Variotram)
- Bombardier Incentro tram models
- ADtranz low-floor trams including GT6N models deployed across cities such as Berlin, Munich, and various Japanese urban areas
- Light rail vehicles
- Manila LRT Line 1, 1100 class light rail vehicles built with Hyundai Precision
- Ankara Metro Ankaray Light Metro Line A1 constructed with Siemens and AnsaldoBreda
- İzmir Metro Line 1 units
- Kuala Lumpur Rapid KL first-generation six-car trains serving Ampang and Sri Petaling lines from 1996 to 2016
- Automated people movers
- Bombardier Innovia APM 100
Facilities inherited on foundation
- Kalmar Verkstad (Sweden)
- Strømmens Værksted (Norway)
- ABB Tecnomasio located in Vado Ligure (Italy)
- Henschel-Werke
- The rolling stock factory at Dandenong (Australia)
- AEG Schienenfahrzeuge in Hennigsdorf (Germany)
- Derby Litchurch Lane Works (England)
- Sorefame (Portugal)
- Westinghouse Transportation based in Pittsburgh, Pennsylvania, USA – acquired through AEG in 1988
Sources
- European Commission Decision dated 18 October 1995 regarding the compatibility of a merger with the common market and the EEA Agreement (Case IV/M.580 – ABB/Daimler-Benz)
- Annual Reports of DaimlerBenz from 1996 to 1997
- Annual Reports of DaimlerChrysler spanning 1998 to 2000
External links
- Archived version of Adranz website
- Adtranz homepage (archived)
- ↑ Commission Decision of 18 October 1995. Case No. IV/M.580 – ABB/Daimler-Benz
- ↑ Commission Decision of 18 October 1995
- ↑ Commission Decision of 18 October 1995
- ↑ Adtranz in brief
- ↑ 5.0 5.1 5.2 Cite error: Invalid
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- ↑ Railway Age April 1998
- ↑ Railway Gazette International April 1998
- ↑ Cite error: Invalid
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- ↑ DaimlerBenz Annual Report 1996
- ↑ PR Newswire January 2000
- ↑ International Railway Journal November 2000
- ↑ Railway Age September 2000
- ↑ Railway Gazette International September 2000
- ↑ Europa press release April 2001
- ↑ Business Wire April 2001
- ↑ BBC News August 2000
- ↑ International Railway Journal March 2002
- ↑ BBC News February 2002
- ↑ Business Wire September 2004
- ↑ 23.0 23.1 Cite error: Invalid
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