ACTIVITY REPORT - Alstom R… · systems, equipment and services for the railway sector. Alstom manages the widest range of solutions in the market ... following the sale of its energy

ACTIVITY REPORT 2015/16

CONTENTS

02 PRESIDENT’S MESSAGE

04 GOVERNANCE

08 KEY FIGURES

10 HIGHLIGHTS

16 CUSTOMER-FOCUSED ORGANISATION

48 VALUE CREATION THROUGH INNOVATION

66 DIVERSE AND ENTREPRENEURIAL PEOPLE

22 A COMPLETE RANGE

OF SOLUTIONS

54 OPERATIONAL AND

ENVIRONMENTAL EXCELLENCE

1 /ALSTOM – ACTIVITY REPORT 2015/16

As a promoter of sustainable mobility, Alstom develops and markets systems, equipment and services for the railway sector. Alstom manages the widest range of solutions in the market – from high-speed trains to metros and tramways – customised services (maintenance, modernisation...), infrastructure and signalling solutions. Alstom is a world leader in integrated railway systems. It recorded sales of €6.9 billion and booked €10.6 billion of orders in the 2015/16 fiscal year. Headquartered in France, Alstom is present in over 60 countries and employs 31,000 people today.

ALSTOM’S AMBITION IS TO BE THE PREFERRED PARTNER OF ITS CUSTOMERS for their transport solutions in all geographic locations and all market segments. With a customer-focused organisation across the globe, Alstom offers a complete range of solutions and constantly innovates to create value for its customers. The company strives for operational and environmental excellence and bases its success on a diverse and entrepreneurial team worldwide.

A GLOBAL PLAYER FULLY FOCUSED ON TRANSPORT

ABOUT US

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PRESIDENT’S MESSAGE

The year 2015/16 was marked by major changes for Alstom. What stands out for you?

2015/16 was another year of growth for Alstom. For the second year in a row, our order intake exceeded €10 billion and our sales grew by 12% to €6.9 billion. This continued growth was achieved while Alstom refocused on rail transport following the sale of its energy activities to General Electric (GE). This divestiture has reinforced Alstom’s strategic agility. In addition to purchasing GE’s signalling activities, we have acquired companies in South Africa, Sweden and the UK and strengthened our partnerships in Russia and Kazakhstan. These moves enable us to better address our market.

How do you view this market?Alstom operates in a dynamic market that shows constant growth at 2.8%1 per year, offering many opportunities. Demand remains strong, notably due to the effects of growing urbanisation and increasing environmental concerns. Urban transport is still the market segment with the fastest growth, at 4.1%1 per year, due mainly to demand in fast growing economies.

Our customers are striving to enhance the efficiency of their transport systems through reduced maintenance costs, increased energy savings, and better availability of solutions, all while ensuring the security of passengers and respect for the environment. A larger portion of them require complete turnkey systems and long-term partnerships. Being state owned, operators are also sensitive to the localisation of their suppliers.

What is your strategy for meeting the expectations of these markets? By 2020, our ambition is to become the preferred partner of cities, countries and operators for their transport solutions. Alstom’s transformation is well underway. We will pursue the international development of our activities in order to be close to our customers. In March 2016, for example, we launched the construction of the new site in South Africa via our joint venture Gibela. We are a customer-focused organisation, supported by local presence and partnerships; this is essential to becoming No. 1 or No. 2 on every continent. Furthermore, our capacity to offer a complete range of solutions will increasingly enable us to offer our clients integrated systems

HENRI POUPART-LAFARGE, CHAIRMAN AND CHIEF EXECUTIVE OFFICER OF ALSTOM

ALSTOM’S TRANSFORMATION IS UNDERWAY


that include not only trains, but also signalling, infrastructure and services. This trend was recently illustrated in Panama, where Alstom is supplying a second integrated metro solution to the city. The system, signalling and service activities are growing and should represent 60% of our turnover in 4 years’ time. Finally, innovation, a creator of value, is part of the company’s DNA and a source of competitiveness and differentiation. We anticipate that 30% of orders booked between now and 2020 will come from newly-developed products. Optimising the total cost of ownership of solutions and improving passenger experience are the main areas of development in this domain.

How is this transformation taking place internally?We have put in place a major programme designed to drive operational excellence, thereby improving the competitiveness of our offer and the execution of our projects. It is supported by a digitalisation plan, which will build an agile and effective information system within the company. From an environmental perspective, a number of initiatives have been implemented to further reduce the energy consumption of our solutions and operations. Finally, Alstom’s ambition is to develop a culture that is based on diversity and entrepreneurship, supported by our values (team, trust and action) as well as a strong culture of ethics and compliance.

How do these ambitions translate into figures?The objective of this strategy is to make the company grow faster than the market. We are aiming for an average growth in sales of 5% per year by 2020. The evolution of our offering and the push for operational excellence should also enable us to reach a 7% margin by this time, compared with just above 5% today. A conversion of around 100% of the net result into free cash-flow is also expected in 2020.

HENRI POUPART-LAFARGE

By 2020, our ambition is to become the preferred partner of cities, countries and operators for their transport solutions. Alstom’s transformation is well underway.

1- Source: UNIFE 2014.

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GOVERNANCE

BOARD OF DIRECTORSMARCH 2016

1/ Henri Poupart-Lafarge Chairman and Chief Executive Officer of Alstom

2/ Géraldine Picaud Chief Financial Officer of the Essilor Group

3/ Klaus Mangold Chairman of the Supervisory Board of Rothschild GmbH (Frankfurt)

4/ Phillippe Marien Chief Financial Officer of Bouygues group

5/ Sylvie Rucar Consultant

6/ Bi Yong Chungunco Head of Divestments of LafargeHolcim

7/ Olivier Bouygues Deputy Chief Executive Officer of Bouygues

8/ Candace K. Beinecke Chair of Hughes Hubbard & Reed LLP

9/ Gérard Hauser Director of companies

10/ Alan Thomson Non-Executive Chairman of HAYS plc

11/ Pascal Colombani Chairman of TII Stratégies

12/ Olivier Bourges Secretary General of PSA Peugeot-Citroën

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Alstom has taken active steps to achieve its highly demanding goals for transparent corporate governance based on the AFEP-MEDEF corporate governance code for listed companies. This means that Alstom applies strict corporate governance rules, particularly with respect to the independance of Board Directors and the missions of specialised committees.

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GOVERNANCE

EXECUTIVECOMMITTEEMARCH 2016

1/ Henri Poupart-Lafarge Chairman and Chief Executive Officer

2/ Thierry Best Chief Operating Officer

3/ Marie-José Donsion Chief Financial Officer

4/ Mathias Klemptner Senior Vice-President Human Resources

5/ Pierrick Le Goff General Counsel

6/ Pascal Cléré Senior Vice-President Transport Information Solutions

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7/ Jérôme Wallut Senior Vice-President North America

8/ Andreas Knitter Senior Vice-President Europe

9/ Dominique Pouliquen Senior Vice-President Asia Pacific

10/ Jean-Baptiste Eymeoud Senior Vice-President France

11/ Michel Boccaccio Senior Vice-President Latin America

12/ Gian-Luca Erbacci Senior Vice-President Middle East and Africa

The Executive Committee of Alstom covers the definition of the strategy and general policies as well as the assignment of corresponding operational objectives, the allocation of financial and human resources under the authority of the Board. The Executive Committee also manages the relationship with the Board of Directors as well as with Alstom’s external environment (shareholders, financial community, public).

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31,000 EMPLOYEES WORLDWIDE

A WORLWIDE LEADER IN THE MARKET

KEY FIGURES

ASIA PACIFIC

3,200EMPLOYEES

EUROPE

21,250EMPLOYEES

AMERICAS

4,850EMPLOYEES MIDDLE EAST

& AFRICA

1,700EMPLOYEES

105 sites

IN

60 countries


ORDERS €10.6 BILLION

Middle East & Africa 10%

Americas 12%

Europe 39%

Asia Pacific 39%

SYSTEMS Infrastructure and integrated

systems

SIGNALLING Control centres, trackside

signalling solutions, security, infotainment

and interlocking

TRAINSTramways, tram-trains,

metros, suburban, regional and high-speed trains,

and locomotives

SERVICES Maintenance,

modernisation, spare parts, repairs and support services

ACTIVITIES IN % OF SALES

46% 17% 15% 22%

€6.9billion

SALES

€0.2billion

NET DEBT

5.3%MARGIN

All figures at 31 March 2016.

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HIGHLIGHTS

THE YEAR IN IMAGES

This overview of 2015/16 reveals a year of growth for Alstom marked by technological breakthroughs, new contracts, strengthened partnerships and acquisitions; a year where Alstom has refocused its activities on rail transport reinforcing its strategic agility in a dynamic market.


MAY

25 additional Coradia “Jazz” regional trains for Trenitalia

APRIL

ITALY /// “Jazz” is the latest generation of Alstom’s Coradia Meridian range designed for regional operators in Southern Europe, mainly in Italy. It is an Electric Multiple Unit train that can run at a maximum speed of 160 km/h, offering accessibility for all thanks to its low floor. Designed to be eco-friendly, Coradia Meridian is 95% recyclable.

UK /// Alstom signs an agreement to buy Balfour Beatty’s share of Signalling Solutions Ltd (SSL), a 50-50 joint-venture between Alstom and Balfour Beatty established in 2007 to provide advanced signalling solutions to the UK and Ireland’s rail sectors. Alstom thus becomes the sole owner of SSL.

ACQUISITION OF 100% OF SIGNALLING SOLUTIONS LTD (SSL)

INDIA /// The Metropolis enters commercial service in the city of Chennai on the first phase of line 2 from Koyambedu to Alandur. In 2012, Alstom set up a manufacturing plant in Sri City where close to 80% of the Metropolis trainsets ordered by Chennai Metro Rail Limited were manufactured while the first nine trainsets were produced at Alstom’s factory in Lapa, Brazil.

First metro in Chennai in service

JUNE

… /…

WORLDWIDE /// Alstom launches Attractis, an innovative integrated tramway system for growing cities that is simpler to operate and cost-effective, and SRS, the latest ground-based static charging system for both trams and electrical buses.

LAUNCH OF ATTRACTIS AND SRS

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HIGHLIGHTS

17 Coradia Polyvalent trains ordered by SNTFALGERIA /// This investment is part of SNTF’s programme to modernise and extend its network. Coradia Polyvalent meets the needs of SNTF and its passengers. It is adapted to the environmental conditions of the country and has a highly efficient air conditioning system. The train also has a fully low floor for easy access and movement on board.

UK /// Alstom and JV partner Taylor Woodrow complete work on the Nottingham Express Transit (NET) extension allowing millions of Nottingham commuters to have comfortable and eco-friendly journeys into and out of the city. The expanded network has more than doubled the existing tram line.

BRAZIL /// This is the first of the 32 tramsets ordered by the city of Rio de Janeiro through the VLT Carioca consortium in 2013 as part of an integrated catenary-free tramway system. The line will be partially opened in mid-2016 in time for the Olympic Games.

NOTTINGHAM TRAM EXTENSION COMPLETED

The first Citadis tram delivered to Rio de Janeiro

JULY

AUGUST

… /…


WORLDWIDE /// For the fifth year in a row, Alstom has been included in the Dow Jones Sustainability Indices (DJSI) – World & Europe, which recognises companies’ corporate social responsibility (CSR) initiatives, with a score largely above the average for the industrial engineering sector included in the index.

PANAMA /// Alstom, leader of a consortium with CIM, Sofratesa, Thales and TSO, is awarded a contract by Consórcio Línea 2 to supply an integrated system to equip metro Line 2 of Panama. The new 21-km line includes 16 stations and is expected to start in 2019. It will be able to carry up to 40,000 passengers per hour and per direction.

Alstom included in the Dow Jones Sustainable Index

A second integrated system for Panama metro network

A new control centre in CanadaCANADA /// Metrolinx, an Ontario government public transit agency, asks Alstom to provide a new computer-based integrated train control centre for the Greater Toronto and Hamilton Area, one of the busiest transit areas in Canada.

SEPTEMBER

ITALY /// Alstom and NTV sign a contract for the purchase of 8 Pendolino high-speed trains, along with 20 years of maintenance. The new trains will expand the operator’s existing fleet and offer additional high-speed journeys to its passengers. The first trains are scheduled to be delivered in 2017.

8 PENDOLINO HIGH-SPEED TRAINS FOR NTV

OCTOBER

FRANCE /// Alstom is chosen to supply 19 Citadis X05 tramsets and SRS, its innovative ground-based static charging solution. The order includes options for 3 to 18 supplementary trams, their energy charging systems and their maintenance for a period of 12 years. Alstom’s Citadis X05 trams will circulate on the new lines 2 and 3 of the Metropolis Nice Côte D’Azur network, for which Alstom equipped line 1 in 2007.

A tramway system for the City of Nice

SWEDEN /// Alstom finalises its acquisition of Motala Train AB, a Swedish company specialised in refurbishment, heavy maintenance and repair of passenger trains. Alstom becomes the sole owner of the company, which employs 73 people, taking Alstom’s workforce to over 350 people in the country.

Acquisition of Motala Train AB

… /…

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HIGHLIGHTS

RUSSIA /// Alstom completes the purchase of an additional 8% shares in Transmashholding (TMH) from the Russian Railways (RZD). Following the deal, Alstom’s stake in TMH reached 33%. Alstom will retain two seats in the TMH Board of Directors.

WORLDWIDE /// Alstom closes the sale of its Energy activities (Power generation and Grid) to General Electric for an amount of approximately €12.4 billion and also acquire the GE’s energy activities. Consequently, the Group is entirely refocused on rail transport with strong leadership positions.

Alstom increases its stake in Transmashholding to 33%

ALSTOM REFOCUSES ON RAIL TRANSPORT

NOVEMBER

DECEMBER

BELGIUM /// A consortium consisting of Alstom and Bombardier Transportation signed a framework contract to supply up to 1,362 M7 double deck cars to the Belgian National Railways (SNCB-NMBS). The first firm order signed to date includes the design and manufacture of 445 cars.

Up to 1,362 double deck train cars for the Belgian National Railways

INDIA /// The first contract was signed with Indian Railways for the supply of 800 electric locomotives and associated maintenance. The second was signed with DFCCIL (Dedicated Freight Corridor Corporation of India Ltd.) for the electrification, signalling and telecommunications system for a part of the eastern Dedicated Freight Corridor (DFC).

Two significant mainline contracts in India

… /…


ALSTOM DELIVERS THE THIRD REBUILT RAIL CAR TO ROCKY MOUNTAINEERCANADA /// Alstom and Canadian customer Rocky Mountaineer celebrate the delivery of the third rebuilt luxury rail car at Alstom’s Mare Island facility in California. Alstom has already modernised and delivered two cars and will soon deliver a fourth.

INDIA /// Alstom delivers on January 2, 2016, ahead of schedule, the first Metropolis trainset to Kochi Metro Rail (KMRL) of the 25 trainsets ordered by Delhi Metro Rail Corporation (DMRC) in August 2014.

The first Kochi Metropolis trainset delivered ahead of schedule

WORLDWIDE /// This year, the Alstom Foundation will support 18 new projects worldwide. The Foundation’s projects focus on: Economic and Social Development, Access to Energy and Water and Environmental Protection. With Alstom refocused on transport since November 2015, the Foundation has established an additional category: Access to Mobility.

18 PROJECTS TO BE FINANCED BY THE ALSTOM FOUNDATION

MARCH

FEBRUARY

JANUARY

SOUTH AFRICA /// Alstom, through its local South African joint venture company Gibela, has reached a major milestone by starting the construction of its new manufacturing site to build 580 X’Trapolis Mega suburban trains for the Passenger Rail Agency of South Africa (PRASA). The completion of the 60,000m2 site, which will be built in phases, is expected to take 18 months.

KAZAKHSTAN /// Alstom and Kazakhstan Temir Zholy (KTZ) close the deal for Alstom’s acquisition of an additional 25% in the EKZ joint venture, formed by Alstom, KTZ and Transmashholding (TMH) to produce electric locomotives in Kazakhstan. Alstom becomes the main shareholder of EKZ with 50% of the shares, with KTZ and TMH both holding 25% of the joint venture.

ALSTOM INCREASES ITS STAKE IN KAZAKH EKZ TO 50%

Alstom begins construction of a new train manufacturing site in South Africa

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CUSTOMER- FOCUSED ORGANISATION/// As a global player in rail transport, Alstom continues to strengthen its position in local markets to better meet the needs of its customers and seize opportunities for growth.

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investment in R&D. From an operational standpoint, Alstom’s local presence makes it more responsive in executing projects while enabling more competitive pricing through well-placed engineering centres and production sites, along with more efficient supply chain management. Meanwhile, standardised processes allow it to share expertise between its different production sites around the world, creating economies of scale.

A LOCALISED ORGANISATION Alstom’s bid to strike a balance between global reach and local presence is reflected in its organisation, which comprises six key regions: North America, Latin America, Europe, France, Middle East & Africa and Asia Pacific. Each region is commercially and ope-rationally independent, and has its own local management structure to better understand market needs. Each is also fully responsible for relations between Alstom and its customers on every aspect of projects in that region.

Proximity to customers is crucial to Alstom’s success in a buoyant – but highly competitive – market and is a strategic mainstay of its entire

organisation. By ensuring a presence as close as possible to its customers, Alstom can better understand their needs and offer tailored solutions while seizing growth opportunities in high-potential markets. Alstom’s in-house design department guarantees customers across the world unrivalled service in terms of customisation and comfort. At the same time, customers encourage their suppliers to develop a local industry that contributes to economic development in their country.

A LOCAL PRESENCE FOR CUSTOMERSBy establishing a close, long-term relationship with its customers, Alstom is in a position to benefit from feedback on products and solutions already in use while anticipating market trends to better guide its efforts in promoting continuous improvement and

CUSTOMER-FOCUSED ORGANISATION

To meet booming demand around the globe while adapting to specific considerations in the different regions in which it operates, Alstom has established a localised organisation designed to promote commercial and industrial proximity to customers and enhance operational efficiency.

PROMOTING PROXIMITY TO STRENGTHENLONG-TERM PARTNERSHIPS

…Pendolino high-speed

train for Virgin in a depot at Wolverhampton (United Kingdom)

“Railway material has a very long lifetime.

We are talking about lifetimes of up to

40 years. The relationship between the customer

and the supplier is almost by definition

a partnership.”JO CORNU,

CEO, SNCB-NMBS, Belgium


The expertise of Alstom employees also allows regions to build trust-based relations leading into and coming out of projects. Their local capabilities are enhanced by a network of industrial sites spread around the globe, offering even greater responsiveness and efficiency. The signalling business continues to have a separate organisation that enables it to meet the requirements of its specific technology and the global application of its solutions while maintaining strong ties with the six regions. Alstom’s organisation also includes a head office, which handles all key central functions. Head office implements and oversees the global strategy, determines suitable policy

on products and innovation, implements joint processes for operational aspects of the business – such as quality, purchasing, manufacturing and engineering – and ensures synergy between the different regions.

A NETWORK OF ALLIANCES To continuously promote flexibility and versatility, Alstom adapts its operational resources to local needs through the location of its own industrial sites. However, it also establishes joint ventures and strategic partnerships that span a range of activities including trains, signalling, services, systems and components.

MORE THAN200 CUSTOMERSACROSS THE WORLD

ALSTOM IS PRESENT IN 60 COUNTRIES

6 REGIONS PILLARS OF THE ORGANISATION

///A RELATIONSHIP BUILT ON TRUST Alstom endeavours to build a long-term relationship of trust with its customers by carrying out a comprehensive set of actions to better understand and meet their expectations over the course of their projects. For three years now, Alstom has been hosting international “Customer Clubs”. Organised at the premises of a member customer, these forums enable customers to share return on experience and opinions with their counterparts and Alstom representatives. In this manner, Alstom dedicates itself to listening to its customers to gain more insight into their specific challenges and needs. Since they were launched, the Clubs have brought together more than 60 companies throughout the world.

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Alstom formed one of its flagship partnerships in 2010 with the Russian firm Transmashholding (TMH), one of the largest manufacturers in the world. Alstom and TMH design rail solutions tailored to the needs of the “1520” market, which encompasses the largest rail network in the world. The alliance, in which Alstom increased its share to 33% in December 2015, has produced the EP20 passenger locomotive and the 2ES5 freight locomotive, both designed by their joint venture TRtrans, founded in 2010, and manufactured at the TMH site in Novotcherkassk, southern Russia. Alstom and TMH have also signed a partnership with KTZ, the Kazakh rail operator, to form

the joint venture EKZ. In February 2016, Alstom became the main stakeholder of EKZ with 50% of the shares, with KTZ and TMH both holding 25% of the joint venture. EKZ manufactures the KZ8A freight locomotive and the KZ4AT passenger locomotive at its

Astana site in Kazakhstan, which began operation in October 2012. In 2013, the JV KazElectroPrivod (KEP) was formed by Alstom and its Kazakh partner Kamkor to manufacture signalling equipment for the Kazakh railways.

RUSSIA AND KAZAKHSTAN

FOCUS ON

To further strengthen its proximity with its customers, Alstom has built a worldwide, solid and effective network of partnerships in key locations. These alliances enable Alstom to meet its customers’ rising demand for local solutions.

STRATEGIC PARTNERSHIPS ACROSS THE WORLD

CUSTOMER-FOCUSED ORGANISATION


Alstom has operated in China for nearly 30 years via five joint ventures: SATEE (traction systems), XAYEECO (motors), CASCO (signalling systems), AQREC (dampers) and SATCO (vehicle assembly and maintenance). In April 2015, SATCO won a contract to supply 30 Citadis trams for the first two lines in Songjiang, outside Shanghai. The contract represents Alstom’s first Citadis tram project in China.

CHINA

In 2011, Alstom, Entreprise Métro d’Alger (EMA) and Ferrovial formed CITAL, a joint venture that aims to support industrialisation in Algeria and boost the local economy. The JV assembles and maintains Alstom Citadis trams serving Algerian cities. CITAL has more than 240 employees, including nearly 90 at its Annaba site. The remaining employees are based in Algiers, Oran and Constantine, where they maintain Citadis trams that are already in service. Beginning of April 2016, the three companies signed a cooperation agreement to extend the activities of CITAL to include the assembly and maintenance of regional and intercity trains, in addition to its current focus on Citadis trams.

ABC is a joint venture comprised of Alstom, Babcock and Costain. ABC offers electri-fication solutions for the UK market and contracts have been won for the West Coast Power Supply Upgrade and for the Edinburgh Glasgow Improvement Programme. It has also been named by Network Rail as winner of two framework contracts.ATC is a joint venture between Alstom, TSO and Costain specifically designed to fit out and commission Crossrail’s tunnels. The Alstom-led joint venture is fitting out the 21 km of twin tunnels that stretch under London with track and power equipment.

In 2012, Alstom and Bpifrance founded NTL, a company that designs, manufactures and markets Translohr tyre-based trams. At the end of 2015, Alstom and ADEME (French environment and energy management agency) formed SpeedInnov, a joint venture to shape the new generation of the very high-speed train, part of the Alstom’s Avelia range.

FRANCE

UNITED KINGDOM

ALGERIA

In 2013, Passenger Rail Agency of South Africa (PRASA) and Gibela, a company jointly held by Alstom and two South African partners – New Africa Rail and Ubumbano Rail – signed a contract as part of the programme to modernise PRASA’s fleet of suburban trains. Gibela, which employs 200 people, will supply a total of 600 trains and provide technical support and spare parts over an 18-year period. The construction of a new 60,000 m2 site in Dunnottar, east of Johannesburg, started in March 2016. In the meantime, the first 20 X’Trapolis Mega suburban trains are currently under production in Lapa, Brazil. The first two trains successfully arrived on time at PRASA’s Wolmerton depot end 2015 and beginning of 2016 to start dynamic testing on the South African railway. In April 2016, Alstom and the South African rail company CTLE (Commuter Transport & Locomotive Engineering) formed Alstom Ubunye. This joint venture, with respective stakes of 51% and 49%, is specialised in the modernisation of trains, strengthening the presence of Alstom in the country.

SOUTH AFRICA

Madhepura Electric Locomotive Private Limited was formed at the end of 2015 by Alstom and Indian Railways, respectively holding a 74% and 26% stake. This joint venture will execute the supply of 800 electric locomotives and associated maintenance in India and the set-up of a manufacturing plant at Madhepura (Bihar state) where most of the locomotives will be assembled. The delivery of the locomotives will take place between 2018 and 2028. The project also includes the set-up of two maintenance depots at Saharanpur (Uttar Pradesh state) and Nagpur (Maharashtra state).

INDIA

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A COMPLETE RANGE OF SOLUTIONS/// Alstom offers the most comprehensive range of products and services in the rail market. From trains and integrated systems to signalling and services, Alstom combines an array of expertise to offer customers optimal solutions tailored to the challenges of smarter and sustainable mobility.

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Drawing on its technological expertise and the complementary nature

of its business lines, Alstom offers urban operators a range of effective, sustainable,

cost-effective transport solutions.

AT THE HEART OF THE CITY


24COUNTRIES EQUIPPED

with ICONIS control centres

MORE THAN

2,300CITADIS TRAMS and

LIGHT RAIL VEHICLES ordered

MORE THAN

100HESOP SUBSTATIONS SOLD

MORE THAN

MORE THAN

17,000METRO CARS

running worldwide every day

MORE THAN

500TRAMS equipped with

PEGASUS 101

No. 1 IN INTEGRATED TRAMWAY SYSTEMS

of metro line equipped with URBALIS SYSTEMS BY THE END OF 2018

1,900 km

travelled by APS*

20 MILLION KM

* Ground power supply.

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around more easily. The tram provides a passenger exchange rate of up to 27%. Citadis trams vary from 24 to 44 metres in length and are available in two standard widths, 2.4 metres and 2.65 metres. Operating costs are low, reduced by 11% compared with previous versions thanks to improved energy efficiency and minimal maintenance requirements. Citadis X05 also features a number of onboard autonomy management solutions, such as Citadis Ecopack, as part of Alstom’s catenary-free solutions.

A SEAMLESS FIT FOR CITY CENTRESAlstom’s tyre-based New Translohr trams (NTL) are designed to meet the specific geographic requirements of tram networks with small footprints, numerous turns and steep gradients. With less infrastructure works, they represent a valuable alternative to the Bus Rapid Transit. More than 130 such tramsets are currently in operation around the world.The tram uses a mechanical guided system and is more compact (2.2 m width), ranging nominally from 25 to 39 metres in length, with sufficient capacity to accommodate up to 300 passengers. It also ensures improved grip on the road and a tighter turning radius.

Urban growth has made transport a cornerstone of development poli-cies. Whether creating a new mode of transport, upgrading congested

networks or promoting more environmen-tally friendly methods of getting around, ope-rators want reliable, cost-effective solutions that offer a combination of capacity, fluidity, flexibility and safety.

BUILDING ON THE SUCCESS OF TRAMWAYSAlstom’s Citadis range sets the standard in the market, with a 15-year track record and more than 1,800 trams in service in over 50 cities around the world. Showcasing Alstom’s full range of expertise, Citadis X05 is the latest addition to the range. This model is based on observation of changing demand, ongoing dialogue with transport authorities, local officials and customers, and an in-depth analysis of feedback from passengers. Citadis X05 is due to enter service in Nice in France in 2018 and in Sydney in Australia in early 2019.The modularity of the Citadis range allows Alstom to offer customers an array of different configurations. As always, passenger comfort and convenience is a salient feature, with double doors at the ends and a wider central corridor aisle to allow passengers to move

Urbanisation is a global phenomenon that is increasing demand for transport solutions around the world. From trains and integrated systems to signalling and services, Alstom offers a complete range of urban rail solutions to meet the needs of operators and exceed the expectations of passengers.

SUPPORTING URBAN GROWTH

6 BILLION PASSENGERS TRANSPORTED BY CITADIS

TYRE-BASED TRANSLOHR TRAMS OPERATED ON 8 LINES AROUND THE WORLD


The additional drive system allows it to successfully tackle steep gradients of up to 13%. A guided system installed on the central rail makes the Translohr both silent and comfortable.

ENSURING MORE FLUID TRANSPORT SOLUTIONS IN AND AROUND CITIESTramway development has also rekindled interest in tram-trains, an alternative method of transport that enables seamless daily transitions between city centres and the surrounding region, encouraging passengers to choose rail over road. Citadis Dualis has all the flexibility and lightness of a Citadis tram. Once on the rail network, however, it becomes a regional train, transporting

passengers at speeds of up to 100 km/h. The range is extremely modular, offering several sources of electrical energy, doors and windows that come in customisable numbers and positions, luggage and bike racks, optional toilet facilities and other features, along with a wide selection of interior and exterior design options. Alstom also launched Citadis Spirit to meet demand for mobility and flexibility solutions in a number of fast-growing North American cities. Citadis Spirit is a highly customisable, modular light rail vehicle that ensures real accessibility, with a convenient low floor along its entire length. It is able to travel at speeds of up to 100 km/h. Alstom received its first order for Citadis Spirit from Ottawa, Canada, comprising 34 tram-trains due to enter service in mid-2018.

…Citadis tram in service in Paris (France)

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Alstom has sold about 5,000 Metropolis cars to over 20 customers around the world. The range now sets standard in the market.

STATE-OF-THE-ART METRO SOLUTIONSThe Metropolis range was designed to achieve three goals: meet the needs of as many cities as possible; improve safety and passenger experience; and reduce operating costs. Metropolis can carry up to 100,000 passengers per hour and per direction, and comes with an array of features to enhance the passenger journey, such as wide doors and gangways, effective soundproofing, reduced vibration, ambiance lighting, air conditioning, real-time information, multimedia and more. The Metropolis range was designed with sustainable mobility in mind and incorporates state-of-the-art solutions such as weight reduction, new converter technologies and all-electric braking to improve energy

efficiency and thus reduce running costs. It is also designed to keep maintenance costs to a minimum and anticipate servicing needs. Alstom has recently been awarded a contract for Metropolis, along with signalling solution, for the new metro network of the city of Lucknow, India.

CUSTOMISED SOLUTIONSTo meet the individual needs and requirements of its customers, Alstom also develops tailor-made metro solutions such as the MP14 trainsets. MP14 is the new generation rubber-tyred metro ordered by RATP and designed

to improve passenger experience and offer a combination of performance, low energy consumption and ease of maintenance. Its all-electric braking system recovers energy and reinjects it into the network in the form of electricity. The system decreases the metro’s overall energy consumption by up to 20%, reduces air pollution, and minimises wear-and-tear on the brakes.Alstom has delivered customised metro solu-tions for a number of major networks in cities such as New York (United States), London (United Kingdom), Montreal (Canada) and Lausanne (Switzerland).

…Metropolis at the station in Santo Domingo (Dominican Republic)

…Metropolis at the station

in Santo Domingo (Dominican Republic)


Whether through its Metropolis range or with its tailor-made metro offers, Alstom works daily to overcome the mobility challenges of large urban areas through solutions that combine competitive operating costs, capacity and enhanced passenger experience.

INCREASINGLY EFFECTIVE METRO SYSTEMS

“Together with Alstom, we will deliver the Sydney metro

project on time and on budget.” ANDREW HONAN,

Manager Rolling Stock, Northwest Rapid Transit, Australia


A COMBINATION OF SPEED AND COVERAGEWith X’Trapolis, Alstom offers operators and passengers high-capacity, flexible solutions to transport users to and from suburban centres. X’Trapolis provides outstanding capacity of up to 100,000 passengers per hour per direction, with three doors per car to ensure the fluid movement of passengers during rush hour. Its large windows enhance brightness and its wide gangways allow people to move around inside the train more easily, improving the feeling of safety. The latest addition to the range, X’Trapolis Mega, was designed specifically for the metric gauge

market and high-density networks, and has already been ordered by the Passenger Rail Agency of South Africa (PRASA). The modular, high-capacity train ensures the highest standards in comfort and convenience, with its interior layout and wide gangways. Each trainset consists of six cars and can carry up to 1,200 passengers. X’Trapolis Mega uses 31% less energy compared with existing fleets in service thanks to its IGBT regenerative braking system, a 66% motorisation rate and a lighter stainless steel bodyshell. First deliveries started late 2015 in South Africa, as part of a total order for 600 trains.

…X’Trapolis Mega

for PRASA (South Africa)

The suburban trains designed by Alstom offer public authorities reliable, comfortable and high-capacity solutions to answer the growing need for commuting mobility.

DEFINING A NEW COMMUTING MOBILITY

MORE THAN 4,600 X’TRAPOLIS CARS ORDERED

X’TRAPOLIS MEGA RECYCLABLE UP TO 98%

“We are focusing our energy on the creation

of a railway service that forms an integral part

of the transport system renewal to provide

effective and efficient public transport to all South Africans.”

PIET SEBOLA, Group Executive, Strategic

Asset Development of PRASA, South Africa

30 /


For over 25 years, Alstom has been developing information systems that allow operators in more than 50 cities around the world to provide safe, fluid urban transport. Flagship solutions include the Iconis control centre and the Urbalis CBTC1 system.

TOTAL CONTROLAlstom’s Iconis control centre gives operators complete control over their network and is designed to provide a modular platform that integrates the full range of functionality needed in operating rail systems, including automatic train supervision, infrastructure management, passenger information and entertainment, safety, and communications management. Using their expertise and fully adaptable user interface, controllers can monitor operations in real time, pinpoint a problem and ensure follow-up. Iconis can also automatically manage emergency procedures and provide operational support in the event of an incident. Drawing on its know-how of all activities of the rail sector, Alstom proposes an advanced security and surveillance system that is modular, easy to integrate onboard and on track, and operates around the clock, guaranteeing passenger security.

Alstom recently expanded its range of signalling solutions for urban networks to include Pegasus 101. It is an ATP2 system for tramways that ensures the highest standards in network safety. Quick and easy to install on both new and existing systems, Pegasus 101 assists and controls the driver in some crucial tramway functions, such as speed control and calculation, emergency stop signals, vigilance system, etc.Alstom proposes onboard passenger informa-tion integrated systems that keep passengers informed, safe and entertained throughout their journeys on public transport systems.

1- Communication Based Train Control.2- Automatic Train Protection.

SMARTER TRAINSAlstom’s Urbalis range of signalling solutions uses CBTC technology. Urbalis 400 accurately controls the movement of trains, allowing more of them to run on the line at higher frequencies and speeds in total safety – with or without drivers. Alstom has equipped more than 1,200 km of metro line, representing around 30% of radio-based CBTC solutions in use worldwide.To further improve urban transport capacity, Alstom developed Urbalis Fluence, the first urban signalling solution with more onboard intelligence and direct train-to-train commu-nication. The solution offers operators greater transport capacity, reducing headways to 60 seconds while ensuring the highest ope-rational availability and improved total cost of ownership through a 20% reduction in the amount of equipment and energy savings of up to 30%.

THE HIGHEST STANDARDS IN SAFETY AND FLUIDITY


…Control centre for the

metro in Lausanne (Switzerland)

…Passenger information

system in the New York metro (The United States)

32 /


20% compared with conventional tramway systems offering the same capacity, ensu-ring optimal total cost of ownership and acquisition costs for operators and transport authorities.

LEADER IN INTEGRATED METRO SYSTEMS Alstom provides the same global approach for metro systems.To meet the needs of cities experiencing rapid growth and high population density, Alstom has developed Axonis, a light metro system that is easy to incorporate into the urban environment. Using non-proprietary standard infrastructure, Axonis is able to carry between 10,000 and 45,000 passengers per hour per direction, easy to insert into a city, quick to build and driverless. The use of industry-standard subsystems such as Metropolis, Urbalis, Hesop and Appitrack, along with performance optimisation and pre-defined interfaces, all reduce the cost of investment, operation and maintenance.

Transport authorities often seek comprehensive solutions to their needs in order to tackle complex projects or better focus on their

core business. Alstom’s bundled and inte-grated systems combine all the company’s competencies into a single optimised solution to meet its customers’ objectives.

No. 1 IN INTEGRATED TRAMWAY SYSTEMSAlstom offers a global approach ensuring optimised costs, reduced delivery times and an optimum level of performance for all equipment. This is an area in which Alstom has an excellent track record. Such projects include the contracts recently signed in Sydney, Australia, in Lusail, Qatar, and Rio de Janeiro, Brazil.Alstom pursues its drive for innovation with Attractis, a pre-engineered integrated tramway system solution for fast-growing cities. It includes the Citadis tram, road works, related infrastructure along with control systems, ticketing and maintenance depots. It aims at reducing investment by up to

Drawing on its complementary business lines, Alstom offers bundled and fully integrated systems that include trains, signalling, infrastructure and services. This comprehensive approach gives transport authorities and operators a guarantee of optimal performance of their transportation system in line with their budget and required lead times.

INTEGRATED SYSTEMS TO ENHANCE EFFICIENCY

///SRS, AN INNOVATIVE STATIC CHARGING SYSTEMDesigned by Alstom, SRS recharges a wide range of tramway vehicles and electric buses equipped with onboard energy storage at ground level and by contact, eliminating overhead infrastructure equipment. SRS allows the recharge of onboard equipment (supercapacitors or batteries) in 20 seconds during normal dwell time at passenger stops or in a few minutes at the end of a bus line. This compact solution offers easy integration into the cityscape and high levels of availability and safety. SRS is based on Alstom’s service-proven APS system used in six catenary-free tramway networks worldwide. Ordered in November 2015 by the city of Nice in France for its tramway, SRS will be installed on new lines 2 and 3.


INNOVATIVE INFRASTRUCTUREAlongside its expertise in the execution of track, electrification and electromechanical equipment projects, Alstom develops innovative infrastructure solutions to achieve reduced costs, faster delivery or improved energy efficiency of urban transport projects. As track works play a significant role in the duration of a project, Alstom designed Appitrack, an automated track-laying solution allowing the installation of urban tracks up to 4 times faster than with traditional methods, leading to a reduction of disturbances, costs and CO2 emissions, while increasing safety and cleanliness on the worksite. Alstom also co-developed HAS, a metro track solution composed of concrete sleepers on resilient pads placed in a rigid boot, attenuating ground-borne noise and vibrations. Quicker to build and easier to maintain, HAS offers the same performance as floating slab track systems, at a lower cost. HAS is under implementation on the Crossrail project, United

Kingdom, with more than 5,000 sleepers being installed in sensitive sections of the line. To deliver better energy efficiency for urban and suburban rail transport networks, Alstom created Hesop, an advanced power-supply substation. It reduces energy consumption by recovering over 99% of the available energy generated by trains in braking mode, and by re-injecting it into the network to feed station equipment or back into the grid. Hesop also optimises the power required for traction permitting reduced infrastructure investment. Hesop is in operation on the Victoria Line of the London Underground, United Kingdom. Alstom is also a pioneer in the field of catenary-free tramway solutions with APS, a technology powering trams at ground level via a segmented third rail. Since 2012, this technology has been adapted to perform tests with hybrid trucks on highways in a collaborative project called “Electrical Road System” carried out by Volvo and Alstom.

To complete its range of catenary-free solutions, Alstom launched SRS, a new ground-based static charging system for trams and electric buses equipped with onboard energy storage (see inset).

34 URBAN INTEGRATED SYSTEMS PROJECTS: 17 OF TRAMWAYS AND 17 OF METROS

ATTRACTIS AVAILABLE IN A RECORD TIME OF 30 MONTHS

…SRS, the new ground-based static charging system of Alstom

“The Hesop inverter helps reduce our carbon footprint by using less

energy. It also allows us to be more efficient

and save costs.”CHRIS TONG,

Head of Power and Cooling, London Underground, The United Kingdom

34 /

A NEW LEASE OF LIFETrains generally have a service life of around 30 or 40 years, which brings a need to anticipate modernisation solutions. Alstom’s modernisation solutions for operators keen to upgrade their fleet cover interior and exterior design, replacement of electronic components and the installation of next-generation traction systems, ensuring enhanced reliability and significant energy savings. For example, the modernisation of Mexico City’s metro traction system awarded to Alstom in 2014, with the first train delivered to the customer in January 2016, significantly increased train reliability and availability and reduced energy consumption by more than 35%. In April 2015, Alstom also completed work to modernise 106 metros running on London’s Northern Line. The two-year upgrade programme was carried out in close partnership with the London Underground to ensure a seamless transition and to meet everyday service requirements. Alstom also offers modernisation solutions for infrastructure and signalling.

MAXIMUM EFFICIENCYAlstom provides preventive and corrective maintenance in its depots and those of customers for all types of train – irrespective of whether or not they were built by Alstom – and rail infrastructure. These customised services are carried out by qualified and readily available local teams, drawing on proven experience and innovative solutions such as the new HealthHub predictive maintenance solution. Compatible with a number of data capture and remote monitoring solutions, such as TrackTracer and CatenaryTracer (see inset), HealthHub is able to automatically detect the status of the train and infrastructure solutions then forecast the remaining lifespan of their parts and components. The predictive approach optimises the replacement cycle of default or used products reducing material cost without compromising the safety or reliability of the assets. Alstom also offers a wide range of solutions to reduce energy consumption during operations, including e-mapping, which identifies scope for improvement, system modernisation, for traction systems or HVAC for example, and operation aids like driver training or driver-advisory systems.

…Rhône-Alpes Citadis Dualis

tram-train in an SNCF depot (France)


TAILORED SERVICES

To provide operators with the highest level of availability for their fleets, infrastructure and signalling systems, Alstom offers a complete range of customised services including maintenance, modernisation, parts & repairs and support.

1 IN 4 CITADIS MAINTAINED BY ALSTOM

MORE THAN 100 DEPOTS IN 30 COUNTRIES

600,000 REFERENCED TRAIN PARTS


EVERYDAY SUPPORTAlstom provides parts supply services and repairs for all types of train. To assist operators interested in conducting their own mainte-nance work, Alstom also organises training sessions in Alstom facilities or at customer sites. Programmes involve a wide range of expertise and simulate actual conditions wherever possible, notably through the use of virtual-reality train modelling solutions.

///INTELLIGENT INFRASTRUCTURE MAINTENANCE HealthHub provides solutions for infrastructure maintenance, assessing the condition of tracks and catenaries in real time using the TrackTracer and CatenaryTracer data capture solutions. The system identifies parts that need to be repaired or replaced and suggests the best time to carry out the work. This provides a number of benefits for operators, including reduced infrastructure lifecycle costs, more fluid management of maintenance through more efficient scheduling for teams and parts, and greater fleet and infrastructure availability. TrackTracer and CatenaryTracer underwent extensive testing on the tramway infrastructure in Reims, France, for one year in 2014 and was installed on a permanent basis at the beginning of 2016. TrackTracer and CatenaryTracer have also been used for infrastructure audits on tram systems in Australia, France, Italy and UAE and on metro systems in Brazil.

36 /

Alstom’s rail solutions promote regional mobility and redraw the map of high-speed travel to meet

new passenger expectations. By designing adaptable solutions, Alstom also supports the evolution of the freight and mining railway market. One of Alstom’s key priorities

lies in making rail competitive with respect to air and road transport.

MAIN LINES DRIVING RAILWAY MOBILITY


ALSTOM’S MARKET SHARE IN ERTMS1 LEVEL 2 SIGNALLING SOLUTIONS IN SERVICE

38%

MORE THAN

2,000CORADIA

in service in 9 European countries and Canada

PENDOLINO CERTIFIED IN

14 COUNTRIES

MORE THAN

50,000 POINT MACHINES

installed in over 25 countries

MORE THAN

2,200 PRIMA LOCOMOTIVES sold worldwide since 2000

ITCS, RADIO-BASED TRAIN CONTROL SOLUTION, in service for more than

16 YEARS

MORE THAN

3.8 BILLION OF PASSENGERS have travelled on Avelia trains

1- European Railway Traffic Management System.

38 /


A BEST-SELLING REGIONAL TRAINWith 30 years’ experience and more than 2,400 regional trains sold around the world, Alstom has set the standard in the market with its Coradia range. In addition to its optimal reliability and purchase, operating and maintenance costs, the train’s main advantage lies in the variety of traction options (electric, diesel and dual-mode), number of cars and interior fittings available. The range offers specific technical configurations adapted to the needs of each operator: Coradia Nordic is designed to run in wintry conditions and withstand extremely cold temperatures; Coradia Polyvalent is available in electric or dual-mode (diesel and electric) and offers outstanding modularity. 17 Coradia Polyvalent intercity trains have recently been ordered by Algeria’s Société Nationale des Transports Ferroviaires (SNTF). Coradia Lint, powered by a diesel drive system, has been in operation for many years in Europe and began running in March 2015 in Ottawa, Canada; Coradia Continental and Coradia Meridian are electric multiple units; and Coradia Liner V160 also has a diesel-electric dual-mode solution.

The Coradia range stands out for its relia-bility and cost-effectiveness. Its acquisition, operating and maintenance costs have been streamlined, as has the cost of modernising Coradia to extend its lifespan. Coradia is both economical and environmentally friendly: the trains are characterised by low energy consumption and over 90% of its components are recyclable. As a result, Coradia trains are attracting operators throughout Europe and beyond. More recently, a new technology has been launched to develop an “emission-free” generation of trains equipped with fuel cell drive. This technology has already been pro-ven in the automotive industry and produces electricity through the synthesis of water.

A FLEXIBLE RANGE OF PASSENGER LOCOMOTIVESBased on a modular design, the Prima locomotive range offers varied configurations for passenger transport. Designed to meet European interoperability standards (TSI), the Prima locomotives feature a new generation of traction and control systems, and are adapted to multiple voltage and

Around the globe, growth in rail transport is increasing demand for reliable, convenient, and efficient solutions. Alstom’s passenger locomotives, regional trains and high-speed trains provide a tailored response to the individual needs of each operator and passenger. To respond to the growing needs of infrastructure managers and train operators in cross-border mobility, Alstom develops a sophisticated array of solutions for laying, electrifying, powering and installing signalling on regional and high-speed lines.

COMMITTING TO A SUSTAINABLE MODAL SHIFT

900 CORADIA LINT SOLD WORLDWIDE

+90% OF CORADIA MATERIALS RECYCLABLE

… /…


…A passenger boards a Coradia Polyvalent regional train for Regiolis in Bordeaux station (France)

…Coradia Continental

regional train for ENNO in a depot (Germany)

40 /


signalling options. In Morocco, 20 4-axle Prima locomotives are operated by ONCF and can run up to 160 km/h. Two winterised 4-axle Prima, the KZ4AT locomotive in service in Kazakhstan and the AZ4A in Azerbaijan, are built locally by EKZ1. In addition, Prima components are used in EP20 passenger locomotives, co-designed by Alstom and its Russian partner Transmashholding. Compliant with CIS requirements, these locomotives are capable of running at 200 km/h and are perfectly suited to the challenging weather conditions in the region.

UNPRECEDENTED COMFORT ABOARD CORADIA LINER V200Designed to renew the pleasure of main line journeys, Coradia Liner V200 represents more than 30 years of proven high-speed rail technology. It offers passengers modern

comfort, incorporating major innovations in design, ergonomics and onboard ease. It also ensures easy access for all passengers with its full-length low floors and step-free entry. Variable configurations cater to all opera-ting requirements. Coradia Liner V200 offers different configurations comprising six, eight, nine or ten cars. It can accommodate up to 1,000 passengers in two combined units of ten cars and runs at 200 km/h in commercial service. Coradia Liner V200 comes in electric or dual-mode (thermal/electric) and dual voltage versions, making the train compa-tible with the entire French rail network. Compact, light and powerful, the synchro- nous permanent magnet motors provide excellent performance, able to recover energy generated during braking and returning it to the power supply network. These innova-tions lead to a significant improvement in efficiency, resulting in clear economic and

… /…

“Pendolino is a comfortable and modern

train having already been approved in many

countries such as Switzerland, Germany

and Italy. Now, the trains will run in the Gotthard

Tunnel service – the longest train tunnel

in the world.”JEANNINE PILLOUD,

Head of Passenger Division, SBB, Switzerland


environmental benefits. Coradia Liner V200 was designed from the outset with a focus on total cost of ownership. The layout of the roof-mounted equipment enables obs-tacle-free access in the workshop, making it simpler and faster for maintenance personnel to get to, which reduces maintenance costs.

AVELIA HIGH-SPEED RANGE ADDS MOMENTUMAlstom offers one of the widest ranges of high-speed trains in the market, from arti-culated and non-articulated trainsets to tilting technology, single or double-decker architectures, concentrated or distributed power. Three current flagship products of the Avelia range – Pendolino, Euroduplex and AGV – represent the culmination of 35 years of expertise and more than 940 trains in service around the world.

Alstom’s Pendolino high-speed trains ensure excellent flexibility, seamless cross-border service and superior passenger comfort. With its Tiltronix anticipatory tilting technology, Pendolino can travel more rapidly through curves on conventional lines (up to 30% faster than a classic train), reaching speeds of 250 km/h on high-speed lines while guaranteeing an excellent level of passenger comfort inside the train, even on very winding stretches. Pendolino is available with or without tilting technology. Like the entire Avelia range, Pendolino is designed to facilitate maintenance. It is equipped with sub-systems for improved access and easier replacement. Its electric braking system enables a 10% reduction in energy

AVELIA TRAINS IN SERVICE IN 20 COUNTRIES

6.2 BILLION OF KILOMETRES TRAVELLED BY AVELIA TRAINS

… /…

…Euroduplex very high-speed train for SNCF on the Avignon-Marseille line (France)

…Passengers on board the Pendolino high-speed train for SBB (Switzerland)

1- EKZ is the joint venture formed by Alstom, KTZ and Transmashholding.

42 /


… /…

consumption and reduces noise pollution in compliance with the latest European regulations. At the end of 2015, Alstom and NTV (Nuovo Trasporto Viaggiatori), the Italian private operator, signed a contract for the purchase of eight Pendolino trains along with 20 years of maintenance. The new trains will expand the operator’s existing fleet and offer additional high-speed journeys to its passengers.Euroduplex is the world’s only double-deck high-speed train able to travel at speeds of up to 320 km/h. It is totally interoperable, meaning it is capable of running seamlessly across several European rail networks. With its articulated design and concentrated power system, Euroduplex ensures high capacity with reduced acquisition and operating costs while offering numerous other advantages, including comfort and convenience, easier maintenance, the highest safety standards, reduced weight and lower energy consumption. Operating on the French, German, Swiss, Spanish and Luxembourg rail networks, and soon to begin running in Morocco, Euro-duplex trainsets feature signalling equipment compatible with each network and are fitted with traction systems adapted to the different voltages used in these countries. AGV is the first high-speed train (360 km/h) to be developed for an international, cross-border market. It features articulated trainsets and distributed power. As a result, it offers lower operating costs in terms of energy and maintenance. AGV is avai-lable in different configurations of multiple units including two 11-car and three 7-car trainsets. Operators can easily reconfigure interiors and seat pitches throughout the train’s lifecycle. AGV’s energy consumption is 15-20% lower than that of its competitors thanks to its lighter weight, reduced number of bogies, improved aerodynamic design and permanent magnet motors.

UNRIVALLED SIGNALLING SOLUTIONS FOR SAFE AND SEAMLESS NETWORKSAlstom allows operators to transport passengers in complete safety with seamless services, optimising the operation and profitability of their networks. Alstom developed its Atlas ERTMS solu-tions to overcome the challenge of intero-perability and meet the differing needs of operators. Its ERTMS level 2 solution, Atlas 200, already features on 70% of trains run-ning with ERTMS in Europe. In early 2016, Alstom began the national roll-out of a ground and onboard ERTMS system in Denmark to reduce trackside signalling and improve the availability of equipment while enhancing the performance of trains. The two newest additions to the Atlas range include Atlas 400, adapted to low-density routes, and Atlas 500, designed for high-den-sity suburban and regional lines. Alstom offers a wide range of trackside equip-ment including Smartway, Smartlock and ElectroLogIXS (covering point machines, level crossings, track circuits, axle counters, etc.).

CUTTING-EDGE MONITORING SYSTEMAlstom’s Iconis integrated control centre supervises all aspects of the passenger transport system. It incorporates functions for automatic train supervision, infrastructure management, passenger information and entertainment, passenger security, communications management and a full array of other features needed by operators. Iconis control centre can be upgraded and configured to meet operators’ needs, and scaled to match the size and complexity of the network.

…ERTMS marker board

on Line 4 (Belgium)


44 /


Both alone and with its partners, Alstom develops freight locomotives and rail signalling solutions suited to a wide array of operating conditions.

PRIMA HEAVY FREIGHT LOCOMOTIVES: SUITED TO EXTREMESAlstom is leader in the market of heavy freight electric locomotives, available in 6-axle and 8-axle configurations. The highest power and tractive effort is provided by the double-section Prima locomotives, with recent applications in India, Kazakhstan, Azerbaijan and China.Part of the Prima range and designed by Alstom, the KZ8A electric freight locomo-tive was built by the EKZ joint venture to respond to the need for heavy goods trans-portation able to withstand the extreme weather conditions found in CIS countries, where temperatures can range from -50 °C to +40 °C. In India, Alstom has recently been awarded a contract to supply 800 Prima double-section freight electric locomotives. These new heavy freight locomotives can run at speeds of up to 120 km/h, hauling up to 9,000 metric tons. In addition, Prima components are used in the 2ES5 locomotive, a double-section

PRIMA WORKS AND SHUNTING LOCOMOTIVES: FLEXIBLE AND EFFICIENT PLATFORMS The Prima H3 shunting locomotive platform meets the latest requirements of operators. It is available in four versions equipped with batteries and/or generators that power its electric motors. Robust and environmen-tally friendly, Prima H3 can be used for a wide variety of shunting operations, as well as main line service thanks to its extremely high tractive effort, minimum curve radius of 60 metres and maximum speed of 100 km/h. Prima H3 uses up to 50% less fuel than conventional shunting locomotives, reducing polluting emissions such as particles, CO and NOx by up to 70%. In 2016, six Prima H3 Hybrid locomotives have been ordered by German companies for shunting operations in the country. Prima H4 can be used for shunting and track works services, and for limited mainline freight services. Available in four variants (Bi-mode Electric, Bi-mode Battery, Hybrid, Dual Engine), it is suited to very demanding operations as it combines main line speeds of up to 120 km/h, high traction efforts and optimised life cycle cost. It is equipped with an auto start-stop system to reduce the diesel fuel consumption by up to 15% compared to single engine diesel locomotives.

TMH electric locomotive co-designed with Alstom specifically for Russia and its extreme weather conditions. 2ES5 can travel at speeds of up to 120 km/h. With an output of 8,400 kW, it is capable of hauling freight convoys of more than 6,000 metric tons. The driver’s cab and interiors on all locomo-tives are designed and equipped to offer the best possible working conditions.

PRIMA FREIGHT LOCOMOTIVES: VERSATILE AND CROSS-BORDER Alstom’s Prima locomotives have been offering tailored solutions to meet freight needs for more than 15 years with 4-axle and 6-axle configurations. The electric loco-motives are compatible with four different voltages (25 kV, 15 kV, 3,000 V and 1,500 V) and conceived to fully integrate ETCS1 sys-tems as well as other signalling systems. Truly modular, Prima locomotives can be reconfigured at any point in their lifecycle. They can be used for passenger transport, even at higher speeds by replacing the bogies and reconfiguring the software. The driver’s cab offers optimum working conditions, including a generous living space and ergo-nomic instrument panel, and is protected by an anti-crash module designed to ensure optimal protection for the driver.

Drawing on its long-standing expertise, Alstom has successfully revitalised its range of solutions and forged strategic partnerships to adapt to growing demand from freight operators and mining railway lines in search of safe, reliable, competitive and energy-efficient solutions.

REVITALISING FREIGHT AND MINING RAILWAY MARKETS


For example, SBB Infrastructure, in Switzerland, will equipped its rail network with 47 Prima H4 locomotives from 2018.

SIGNALLING SOLUTIONS FOR EFFICIENT NETWORKS Alstom offers operators signalling solutions that are tailored to the specifics of the mining and freight rail network market. They enable operators to transport more goods, more quickly, for less cost and in total security. Thanks to the acquisition of General Electric’s signalling solutions, Alstom is strengthening its position on this market, notably in the United States, in South America, in Australia and in Africa.With Atlas, Alstom’s scalable system designed for ERTMS, Alstom offers com-plete signalling solutions that meet the operational needs of its customers. The ITCS solution completes this range for non-ERTMS lines. It is essentially used on heavy freight and mining lines in remote areas and difficult environments (see insert). Alstom also offers a wide range of track-side equipment (Smartway, Smartlock and EletroLogIXS): point machines, level cros-sings, track circuits, axle counters, etc.

MODULAR AND SCALABLE CONTROL CENTREAlstom’s RailEdge control centre monitors all aspects of the transport system to sup-port operation management. This solution is designed to address the needs of the most demanding freight and mining customers. Thanks to its modular architecture, RailEdge can add other functions for specific safety, operational, or maintenance needs such as track authorities and asset management. RailEdge improves the procedure of the traf-fic management for a better availability of trains. It integrates network wide scheduling and planning tools for optimised operations. RailEdge detects potential traffic conflicts as soon as they arise and offers operators reso-lution options, minimising delays. Thanks to its state-of-the-art technology, RailEdge enables a reduction of operating costs.

1- European Train Control System.

///ITCS: AN ADVANCED VIRTUAL SIGNALLING SYSTEMITCS is a GPS-based train control system well suited for long spread-out territory, remote sections of tracks, low to medium frequency trains, challenging power and communication supplies, and simple interlocking needs. Acting in remote areas as a vital virtual signalling system, ITCS wirelessly communicates train movement authority as though the territory were operating under centralised traffic control. This principle leads to the lowest possible trackside equipment for a signalling system allowing optimised life cycle costs and higher availability. This solution is scalable and can be adapted without changing the infrastructure. Safety is ensured through full situational awareness and continuous speed enforcement in the cab and wireless control of all trains from central office. ITCS offers proven performance in daily revenue service since 2001 having been deployed on freight, mining and mixed traffic lines in the USA, China, Australia and Colombia.

…Prima H3 Hybrid locomotive at the Alstom site in Salzgitter (Germany)

46 /


THE POWER OF RAIL NETWORKSThe quality of a rail network’s electrification system has a direct influence on its reliability, safety and performance. As a technological leader, Alstom is able, either alone or in joint ventures, to offer a full range of engineering capabilities (simulations, dimensioning, EMC1 studies). It also manages catenary-pantograph and wheel-rail interfaces and the whole construction works. Alstom is, for instance, managing the electrification of the Nîmes-Montpellier high-speed bypass in France.Alstom also designs and manufactures innovative feeding systems and catenary components at its Centre of Excellence in Lecco, Italy. The company recently designed CLever, a main-line catenary cantilever with a reduced number of parts, and which offers high adjustability, easy installation and efficient maintenance.

TRACK LAYING DEDICATED TO OPERATOR’S PERFORMANCENetwork performance levels, operating costs and passenger comfort are affected by the state of rail infrastructure. Trans-port authorities and track infrastructure managers must be able to depend on rail infrastructure that is reliable and safe. For instance, Alstom manages every possible scenario in rail infrastructure construction including structures in both

ballast and concrete for main lines. For ins-tance, Alstom laid the tracks for section 2 of the Channel Tunnel Rail Link project in the United Kingdom. To reinforce its presence on the track market, Alstom has developed NBT, an innovative concrete slab track for main lines, offering compatibility with mixed traffic up to 360 km/h and 25 t/axle, lower acquisition costs than standard slab tracks, as well as higher availability than ballasted tracks. Today, a demonstrator of NBT is in operation on the French regional line of Gisors-Serqueux and another one in tests in Sherbinka, Russia, near Moscow.

ELECTROMECHANICAL EQUIPMENT: PROVEN AND TRANSVERSAL KNOW-HOWAlstom’s cross-disciplinary experience gives it the necessary know-how to produce and install all equipment relating to transport operations, from signalling and passenger information equipment to ticketing, platform screen doors (platform interfaces) or buil-ding depots. Alstom also supplies all types of safety equipment (water pumping and drainage, smoke evacuation systems, fire detection, ventilation systems in tunnels and stations, etc.) and depot equipments to maintain trains.

OVER 1,500 KM OF CONTACT LINES INSTALLED FOR LINES ABOVE 250 KM/H

OVER 800 KM OF SINGLE TRACK LAYED FOR MAIN-LINE, HIGH-SPEED AND VERY HIGH-SPEED LINES

1- Electromagnetic compatibility.

Alstom offers unique capabilities in rail infrastructure through every phase of a project, including design and engineering, procurement, construction, tests and commissioning. Its expertise gained over more than 30 years covers both electrification and track works, as well as electromechanical equipment for tunnels, stations and depots.

RELIABLE AND SAFE RAIL INFRASTRUCTURE


ACCENT ON AVAILABILITYWhether they are public or private rail operators or fleet managers, Alstom has been servicing its customers’ trains and railway equipment for over 25 years, both at their sites and in its own depots. The goal is to ensure safe, global management optimised throughout service life. These services are backed by innovative tools such as Alstom’s predictive maintenance solution HealthHub which monitors the condition of trains, infrastructure and signalling assets to predict their remaining service life and schedule maintenance operations in a timely manner. It allows extensive data-capture thanks to TrainTracer and TrainScanner.

TrainTracer remotely generates a steady stream of data and information on the condi-tion and wear of key train components. These data are then analysed to identify weak spots and schedule maintenance operations.TrainScanner is an automated diagnostics portal that can increase inspections tenfold and provide an accurate update on the condition of key train consumables such as wheels, brake pads and pantograph carbon strips. To support maintenance of the Virgin Pendolino fleet, TrainScanner has been installed in a depot in Manchester, in the United Kingdom, where it is in operation since more than one year and a second one will soon be set up in a depot in Oxley, near Wolverhampton.Using the Tracktracer and CatenaryTracer data capture solutions, HealthHub also assesses the condition of tracks and cate-naries.

CUSTOM MODERNISATIONAlthough a fleet’s length of life is generally more than 30 years, trains in mid-life often have to be upgraded to meet changing customer expectations, new regulations, sustainability policy and the need to tackle rises in operating and maintenance costs as trains get older. Alstom offers modernisation solutions dedicated to infrastructure and signalling, and adapted to all phases of a train’s life cycle, irrespective of the initial manufacturer. Examples include solutions to support energy-efficient train driving, modernisation of traction systems and bogies, and upgrades in design and interiors.

SUSTAINABLE PERFORMANCEThrough its centres of excellence and its experience as an OEM1, Alstom provides a full catalogue of spare parts to operators and maintainers, as well as its engineering and supply chain expertise to ensure the best levels of reliability and performance for key train components. Its repair services cover components manufactured by Alstom (motors, traction systems, signalling sys-tems, bogies, switchgear, etc.) and other OEMs (brakes, HVAC, etc.).

1- Original Equipment Manufacturer.

Alstom supports its customers by offering them a range of high-quality services that improve the availability, reliability and longevity of their fleets and equipment.

THE HIGHEST STANDARDS IN AVAILABILITY AND PERFORMANCE

…Maintenance of diesel locomotives (Mexico)

“I would like to underline the exemplary collaboration between Alstom’s teams and the teams of SNCF.

The presence of Alstom’s after-sales service on

site enabled very strong team reactivity and that’s very positive.”

JACQUES MAZARS, Regional Director, SNCF Alsace, France

48 /


VALUE CREATION THROUGH INNOVATION/// Innovation, a pillar of the Alstom 2020 strategy, is both the key to technological differentiation and a means of creating added value and gaining a competitive edge.

50 /

Alstom has built an international reputation on the performance and technological lead provided by its rail solutions. The company is determined to maintain its focus on innovation to set itself apart from other market players while establishing its competitive edge and reducing the total cost of ownership of its solutions.

Innovation is in Alstom’s DNA, as shown by breakthroughs such as permanent-magnet motors, Hesop, energy-efficient driving, Appitrack, APS, HealthHub, Citadis X05,

Attractis, Axonis, Urbalis Fluence and the imminent arrival of emission-free trains. It is also a crucial means of staying ahead in a context of high demand for sustainable rail transport solutions and increased competition. This is why Alstom continues to invest in research and development. Its roadmap has three major goals: meeting the expectations of customers and passengers more effectively; staying competitive; and integrating leading technological developments into its products and services.

WHEN TECHNOLOGY MAKES ALL THE DIFFERENCE Alstom’s innovation strategy targets the development of more effective products and services and the creation of integrated systems that combine solutions for trains, infrastructure, signalling and maintenance, designed from the outset to work together as

efficiently as possible. This approach is rooted in a drive to listen constantly to the market by monitoring new technological developments while fostering closer ties with customers and anticipating their needs. Alstom’s approach to technological innovation targets two key goals in rail transport: environmental performance (in areas such as energy efficiency in traction and auxiliaries, weight and noise reduction, eco-driving, reduction of railway system footprint, etc.) and reinforcing the attractiveness of the railway system, both for passengers (comfort, accessibility, security, onboard services…) and for the operator (train and line capacity and availability). This ambition leads Alstom to take better advantage of areas of technology such as information systems and telecoms, control and supervision solutions or data management for various purposes, such as real time monitoring of train and wayside equipment for predictive maintenance, or improving fleet capacity thanks to smart analytics.

STAYING A STEP AHEAD

VALUE CREATION THROUGH INNOVATION

… /…

30% OF ORDERS BOOKED BETWEEN NOW AND 2020 WILL COME FROM NEWLY-DEVELOPED PRODUCTS

“Our wish for tomorrow’s mobility in Hong Kong is to

offer a high added value transport service to our

passengers through the total deployment of a wide spectrum of

advanced technologies.”TONY LEE,

Chief of Operation Engineering, MTR, Hong Kong


…Control centre for the Citadis tram in Dubai

(United Arab Emirates)

52 /

INNOVATION AS A CATALYST FOR COMPETITIVENESSInnovation is instrumental in Alstom’s drive to become the preferred partner for its customers in rail solutions. Innovation provides an effective means of reducing costs, allowing Alstom to offer more competitive pricing while boosting profitability. A key aspect of this ambition is the search for utmost fluidity in the design, production, certification and roll-out of its solutions and services – a quest for efficiency that targets not only acquisition costs but also improvements in the total cost of ownership, much of which is determined by energy and maintenance costs.

RAIL TRANSPORT IN THE DIGITAL AGEIn a world of fast evolving technology, Alstom’s products and services incorporate the latest developments in terms of informa-tion systems and telecom solutions (inclu-ding sensors and communication networks for safety and non-safety relevant informa-tion, cybersecurity features…) and in terms of system control and supervision at fleet level (intelligent control centre, CBTC1…) and at train level (TCMS2).

Data management solutions provide opportunities to improve asset performance management for the operators (improve fleet capacity, propose multimodal network management, perform predictive mainte-nance) and potentially provide additional services. Alstom is keenly aware of these opportunities and has incorporated them into all aspects of its research and innovation. This same focus drives Alstom’s forward-looking approach to “smart transport” solutions, through which state-of-the-art digital technologies can provide seamless, optimised transport management solutions for operators, passengers and infrastructure managers.

AN ECOSYSTEM OF INNOVATION AND CREATIVITYTo strengthen its scope for innovation in line with its far-sighted approach, Alstom works with research centres such as the Institute for Technological Research SystemX to work on multimodal management solutions. Alstom is also working with IMS3 Cincinnati to develop algorithms for predictive mainte-nance or INRIA4 to develop smart analytics for asset performance optimisation. This drive to promote open innovation also involves suppliers (Calyos and Alstom co-developed

a traction inverter based on CPL5 cooling technology) and operators, as showcased by the Metrolab joint venture with RATP to develop new metro systems. Alstom is also involved in nearly a dozen competitiveness clusters specialised in embedded systems and transport solutions for the future.

VALUE CREATION THROUGH INNOVATION

… /…

1- Communication Based Train Control.2- Train Control Management System.3- Intelligent Management System.4- French national institute for search in computer science

and applied mathematics 5- Capillary Pumped Loop: high-performance heat

transfer system.

Alstom’s innovation strategy is rooted in a drive to listen constantly

to the market by monitoring new technological

developments while fostering closer ties with customers

and anticipating their needs.

…Room for measuring the

effects of electromagnetic interferences on electronic

products at Alstom’s Epsilon site in Villeurbanne (France)


///ALSTOM ENCOURAGES IN-HOUSE CREATIVITYAlstom supports its R&D efforts by fostering a strong culture of innovation within the company, embodied by the annual “I NOVE YOU” competition. Open to all employees across all business lines and sites, the competition rewards creativity in every shape and form, spanning products, systems, processes, sustainable development and more. 358 ideas were submitted to the 2015 competition, gathering more than 1,000 participants worldwide. Innovations that received distinctions include the implementation of speaking panels allowing better passenger acoustic comfort, TrainScanner, the automated diagnostics portal part of the new predictive maintenance solution HealthHub, and SRS, the new ground-based static charging system developed by Alstom for trams and electric buses equipped with onboard energy storage.

…Electronic spare parts

at the Alstom site in Grain Valley

(The United States)

54 /


OPERATIONAL AND ENVIRONMENTAL EXCELLENCE/// In a market that is increasingly demanding in terms of competitiveness and sustainable solutions, Alstom has made operational and environmental performance a priority.

56 /

Alstom has set ambitious goals in terms of costs, quality and lead times as part of its strategy leading up to 2020.

Rail operators want innovative solu-tions, products that are effective and reliable throughout their lifecycles, and projects that are delivered on

time. To meet this challenge, and in order to set itself apart in an increasingly compe-titive market, Alstom focuses on the highest standards in operational excellence.

AMBITIOUS GOALSAlstom strives to effectively meet the needs of customers by ensuring flawless execu-tion, and by making product reliability a cornerstone of its approach. Alstom has set three clear goals in line with its ambition of becoming the preferred partner of customers in the next four years: continuously improve the punctuality of its deliveries; reduce the internal impact of non-compliance with qua-lity standards; and cut costs to offset the drop in market prices. The ability to achieve these goals is under-pinned by actions aimed at strengthening competitive offerings and excellence in exe-cution.

COMPETITIVE OFFERINGThe creation of a more competitive offering implies the set-up of standard platforms for products and services. Alstom continues to establish centres of excellence to nurture

the expertise needed to develop solutions that benefit its full range of business lines, all of which helps it benefit from economies of scale through a global approach. In addition, as Alstom buys 60% of its product costs, its sourcing strategy is focused on three main levers: increasing volume with key suppliers, working on a design-to-cost basis, and purchasing in low-cost countries. Alstom also optimises the organisation of its industrial sites, while ramping up its engineering capabilities in emerging markets, such as in Bangalore, India.

EXCELLENCE IN PROJECT MANAGEMENTWith 20 tenders per month, Alstom continuously improves its project management from tender to execution. This encompasses areas such as timely delivery, enhanced quality, and better production follow-up. Alstom promotes progress in working methods, notably through more fluid and lean execution and the systematic identification and standardisation of best practices to encourage their adoption throughout the company. This approach is complemented by the development of new digital and collabo-rative tools, the use of 3D printing, and robotisation, creating further opportunities to optimise Alstom’s operations.

FLAWLESS EXECUTION

OPERATIONAL AND ENVIRONMENTAL EXCELLENCE

…Manufacturing of the

Citadis Spirit tram-train for Ottawa at the Alstom site in Hornell (The United States)


…Manufacturing of the Chennai Metropolis at the Alstom site in Sri City (India)

“The first metro trainset of Kochi was delivered

in a world record time of ten-and-a-half months.”

ELIAS GEORGE, Managing Director,

Kochi Metro Rail Limited, India

58 /


818

2015

871

2014

1335

2010

1057

2011

ENERGY INTENSITY IN PERMANENT FACILITIES

in kWh/hours worked

WASTE RECOVERY RATE

in %

WATER CONSUMPTION

in thousands of cubic metres

74%2010

75%2011

79%2012

83%2013

84%2014

82%2015

83%2014

74%2010

75%2011

79%2012

83%2013

84%2014

82%2015

83%2014

>80%TARGET2020 vs 2014

0

2

4

6

8

10

12

14,7

2010

12,3

2011

12,6

2012

12,7

2013

11,0

2014

11.7

2014

11.511.8 11.5

2015

2014

2015

-10%TARGET2020 vs 2014

OCCUPATIONAL FATALITIES AT WORK (EMPLOYEES & CONTRACTORS)

4 • MARCH 2012

0 • MARCH 2014

0 • MARCH 2016

-10%TARGET2020 vs 2014

ALSTOM, A DRIVING FORCE IN SUSTAINABLE MOBILITY

INJURY FREQUENCY RATE EMPLOYEES & CONTRACTORS in numbers of injuries/million of hours worked

3.4MARCH 2012

2.1MARCH 2014

1.8MARCH 2016

1 TARGET2020


NUMBER OF SUPPLIERS HAVING SIGNED THE CHARTER OF SUSTAINABLE DEVELOPMENT

1,570MARCH 2013

1,880MARCH 2014

2,450MARCH 2015

3,060MARCH 2016

Alstom is committed to creating innovative and sustainable transport solutions and to ensuring that social and environmental concerns are fully taken into account in all of its activities and in its relations with stakeholders around the globe.

2502010

1522012

1212014

-50%VOC emissions

from 2010 to 2015

EMISSIONS OF NON-METHANE VOLATILE ORGANIC COMPOUNDS (VOCs)

MANUFACTURING SITES ISO 14001 CERTIFIED>200 employees/in %

100% 2015

INTENSITY OF GREENHOUSE GAS (GHG) EMISSIONS FROM ENERGY USAGE AND OTHER DIRECT EMISSIONS in kg/CO2 equivalent hours worked

3.12014

3.02015

-10%TARGET2020 vs 2014

60 /

With the environmental impact of transport becoming a major challenge in today’s world, Alstom continues to design rail solutions that ensure solid performance throughout their lifecycle, advocating a responsible approach to mobility that benefits all stakeholders.

In products and services, Alstom’s approach focuses on the product lifecycle to maximise environmental and economic benefits over time.

ECODESIGN SOLUTIONSAs the complexity of rail systems continues to grow, an increasing number of environ-mental factors must be taken into account in designing products and services. This process is known as “ecodesign” and aims to control and curb any unwanted impact of solutions on the environment. Alstom’s ecodesign priorities include energy efficiency, a reduction in noise and vibration, the use of clean, recyclable, natural raw materials, fewer airborne emissions, and end-of-life product management.

IMPROVING ENERGY EFFICIENCYRail operators know that energy can repre-sent up to 30% of operating costs, and are increasingly attentive to the energy efficiency of the systems they buy. That is one of the reasons why Alstom strives to constantly reduce the energy consumption of its trains and systems. Recent innovations include

Hesop reversible power-supply substations – which can recover over 99% of the energy generated during braking – and new CPL1 cooling systems to replace their noisier, more energy-hungry conventional counter-parts. The use of silicon carbide in power electronics is another aspect of these innovations, making it possible to incorporate new, more compact and more energy- efficient converters into the traction system, which can be cooled naturally.As a result, trains designed today are up to 20% more efficient than previous generations thanks to weight reductions (new component design, use of lightweight materials, etc.), improved aerodyna-mics and more efficient traction systems. Alstom is committed to achieving a further 20% reduction in the energy consumption of its solutions by 2020 implementing an energy action plan. It aims at systemati-cally monitoring the performance of its solutions, deploying proven innovative technologies on its entire portfolio and developing collaboration with customers, operators and suppliers. Alstom has also developed a comprehensive range of services to enhance the energy efficiency of existing systems. The use of ecodriving tools,

for instance, enables a reduction in energy consumption and maintenance costs while improving reliability and safety. Energy mapping solutions determine key areas of energy use to target appropriate improvements. Renovation services meanwhile aim to enhance the energy performance of key energy-intensive subsystems, such as traction, heating and ventilation.

BUILDING A SUSTAINABLE WORLD


///FACING CLIMATE CHANGE Climate change is one of the biggest risks the world has known this century. Alstom wants to contribute to mitigating this risk from a business perspective andis, therefore, following the UnitedNations Framework Convention onClimate Change (UNFCCC) negotiationprocess closely through a memberorganisation. It has contributed to the visibility of transportation issues and the promotion at the COP21 in Paris, France, through its support of the Paris Process on Mobility and Climate. Rail is clearly positioned today amongst the motorised transport modes emitting the least greenhouse gas emissions per passenger.


REDUCED NOISENoise is a key concern. Noise reduction is essential in ensuring the acceptability of rail solutions. It is crucial to passenger comfort. Alstom’s simulation tools can define optimal solutions by incorporating the latest advances in technology, such as innovative ventilation systems to reduce interior noise, customised silencers to reduce traction noise, and optimised wheel design.

CLEAN, RECYCLABLE MATERIALSAlstom adopts a proactive approach to its design choices to promote the use of recyclable materials. On average, Alstom trains are more than 92% recyclable and offer

a recovery rate of over 97% (including energy recovery). Initiatives are also underway to reduce the amount of consumables needed in maintenance processes and to extend the service life of parts.Alstom strives to reduce environmental risks and anticipate end-of-life product considerations by selecting water-soluble paints and biodegradable oils for most trains while prioritising assembly of parts by riveting and bolting to facilitate recycling. The company provides its customers with information on the safety of materials and instructions relating to their deconstruction, while constantly monitoring and replacing hazardous materials targeted by Europe’s REACH2 regulations.

ATTRACTIVE SOLUTIONSAlstom pursues a passenger-focused innovation policy, based on its belief that passenger comfort is vital in changing habits and making rail transport more attractive. The company designs products that anticipate the future needs of users through trains that enable universal access, with features such as larger windows, wider aisles, CCTV systems and real-time information.

1- Capillary Pump Loop.2- Regulation on registration, evaluation, authorisation

and restriction of chemicals.

20% OF ENERGY CONSUMPTION REDUCED WITH AXONIS VERSUS TRADITIONAL METROS

ALL-ELECTRICAL BRAKING FOR NEW METROS

…Dynamic tests of the Coradia Nordic regional train near Sundsvall (Sweden)

62 /

As part of its drive to further reduce the environmental impact of its activities, Alstom continues to reinforce its commitments in this area through an active certification policy for all sites around the globe, along with the use of key performance indicators.

Certifying environmental manage-ment systems for all sites, reducing energy and water consumption, curbing greenhouse gases and vola-

tile organic compounds (VOC), optimising waste management and recycling: targets like these form the backbone of Alstom’s drive to ensure its operating activities have as little impact on the environment as possible.

ISO 14001 FOR ALL BUSINESS ACTIVITIESAlstom’s sites cover 60 countries and are a showcase for its commitment to safe-guard the environment. All plants with more than 200 employees have already received ISO 14001 certification. Alstom aims to extend this coverage to include regional centres 1 by 2017, then all its activities by 2020. The company also deploys progressively the ISO 14001 standard in carrying out projects around the world.

DETAILED FOLLOW-UPThere are many indicators that reflect the environmental performance of a company. Alstom focuses on the most significant of these

indicators with regard to its environmental impact, starting with the energy consumption of its sites and activities. Having achieved a reduction of 18% in energy intensity since 2008, Alstom is now targeting a further 10% reduction by 2020 versus 2014. An energy plan has been deployed at Alstom to determine necessary improvements.The same goes for water consumption, which is the focus of ongoing efforts, especially in areas of water stress, where there are not enough water resources to meet expected future human and environmental needs.Meanwhile, Alstom is closely monitoring its carbon footprint and is seeking to reduce its greenhouse gas emissions and to further curb emissions of volatile organic compounds (VOC), which were halved between 2010 and 2015.Alstom is also aiming to maintain a waste recovery rate above 80% while reducing the waste intensity from its activities by 10% by 2020.

A RESPONSIBLE COMPANY


1- Local centres managing infrastructure, integrated systems and signalling projects.

///EXEMPLARY INDUSTRIAL SITESTangible initiatives designed to improve Alstom’s impact on its environment have been rolled out at a number of sites around the world. At the Katowice site in Poland, state-of-the-art spray booths use a heat exchanger to recover thermal energy. In Germany, a computer system manages energy use related to heating and lighting at the Salzgitter site. In Italy, a re-lamping programme is being deployed and two hydroelectric power stations have been installed at the Savigliano site.Wide-ranging global initiatives implemented as part of Alstom’s environmental policy are also backed by an array of local initiatives, based on self-assessments of compliance with Alstom requirements, conducted in all sites with more than 50 employees, to determine appropriate improvement plans.


…Painting line at the Alstom site in Katowice (Poland)

…Alstom’s Epsilon site in Villeurbanne (France)

64 /

Alstom sets the highest standards on safety, embodied by a twofold commitment: win the trust of operators and passengers through reliable, effective solutions; and prevent occupational risks to offer its employees and contractors the best possible working conditions.

PASSENGER SAFETY: A PRIORITYPassenger safety is an absolute priority that Alstom has made a cornerstone of its strategy, and it is at the heart of everything from train design to production and maintenance. Alstom relies on its Quality and Safety policy that enables it to control its solutions in order to avoid the risk of an accident and ensure the maximum safety of passengers. Alstom also provides rail transport operators and infrastructure managers with onboard and automatic train control systems that ensure safe and efficient service.

HIGH LEVEL OF HEALTH & SAFETY STANDARDSAlstom applies the same high standards to the health and safety of employees and contractors through a proactive, detailed approach. Initiatives are underway as part of the “Zero Deviation Plan” launched in 2012, which is based on three key principles involving a single, stringent approach to safety around the world to focus on high-risk activities, ensure implementation of Alstom safety directives by service providers,

and roll out a system for in-depth analysis and return of experience relating to severe accidents. Over the past few years, these measures have helped to greatly reduce the frequency rate for severe accidents. In line with its ongoing pursuit of excellence, Alstom nonetheless continues to apply a “zero tolerance to deviation” policy for any deviation from the standards and aims to reduce the Injury Frequency Rate (IFR1) to 1 by 2020. Four years from now, all Alstom sites are due to have OHSAS 18001 accreditation, which covers occupational health & safety management systems.

A SAFETY CULTUREBased on the belief that safety must be a mindset shared by all, Alstom implements initiatives to promote awareness, training and communication targeting all employees. The company pays special attention to managers and local teams based in countries where standards may differ from those required by Alstom.

HEALTH & SAFETY A CORE COMPANY CONCERN


In line with its ongoing pursuit

of excellence, Alstom continues to apply a “zero tolerance

to deviation” policy for any deviation

from the standards.


ALSTOM SUPPORTS LOCAL COMMUNITIESAlstom plays a key role in promoting sustainable development, not just as a rail solutions manufacturer but also as a socially responsible company committed to the environment.

Building on its work with local communities through its CSR policy, Alstom established its own Foundation in 2007 to support and fund employee initiatives which serve to improve living conditions in communities located near Alstom’s facilities and project sites around the world.

EMPLOYEE INITIATIVESSince its inception, the Alstom Foundation has financed over 130 projects across 6 continents classified into four categories: economic and social development, access to energy and water, environmental protection and recently an additional category - access to mobility. Selected from the many suggestions submitted by employees around the globe, these projects involve the Foundation in working with local and international partners - generally non-governmental organisations, not-for-profit organisations, or associations - which provide the local project delivery expertise.

PROJECTS THAT PROVIDE A REAL COMMITMENTThe Foundation project list is very varied, ranging from economic development initia-tives, such as the provision of small scale renewable power plants, the organisation of waste recovery and eco-tourism support, to campaigns aimed at raising awareness of environmental issues. Other examples include outreach initiatives, some involving orphanages and people with disabilities, others providing mobility access and water supplies to remote communities. In January 2016, the board of the Alstom Foundation selected 18 new projects from the 47 pro-jects submitted. Among the 18 were two projects in Senegal involving the construc-tion of a new health centre and maternity ward in Bassar and the installation of a new solar water pumping system for farms in Ouonck. Meanwhile, in Cambodia, selected communities will be engaged in refores-tation and agroforestry activities related to the supply of renewable fuels for small scale food processing industries.

66 /


DIVERSE AND ENTREPRENEURIAL PEOPLE/// Alstom knows that employee empowerment is crucial to its success and continues to strengthen its culture by promoting diversity and entrepreneurial spirit with a fundamental commitment to integrity and high ethical business standards and practices.

68 /

A STRONG ETHICS AND COMPLIANCE CULTUREAlstom constantly strives to conduct its business in accordance with the most stringent ethical standards and in compliance with all applicable laws and regulations. This policy, which has the full support of the Alstom Board of Directors, senior manage-ment team and all employees, is embodied in the Alstom Code of Ethics which provides the basis for the Alstom Integrity Programme, the implementation of the ethical approach of the company to doing business. This Code applies to each and every employee around the world. All the employees are personally responsible for ensuring that their conduct and the conduct of those reporting to them fully comply with the Code of Ethics and all applicable Alstom instructions. It sets out comprehensive, internationally recognised procedures and rules of conduct, particularly with regard to Alstom’s relations with its partners and suppliers, its commitments as a socially responsible company and its human resources policy.

DIVERSE AND ENTREPRENEURIAL PEOPLE

… /…

Alstom’s employees around the world all share the same culture which is underpinned by a dedication to integrity embodied in the Alstom Code of Ethics and core values. Alstom’s strategy leading up to the year 2020 builds on these assets, with a concerted focus on diversity and entrepreneurial spirit.

SHARING A STRONG CULTURE OF ETHICS AND COMMON VALUES

NEARLY 200 VOLUNTEER E&C AMBASSADORS

A central Ethics & Compliance (E&C) team defines ethical rules and monitors their appli-cation throughout the company, overseeing the implementation and performance of the Integrity Programme and promoting Alstom’s commitment to integrity. The team is supported by dedicated E&C officers in each Alstom business region. The total engage-ment of the employees to the highest level of ethical business practices is evidenced by the large pool of E&C ambassadors who act as initial liaison officers for local teams. These ambassadors serve on a volunteer basis, in addition to their daily roles within the company. In addition to the business support and implementation of the Code of Ethics, the E&C team has set ambitious goals for training and awareness sessions to promote integrity among all employees, using a variety of learning tools and methods: online courses, face-to-face training ses-sions, newsletters and training outside the company.

…Workers on the Singapore Circle Line


“We share a strong culture of ethics

and common values.”HENRI POUPART-LAFARGE Chairman and Chief Executive

Officer of Alstom

… /…

Additionally, Alstom has implemented a robust Alert Procedure which allows all employees or any third party stakeholders to directly report compliance issues to the E&C team. In 2011, Alstom was certified by the ETHIC Intelligence Agency after an audit conducted by the Swiss company SGS, an important recognition of Alstom’s efforts in this area, proving that the Alstom Integrity Programme conforms to the most advanced international practices. In 2014, the ETHIC Intelligence certificate was renewed for three years.The quality of the Alstom Compliance Programme and the daily commitment of all employees to fighting corruption have been

recognised by the World Bank’s Integrity Compliance Office as meeting the World Bank’s integrity compliance guidelines.The E&C rules are an integral part of the Alstom business processes and as such are subject to continuous improvement initiatives. Every year, in the framework of the Yearly Integrity Review, Alstom’s top managers report on the implementation of the Integrity Programme. Alstom regularly analyses and continually adapts its processes to ensure the company’s practices reflect changes in international regulations and laws.

70 /

UNIFYING VALUESThree core values – Team, Trust and Action – provide a common cohesion between all Alstom employees. Team spirit is vital in a company that works on complex projects demanding combined efforts and networ-king, to make the most of the full array of skills and expertise available while ensu-ring the successful execution of tenders and contracts. Trust is built on individual responsibility and accountability, delegation and the belief that each person provides a significant contribution to company deve-lopment. Action stems from a shared commitment to the company’s strategy, with a daily focus on customer satisfaction, embodied by an excellence and a speed of execution that sets Alstom apart from its competitors.

initiatives designed to promote careers for women in industry, such as the French association Elles Bougent, which sup-ports the position of women in the work-place through discussions, site visits and mentoring initiatives.

ENCOURAGING ENTREPRENEURIAL SPIRIT Alstom has introduced a number of initiatives to enhance empowerment and entrepreneurial spirit. Starting at the Alstom organisation principle of empowered Regions, continuing with the model of leadership, which aims to deploy standards of behaviour at every level of the company and up to the reward systems, all processes are designed to encou-rage entrepreneurial spirit. Since mid-2015, three main attributes – customer centricity, managerial courage and value creation –have been defined to support the entrepre-neurial spirit. To support the empowerment of employees, Alstom recognises their individual and collective performance largely through an incentivising compensation policy including measures such as performance incentives, profit sharing and employee shareholding plans.

… /…

DIVERSE AND ENTREPRENEURIAL PEOPLE

25% OF WOMEN IN A MANAGERIAL OR PROFESSIONAL ROLE BY 2020

…Alstom employee in Hong Kong for the

South Island Line (China)

STRENGTHENING DIVERSITYAs part of its campaign to harness the power of diversity, Alstom has long pursued initiatives designed to respect equal oppor-tunity while promoting diversity in terms of gender, generation, nationality and social and cultural background, as well as aiding integration and supporting the employment of people with disabilities. These efforts have taken on particular importance in Alstom’s strategy leading up to 2020. The company’s regional organisation, increasing localisation of projects and the drive to foster a closer relationship with customers all involve strengthening cultural diversity. Four years from now, the nationality of middle management and talent pool should reflect Alstom’s business activities, half of which are outside Europe. There has also been a special focus on encouraging gender balance, with the aim of having women represent 25% of the mana-gerial and professional workforce by 2020 (compared with 20% today and 18% in 2014). To this end, initiatives have been taken in several countries by Human Resources and the business together, among others organising training for women to enable enlarged responsibilities within the company. Alstom also supports a number of other

Three core values – Team, Trust and Action – provide a common cohesion between

all Alstom employees.


ALSTOM – ACTIVITY REPORT 2015/16 is published by the communication department of Alstom. © ALSTOM SA, 2016. All rights reserved. ALSTOM, the ALSTOM logo, all alternative versions and all mentioned trademarks of Alstom’s transport activities, are the brands and trademarks of ALSTOM SA or ALSTOM Transport Technologies. TGV is a trademark registered by SNCF. The other names mentioned registered or not, belong to their respective owners. Technical and other forms of data contained in the present document are given for the purposes of information only. ALSTOM reserves the right to reconsider or change this data at any time and without warning. Copyright registration: 2nd quarter 2016. Publication Director: Emmanuelle Chatelain. Editorial Director: Émilie Pervin. The articles and illustrations published in this issue may not be reproduced without prior written authorisation. Design-Production: Photo credits: cover: © Alstom / Design&Styling. Photographs: © Alstom / TOMA – C.Abad – G. Bernardi – P.Eranian – C.Jachymiak – A.Pavone – C.Sasso – R.Nourry / CAPA Pictures – K.Mohamed – B.Uhart – E.Richardson / ABACA – O.Barria / K.Shoemaker / M.Hui / E.Tkachenko / 1001images / A.Février / Design&Styling / E.Lamperti / G.Lomprez / B.Rosenthal / J.Brice / Kuldeep Photography-K.Rohilla / Kasper Dudzik / Tétris-A.Paoli / Picture Communication-H.Koh. ©Helen Keller International-Vietnam. ©Rocky Mountaineer. ©STM. ©Ora Ito. ©Getty images-Pgiam. Printed in France. This document has been printed on FSC paper (paper made exclusively with fibres from responsibly managed forests) by a certified printer which holds an Imprim’Vert label.

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ACTIVITY REPORT - Alstom R… · systems, equipment and services for the railway sector. Alstom manages the widest range of solutions in the market ... following the sale of its energy