Harsco Rail Wins Five-Year Operation and Maintenance Contract with UK's Network Rail

Rhea-AI Summary

Harsco Corporation (NYSE: HSC) has secured a five-year contract valued at over $130 million with Network Rail, the UK’s largest railway infrastructure manager, effective May 27, 2023. The contract involves the operation and maintenance of 14 stoneblowers, which automate railroad track repair processes. This deal doubles Harsco's business presence in the UK, reaffirming Network Rail’s trust in Harsco Rail's expertise. The partnership builds on Harsco Rail's prior collaborations with Network Rail on various rail maintenance services since 2004.

Positive

• Contract valued at over $130 million.
• Doubles the size of Harsco's business in the UK.
• Enhances service capabilities with Network Rail.

Negative

• None.

• Harsco will operate and maintain Network Rail’s 14 stoneblowers
  

PHILADELPHIA, April 05, 2023 (GLOBE NEWSWIRE) -- Harsco Corporation (NYSE: HSC) announced today that its Rail division has been awarded a five-year stoneblower operation and maintenance contract with Network Rail, the largest infrastructure manager of railways in the United Kingdom. The contract, valued at over $130 million, goes into full effect on May 27, 2023.

Through the contract, Harsco Rail will be responsible for the operation and maintenance of 14 Network Rail stoneblowers, which automate the traditional process for repairing and restoring railroad tracks.

“This contract doubles the size of our business in the UK and exemplifies Network Rail’s continued trust and confidence in our team,” said Harsco Rail Group President Claus Heuschmid. “We are pleased to draw on our extensive knowledge of railway maintenance to support our longtime partner.”

This competitive contract adds Harsco’s stoneblower operation and maintenance capabilities to the existing services and products Harsco provides to its largest U.K. partner.

Harsco Rail has partnered with Network Rail on Switch and Crossing rail grinders since 2004 and Mobile Maintenance Train service since 2020.

About Harsco Rail

Harsco Rail, a worldwide operating segment of Harsco Corporation, is a technological and innovative global supplier of railway track maintenance products and services. Harsco Rail provides expert engineering, vehicles and equipment, innovative technology, safety technology, dedicated parts and services, contracting services and quality maintenance from nine main locations in the United States, the United Kingdom, Germany, India, Brazil, China and Australia. Additional information can be found at www.harscorail.com.

About Network Rail

Network Rail owns, operates and develops Britain's railway infrastructure – 20,000 miles of track, 30,000 bridges, tunnels and viaducts and the thousands of signals, level crossings and stations. It runs 20 of the UK's largest stations while all the others, over 2,500, are run by the country's train operating companies.

Investor Contact  David Martin 717.612.5628 damartin@harsco.com

Media Contact Jay Cooney 717.730.3683 jcooney@harsco.com

FAQ

What is the value of the contract awarded to Harsco Corporation on April 5, 2023?

The contract is valued at over $130 million.

How long is the contract with Network Rail for Harsco Corporation?

The contract is for five years.

What will Harsco Corporation be responsible for under the new contract?

Harsco will operate and maintain 14 stoneblowers for Network Rail.

When does the new contract with Network Rail go into effect?

The contract goes into full effect on May 27, 2023.

How does this contract impact Harsco Corporation's business in the UK?

It doubles the size of Harsco's business in the UK.