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Arriva wins first Swedish rail deal

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11:26 CET+01:00
Arriva PLC, the European transport group, said it won its first major rail contract in Sweden - a nine-year deal to operate the Pågatåg regional train service in the Skåne region.

The contract, awarded by Swedish government body Skånetrafikken, will generate revenue of £15 million (200 million kronor) a year from June 2007. It has a two-year extension option.

Arriva said revenue is expected to grow in line with Skånetrafikken's plans to expand the contract services.

The group, which already operates rail services in Denmark, Germany, the Netherlands and the UK as well as buses in eight European countries, including Sweden, beat off competition for the contract from bidders which included DSB and SJ - the Danish and Swedish state-owned railways.

Arriva will initially operate 26 Litra X11 trains on a network serving 47 stations in southern Sweden.

During the contract the group will work with Skånetrafikken to grow customer numbers, take forward proposals to purchase new trains to increase the fleet to around 60 trains, increase the network size, and deliver timetable improvements.

Arriva's Scandinavian operation will be known at Arriva Tog, based in Malmö.

AFP

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