News

11 Sep 2006

CMA CGM, the third leading container shipping group in the world, and Veolia Environnement, the world leader in environmental services, have decided to cooperate, through their respective subsidiaries, Rail Link and Veolia Transport, in developing a new rail transportation service for sea containers.

This partnership is at the origin of 2 separate companies:

- A combined transportation operator (51%-controlled by Rail Link and 49% by Veolia Transport), which will be responsible for organizing and marketing the transportation of sea containers between port terminals and the end customers’ industrial sites.

- A rail company (51%-controlled by Veolia Transport and 49% by Rail Link), which will have all the necessary physical equipment and resources and be responsible for the actual transportation by rail of the containers.



These two subsidiaries will be operational before the end of 2006, provided the European competition authorities give their approval. The transfer of Rail Link’s current businesses to the new combined transportation operator and the entry into service by the end of 2006 on the Marseille-Germany route (among others) of the first locomotives bought by the rail company will enable business volumes to rise rapidly. Revenues are expected to be around €100 million by 2010 for the transportation service operator and €50 million for the rail company.