Heavy-duty transit bus manufacturer, New Flyer Industries has secured a contract from the Chicago Transit Authority (CTA) to repair its 1,029 buses in the US.
Under the mid-life overhaul program that is expected to start by first quarter of 2013, the manufacturer will provide spare parts and labor services that cost about $50m for its 400 buses, with about six buses getting repaired each week in the next two years.
New Flyer president and chief executive officer Paul Soubry said: "This is a significant step in New Flyer's strategy to grow our product support and aftermarket business."
The company with its local Disadvantaged Business Enterprise (DBE) partner, Dependable Bus Equipment will provide the material to its Chicago labor partners, Bus & Truck of Chicago and Cummins NPower.
Spare parts and labor services of about $25m will be directly provided to Cummins NPower by the manufacturer to repair about 629 New Flyer buses under the second mid-life contract awarded by CTA.
