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The deal which had been rumored for a while is now official approved by the boards of both companies.

The Wall Street Journal report differed a bit from the Progressive Railroading report. WSJ says Wabtec will control 49.9% of the stock, GE will retain 10%, and the remaining 40.1% of stock will be distributed to GE shareholders. Hence, GE does not control the new company. And they have agreed that GE will sell its 10% of the stock within two years.

We hear reports of research directed at next generation locomotives. Better fuel efficiency, reduced emissions, alternatives to engines idling full time until they return to the shop, LNG as fuel. And there must be work with positive train control.

One would hope that GE's engineering talent and experience will go to the new company.

We don't hear much from GM's EMD locomotive business now sold to Caterpillar. GM ceded leadership to GE while distracted by their pending bankruptcy. Clearly Caterpillar has the expertise to innovate new locomotive technology. I wonder what they are up to?
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