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Austria gives green light for joint venture with Deutsche Bahn

ÖBB: 30.07.2008

The Supervisory Board of Austrian State Railways (ÖBB) have opened the way for a new joint venture with Deutsche Bahn called 'Rail Select'.

Rail Select is a 50-50 joint venture with the German Railion and has a common production platform for the handling of freight traffic between Germany and Austria. The Austrian partner is Rail Cargo Austria (RCA).

The joint venture is a new sign of efficiency in cross-border freight transport for the benefit of freight customers, according to ÖBB.

The railways are expecting to make cost savings and to strengthen their position against private railway company competitors, which are bringing massive competition to all the major state-owned railways.