Ermewa Rolling Stock

Financing part of a EUR 350m capex programme for the acquisition of new rail/multimodal freight rolling stock (wagons and tank containers) by Ermewa, a French wholly owned SNCF company, through a sale and lease back structure with Crédit Agricole.

Objectives

The project will contribute to promoting sustainable transport, as the shift from road to rail will reduce emissions and increase safety.

Comments

Sector(s)

Transport

Proposed EIB finance (Approximate amount)

EUR 150 million

Total cost (Approximate amount)

EUR 350 million

Environmental aspects

The project is outside the scope of the EIA Directive 85/337/EC (as amended). On a ton x km basis, rail freight has the potential to generate significant energy savings, emission reductions and safety improvements if compared to other transport modes. Rail noise aspects will be investigated during appraisal (e.g. braking blocks of new wagons) even if modal transfer of freight from road to rail may also improve noise level on aggregate basis. If relevant, issues relating to the disposal of rolling stock to be replaced (scrapping) and safety will be assessed. Compliance with environmentally-friendly design standards will be appraised in detail, together with the application of environmental policies and procedures for the scrapping of old vehicles.

Procurement

The Borrower will be a special purpose vehicle (SPV) as a rail and tank containers asset owning entity, wholly owned by Crédit Agricole Corporate & Investment Bank (CA-CIB) and it is not subject to EU procurement directives. The Promoter, Ermewa who is wholly owned by SNCF, leases its wagons and tank containers to private and public companies in the EU mainly. Ermewa will be responsible for ordering and taking delivery of the wagons and will upon delivery sell them to the SPV, and then lease them back. The wagons will then be leased by Ermewa to its clients, which will be industrial clients, rail freight operators (typically private, but also include SNCF) and other logistics groups.

Ermewa is wholly owned by a public entity, but it has a commercial character in terms of Directive 2004/18/EC and therefore it is not subject to EU procurement directives. However the full procurement chain in connection with SNCF’s wagon lease activities will be analysed in detail during the appraisal.

Status

Approved - 18/10/2011.

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