FOR RELEASE: January 8, 2001

EMD SET TO SHIP SEVEN CLASS 66'S TO GB RAILFREIGHT

(Chicago, IL) General Motors' Electro-Motive Division (EMD) announced today the imminent delivery of seven Class 66 freight locomotives to GB Railfreight. Delivery will be taken March 2001. The locomotives will be used primarily as material haulers for Railtrack infrastructure projects.

The contract is between EMD and HSBC and marks a continuing commitment and partnership to provide a high quality service within the UK. The Class 66 is designed and engineered to meet high safety and reliability targets.

According to Don Riach, Director of Worldwide Sales for EMD, "EMD is committed to its role as a long-term solution provider of locomotives, parts and services to the European rail industry; adding global know-how to the local requirements of European operators. This relationship with GB Railfreight is another key step in our European expansion. We will work closely with our GB Railfreight colleagues to ensure these Class 66's provide excellent service and reliability."

"We want EMD to be at the heart of the revitalisation of the European rail freight business."

John Smith, Managing Director, GB Railfreight, commented: "GB Railfreight is delighted to be working with EMD. This is a pivotal development in our business plan for the future and marks the outset of a successful, commercial partnership in readiness for our first major freight contract with Railtrack which begins at the end of March 2001."

Known in the UK market as the Class 66 locomotive, the JT42CWR is used by the English, Welsh and Scottish Railway; Freightliner; GB Railfreight (in 2001), in Sweden by TGOJ Trafik and in Germany by HGK. GM has sold nearly 300 class 66 locomotives. This is the largest sustained production of diesel-electric locomotives for Europe in recent times. Since this locomotive was introduced in 1998, it has performed with unrivaled reliability.

Diesel-electric locomotives like the JT42CWR offer several advantages because they are not dependent on the overhead electric wire catenary. This allows the locomotive to haul freight over different electrical systems and enables access to places where no electrification exists, such as in port and terminal areas. These locomotives also provide additional opportunities to move freight from the roadways in Europe to the rails, thus relieving traffic congestion, improving road safety, and reducing environmental emissions.

FOR FURTHER INFORMATION:
Scott Garman
scott.garman@emdiesels.com
+1 (708) 387-5041