Winnipeg Free Press - ONLINE EDITION
Posted: 01/10/2013 2:49 PM | Comments: 0
It’s getting more difficult to find a seat on the bus and that’s good news for Winnipeg bus maker New Flyer Industries.
After struggling through a period of weak orders following the big financial recession, New Flyer’s order books are getting much stronger.
Total order activity in the second half of 2012 was much better than the previous four quarters and represents the third consecutive quarter of improved orders.
In the fourth quarter of 2012 the company booked total orders — including both firm orders and options — of 1,055 equivalent units, representing the company’s highest level of order intake since the fourth quarter of 2008.
An equivalent unit (EU) gives an approximate measure of the size of a bus, and a longer than typical 40-foot bus represents two units.
New firm orders were received in the fourth quarter of 2012 for 407 EUs with a total value of $191.6 million, a significant increase compared to firm orders of just nine EUs valued at $3.8 million in the fourth fiscal quarter ended January 1, 2012.
New options were received in the quarter for 648 EUs worth $273.1 million, compared to no new options awarded during the same period in 2011.
New Flyer was also successful at converting options for 190 EUs with a total value of $74.6 million during the quarter as compared to 152 EUs with a total value of $64.4 million last year.
In addition to New Flyer’s success in building its order book, the total bid universe — an indicator of the forecast for overall transit bus market demand and active bids — has increased by 46 per cent in the last year.
New Flyer’s order activity could receive an early boost in the first quarter of 2013 with the possibility of a big sale to LA Metro.
The Los Angeles transit authority has recommended to its board to buy 550 New Flyer compressed natural gas buses for $302.9 million and an option for an additional 350.
That recommendation goes before a committee of L.A. Metro’s board on Jan. 17. and to the full board, on Jan. 24.
New Flyer shares were up 24 cents to $8.87 on about twice the normal trading volume.
Have you found an error, or know of something we’ve missed in one of our stories? Please use the form below and let us know.
Having problems with the form?Contact Us Directly
World finance leaders see threats ahead for global economy
Vancouver symposium to ponder secrets to happiness
Email: Affleck asked PBS to not reveal slave-owning ancestor
Jamaica's government organizes trade mission to Cuba
Philanthropist, shopping mall developer Taubman dies at 91
Bangladesh guardedly welcomes Benetton factory victim pledge
When grain's gone, what to do with the bags?
Apple execs salary leaders
What summer students need
Manitoba's inflation rate jumps to 1.2 per cent
Fiorina says she'd neutralize Clinton's gender arguments
House prices edge up in Winnipeg: report
Provincial dairy production soars, driven by demand for locally made cheese and butter
Turning the page: Recently divorced mother braces for impact of new financial situation
Video released of 'Suge' Knight running over 2
US oil and natural gas rig count drops by 34 to 954
Senator: Decade-old Gulf oil leak is 'unacceptable'
Bank of China awarded $672 million in B.C. court
Worker burns face, neck in explosion at Ohio chemical plant
Group wants to bring back Native Hawaiian burial traditions
Recalls this week: blowers, bike hooks, mattresses, toys
Boost Mobile selling prepaid cards for Cuba calls and texts
Report looks at 2025 in tech crystal ball
Orange you the happy banker?
WikiLeaks creates archive of Sony emails, papers
Minnesota hit hard by bird flu outbreak
Count calories on NYC's Citi Bikes? New features coming soon
Valeant execs share US$123M compensation
Washington governor repeats call for state auditor to resign
No. 1 egg-producing state aims to keep bird flu out
China: New bank to enhance international finance system
Clinton cautious about Obama's Pacific trade deal
Family wins back seized gold coins that could be worth $80M
Suspicious vehicle at arsenal checkpoint prompts evacuation
Most actively traded companies on the TSX
American Express and Mattel are big market movers
Unruly man sentenced in case of jet diverted to Nebraska
How the Dow Jones industrial average fared Friday
Barbie shows signs of life as Mattel plots comeback