HS2 contractor braces for UK job cuts [Yahoo! Finance]
ALSTOM UNSP/ADR (ALSMY)
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Source: Yahoo! Finance
Hitachi, whose UK factory employs 700 people and supports a further 1,400 jobs in the supply chain, suffered a body blow last week after the Department for Transport declined to approve an order of new trains for Avanti West Coast after two years of discussions. Labour has indicated that it will go ahead with the contract should it win power, but a general election is unlikely before the autumn. Executives at the Japanese company have therefore concluded that the site in County Durham is all but certain to face a six-month gap in train manufacturing. It has forced Hitachi to begin evaluating all options, according to sources close to the company. Train building at the plant in Newton Aycliffe is expected to peak over the summer before declining from October following the completion of existing contracts for Avanti and East Midlands Railway. The typical 12-month lag between signing deals with suppliers and the start of parts shipments means assembly work will almost certainly
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