VTG cements 15 year deal with Tarmac

VTG Rail UK, a subsidiary of VTG Aktiengesellschaft (SCN: VTG999), one of Europe’s leading rail logistics and wagon hire companies, has signed a 15-year agreement with Tarmac Buxton Lime and Cement (TBLC) for the purchase and lease back of its key 50 wagon fleet. 
Under the new arrangement, VTG takes ownership of 20 aggregate hoppers and 30 pressure discharge cement tanks, which are being leased back exclusively to the cement and lime producer for the duration of the contract.  As part of the lease back deal, all of the wagons will be re-painted to include a 'Tarmac Buxton Lime and Cement and VTG' livery. 
As the new owners of the wagons, VTG will take on responsibility for maintenance, repair and all other aspects of their upkeep, relieving TBLC of the ever increasing and expensive process of complying with the stringent safety and regulatory requirements placed on the owners of freight rolling stock.
By choosing to do a deal of this nature with VTG, an independent wagon lessor, rather than enter into a arrangement with a Freight Operating Company, TBLC has gained the freedom not only to negotiate the best haulage deals in an ever more competitive marketplace, but also the ability to readily switch haulier, should performance demand it.
Ian Shaw, VTG’s Bulk Fleet Sales Manager said: “We are delighted to have been awarded this new contract with TBLC, which will give them long term peace of mind on wagon availability and operability. Our lease back deals are completely seamless, meaning wagons can stay in service throughout the transaction and allowing TBLC to continue its business uninterrupted while we take care of all of the legal and maintenance requirements of wagon ownership.”
Phil Richards, Business Director at Tarmac Buxton Lime and Cement said: “Although we spoke to other companies, we were immediately impressed by VTG’s very positive proposal, and are delighted with the agreement we have reached.”

Source: Transportweekly