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Alstom

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Alstom is a French multinational corporation specializing in rail transport systems.

TGM M à gare de Lyon (3) (cropped)
TGM M à gare de Lyon (3) (cropped)

The company operates across several vital technical fields. These include passenger transportation, rail services, and locomotives. They also produce signaling systems to manage track safety. Beyond rail, Alstom works in various energy sectors. This includes wind power, hydropower, and gas turbines. Their technology helps move people and provides power to cities worldwide.

To understand how Alstom works, look at their diverse manufacturing processes. For rail, they build different types of vehicles for specific needs. They produce high-speed trains for long distances and urban trains for cities. They also manufacture trams and locomotives. In the energy sector, they create machines to capture natural power. For example, they build wind turbines to turn wind into electricity.

Badaia - Parque Eólico -BT- 02
Badaia - Parque Eólico -BT- 02

They also create equipment for hydropower plants to use moving water. These processes convert natural forces into usable energy for society.

Alstom's history is a long chain of mergers and acquisitions. The company began in 1928 through a merger of two French firms. These were the electric engineering division of Société Alsacienne de Constructions Mécaniques and Compagnie Française Thomson-Houston. Originally, the name was spelled Alsthom. In 1932, the company expanded into transportation by acquiring Constructions électriques de France. This allowed them to manufacture electric locomotives and hydraulic equipment. In 1976, they merged with the shipbuilder Chantiers de l'Atlantique. This merger helped the company expand into the marine industry.

In 1989, a major change occurred when Alsthom merged with a British company. This 50-50 merger created GEC Alsthom. This move was intended to help the company sell products outside of France. During this era, they became a principal manufacturer of the British Rail Class 373.

Eurostar in London S6301538
Eurostar in London S6301538

These specific trains were designed to travel through the Channel Tunnel. They served the Eurostar high-speed service between England, France, and Belgium. Eventually, the company was officially renamed Alstom, dropping the 'h' from its name.

Alstom is famous for its record-breaking high-speed rail technology. In 1978, they delivered their first TGV to SNCF. The TGV went on to break world rail speed records in 1981 and 1990.

TGM M à gare de Lyon (3) (cropped)
TGM M à gare de Lyon (3) (cropped)

In 2001, a train set a world endurance record for high-speed lines. It traveled from Calais to Marseille in just 3 hours and 29 minutes. The company also built massive energy components. In 1977, they constructed a 1300 MW generator set for a nuclear plant. This machine actually reached a record output of 1500 MW.

Despite its successes, Alstom has faced significant financial and legal challenges. In 2003, the company faced a major financial crisis. This was caused by poor sales and over $5 billion in debt. Much of this debt came from a $4 billion charge regarding a turbine design flaw. The company's share price dropped by 90% over two years. To survive, the French state took a 21% stake in 2004. This was part of an EU-approved bailout worth €2.5 billion. The company also had to sell various business units to meet requirements.

Legal investigations have also impacted the company's reputation. Starting in 2009, the United States Department of Justice investigated Alstom's commercial practices. They focused on violations of the Foreign Corrupt Practices Act. In 2014, Alstom was fined $772 million by the DOJ. The company admitted guilt regarding bribes paid to obtain contracts in different countries. Additionally, the UK Serious Fraud Office investigated corruption related to contracts in India, Poland, and Tunisia. These legal issues show the complexities of operating a massive global corporation.

Today, Alstom's influence is seen in many different parts of the world. They build metro cars, such as the 6000 series used in Washington, D.C.

WMATA Alstom 6000 Series on the Red Line
WMATA Alstom 6000 Series on the Red Line

They also have major projects in places like Iraq and Mexico. In 2014, they won a $429.4 million contract to modernize trains in Mexico City. The company continues to build factories in Canada and France. By working in both transport and energy, Alstom connects to many global systems. Their technology remains essential for modern movement and power.

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🖼️ Images & Media (4)
File:Eurostar in London S6301538.JPG
Eurostar in London S6301538.JPG
File:WMATA Alstom 6000 Series on the Red Line.jpg
WMATA Alstom 6000 Series on the Red Line.jpg
File:Badaia - Parque Eólico -BT- 02.jpg
Badaia - Parque Eólico -BT- 02.jpg
File:TGM M à gare de Lyon (3) (cropped).jpg
TGM M à gare de Lyon (3) (cropped).jpg
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