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BR's three-way split

4th April 1987, Page 15
4th April 1987
Page 15
Page 15, 4th April 1987 — BR's three-way split
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Which of the following most accurately describes the problem?

• The maintenance contract for British Rail's 7,000 road going vehicles is to be handled by TNT, Securicor and Transfleet in three separate multimillion pound deals.

NFC subsidiary Fleetcare held the BR maintenance contract for several years, but when it came up for renewal this year Fleetcare was not invited to tender, following evidence of overcharging in 1984 at 20 Fleetcare depots (CM October 11), TNT, Securicor and Transfleet will each be responsible for around 2,000 BR trucks, vans and cars. Each contract will last for three years and will be subject to regular evaluations.

BR says it expects the new arrangement will reduce maintenance costs and increase control. Each of the contract winners will operate their contracts as service managers.

The contract is especially important to TNT Truckcare, as it represents the company's first major outside maintenance contract. Truckcare already maintains 2,750 TNT vehicles through 22 TNT depots. Under the BR contract a further 777 British Rail vehicles will be maintained alongside TNT vehicles with another 1,686 BR vehicles maintained on a subcontract basis.

Truckcare general manager Alan Dickinson says the BR contract will put TNT's engineering division into profit.

The award of contracts to both TNT Truckcare and Securicor follows short-term local maintenance contracts undertaken by each company for BR during the winding down of the Fleetcare contract.

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