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East New York

Breaking News: MTS in negotiations for 2000 buses!

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That's right. They are supposed to re-issue a bid for like 500 aren't they? I know the Compo order is for a hundred something buses isn't it?

 

I don't recall the details for the reissued bid, but the latest option taken is for 50 buses. They will also get 100 buses from the previously deffered order.

Edited by R22 Shoal Point

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Any update on this?

 

 

Actually there is. MTS is to meet with the potential customer in the next 2 weeks to continue the talks about the possible order details.

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Very few major transit agencies in the U.S. and Canada still want high floor buses. Even fewer even need 2000 buses. If this supposed 2000 bus order is real, then are we sure that the potential customer is even in the U.S. or Canada?

Edited by ChickenPotPie

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Actually there is. MTS is to meet with the potential customer in the next 2 weeks to continue the talks about the possible order details.

 

 

Thanks keep us updated when you hear what went on at the meeting.

 

Very few major transit agencies in the U.S. and Canada still want high floor buses. Even fewer even need 2000 buses. If this supposed 2000 bus order is real, then are we sure that the potential customer is even in the U.S. or Canada?

 

 

Interesting thought, but unless the customer is in Mexico wouldn't the cost of shipping these buses be very high compared to buying from a local manufacturer? I guess you could take them down to the port on the gulf of mexico and ship 'em out, anyone have a guess on what that would cost?

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Definiatly not SEPTA. They just put an order with NovaBus

We're all racking out brains tryin to figure out who would order 2000 buses.

MTA, SEPTA, TTC.....

.....Im thinking Coach USA.

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Keep in mind that RTS buses have been shipped off shore many times over the years. Puerto Rico and Hawaii were RTS customers. The particular customer in question is off shore as well.

 

This operator has been evaluating buses worldwide, and have reason to believe that the RTS may be the only model in the world that can meet it's needs, and stand up to it's strenuous operating conditions.

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Thanks keep us updated when you hear what went on at the meeting.

 

 

 

Interesting thought, but unless the customer is in Mexico wouldn't the cost of shipping these buses be very high compared to buying from a local manufacturer? I guess you could take them down to the port on the gulf of mexico and ship 'em out, anyone have a guess on what that would cost?

 

 

Not Mexico that is 100% for sure, even though they import buses most are shipped in kits to Mexico if they arent made in Mexico then put together.

 

Keep in mind that RTS buses have been shipped off shore many times over the years. Puerto Rico and Hawaii were RTS customers. The particular customer in question is off shore as well.

 

This operator has been evaluating buses worldwide, and have reason to believe that the RTS may be the only model in the world that can meet it's needs, and stand up to it's strenuous operating conditions.

 

 

Can you give more clues, is this a private operator company like First Group? and this is for left hand drive buses or right hand drive buses?

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Not Mexico that is 100% for sure, even though they import buses most are shipped in kits to Mexico if they arent made in Mexico then put together.

 

 

 

Can you give more clues, is this a private operator company like First Group? and this is for left hand drive buses or right hand drive buses?

 

Not sure if the operator is public or private. I will try to get more details tomorrow.

 

Does MTS have any current contracts they are building? I have not noticed anything posted so figured I would just ask.

 

No. They are still in talks with several operators at this time. Their current plan is to secure contracts for 2090 buses, then add in the others. There are quite a few operators who want RTS buses, but MTS wants them all to be spec'd similar to MTA's buses when they resume production. Everything is basically ready to go as soon as the CEO gives the go ahead to resume production. There is a 40 high floor, 40 foot low floor, and a 42.5 foot low floor at the plant. There is also a 42.5 foot high floor at position 1 on the assembly line. This is an MTA spec'd bus.

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That's right. They are supposed to re-issue a bid for like 500 aren't they? I know the Compo order is for a hundred something buses isn't it?

 

 

Metro 45C order is 150 confirmed, the 550 and 2016 option brings the total to 900. The contract is being written as if it was designed for Gen III LFW that DART (DALLAS) has on order. All will be CNG , the 30 test buses are for Hydrogen technology or ZEB

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They are still in talks with several operators at this time. Their current plan is to secure contracts for 2090 buses, then add in the others. There are quite a few operators who want RTS buses, but MTS wants them all to be spec'd similar to MTA's buses when they resume production.

 

 

Kind of a throwback to the beginning days of the RTS, when a group of agencies purchased the first 01 buses. All of them were more of less spec'd the same (other than length and width).

 

Interesting strategy by MTS, but I wonder how they'll pull it off. How many of those 2,090 buses do they plan on building a year? Part of the reason Orion went under is that they were staffed to build probably 1,200 to 1,500 buses per year. It's all fine and good when you're churning out those big orders, but then you have to keep winning bids to keep the pipeline loaded. You don't want to hire and train all those employees, then lay them off - and still pay the various fixed costs of keeping the plant running - when you're only building a few hundred buses the next year. We’ll see.

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This would probably not be a popular decision but what if a company like RTS built a majority of the bus in Mexico and brought to a US plant for final assembly? It would really keep down costs...

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This would probably not be a popular decision but what if a company like RTS built a majority of the bus in Mexico and brought to a US plant for final assembly? It would really keep down costs...

 

 

Most U.S. customers buy buses with Federal funds, so the vehicle must meet the 'Buy America' requirements - 60 percent of the components (based on value) must be produced in the U.S.and final assembly must take place here. Canadian companies like New Flyer and Nova are able to meet this so I suppose a Mexican manufacturer could too.

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Most U.S. customers buy buses with Federal funds, so the vehicle must meet the 'Buy America' requirements - 60 percent of the components (based on value) must be produced in the U.S.and final assembly must take place here. Canadian companies like New Flyer and Nova are able to meet this so I suppose a Mexican manufacturer could too.

 

 

That's what I'm talking about, except with a US Manufacturer doing some of the manufacturing in a Mexican factory near the border then bringing the buses to a US factory near the border.

 

This would def. save on labor costs...

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That's what I'm talking about, except with a US Manufacturer doing some of the manufacturing in a Mexican factory near the border then bringing the buses to a US factory near the border.

 

This would def. save on labor costs...

 

 

Even though the RTS is the most expensive bus to build, I would not like the idea of any part of the production being moved out of our country. Our economy has suffered enough from this way of thinking. The RTS is an American made coach that needs to be made in America by American employees.

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I agree with you especially about outsourcing and what it has done to our country.

 

All I'm saying is that it would save on labor costs and TA's who have bought New Flyer & Orion couldnt hold it against you because those two manufacturers do the same thing but with the northern.

 

I have no idea what the market is for bus builders, I'm all for a company like MTS hiring and training local workers in America (or leasing/buying a factory in an area that will be losing a bus builder and putting those people to work).

 

As much as outsourcing has hurt America you have to agree that unions have hurt the blue collar worker. Look what they did for workers in Detroit! Workers making crazy hourly wages, which only makes outsourcing seem like the only option to some CEOs. Say "yes sir" who feels everyone on the floor should be making over 100k a year and try to sell cars and compete with Japanese competitors with that overhead or outsource the work?

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Oh yeah, I understand where you are coming from, and it would definitely cut some labor costs. For the time being, MTS will continue to produce buses in the same plant as Nova and TMC did. Because the tooling used to build the RTS is so unique, it would cost MTS millions that they don't have if they were to try and move production anywhere else.

 

As far as Detroit goes, I know full well about that. It's my birthplace, and I was once a quality control inspector for Ford and GM before the indutry tanked and I was laid off. That city is worse off than some third world contries now!

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The negotiations for this order are now scheduled to continue. The Customer will now proceed with "due diligence" in preparation for the order.

 

The bus is already Altoona tested, and has completed millions of miles of revenue passenger trips, so they would start their order off with pilots, followed immediately by 240-350 buses per year until the balance is complete.

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It is official! MTS is now building the pilot for the foreign customer who has been moved just ahead of MTA. The new RTS will feature an all-new front end. Official press release to follow in the coming weeks.

 

http://www.nyctransitforums.com/forums/topic/30294-millennium-transit-services-news-current-events/

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