Houghton InternationalThe UK’s market leading Traction Motor & MA Set repairer

2

Keeping your Trains on the Tracks for LongerLife extension

Patented dynamic load testing

Pioneering reliability

Confidence guaranteed

Houghton International pioneer technical and commercial innovation in the repair, maintenance and life extension of Traction Motors and MA Sets into the UK and global rail markets. We have patented HiTrans™, our Transient Dynamic MA Set test process which electrically simulates full load conditions on any type of MA Set. We replicate exactly what happens in service, which means your unit has been put through its paces at full working load before it leaves

our factory. Our repairs are proven to work first time, every time. And to a life expectation in line with the useful life of the train. Demand for HiTrax™, our pioneering solution for life extending traction motors and MA Sets, has drawn our services across the world. Our collaborative, transparent, partnership, approach has been welcomed by all stake holders with a vested interest in enhancing the performance of existing rolling stock.

Our customers are:1. Rolling stock owners and operators2. Repairers of rail traction equipment3. Policy decision makers4. Repairers of Traction Motors & MA Sets outside the UK

Tel: +44 (0)191 234 3000Fax: +44 (0)191 263 7873Email: info@houghton-international.comwww.houghton-international.com

HiTRANS

3

Introduction

Houghton International pioneer technical and commercial innovation in the repair, maintenance and life extension of Traction Motors and MA Sets into the UK and global rail markets. We have patented HiTrans™, our Transient Dynamic MA Set test process which electrically simulates full load conditions on any type of MA Set. We replicate exactly what happens in service, which means your unit has been put through its paces at full working load before it leaves our factory. Our repairs are proven to work first time, every time. And to a life expectation in line with the useful life of the train. Demand for HiTrax™, our pioneering solution for life extending traction motors and MA Sets, has drawn our services across the world. Our collaborative, transparent, partnership, approach has been welcomed by all stake holders with a vested interest in enhancing the performance of existing rolling stock. Our customers are:

1. Rolling stock owners and operators2. Repairers of rail traction equipment3. Policy decision makers4. Repairers of Traction Motors & MA Sets outside the UK

We hope you find this brochure informative. If you’d like to discuss how we can add value to you and your business, please get in touch.

Michael MittenManaging Director

4

Our vision, mission and values

4

5

Our VisionTo have one of our products improving the performance of every train in the world.

MissionTo be rated the Number 1 supplier into every customer we service.

Values• Alwaysunderstandwhatthecustomerreally wants, and give it to them• Alwayshireforattitudeandtrainforskill• Alwaysadmitwhenyou’rewrong• Alwaysacceptthatgoodenoughjustisn’t good enough• Alwaysretainsuperstartalent• Alwayspreserveyourintegrity• Alwaysbeopen,honestandprofessional• Alwaysoffertheopportunityofpromotion from within first• Alwaysmakedecisionsbasedonimproving profits & cash flow• Alwaysgiveyourabsolutebest

Our Rail Business StrategyTodeveloplong-termpartnershipsandjointventure businesses operating in train maintenance world wide. By listening to our customers’ needs, understanding the markets in which they operate and how they need to add value to their customers, we tailor our investments and business structure to deliver sustainable and ongoing value throughout the rail supply chain.

5

6

Back in February 2009 the UK witnessed one of its harshest snowfalls in the London region for over 10 years. As a result First Capital Connect (FCC) had over 40 traction motor failures due to earth faults. The implication of this was a shortage of vehicles.

Once the initial impact was assessed, FCC approached Unipart Rail, who immediately involved their partner supplier Houghton International, where a triage team was set up to assess the actual damage to each traction motor and the level of work required to bring them back to a serviceable condition. This also included Hornsey’s Depots capacity to remove and refit the units and Houghton International’s ability to individually assess each traction motor to determine whether it required major rework such as armature rewind or a light overhaul and dry up in the Houghton International ovens.

In a matter of days, full availability of trains for passenger service was achieved.

Within 3 weeks, quality cost and delivery had been achieved; all defective motors had been removed, rectified by Houghton International and refitted to the vehicles. The drive, enthusiasm and flexibility of working together by all parties and not compromising any core values were greatly appreciated by FCC.

Ian Duncan, Head of Fleet GN stated:

“This was a great example of FCC, Unipart Rail and

Houghton International staff working together to

understand the potential effect on our customers

and putting together unique robust solutions that

averted loss of availability and potential severe

disruption to our customers”.

Unipart Rail, Jupiter Building, First PointBalby Carr Bank, Doncaster, DN4 5JQ

trsenquiries@unipartrail.com

7

Since January 2005 we have overhauled roughly2200 DC traction motors, and carried out fullarmature and field rewinds to over 400 units. OurAC business is growing steadily and we expect tooverhaul around 100 Motor Alternators (MA Sets) of varying types in 2011, utilising our patented HiTrans™ transient dynamic load testing process.

As an example of what we can achieve throughour collaborative approach to Total Quality andcontinuous improvement, we have taken Merseyrail,in 2005 the worst UK train operator measured byin-service failure and late running, to be the 2ndbest in the UK in 2010. Their traction motor failurerate was >20% before we took over the contract. Itis now <0.01%. See the testimonial and case study from Merseyrail later in this brochure.

Our pioneering HiTrax™ life extension concept isbeing adopted as a standard for life extending railtraction motors in the UK and internationally.

A measure of our expertise in solving life cycleissues is HiTrans™, our newly patented TransientDynamic load test process.

See more detailed information about both HiTrax™ & HiTrans™ on pages 8 & 9.

Across three continents, we act as consultantsthrough the entire supply chain to ensure lifeextension projects are scalable to meet demand;effective; technically sound; high quality;commercially viable, and; deliver sustainableeconomic value to the passengers, owners,operators, cities and countries that require a reliable, efficient, on time, passenger and freight rolling stock infrastructure.

Our Rail business customers are: 1. Rolling stock owners and operators 2. Repairers of rail traction equipment 3. Policy decision makers 4. Repairers of Traction Motors & MA Sets outside the UK

Arguably we service and repair about 12% of theUK’s overland traction motors, outputting up to 15units per week in 2010. At the time of writing, weare embarking upon a £1.5million expansion whichwill see our capacity increase to 50 units per week.An increased capacity for up to 30 motors perweek will be available from October 2011.

Our DC armature rewind section outputs around 12 units per month and is expected to double productivity in 2011. We also expect to grow the rewind of field & interpoles for DC main stators from 6 to 12 per month in the same period.

To our knowledge we are the only UK company with the capability of producing edge wound field and interpole coils for DC traction motors.

Our AC activity is expected to grow from 20 rewound units in 2010 to around 60 units in 2011,while we expect to turn the AC overhaul businessinto the hundreds of units. We have invested in anAC motor test rig which will dynamically test ALLAC traction motors. We have also invested in rotorbar crack detection equipment, which is also, to ourknowledge, a unique, market-leading, service offeredin the UK.

We are the proven experts who add value to every traction motor and MA Set we repair. We provide our customers with competitive advantage by improving their trains. We partner with our customers to pioneer a new way to deliver sustainable economic value to their customers: the passengers, operators and communities that require a reliable, efficient, on time, rolling stock infrastructure.

Can you afford not to be talking to us?

Competitive advantage in the rail industry

7

8

HiTrax™ is an insulation system proven to life extend DC & AC traction motors for over 10 years. It is a combination of both our traction motor and high voltage expertise applied to solve the problem of deteriorating dielectric capability of problematic motors. Life extension can be required for numerous reasons – from poor original manufacturing processes and/or materials to, most commonly, degradation due to age, environmental exposure and transient voltages from inconsistent electrification.

HiTrax™ is proven because it has been running across the UK’s rail system for longer than 10 years, without failure. It is imperative that all elements in our Total Quality concept are followed throughout the manufacturing, rewinding and vacuum pressure impregnation (VPI) processes for it to be absolutely effective. To date, we have never experienced a motor failure due to its insulation system. We cannot yet say how long HiTrax™ will last, because it has not been running on trains for more than 11 years. Time will tell.

HiTrax™ combines insulation materials that have the greatest dielectric durability throughout the wide temperature range traction motors are exposed to in their life cycle, with the best VPI resins and stringent process control, tested to extremes. HiTrax™ is proven to work in conjunction with both Epoxy and Silicone VPI resins, although we feel Epoxy provides the absolute best lasting protection.

We realised many years ago that traction motors require special attention. They operate in unique conditions that expose them to heavy ingress of moisture and often corrosive dirt. Ambient running temperatures can range from -40°C up to +50°C, in humidity greater than 95%, providing a massive maintenance headache to train owners and operators. Air intakes are often open to the elements, meaning snow and ice cause problems in winter periods, as do leaves in autumn. All contribute to the deterioration of a motor winding’s dielectric integrity.

HiTrax™ has been successfully improving the useful life of traction motors across Continental Europe and Asia, as well as in the UK, since 2001.

Our traction motor life extension solution.

9

Many of our UK customers had a problem. MA Sets were returning from other repairers and failing almost immediately in service. We agreed this was unacceptable and set out to develop a solution that confirms every MA Set we repair will work under full load conditions first time, every time.

We patented HiTrans™, our Transient DynamicMA Set test process which electrically simulates fullload conditions on any type of MA Set. We replicateexactly what happens in service, which means yourunit has been put through its paces at full workingload before it leaves our factory. Our repairs areproven to work first time, every time. And to a lifeexpectation in line with the useful life of the train.

We believe we are the first company anywhere in the world capable of simulating exactly the electrical load conditions both through the MA Set controller and the incoming electrification.

The Benefits:

1. Units work first time, every time 2. Eliminates MA Set related in-service failure 3. Proves life extension with HiTrax™ insulation system 4. Tests each MA Set through a dedicated controller (such as FM2 Type) 5. Full load testing proves each individual wound component 6. Reduces ongoing maintenance costs 7. Reduced life-cycle cost

Contact us if you are interested in eliminating MA Set failure across your fleet.

HiTRANSTransient Dynamic MA Set Load Testing.

10

“The sound conclusions drawn from this investigation will be used to improve the future maintenance strategy for all Porterbrook traction motors of this type. Houghton International are a key partner in this on-going development work.”

Garry Taylor

Porterbrook Fleet Manager,

London & South East.

We’ve been rewinding and overhauling AC traction motors for over 10 years. Our pioneering HiTrax™ life extending insulation system was originally designed as an AC solution, then later transferred to DC motors as well.

To date we have worked on a wide variety of AC traction motors covering fleets across the UK, Scandinavia and Asia. Hong Kong’s MTRC specify our HiTrax™ system for their AEG AC traction motor rewinds.

In 2010/11 we worked with Porterbrook in the UK as life extension consultants for their 458 fleet Juniper AC traction motors, in conjunction with Newcastle University.

AC Traction Motor services

11

Keeping Merseyside movingMerseyrail were experiencing a 20% in-service failure rate for their G310 traction motor. A lack of product development work meant the motors were effectively stuck in a service time warp. Merseyrail needed a solution, in a unique move they entered into partnership with Unipart Rail and Houghton International. We immediately added significant value by making small initial changes to the specification and introducing our HiTrax™ system.

HiTrax™ is the only insulation system in the world developed and marketed specifically into the rail traction motor market by a traction repair company. These changes have reduced the Merseyrail in-service failure rate to under 0.02%. Resulting in a very happy customer and extremely happy passengers.

Tel: + 44 (0)191 234 3000Fax: + 44 (0) 191 263 7873Email: info@houghton-international.com

For more information visit: www.houghton-international.com

11

“I would recommend using Houghton International for any type of electric motor reconditioning.”

Phil Locke, Fleet Procurement Manager, Merseyrail.

12

Many rail companies face the same challenge: how to get their existing trains to run for longer, at minimum cost with the best reliability. Both owners and operators alike have to suffer the pain of ensuring their rolling stock is safe and reliable. That’s where we come in. Our in depot service provides diagnostic testing and in depot scheduled maintenance programs to traction motors in any UK depot.

Our in depot team will take over the entire maintenance program, applying our traction motor expertise to the day-to-day running of a given fleet or fleets over a fixed term contract basis. We can either manage the entire traction motor maintenance schedule or provide mobile expertise for regular, planned, interventions to analyse a fleet’s performance.

When combined with our traditional traction motor overhaul business, improvement is fast, sustainable and efficient. Can you afford not to be talking to us?

Tel: +44 (0)191 234 3000Fax: +44 (0)191 263 7873Email: info@houghton-international.com

www.houghton-international.com

HiTRANS

Positive, proactive improvement.

13

In Depot Maintenance – Positive, proactive improvement.

Our customers are coming to us with a common problem. Traction motors are failing in service and losing them both money and vital customer satisfaction.

Owners and operators alike share a similar challenge – how to improve the traction motor fleet performance? Our solution comprises two elements:

1. Improve the overhaul process and life extend windings (where necessary) 2. Improve In-Depot Maintenance

So our offer has developed to combine the highest quality overhaul and life extension schedule when a motor is taken out of service, alongside putting our expert engineers into depots, on a permanent contracted or part time basis, to support traction motor maintenance at the sharp end of train operation.

Our engineers are equipped to undertake much more than a basic megger test to diagnose a motor’s condition. We can test for the following while the motor is still under the train:

1. Surge on windings 2. DC dielectric strength 3. Insulation resistance (Megger test) 4. Polarisation Index 5. 1,2/50 pulse

The Benefits: 1. In Depot testing means the motor stays on the train until it demands repair 2. Reduced in-service failures 3. Improved reliability & Life Cycle Management 4. Identify problem motors before they fail 5. Data driven failure mode analysis 6. Supports long-term development to increase overhaul periodicity 7. Schedule maintenance more effectively

Applications & Options:

1. AC and DC Traction motors 2. MA Sets 3. Transformers 4. We provide a dedicated in-depot team OR on an engineer on a per shift basis

If you’d like to find out more about how we can support your depot maintenance regime, please ring us.

14

Case Study - Tyne & Wear Metro

15

Nexus, the operators of the Tyne and Wear Metro came to us with a problem. They required the life span of their entire fleet of motors to last until 2023. The quandary being whether to buy in new rolling stock or extend the life of the existing fleet.

When we offered HiTrax™ as a solution for the debilitated traction motor field systems, that was one headache Metro could now forget about.

Part of their £60 million reinvigoration process is now dedicated to rewinding the field systems on entire fleet of motors with the HiTrax™ system, meaning their life span will have been extended to at least 2023 when new rolling stock will be introduced.

UK OFFICESHoughton International, Fisher Street, Walker,Newcastle upon Tyne, NE6 4LT, UK

Phone: +44 (0) 191 234 3000Fax: +44 (0) 191 263 7873Emergency: + 44 (0) 7860 440 295

Email: info@houghton-international.comWebsite: www.houghton-international.com

everything matters

Certificate No Q06046