Wabtec introduces Green Financing instruments to accelerate sustainable solutions in passenger and freight rail
PITTSBURGH, May 20, 2021 – Wabtec Corporation (NYSE: WAB) published today its Green Finance Framework, supported by a second-party opinion from Sustainalytics, a Morningstar Company and a globally-recognized provider of ESG research, ratings and data. The company will utilize green financing instruments to accelerate the development of technologies that enable sustainable value creation for both the passenger and freight rail sectors.
The Green Finance Framework was developed in alignment with the company’s sustainability strategy. It also is in line with the ICMA Green Bond Principles (GBP) 2018, and LMA and APLMA Green Loan Principles (GLP) 2018. The Green Finance Framework is available on Wabtec’s website.
Proceeds of green bonds and loans issued by Wabtec will be exclusively allocated to finance eligible assets that are intended to promote the transition to a low-carbon transportation future and meet the sustainable transportation needs of growing cities around the world. These projects will largely target the objective of climate change mitigation by focusing on the efficiency of freight rail systems and public transport, as well as on the provision of energy-efficient customer solution services.
The proceeds raised from the green financing will be allocated to five eligible categories:
- Clean transportation
- Eco-efficient and/or circular economy adapted products, production technologies and processes
- Renewable energy
- Pollution prevention and control
- Energy efficiency
Wabtec will report on its green asset portfolio annually in a Green Finance Report, which will cover allocation and impact reporting. Wabtec intends to align the reporting with the portfolio approach described in the ICMA “Handbook – Harmonized Framework for Impact Reporting (April 2020).”
Wabtec Corporation is a leading global provider of equipment, systems, digital solutions and value-added services for freight and transit rail. Drawing on nearly four centuries of collective experience across Wabtec, GE Transportation and Faiveley Transport, the company has unmatched digital expertise, technological innovation, and world-class manufacturing and services, enabling the digital-rail-and-transit ecosystems. Wabtec is focused on performance that drives progress, creating transportation solutions that move and improve the world. The freight portfolio features a comprehensive line of locomotives, software applications and a broad selection of mission-critical controls systems, including Positive Train Control (PTC). The transit portfolio provides highly engineered systems and services to virtually every major rail transit system around the world, supplying an integrated series of components for buses and all train-related market segments that deliver safety, efficiency and passenger comfort. Along with its industry-leading portfolio of products and solutions for the rail and transit industries, Wabtec is a leader in mining, marine and industrial solutions. Wabtec has approximately 27,000 employees in facilities throughout the world. Visit the company’s new website at: www.WabtecCorp.com.