History
CBRail is a European rolling stock leasing company that provides operating lease finance to regional passenger, locomotive and wagon rail operators throughout continental Europe. The Company was formed in September 2004 as a joint venture between Babcock & Brown and Bank of Scotland. In November 2004, CBRail acquired Porterbrook Leasing Company (Euro) Limited with its diverse fleet of 28 modern diesel and electric locomotives and 67 passenger vehicles leased to operators in Belgium, Denmark, Germany and the Netherlands.
Growth and Current Profile
Since then CBRail’s portfolio has expanded rapidly and it now also encompasses freight wagons. CBRail has positioned itself to respond flexibly to the increasing demand from private operators and some state railways for locomotives and freight wagons by placing significant orders with manufacturers in advance of identified operator requirements.
At the same time, an increasing number of regional passenger franchises are being awarded to private operators resulting in growing leasing opportunities. CBRail has been successful with leases to franchise operators in both Germany and the Netherlands.
As of June 2008, CBRail had 118 locomotives, 785 freight wagons and 103 passenger vehicles either on lease or under construction and now also leases into France, Italy, Poland and Switzerland.
Corporate Structure
CBRail currently operates through two principal companies based in Luxembourg: CBRail Sarl and CBRail Leasing Sarl. The former is a ‘warehouse’ company that purchases rolling stock, manages the contracts with the manufacturers as the rolling stock is built, and then accepts the rolling stock into service. CBRail Sarl may then periodically sell batches of leased rolling stock into longer term financing vehicles; CBRail Leasing Sarl is the first such longer term financing vehicle to be established. As of June 2008, CBRail Sarl has over €450 million of warehoused freight wagons, passenger vehicles and locomotives.