Wabtec, Progress Rail settle anti-trust lawsuit

Progress Rail and Wabtec said they have settled the former’s lawsuit alleging the latter engaged in anti-competitive measures after its acquisition of GE Transportation in 2019.

Progress Rail, a unit of Caterpillar, claimed Wabtec’s 2019 $11 billion acquisition of GE Transportation created a dominant market position in diesel-electric long-haul freight locomotives and components.

Progress Rail, which manufactures the former General Motors line of motive power in the suit alleged Wabtec (NYSE: WAB) abused its power through exclusionary tactics, such as restricting data flow for compatibility, imposing costs on rivals, and making false statements about Progress Rail exiting the market, harming competition and consumers.

Based in Albertille, Ala., Progress Rail and Wabtec of Pittsburgh in a one-paragraph statement announcing the settlement said, “There is no admission of liability. The two companies acknowledge that they have been and remain suppliers of long-haul freight locomotives and cab components, including Tier IV long-haul locomotives, to Class I railroads and other customers.”