US-backed firm enters German rail passenger market
BERLIN—A rail firm backed by U.S. investors has launched a long-distance route in Germany connecting the northern city of Hamburg with Cologne in the west.
Hamburg-Koeln-Express GmbH is only the second company to challenge market leader Deutsche Bahn AG for its lucrative long-distance business.
A subsidiary of Pittsburgh-based Railroad Development Company owns a majority stake in Hamburg-Koeln-Express.
Tickets for the maiden voyage Monday sold for (EURO)20 ($24.21), about a quarter of the regular fare charged by Deutsche Bahn.
The company uses refurbished carriages from the 1970s for the 425-kilometer (264.09-mile) route from Hamburg to Cologne.
The trains themselves are operated by French company Veolia that also runs InterConnex, the other long-distance alternative to state-controlled Deutsche Bahn.
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