Under the contract, RZD expects to acquire up to 60 high-speed trains capable of running at 300km per hour, which means they will cover the 640km between Moscow and St. Petersburg in 2 hours and 49 minutes. Some of the orders to make new trains will go to Russian firms.
Transportation System Group will implement the agreement for Siemens. RZhD will spend about 10 billion rubles ($1 = 27.79 rubles) on buying the trains until 2007 and the first express will run between Russia's two biggest cities. RZhD will also invest 14.8 billion rubles in developing the infrastructure to ensure rail safety and will build traffic junctions in the Leningrad and Moscow regions. By 2008 the RZhD will already have four high-speed trains, and they may start running between St. Petersburg and Helsinki. Fadeyev says high-speed trains will also be used in other regions, including Siberia, and in the CIS, when the vehicles become available.
RZhD expects to recoup its expenses in nine years, while total profits in the first 30 years of operating the fast trains have been put at 100 billion rubles. The company forecasts that by 2010 its trains will carry 9.1 million people every year between Moscow and St. Petersburg. RZhD expects to beat off competition on this route from airlines by reducing travel time. However, no approximate ticket prices have been made public so far.
