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-2-

475.  GENERAL MATTERS OF POLICY.  (Contd.)

3.  Allocation of unites being built at Derby and by Contractors.

(c)  Mr.Read referred to the commercial disadvantages of the delayed rate of delivery of units from certain firms and it was noted that this is due to a bottleneck in the supply of equipment from various makers.

(d)  Mr.Nicholls stated that there was no penalty on the contractors for delay in delivery; in fact this might well lead to increased price variation claims so that the Commission suffered in two respects.  If the delay in the building of our units was the result of priority being given to other orders, he suggested the Commission should seek to restrict any price variation payment to the level valid at the due date of delivery.

(e)  Noted that the revision of requirements of units for the individual L.M. schemes shown below is well in hand -

Bury - Bacup
West Cumberland
Birmingham Part 1
Birmingham Part 2
North Wales Part 1
Derby, Nottingham, Leicester Part 1
Manchester Area Part 1
Manchester Area Part 2

4.  Conveyance of Parcels Traffic

Three diesel parcels vans with 150 H.P. engines for the West Cumberland area are on order from Messrs. Cravens.  Nothing further to report.

5.  Design of standard units of 57' stock

(a)  Increase of H.P. of A.E.C. engines from 150 to 165.

Mr.Finlayson reported that the test has now been completed and a full report will be furnished shortly.

(b)  Advertising in diesel units

Mr.Salmon reported that no further developments had taken place in regard to this matter.

(c)  Outside colour of units

Noted that a suggestion has been received that diesel units should be of non-painted aluminium.  Agreed no further action having regard to the fact that the cost of finishing aluminium plates to run without paint is far greater than the cost of painting.


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