In 2020, Wabtec (WAB) will see earnings growth from actions begun to achieve the $250 million of synergies from the combination with [[GE]]. Growth from increased service and international may continue to be held back by a weak North American rail market. Cash flow, without the partial year of GE Transportation, $100 million of transaction costs, and synergies, will be up by about 25%. Wabtec's debt will be investment grade at 2.5 times EBITDA. Wabtec is a buy.
Market
The North American railway market continues to deteriorate. U.S. freight car loadings are down