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any unrelated company) for the financial benefit of an employee or other person is unethical and illegal and can subject the employee, other person, or anyone aiding and abetting such conduct, to criminal and civil liability. Therefore, we will not engage or tolerate anyone else engaging in such unlawful conduct.
We will not trade in or permit anyone else who has received insider information to trade in the stock of the Company or a parent company (“Company stock”) until after the insider information has been made public. If there is any doubt about whether the information we possess is material or whether it has yet been disclosed to the public, we will not trade in Company stock.
We will take all appropriate measures to ensure that material, non-public information is released only to those employees or others who have a legitimate right and need to know. We will immediately report any known or suspected crossing of these lines to supervisory personnel, or the Finance or Legal Department.
Open Door Policy
The Company believes that its employees are its most important asset . Therefore, open communication within an atmosphere of mutual trust is of prime importance. Realizing that effective communication is always a two -way street, the Company values its employees ’ constructive opinions and suggestions. Because, we sincerely believe in an open atmosphere, we encourage employees to meet with management to discuss suggestions, problems or concerns.
In most cases, talking with your supervisor is the most effective way to deal with a problem or suggestion. However, you may discuss problems or suggestions with a higher -level manager instead of, or in addition to, your supervisor. Usually, this would be a more senior level person at your facility, within the region, or your Human Resources Representative. Use of the Transdev U.S. Ethics & Compliance Hotline is also available to every employee.
Non-Solicitation/Distribution Policy
It is the policy of the Company to maintain a secure, efficient work environment and to avoid disruptions in the workpla ce caused by solicitation and distribution by employees or non-employees. The following represents the Transdev U.S., Inc. policy on n on-solicitation and distribution:
• Generally, the Company does not allow selling, solicitation, distribution of literature, or political activities by our employees during work time in work areas. • Employees may solicit each other and distribute literature during non- work time in non-work areas.
• Employees are not permitted to sell goods or services for personal gain on Company property. Our customers also may have rules and restrictions related to these subjects.
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Please refer to the on-line policy and your local management for further guidance and sources of information. These guidelines are interpreted and enforced in a manner consistent with all applicable laws and regulations. It is the responsibility of each Company employee to advise any outside solicitor of our policy. For the purpose of this policy, “ work time” means the work time of the employee doing the solicitation and the employee being solicited. An employee who is not on work time should not distribute literature to an employee who is on work time. It does not include the employees break periods or mealtimes.
Employees are not allowed to use Company property or facilities such as, stationery copiers, messenger services, computers, facsimile machines, or telephones to solicit or conduct business on behalf of non-work related organizations, associations, individuals or groups. All violations of this policy must be reported to your immediate supervisor.
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Employment
Employment At-Will
Employment with the Company is “at-will.” This means that either party has a right to terminate the employment relationship at any time with or without notice or cause. At-will employment applies provided there is no express contract for a definite term governing the employment relationship and the employee is not governed by a collective bargain agreement.
As an at -will employee, you are not guaranteed, in any manner, that you will be employed for any set period. No one in the Company, except the CEO can make any representation or promise to you that you are anything other than an at -will employee. Any employee, manager or supervisor who makes such a representation or promise to you is not authorized to do so. The Company may alter your employment status, employment hours, or schedule, or reassign you at its discretion with or without notice or cause.
If you have any questions regarding employment at -will, please contact your Regional Human Resource Director or Corporate Human Resources Department.
Offer Letters
A job offer is an important commitment with legal and ethical implications for the Company and the employee. Therefore, job offer letters are issued only after review and approval in accordance with Company policies.
After internal review, the hiring manager will verbally discuss a conditional offer of employment with the candidate and confirm the pay rate, start date, position location, etc.
Following discussion of the conditional offer, the hiring manager will confer with Company managers in accordance with the policy to confirm the offer has been made and accepted. A formal, written conditional offer letter addressed to the candidate regarding the terms and conditions of employment and pre -employment testing (i.e., drug/alcohol tests, background check and verification of employment) will be sent thereafter. Until a formal job offer letter is received, no final offer of employment has been mad e by the Company. No applicant for employment or internal transfer should rely on any employment discussions until a formal job offer letter is received from the Company. Offer letters do not alter the at- will employment relationship unless expressly stated therein.
Employment Classifications
This handbook applies to all employees. Employees are hired on either a full -time or part-time basis, and may be categorized as follows:
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Full-Time Regular Employees: an employee who has completed his or her probationary period, who regularly works 30 hours or more per week is considered full time . Full-time regular employees are typically eligible for employment benefits as specified in this handbook and local policies.
In addition, full time employees are further classified as either “ exempt” or “non-exempt”. This distinction is established by law to identify those employees who qualify to be paid at an overtime rate for hours they work in excess of 40 hours in a work week (or as otherwise specified by state law). Only non-exempt employees are entitled to receive overtime pay.
Non-exempt employees are typically paid by the hour and may include laborers, office assistants, clerical, operators, some supervisors and others as defined by Fair Labor Standards Act regulations or by state law.
Exempt employees are typically paid a salary. Exempt employees may include managers, administrative, accounting, finance, marketing and others who qualify under Fair Labor Standards Act regulations or state law.
Part-Time Regular Employees: an employee who has completed his or her probationary period, who regularly works less than 30 hours per week is considered part-time. Part-time employees are typically entitled to vacation, sick days and statutory benefits only on a pro-rata basis unless other terms are provided under a collective bargaining agreement. Part-time employees typically are not entitled to all the employment benefits described in this Handbook.
Employment classifications can be changed by the Company from time to time depending upon Company needs and changes in the law. For more information, please contact your supervisor or your Regional or Corporate Human Resources Department.
Job Descriptions
Job responsibilities, and the knowledge, skills, abilities or special requirements, including work schedules, to successfully perform a job, are contained in Company -prepared job descriptions.
Job descriptions are used as one criterion in employee selection, as a basis for “ help wanted” advertisements, and as a tool in evaluation of employee performance relative to the job requirements; however, a job description may or may not include all practical elements of a specific job. Job responsibilities, like employment classifications, can change from time to time, based upon changes in the needs of the Company or reorganizing for improved efficiencies and performance.
Americans with Disabilities Act and State Laws
The Americans with Disabilities Act (ADA) and the Americans with Disabilities Amendments Act (ADAA) (collectively the “ Act”) require employers to reasonably accommodate qualified individuals with disabilities.
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It is the policy of Transdev to comply with all federal, state and local laws concerning the employment of persons with disabilities. The Company will not discriminate against qualified individuals with disabilities regarding application procedures, hiring, advancement, discharge, compensation, training, or other terms, conditions, and privileges of employment.
Consistent with the Act, the Company will provide a reasonable accommodation to a qualified individual who is an employee or job applicant who can perform the essential functions of the job, with or without an accommodation. Under the Act, the employee or an applicant to whom a conditional offer of employment has been made, must make known to the Company his or her need for a reasonable accommodation and cooperate with the Company in the interactive process. During the interactive process, Transdev will ide ntify the potential range of accommodations that will enable the individual to perform the essential functions of his or her job and whether the accommodation requested is available and reasonable.
All employees are required to comply with safety standards designed to protect the employee and public and, in certain situations, to conform to the law. The Act permits employers to establish qualification standards that will exclude individuals who pose a direct threat -- a significant risk of substantial harm -- to the health or safety of the individual or of others, if that risk cannot be eliminated or reduced below the level of a direct threat by reasonable accommodation. Applicants who pose a direct threat or significant risk of substantial harm to the health or safety of themselves or other individuals in the workplace, which risk cannot be eliminated by reasonable accommodation, will not be hired for the applicable job. Current employees who pose a direct threat or risk of substantial harm to the health of safety of themselves or the other individuals in the workplace, which risk cannot be eliminated by reasonable accommodation, will be placed on appropriate leave or moved into another job position if available, until an organizational decision has been made regarding the employee’s longer term employment situation and whether a further reasonable accommodation is possible.
The Human Resources and Legal Departments should be consulted in such circumstances.
Any individual with a need for a reasonable accommodation should contact a Human Resources representative within the Company. Questions surrounding this policy, including the resolution of a reasonable accommodation request, safety-related issue, or undue hardship imposed on the Company should be addressed with the respective Regional Human Resources Director and the Legal Department.
For more information, please contact your local or Corporate Human Resources representative.
Probationary Status
Depending on the property location, employees may begin their employment in probationary status. Probationary periods vary by location and are typically 30, 60 or 90 days in duration.
Operators are typically evaluated at 30, 60 or 90 days after the beginning of their employment, receive an annual on -board evaluation each year thereafter and, when necessary, diagnostic evaluations. Successful completion of the probationary period does not alter the at -will nature of the employee’s employment.
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For more information, please contact your immediate supervisor or your Regional or Corporate Human Resources Department.
Employment Applications
Transdev relies upon the accuracy of information contained in the employment application, as well as the accuracy of other data presented throughout the hiring process and employment. Any omission, misstatement or inclusion of false information on the application or any document used to secure employment with Transdev shall be grounds for rejection of the candidate’s application or for immediate discharge if they are already employed, regardless of the time that may have elapsed before discovery.
Background Checks and Driving Records
It is the policy of the Company to perform a criminal background check of all applicants for employment. Each applicant for employment must provide written authorization for the background check which is conducted for the Company by a third- party contractor. The Company’s general policy requires a seven (7) year look -back for felony or misdemeanor convictions in all jurisdictions in which the employee has resided for the look -back time period.
The Company’s client contracts may specify a longer look -back period which will govern in such cases, along with applicable state law . The possession of a criminal record is not a bar to employment. Each employee’s criminal record will be individually evaluated during the selection process to determine if the criminal activity renders the employee unsuited to the specific job assignment. As part of this evaluation, the applicant or employee will provide an opportunity to explain the circumstances surrounding the criminal conduct.
Employee criminal background checks are updated not less than every four (4) years or more frequently if required by a specific client contract.
In like manner, employee driving records are checked and periodically updated to ensure conformance to the Company’s and its clients’ minimum safe driving record requirements.
Reference Checks
It is Company protocol to conduct reference checks for internal and external employment candidates interested in applying for positions in the Company. This is an essential part of the interview process. Internal candidates will be required to complete an internal job posting application and have their supervisor or manager approve it to ensure the individual wishing to transfer meets the requirements the position they are applying for.
An internal candidate who is on a performance improvement plan may not be eligible to apply for any open position until their performance has improved.
For more information regarding the internal reference process, please contact your Regional or Corporate Human Resources Department.
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DOT/Employment Physical
Employees whose job duties require that they operate or maintain a revenue vehicle and/or possess a commercial driver’s license must maintain a current Department of Transportation physical qualification card. Following a Company offer of employment, all non-exempt, and some exempt employees must pass a pre-employment physical examination.
Immigration Law Compliance/I-9 Form
The Immigration Reform and Control Act of 1986 requires the Company to only employ United States citizens and non -citizens who are currently authorized to work in the United States. This practice applies to both first-time and re-hired employees in all positions.
As a condition of employment, employees must properly complete, sign and date the first section of the Immigration and Naturalization Service Form I-9 and provide documentation to prove both their identity and their employment eligibility in a timely manner as required by governing law.
Pay Practices
The Company compensates its employees on a bi -weekly basis unless applicable state law requires weekly pay. If a holiday falls on a pay date, all efforts will be made to have paychecks distributed the day prior to the holiday. Non-exempt (hourly) employees will be paid for hours shown on the time sheets dated for the preceding (two (2) week) pay period. Supporting time sheets are required prior to receiving compensation. Employees governed by a collective bargaining agreement will be paid in accordance with the schedule set forth therein.
Payroll Distribution Program:
This program includes two FAST, EASY and SAFE ways to get paid:
• Option 1 - Direct Deposit to a Personal Bank Account: If the employee has a personal checking or savings account, their pay can be delivered to that account via direct deposit every payday.
• Option 2 - ADP TotalPay® Card and Money Network ™ Check Program (“Program”): If the employee does not have a personal bank account, their pay will be loaded directly into a TotalPay® Card and Money Network Check Program Account (“ Account”) every payday. This easy-to-use payroll service enables the employee to access their funds by using Money Network™ Checks or an optional TotalPay® Card. They may write a check to themselves and cash it for free to get up to 100% of the funds in their Account, withdraw cash for free at thousands of In-Network ATMs nationwide, pay bills, make purchases and more.
The payroll department does not guarantee funds will be immediately available on the regularly scheduled payday because posting times may vary by individual bank.
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An employee may cease and terminate automatic deposits at any time by giving the Company written notice a minimum of one (1) week prior to the next regularly scheduled payday.
Garnishments:
As the result of legal actions (including child support enforcement, collection of judgments, etc.) the Company may be required by law to withhold an employee ’s pay or portions thereof and remit the withheld wages to a court or governmental agency. This process is called “Garnishment.” For purposes of this policy, the Company shall react to and only consider garnishments that are not stopped (Quashed) prior to the actual withholding of money. In cases where the garnishment is to be stopped, the employee should obtain an Official Quash Order (or other evidence that the garnishment has been officially quashed) and present it to the General Manager or the Human Resources Department prior to the withholding of money. Employees are encouraged to take immediate action at the first notification of an impending garnishment to resolve the debt, either through payment or by working out other arrangements for payment.
Employees are responsible for any administrative fees involved with processing the garnishment.
Final Pay:
When an employee leaves the Company voluntarily, the last paycheck will be issued on the regularly scheduled payday, or in accordance with local and/or state regulations. In case of involuntary termination, the final paycheck will be available in accordance with local and state regulations regarding payment of final pay.
In order to maintain accurate tax, payroll and benefit records , employees must immediately report any change in their name, address, telephone number, marital status, dependent status, insurance beneficiary, or person(s) to notify in case of accident or emergency.
Employees should s ee their supervisor for the proper form or forms to be used to make such changes.
Overtime
The Company will compensate non- exempt employees working overtime hours in accordance with all applicable state and federal laws and or collective bargaining agreements. It is the intent of the Company’s overtime policy to comply with the Fair Labor Standards Act (FLSA).
In cases where the state law is more favorable to the employee, it will supersede federal law.
Overtime will be paid at a rate of one and one -half (1-1/2) the normal hourly rate for all hours worked in excess of forty (40) hours in a work week, unless precluded by state law or collective bargaining agreement.
All overtime must be approved by a supervisor or manager prior to it being worked. Overtime work may be voluntary or assigned by the supervisor and mandatory. Employees who work overtime without authorization will be paid but will be counseled accordingly as to the rules of
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this policy; this behavior is expected not to be repeated. Time off in lieu of paying overtime is not an approved Company practice.
Non-working hours for which an employee is entitled to be paid (such as paid time off, vacation, holidays, bereavement, jury duty, etc.) will not be considered as time worked for the purpose of computing overtime, unless precluded by state law or collective bargaining agreement.
Outside Employment
Transdev recognizes that employees may perform additional work outside of their job.
Employees are permitted to engage in outside work or hold other jobs, subject to certain restrictions outlined in this policy; however, the Company must be considered as the employee’s primary employer.
Outside employment refers to an employee providing products or services to persons or entities other than the Company for money or in -kind benefits. Outside employment includes providing labor or services as an independent contractor, business proprietor, or being an employee of a person or entity other than the Company.
Full-time employment with Transdev requires the full-time attention of each employee. Outside employment must not interfere with an employee ’s work for the Company or employee safety or the safety of others, which includes exceeding the number of allowable driving hours under Department of Transportation Hours of Service Guidelines.
Activities and conduct away from the job must not compete with, conflict with or compromise the Company ’s interests or adversely affect job performance and the ability to fulfill all responsibilities to the Company. Employees are prohibited from performing, on behalf of themselves or others, any services to the Company ’s clients or customers or prospective clients or customers without the express written approval of Company management, Vice President level or higher. This prohibition also extends to the use of any Company tools or equipment, the services of other Company employees, and the use or application of any confidential information, for any non -Company purpose. In addition, employees may not solicit or conduct any outside business during paid work time.
Employees are cautioned to carefully consider the demands that additional work activity will create before accepting outside employment. Outside employment will not be considered an excuse for poor job performance, absenteeism, tardiness, leaving early, or refusal to travel for the Company.
Performing any outside employment activity while on a leave of absence (excluding military leave) or while receiving Workers’ Compensation benefits from the Company is not permitted. If outside work activity causes or contributes to job-related problems, it must be discontinued, and if necessary, normal disciplinary procedures will be followed to deal with the specific circumstances.
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Nepotism and Personal Relationships
Transdev’s standards for employment decisions are based on qualifications for the position, ability and performance. The Company strives to avoid favoritism, the appearance of favoritism and conflicts of interest in employment decisions.
The hiring of relatives is prohibited if the employment of such an individual would result in the creation of:
• A supervisor/subordinate relationship between a relative and an employee. If a direct supervisory or managerial relationship would be established, or fall anywhere within the management hierarchy of the position ; relatives of a currently employed worker cannot be considered for hire into such position. • An actual conflict of interest or the appearance of a conflict of interest. Generally, this bars the hiring or employment of an employee’s relatives in any position that has an auditing or control relationship to the employee’s job.
Relatives are defined as a spouse, parent, child, sibling, in -law, grandparent, grandchild, aunt, uncle, niece, nephew, cousin, step-relatives or any individual with whom an employee has a close personal relationship, such as a domestic partner, co-habitant or significant other.
Employees who marry or establish a close personal relationship can continue in their current positions if a prohibited employment relationship (as noted above) is not created. If one of the prohibited situations does occur, attempts will be made to find another position within the Company to which one of the employees can transfer provided they are qualified. All practical efforts will be made to arrange such transfer at the earliest possible time.
All issues and variances to this policy relating to an employment-of-relatives’ situation or concern should be addressed to the applicable Regional Human Resources Director. Employees who become subject to this policy’s provisions due to marriage or commencement of a close personal relationship must inform their supervisor as soon as practical.
Personal Relationships
Transdev desires to avoid misunderstandings, actual or potential conflicts of interest, complaints of favoritism, possible claims of sexual harassment, and the employee morale and dissention problem that can potentially result from romantic relationships i nvolving employees in the Company.
Accordingly, managers and supervisors are discouraged from fraternizing or becoming romantically involved with one another or with any other employee of Transdev. Additionally, all employees, both managerial and non-managerial, are discouraged from fraternizing or becoming romantically involved with other employees, when, in the opinion of the Company, their personal relationship may create a conflict of interest, cause disruption, create a negative or
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unprofessional work environment, or present concerns regarding supervision, safety, security or morale.
An employee involved with a supervisor or fellow employee should immediately and fully disclose the relevant circumstances to their manager so that a determination can be made as to whether the relationship presents an actual or potential conflict of interest. If an actual or potential conflict exists, Transdev may take whatever action appears appropriate according to the circumstances, up to and including transfer or discharge. Failure to disclose facts may lead to disciplinary action, up to and including termination.
Those relationships to which this policy applies are those relationships which go beyond what a person of ordinary sensibilities would believe to be a professional relationship.
All employees should also remember that Transdev maintains a strict policy against unlawful harassment of any kind, including sexual harassment. Transdev will enforce this policy consistent with all applicable state, federal and local laws.
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Standards of Performance
Progressive Discipline
The Company has adopted a progressive discipline policy to identify and address employee and employment related problems where appropriate. This policy applies to all employee conduct that the Company, in its sole discretion, determines must be addressed by discipline. No discipline policy can be expected to address every situation requiring corrective action that may arise in the workplace. Therefore, the Company takes a comprehensive approach regarding discipline and will attempt to consider all relevant factors before making decisions regarding discipline. Prior to deciding to impose discipline, the manager will meet with the employee to hear the employee’s responses to the alleged infraction.
Most often, employee conduct that warrants discipline results from unacceptable behavior, poor performance or violation of the Company’s policies, practices or procedures. However, discipline may be issued for conduct that falls outside of those identified areas.
Equally important, the Company need not resort to progressive discipline, but may take whatever action it deems necessary to address a specific issue. This may mean that severe discipline may be imposed in each situation. Likewise, some Company polices contain specific discipline procedures.
Progressive discipline may be utilized with respect to an employee in circumstances where an employee subsequently violates a different policy than they previously violated. That is, violations of different rules may be treated as repeated violations of the Company’s policies and serve as a basis for progressive action.
The Company will normally adhere to the following progressive disciplinary process:
Verbal Warning - In cases of misconduct which may not be considered serious as a single incident but could become serious if a pattern develops, the supervisor/manager should discuss the issue with the employee, tell the employee that the discussion is a verbal warning an d document the discussion.
Written Warning - If a pattern of misconduct develops or a serious incident occurs requiring more than a verbal warning, a written warning may be utilized. A written warning should document the incident/misconduct and the reasons why the Company considers the infraction serious.
Additionally, the written warning should state what the employee must do to avoid similar misconduct and indicate future misconduct of any sort may result in further discipline or termination. Written warnings are to be maintained in an employee’s personnel file.
Suspension - In some cases, while immediate discharge for repeated offenses or a single serious offense would be too severe, suspension without pay may be appropriate. Unpaid suspensions
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should be no more than five (5) days and should be discussed with the applicable Regional Human Resources Director. Once the appropriate suspension document is prepared and signed, the supervisor/manager should meet with the employee to attempt to:
• Explain why the incident requires discipline, especially how the conduct is not in accordance with acceptable standards.
• Review prior disciplinary actions relating to this new discipline. • Indicate the length of the suspension without pay.
• Document that termination for any additional misconduct is the next step in progressive discipline. Suspension documents are to be maintained in an employee’s personnel file.
Termination - If progressive discipline fails to improve an employee’s conduct or another type of misconduct occurs, termination may result. All terminations must be discussed with the applicable Regional Human Resources Director in accordance with Company policy.
Again, while the Company will generally take disciplinary action in a progressive manner, it reserves the right, in its sole discretion, to decide whether and what disciplinary action will be taken in each situation utilizing the performance code section below as a guide. Union employees should consult their collective bargaining agreements for progressive discipline guidelines.
Class 1 Infractions – Dischargeable Offenses
Employees are expected to conform to common and acceptable standards of behavior and performance, as well as written policies. This Handbook is not intended to provide rigid discipline guidelines on management or the employee when discipline is warranted. If employees have any questions regarding Company policies or procedures, they should speak to their manager.
Listed below are some of the Most Serious Offenses and Unacceptable Behaviors that may result in further disciplinary actions, up to and including termination on the first offense. This is listed is not all-inclusive and may change at any time.
Convictions and Imprisonment – Conviction of:
• DUI or DWI (in accordance with State and/or local law restrictions) • Other criminal convictions (felony or misdemeanor) involving child abuse, neglect or endangerment; related in any way to possession, manufacture, cultivation, use or distribution of illegal substances; allowing Company locations to be used for the purpose of the commission of these offenses or having unlawful possession of associated paraphernalia; unlawful use or possession of any offensive weapon or other article capable of being converted to or used as such a weapon; act of violence against the person or serious criminal damage to property; any offense of a sexual or indecent nature including the unlawful possession of publications and images, the downloading
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of such images or the managing and accessing of any website, containing unlawful sexual content; and any offense involving the unlicensed possession of, alteration to, sale or disposal of any firearm.
When an employee is charged with a moving violation, criminal charge or other crime that conflicts with the company employment standards, the employee will be placed on an unpaid administrative leave of absence until resolved. If the employee charge is not resolved by the end of the unpaid leave of absence, the employee can be subject to further disciplinary actions up to and including termination from the company. The employee’s conviction record, the seriousness of the crime and its job relatedness all weigh in towards the final disciplinary decision.
Safety
Some safety violations are of such a serious nature that termination is appropriate for the first offense. Some examples include:
• Failure to properly secure wheelchairs or other mobility devices • Cell phone use while operating a Company vehicle
• Rollaway vehicles due to failure to properly secure a vehicle • Colliding into the rear-end of another vehicle or stationary object • Striking a pedestrian
• Hitting an object or another vehicle when moving a vehicle in reverse. On the street, the operator must first call in before backing; if at a Company location the operator must “get out and look” (GOAL) and seek assistance as appropriate • Running a red light or stop sign, or entering a railroad crossing when the lights are flashing, or the crossing arm is down or descending
• Failure to perform proper lock out/tag out procedures, or ignoring or removing a lock, tag, or signage without specific authorization
• Smoking in hazardous areas
• Violation of any safety policy or practice, or violation of operating policies or procedures that could put an employee or others in imminent danger or could result in bodily injury or damage to
• Company property, including but not limited to improper seatbelt usage Drugs and Alcohol
• Any violation of the Company Drug & Alcohol policy
• Possession, consumption, distribution, purchase, or sale, of alcohol or controlled substances, or drug paraphernalia while at a Company location or in a Company vehicle, while on duty, or while representing the Company
• Use of alcohol or controlled substances, absent a valid prescription, while at a Company location, in a Company vehicle, while on duty, or while representing the Company • Entering Company property or working on behalf of Transdev while under the influence of either drugs or alcohol
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• Refusal to take a drug or alcohol test
Dishonesty
• Falsification of any records, such as employment applications, medical forms, workers’ compensation claims, work orders, parts requests, or giving knowingly or maliciously false testimony in a work-related investigation or proceeding • Falsification of a timecard or time record; punching or recording another employee’s time card or record; permitting another employee to punch one’s own time card or record one’s time on a time sheet, or in any way tampering with your own or another person’s timecard or time record
• Moonlighting or working at another job, without permission, while on leave of absence from the Company or that adversely impacts Hours of Service regulations consistent with applicable law
• Making or publishing knowingly false statements concerning employees of the Company or the Company’s products or services
Stealing / Theft
• Stealing from the Company, other employees, passengers, or customers, regardless of the amount
• Unauthorized removal of any vehicle or equipment of the Company, client, another employee or customer without permission
• Theft, embezzlement, removal of Company assets or acting as an accessory to theft or • embezzlement of property, merchandise or money belonging to clients, co-workers or the Company; Failure to account for Company or system funds that may come into an employee’s possession
• Obtaining fuel, parts, maintenance, or repairs for employee vehicles from any Company operating location or its employees while those employees are on duty • Conducting activities not related to work during paid working time as that term is defined in the Solicitation and Distribution of Literature policy; using Company property, vehicles or equipment for any illegal activity
• Unauthorized Use or Removal of Company / Client Property or Vehicle • Removing or disposing of Company or client materials, equipment, communication systems, tools, or supplies without prior authorization • Violation of the Company Property policy contained in this Handbook, including but not limited to the disclosure of Company "Confidential Information" • Failure to comply with Company policies concerning the use of email, the Internet, virus protection, data security, and software or license compliance • Unauthorized use of any Company or client vehicle, materials, supplies or equipment. • Repair or maintenance of any-type of non-work vehicle on company property • Tampering with farebox funds
Violence / Fighting / Threats
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• Possession of weapons, firearms, or explosives at a Company location or in a Company vehicle
• Terrorist threats or acts of terrorism against the Company, client, passengers, other employees or the public
• Provoking a physical fight or engaging in physical fighting during working hours or on premises owned or occupied by the Company, or while in a Company uniform • Using abusive, violent, threatening or vulgar language at any time during working hours or while on premises or property owned or occupied by the Company Harassment
• Violation of the Company’s Equal Employment Opportunity or Harassment Free Workplace policy
• Sexual or other unlawful or unwelcome sexual advances • Insubordination
• Insubordination including improper conduct toward a manager or refusal or failure to perform any job or work assignment given by a manager
• Refusing to work split shifts, split weeks, or overtime without reasons acceptable to the manager
• Instigating, counseling others to or taking part in an unlawful work stoppage or slowdown
• Failure to return from leave
• Relieving the “call of nature” on or near Company property or equipment
Security
• Violation of Company security procedures
• Giving your Company ID, pass, badge or other Company identification to another person or using another person’s Company ID, pass, badge or other Company identification to enter
• Company locations or restricted areas
• Permitting or granting unauthorized access to non-employees without concern or regard of the Visitors policy and/or guidelines
Duty to Report
• Failure to immediately report any accident, incident, or unsafe act, no matter how slight, that may, or may not have, resulted in property damage or bodily injury, incurred while driving a Company vehicle
• Failure to immediately report any charge, arrest, indictment, or conviction for any type of crime: misdemeanor, felony, or any sexually-related offense • Failure to immediately report any citation or conviction of a moving traffic violation incurred while driving a Company vehicle
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• Failure to immediately report any citation or conviction of driving under the influence (DUI or DWI), reckless driving, or hit-and-run driving whether on or off the job, in all vehicles
• Failure to report, before the next work shift, any moving traffic violations, or citations received for accidents, in all vehicles
• Failure to immediately report any incident in which the employee is involved, either on- duty or off-duty, that may affect the employee’s license or fitness to perform Company duties and responsibilities (If off duty, before the next work shift) • Failure to report any charge, arrest, indictment, incarceration, or conviction for any type of crime: felony, misdemeanor, or sexually-related offense Sleeping on the Job
• Sleeping, dozing, or giving the appearance of sleeping, during on-duty work time Destruction of Property
• Damage or destruction of Company assets, Company property (especially computers), client, or another employee’s personal property
Failure to Return to Work
• Failure to return to work on the date scheduled for return to work without prior authorization or approval from management
Leaving Bus or Passengers
• Leaving a bus unattended and unsecured
• Leaving a bus unattended with a passenger
• Leaving a mobility-impaired or limited-capacity (physical or mental) passenger at a destination unattended
Failure to Follow Sleeping Passenger Rules
• Leaving a bus with a sleeping passenger on board
Class 2 Infractions
These infractions are considered serious violations of the Transdev performance code. Engaging in any of the conduct or activity below will subject an employee to suspension and final warning for the first offense in a rolling 12-month period. Two safety-related violations in 12 months or three in 36 months will result in termination.
Reporting for Duty / Absenteeism
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• Abusing or misusing sick leave (note: for employee’s subject to mandatory paid sick leave laws, the provisions of the applicable policy govern sick leave issues); • Exchanging work assignments (trade) without proper authority • Stopping work prior to the end of any shift without management’s permission. • Excessive absenteeism, tardiness, starting work late after on the clock, or a pattern of unexcused absences unless otherwise permitted by law;
• Reporting for work in an unfit condition
• Failing to obtain permission to leave work during normal working hours; Operators in service must contact Dispatch to arrange for nonscheduled breaks Personal Conduct
• Discourteous or inappropriate attitude or behavior to passengers or other members of the public
• Using abusive or vulgar language at any time during working hours or while on premises owned or occupied by the Company;
• Gambling in the workplace
• Smoking in a non-designated smoking area and/or smoking while not on an authorized break
• Personal Protective Equipment (PPE) and High Visibility Apparel • Failure to comply with PPE directives.
• Failure to wear a High Visibility Safety Vest, Reflective Safety Vest, or Company issued High
• Visibility Uniform Shirt according to Company policies • Failure to wear Safety Glasses in compliance with PPE directives • Failure to wear Company Assigned Shoe Grips when directed to do so Work Rules
• Violation of vehicle operating regulations
• Failure to observe safety, sanitation, or disciplinary policies of the client or Company, or laws and
regulations of local, State, or federal governments
• Failure to comply with the Risk Assessment policy
• Working more than an employee’s regularly scheduled hours without advance approval of the
Company
• Failure to operate a Company vehicle according to assigned route or timetable • Failure to work as directed
• Failure of any Operator, Safety Sensitive Employee or employee required to be licensed for
driving, to renew and maintain a valid, appropriate driver’s license with required endorsements
and a medical certificate for driving a Company vehicle
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• Using personal equipment to photograph or tape record for nonbusiness purposes during
working times or in working areas
• Failure to wait for connections or passing up passengers • Transport of unauthorized persons
Security
• Attempting to enter, entering or assisting any person to enter, or attempt to enter a Company location or restricted areas without proper authority
Class 3 Infractions
These infractions are considered secondary violations of the Transdev performance code. An intelligent and conscientious observance of all policies and regulations is necessary to deserve and maintain the support of the public and build a good record. The first offense in a rolling 12- month period may result in a written warning, the second a final warning and a third offense may lead to termination. For safety violations, a rolling 36- month period is used.
Noncompliance with Information Reporting Policies
• Failure to report defective equipment
• Failure to report a safety hazard
• Failure to procure necessary information for the report or submitting an inaccurate or incomplete accident report
• Selling Goods or Services, and Soliciting and Distribution of Literature • Selling or offering for sale any goods or services to other employees, patrons, or visitors to a Company location or Company vehicle, except on the authorized bulletin board in the employee lounge area
• Soliciting other employees for any purpose or distributing literature to them while you are on duty and working. Employees may not solicit other employees who are working or distribute literature to them. Distribution of material in work areas is prohibited at all times
• Posting, circulating or distributing written or printed material during working times and in working areas
Work Rules
• Failure to adhere to the Company Reverse Parking policy for Company vehicles and personal vehicles
• Use of a Company-owned radio or cell phone for non-Company business during working time
• Using smokeless tobacco while riding in or driving a Company vehicle, or outside the designated smoking area
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• Failure of any Operator to have in his or her possession a valid, appropriate driver’s license with required endorsements and a medical certificate while driving a Company vehicle
• Failure to give satisfactory information to passengers Class 4 Infractions
These infractions are considered lesser violations of the Transdev performance code that may result in disciplinary action depending on the circumstances or repeated violations. The first and second offense in a rolling 12-month period may result in a written warning, the third a final warning and a fourth offense may lead to termination. For safety violations, a rolling 36- month period is used.
Uniforms and Personal Appearance
• Failure to comply with the dress code, uniform policy, cleanliness, personal hygiene, personal grooming habits, or other requirements established by the client or Company • Reporting for duty in an improper uniform, presenting an untidy, unkept or dirty appearance of person or uniform, or improperly displaying uniform articles, Company emblem, or authorized pins and badges
Work Rules
• Parking a personal vehicle in a restricted area at a Company location • Neglect of job duties and responsibilities, or lack of application or effort on the job • Incompetence or failure to meet reasonable standards of efficiency or effectiveness Administrative
• Failure to provide Transdev with a current address or telephone number • Failure to inform Transdev of changes in status of dependents for insurance coverage • Littering the employee lounge area, restrooms, or any other company property • Failure to read notices and bulletins and not making an effort to stay informed
Disciplinary Actions and Personal Conduct
Whenever an employee is subject to discipline, the employee’s work record, including violations occurring in the relevant time period, is reviewed before determining penalty.
Penalties for violations of multiple rules of the same class, occurring during the same time period, will be addressed at the discretion of management.
Equivalencies for Same Class of Infraction
• Within 12 months of first offense, 36 months for safety
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Multiple Written Warnings or Suspensions
The previous section relates to repeated occurrences of the same class of infractions. This section outlines appropriate discipline when an employee receives a multiple number of written warnings or suspensions for different classes of infractions.
Written Warning
• Third written warning within 12 months – An infraction that would result in a third written warning within 12 months will result in a suspension from work and a final written warning
• Fourth written warning within 12 months – An infraction that would result in a fourth written warning within 12 months will be cause to terminate the employee Suspensions
• Second suspension – An employee receiving a second suspension within 12 months for different infractions will receive a final written warning. Future suspensions, for any reason, will be cause to terminate the employee
• Third suspension – A third suspension within 12 months for different infractions issued to an employee will be cause to terminate the employee
Attendance and Punctuality
To provide on -time performance for our customers, it is important that employees be at work whenever scheduled. We realize, however, that an employee may occasionally be absent due to illness or other personal emergency events that may occur outside the work environment.
Therefore, it is your responsibility to notify your supervisor each day and as far as possible in advance of your scheduled workday/shift, whenever you will be late or absent, to state the reason for such lateness or absence, and to advise your supervisor when you expect to return to work. Under no circumstances is it appropriate or acceptable to leave a message with a co-worker unless your direct supervisor and/or department policy and procedures states otherwise.
Authorized absences must be pre -approved by your supervisor. Unauthorized or excessive absences or tardiness will not be tolerated and may result in discipline up to and including termination. Employees who are absent from work for more than three (3) consecutive days and have failed (in accordance with local policy) to communicate with their immediate supervisor to receive approval for this absence, will be considered to have abandoned their job and voluntarily resigned their employment.
Employees who are members of a union should refer to their collective bargaining agreement.
Dress Code/Uniforms/Appearance
An extremely important part of maintaining the Company ’s reputation is our personal appearance. A well -groomed personal appearance, which includes proper hygiene and
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appropriate attire, is essential to our operation whether you are in the office or on the road.
Managers reserve the right to determine if uniforms are required in specific areas and to counsel employees regarding their appearance if they believe it may be objectionable to our customers or presents an unsafe working condition. Often employees in customer contact positions will be required to wear a Company uniform. Please direct your questions to your site supervisor for information about obtaining uniform and related costs.
Office Staff
All clothing must be neat and clean and of appropriate length and fit to assure a professional image. Depending on the location, some office staff may have the option of wearing a uniform.
Otherwise, business attire is the rule for all non- customer contact positions. Tight fitting, provocative or revealing attire is not appropriate.
When certain items are worn to conform with religious requirements, they will be permitted within reason at the discretion of Company management.
For all questions regarding the dress code at your facility, please contact your supervisor or Regional or Corporate Human Resources Department.
Identification/Security Badges
You may be issued an identification badge by the Human Resources Department at the time of your employment. This badge must be always worn conspicuously on an outer garment in all areas of the facility and while on duty. Your badge will be used to gain entry to various parts of the facility. In some locations, employees could be charged for replacement of lost badges.
Social Media Policy
Social media (including personal and professional websites, blogs, chat rooms and bulletin boards, social networks, such as Facebook, LinkedIn, Twitter and Instagram (which are registered trademarks of others) , video-sharing sites such as YouTube and e -mail) are a part of the daily lives of many of our employees as well as increasingly useful tools in marketing and communications. The Company respects the rights of its employees to use social media and is committed to ensuring that it is used consistent with Company values and this Code of Business Conduct both inside and outside of work. The same general rules that apply to our internal communications in the workplace and our communications via traditional media outside of the Company apply to the use of social media.
Nothing in this policy or Code of Business Conduct is intended to limit or restrict any employee’s right to participate in conversations that are protected by the National Labor Relations Act regarding wages, benefits or working conditions. The rights of our employees to engage in protected labor activity are as important as any rights recognized by this Code of Business Conduct.
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In respect to the use of Social Media, it is important to understand and observe the following rules. Failure to adhere to them can result in discipline up to and including termination from employment:
• Communications through social media concerning the Company and other Company employees must not violate this Code of Business Conduct or any other Company policy, especially as they relate to discrimination, unlawful harassment, or immoral, unethical or illegal activities.
• Blogs and other forms of social media communications are individual interactions, not Company communications. Employees can be held personally liable for their posts. For this reason, employees should exercise caution with regards to exaggeration, obscenity, guesswork, copyrighted materials, legal conclusions, and derogatory remarks or characterizations. They should give credit where credit is due and do not violate the rights of others. They should not claim authorship of something that is not theirs or use the copyrights, trademarks, publicity rights, or other rights of others without the permission of the rightful owners.
• Because social media and networking activities are public, an employee’s Company e -mail address and Company assets should be used only to perform job-related activities, which may include professional networking and limited personal social networking as explained above, consistent with the Company ’s written email and internet use policies. Use of social media while at work must be very limited and not interfere with the full performance of an employee ’s job duties.
• Information and communications that are published on online sites should never be attributed to the Company or appear to be endorsed by, or to have originated from, the Company unless authorized by the Company. Using an individual’s name and a Company e -mail address may imply that the employee is acting on the Company’s behalf. Employees should always be clear in their communications that they do not speak for the Company unless they are authorized to do so as part of their job.
• If the employee discusses the Company or its services in social media, they must disclose their name and affiliation with the Company. It is never acceptable to use aliases or otherwise deceive people. Employees must identify themselves and include the following disclaimer on published public communication if they discuss the Company or Company employees publicly:
“The opinions expressed here are the personal opinions of [ employee name].
Content published here is not monitored or approved by the Transdev before it is posted and does not necessarily represent the views and opinions of the Company.”
• Employees may not disclose any sensitive, proprietary, confidential, or financial information about the Company or any affiliates of the Company. The use of
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Company logo, trademarks, or branding is prohibited. Employees may not post anything related to the Company inventions, strategy, financials, products, etc. that has not been made public.
• While employees may respectfully disagree with the Company actions, policies, or management decisions, they may not attack personally or post material that is obscene, defamatory, discriminatory, harassing, libelous, or threatening about the Company or other Company employees. As stated above, this Policy is not intended to restrict or prohibit any Company employee from engaging in protected concerted activity under the National Labor Relations Act.
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Benefits
Vacation, Sick Leave, and Holidays
The Company recognizes that employees have diverse needs for paid time off from work. As such, all eligible employees are entitled to paid time off. Vacation, Sick Leave and Holidays vary from location to location. Our clients typically require that our observance of holidays align with the holidays they recognize. Paid time off may include one or more of the following types of benefits:
a. Vacation
b. Holiday
c. Sick
d. Personal
Each location has its own rules regarding the accumulation and use of vacation, sick leave and/or paid time off. For those workers represented by a union, the rules regarding accumulation and use of vacation, sick leave and/or paid time off are established by the collective bargaining agreement. The accumulation and use of vacation, sick and paid time off leave by all employees must conform to the rules established locally or via the collective bargaining agreement. Unless otherwise provided in a collective bargaining agreement or governed by applicable state law, vacation or paid time off is “use it or lose it”, meaning that any accrued vacation or paid time off not used in the calendar year cannot be carried forward to subsequent years.
Upon termination from employment for any reason, any accrued but unused vacation is paid to the departing employee unless written and published Company policy at the location or applicable state law provides otherwise.
Holidays will be observed as established by local guidelines, policy, or practice.
Bereavement
The Company will provide paid time off for planning, settling family affairs, bereavement for the loss of an immediate family member and/or attending the funeral or memorial service of a member of an employee’s immediate family. All employees who wish to take time off due to the death of a family member should notify their supervisor as soon as possible. The Company reserves the right to require documentation.
The definition of immediate family member and the amount of time that may be taken in bereavement situations is established locally by management of via the local collective bargaining agreement. Employees should contact their immediate supervisor or their Regional or Corporate Human Resources Department for clarification or additional information.
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Jury Duty
Jury duty is an important civic responsibility. In compliance with federal and state laws, the Company protects its employees’ right to serve as jurors and will not prohibit, threaten or coerce any employee who is summoned for duty.
The employee should notify their supervisor upon receipt of notification from the state or federal courts of an obligation to serve on a jury or to act as a court witness and provide copies of the jury summons to their payroll department.
An employee summoned for jury duty will be excused to serve for up to fifteen (15) workdays and be paid at their regular base salary for such service. For an employee serving on a jury in which the trial extends beyond fifteen (15) paid workdays, their absence will be excused but unpaid leave until the trial is completed.
Employees not required to be in court or released from jury duty during the day are expected to resume their regular duties as soon as released. Upon returning to work from jury duty, employees must present documentation of those days served on jury duty to their immediate supervisor.
If an employee is summoned to testify as a witness in any civil or criminal proceeding, they should contact their manager for a determination of whether an absence from duty will be excused and the circumstances thereof.
Religious Accommodation
Federal and state laws prohibit employers from discriminating on the basis of religion or religious practice or need and require that steps be taken to accommodate the religious practices and needs of their employees.
Religious practice or need is defined by federal and state laws in a broad way that includes moral and ethical beliefs as to what is right and wrong that are sincerely held by the individual with the strength of more traditional religious views. The Company recognizes many different traditional religions may be practiced among the Company’s employees. Employees who believe their work interferes with a religious practice or who otherwise require an accommodation in order to practice their religious beliefs s hould contact their supervisor or a representative of the Human Resources Department so arrangements and options for observing a religious practice can be considered and evaluated.
It is recognized that individuals of certain religions observe their holidays on days that have not been designated as legal holidays by state or federal law. If an employee requires time off to observe a religious practice, they can use vacation or personal leave, or leave without pay. The employee should decide in advance with his or her supervisor or a representative of the Human Resources Department for such time off.
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For more information, please contact your immediate supervisor or your Regional or Corporate Human Resources Department.
Military Leave
The Company complies with the Uniformed Services Employment and Reemployment Rights Act of 1994 (USERRA) and applicable state laws pertaining to military leave. Transdev is committed to protecting the job rights of employees absent on military leave. In accordance with federal and state law, it is the Company ’s policy that no employee or prospective employee will be subjected to any form of discrimination based on that person’s membership in or obligation to perform service for any of the Uniformed Services of the United States. Specifically, no person will be denied employment, reemployment, promotion or other benefit of employment based on such membership. Furthermore, no person will be subjected to retaliation or adverse employment action because such person has exercised his or her rights under this policy.
In accordance with USERRA, Company employees who perform service in the uniformed services (as defined by USERRA) are entitled to a military leave of absence from their positions, subject to the limitations and restrictions set forth in federal and state law. Upon receiving an assignment for military service, employees should promptly provide notice to their supervisors prior to going on military duty, unless precluded by military necessity.
For more information regarding benefits and re -employment, please contact your supervisor or the Regional or Corporate Human Resources Department.
Scheduling and Flexible Work Hours
Reporting promptly for work and maintaining regular attendance as scheduled is expected of all Company employees. Our attendance policies are adopted to provide a method of fair and consistent treatment ensuring that office and operational functions are not degraded by poor attendance or tardiness. Attendance guidelines do not preclude the manager from exercising sound business judgment in establishing flexible schedules and creative scheduling alternatives.
Employees are responsible for knowing and adherin g to the attendance policy in effect at each property location. Each job is critical to our operation. In order to provide the superior quality of service for which the Company is known, we need each employee to be on the job performing the critical duties for which they were hired. Each employee must be aware that failure to meet the Company ’s standards for attendance will result in disciplinary action, up to and including termination.
It is recognized that flexibility is a way to define how and when work gets done and how careers are organized. It is a critical ingredient to overall workplace effectiveness. The Company may use flexible work hours, split shift scheduling and telecommuting, also known as working remotely from the main work site, to overcome the constraints of location, as a tool for improving recruitment and retention, for managing workload, and for responding to employee diversity.
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For further information, contact your immediate supervisor or the Regional or Corporate Human Resources Department.
Family and Medical Leave Act (FMLA)
It is the Company’s policy to grant up to 12 weeks (or up to 26 weeks of military caregiver leave to care for a covered service member with a serious injury or illness) of family and medical leave during any 12 -month period to eligible employees, in accordance with the Family and Medical Leave Act of 1993 (FMLA) and any applicable state laws. The leave may be paid, unpaid or a combination of paid and unpaid leave, depending on the circumstances of the leave and as specified in this policy.
This handbook provides employees with a general description of their FMLA rights. In the event of any conflict between the handbook or the detailed policy and the applicable law, employees will be afforded all rights required by law. FMLA generally applies to illnesses or injuries of a serious and long-term nature, resulting in recurring or lengthy absences.
If an employee takes paid sick leave for a condition that progresses into a serious health condition and the employee requests unpaid leave as provided under this policy, the Company may designate all or some portion of related leave taken as leave under this policy, to the extent that the earlier leave meets the necessary qualifications.
Employees with questions about what illnesses are covered under FMLA or under the Company’s sick leave policy are encouraged to consult with their Human Resources designee.
Eligibility:
Employees are eligible for FM LA leave if they have been employed by the Company for at least 12 months, have worked at least 1250 hours during the previous 12 months, and are employed in a facility that has at least 50 employees in a 75-mile radius. The employee is required to provide thirty (30) days’ notice when leave is foreseeable.
- The employee must have worked for the Company for 12 months or 52 weeks.
The 12 months or 52 weeks need not have been consecutive. Separate periods of employment will be counted, provided that the break in service does not exceed seven (7) years. Separate periods of employment will be counted if the break in service exceeds seven years due to National Guard or Reserve military service obligations or when there is a written agreement, including a collective bargaining agreement, stating the employer’s intention to rehire the employee after the service break. For eligibility purposes, an employee will be considered to have been employed for an entire week even if the employee was on the payroll for only part of a week or if the employee is on leave during the week.
- The employee must have worked at least 1,250 hours during the 12 -month period immediately before the date when the leave is requested to commence.
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The principles established under the Fair Labor Standards Act (FLSA) determine the number of hours worked by an employee. The FLSA does not include time spent on paid or unpaid leave as hours worked. Consequently, these hours of leave should not be counted in determining the 1,250 hours eligibility test for an employee under FMLA. - The employee must work in a worksite where 50 or more employees are employed by the company within 75 miles of that office or worksite.
The distance is to be calculated by using available transportation by the most direct route. The employee must work at a location in the United States or in any territory or possession of the United States.
Reasons for Taking Leave:
In order to qualify as FMLA leave under this policy, the employee must be taking the leave for one of the reasons listed below:
1. The birth of the employee’ s child in order to care for that child. An expectant mother may take leave before the birth of the child for prenatal care or if her condition makes her unable to work or comply with safety regulations.
2. The placement of a child for adoption or foster care and to care for the newly placed child.
3. The care of an immediate family member (spouse, domestic partner, child, or parent with a serious health condition (described below).
4. Serious health condition of the employee (described below). An employee may take leave because of a serious health condition that makes the employee unable to perform the functions of the employee’s position.
A serious health condition is defined as an illness, injury, impairment, physical or mental condition that involves:
• An illness of three (3) days which requires continuing treatment by a health care provider.
• In-patient care in a hospital, hospice or residential medical care facility including any period of incapacity of any subsequent treatment in connection with such in- patient care or a condition that requires continuing care by a licensed health care provider.
• Continuing treatment by a health care provider for a chronic or long -term condition.
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5. Qualifying exigencies leave for families of members of the National Guard or reserves or of a regular component of the armed forces when the covered military member is on covered active duty or called to covered active duty.
An employee whose spouse, domestic partner, son, daughter or parent either has been notified of an impending call or order to covered active military duty or who is already on covered active duty may take up to 12 weeks of leave for reasons related to or affected by the family member’s call-up or service. The qualifying exigency must be one of the following:
• Short-notice deployment (deployment notice on seven (7) or less days). • Military events and activities.
• Childcare and school activities.
• Financial and legal arrangements.
• Counseling.
• Rest and recuperation.
• Post-deployment activities.
• Additional activities that arise out of active duty provided that the employer and employee agree, including agreement on timing and duration of the leave. • Care for a military member’s parent who is incapable of self-care.
The term “covered active duty” means:
• In the case of a member of a regular component of the Armed Forces, duty during the deployment of the member with the Armed Forces to a foreign country; and • In the case of a member of a reserve component of the Armed Forces, duty during the deployment of the member with the Armed Forces to a foreign country under a call or order to active duty under a provision of law referred to in section 101(a)(13)(B) of title 10 United States Code.
The leave may commence as soon as the individual receives the call-up notice. (Son or daughter for this type of FMLA leave is defined the same as for child for other types of FMLA leave except that the person does not have to be a minor). This type of leave would be counted toward the employee’s 12-week maximum of FMLA leave in a 12-month period.
6. Military caregiver leave (also known as covered service member leave) to care for an injured or ill service member or veteran.
An employee whose son, daughter, parent or next of kin is a covered service member may take up to 26 weeks in a single 12-month period to take care of leave to care for that service member.
Next of kin is defined as the closest blood relative of the injured or recovering service member.
To care for a military member’s parent who is incapable of self -care when the care is covered in active duty. Such care may include arranging for alternative care, providing care on an immediate
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need basis, admitting or transferring the parent to a care facility, or attending meetings with staff at a care facility.
The term “covered service member” means:
a. A member of the Armed Forces (including a member of the National Guard or Reserves) who is undergoing medical treatment, recuperation, or therapy, is otherwise in outpatient status, or is otherwise on the temporary disability retired list, for a serious injury or illness.
b. A veteran who is undergoing medical treatment, recuperation, or therapy, for a serious injury or illness and who was a member of the Armed Forces (including a member of the National Guard or Reserves) within the past five ( 5) years preceding the date on which the veteran undergoes that medical treatment, recuperation, or therapy.
c. A caregiver may take leave up to five (5) years after the covered service member leaves the military and for a pre -existing injury or illness that was aggravated in the line of duty.
The term “serious injury or illness” means:
a. In the case of a member of the Armed Forces (including a member of the National Guard or Reserves), means an injury or illness that was incurred by the member in line of duty on active duty in the Armed Forces (or existed before the beginning of the member’s active duty and was aggravated by service in line of duty on active duty in the Armed Forces) and that may render the member medically unfit to perform the duties of the member’s office, grade, rank, or rating.
b. In the case of a veteran who was a member of the Armed Forces (including a member of the National Guard or Reserves) at any time during a period when the person was a covered service member, means a qualifying (as defined by the Secretary of Labor) injury or illness that was incurred by the member in line of duty on an active duty in the Armed Forces (or existed before the beginning of the member’s active duty and was aggravated by service in line of duty on active duty in the Armed Forces) and that manifes ted itself before or after the member became a veteran.
c. In the case of a veteran who has a physical or mental condition that has received a VA Service-Related Disability Rating (VASRD) of 50% or greater and the rating is based on whole or part, on the condition precipitating the need for a caregiver leave.
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d. In the case of a veteran ’s physical or mental condition that impairs the ability to secure an occupation by reason of disability related to military service or treatment.
e. In the case the veteran has been enrolled in the Department of Veterans Affairs Program of Comprehensive Assistance for Family Caregivers.
Amount of Leave:
An eligible employee can take up to 12 weeks for the FMLA circumstances (1) through (6) above under this policy during any 12 -month period. The Company will measure the 12 -month period as a rolling 12 -month period measured backward from the date an employee uses any leave under this policy. Each time an employee takes leave, the Company will compute the amount of leave the employee has taken under this policy in the last 12 months and subtract it from the 12 weeks of available leave, and the balance remaining is the amount the employee is entitled to take at that time.
An eligible employee can take up to 26 weeks for the FMLA circumstance (6) above (military caregiver leave) during a single 12-month period. For this military caregiver leave, the Company will measure the 12-month period as a rolling 12 -month period measured forward. FMLA leave already taken for other FMLA circumstances will be deducted from the total of 26 weeks available.
An eligible employee can take up to 15 days to spend with a covered military member who is on short-term temporary, rest and recuperation leave during deployment.
Special Provisions Regarding Leave:
If an employee and their spouse or domestic partner both work for Transdev they are entitled only to a combined total of twelve (12) weeks of leave for the birth or placement of a child for adoption or foster care or to care for a sick parent (but not a parent “ in-law”) with a serious health condition. However, each employee is entitled to up to twelve (12) weeks of leave due to the employee’s own serious health condition, to care for the spouse, domestic partner, or to care for a sick child. If a husband and wife both work for the Company and each wish to take leave to care for a covered injured or ill service member, the husband and wife may only take a combined total of 26 weeks of leave.
Employees should make a reasonable effort to schedule planned medical treatment (either the employee’s own or that of a seriously ill immediate family member) so that the treatments do not unduly disrupt the business operations. A leave of absence for the birth of a child or placement of a child for adoption or foster care must be concluded within one (1) year of the adoption or birth and must be taken on a continuous basis.
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Use of Paid and Unpaid Leave:
An employee who is taking FMLA leave because of the employee’s own serious health condition, or the serious health condition of a family member, must use all paid vacation, personal and/or sick leave prior to being eligible for unpaid leave. Sick leave may be run concurrently with FMLA leave if the reason for the FMLA leave is covered by Transdev’s established sick leave policy.
Disability leaves for the birth of the child and for an employee ’s serious health condition, including workers’ compensation leave (to the extent that it qualifies), will be designated as FMLA leave and will run concurrently with FMLA. For example, in a 6-week pregnancy disability leave, the six weeks will be designated as FMLA leave and counted toward the employee ’s 12-week entitlement. The employee may then be required to substitute accrued (or earned) paid leave as appropriate before being eligible for unpaid leave for what remains of the 12-week entitlement.
An employee who is taking leave for the adoption or foster care of a child must use all paid vacation, personal or family leave prior to being eligible for unpaid leave.
An employee who is using military FMLA leave for a qualifying exigency must use all paid vacation and personal leave prior to being eligible for unpaid leave. An employee using FMLA military caregiver leave must also use all paid vacation, personal leave or sick leave (if the reason for the absence is covered by Transdev’s sick leave policy) prior to being eligible for unpaid leave.
Intermittent or Reduced Workweek Leave:
Employees taking leave due to their own or a relative ’s serious health condition may take leave on an intermittent (in separate blocks of time or a day periodically when needed over the year) or under certain circumstances use the leave to reduce the workweek or workday, resulting in a reduced schedule (decre ased number of hours per week). If an employee takes leave on an intermittent or reduced schedule, the leave will be reduced pro -rata and only the amount of leave time taken will be counted against the employee’s twelve (12) week allowance. In all cases, the leave may not exceed a total of 12 workweeks (or 26 workweeks to care for an injured or ill service member over a 12-month period).
Transdev has the right to transfer the employee to a job with equivalent pay and benefits in order to better accommodate the request for an intermittent or reduced workweek schedule.
Certification of a Serious Health Condition:
Transdev requires medical certification to support a leave due to a serious health condition of an employee, employee family member qualifying exigency for military family leave or the serious injury or illness of the covered service member. A fitness-for-duty report is necessary for any employee returning to work after a serious personal health condition. The employee must respond to such requests within 15 days of the request or provide a reasonable explanation for the delay. Failure to provide certification may result in denial of continuation of leave.
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Certification of the serious health condition shall include: the date the condition began, its expected duration, diagnosis, and a brief statement of treatment. In a medical leave for the employee’s own medical condition, the certification must also include a statement that the employee is unable to perform work of any kind or a statement that the employee is unable to perform the essential functions of the employee’s position. For a seriously ill family member, the certification must include a statement the patient requires assistance and the employee ’s presence would be beneficial or desirable.
The Company may directly contact the employee ’s or the employee’s family member’s health care provider for verification or clarification purposes using a health care professional, an HR professional, leave administrator or management official, unless prohibited by state law.
Transdev will not use the employee ’s direct supervisor for this contact. Before the company makes this direct contact with the health care provider, the employee will be a given an opportunity to resolve any deficiencies in the medical certification. In compliance with HIPAA Medical Privacy Rules, the Company will obtain the employee ’s permission for clarification of individually identifiable health information.
Transdev has the right to ask for a second opinion if it has reason to doubt the certification. The Company will pay for the employee to get a certification from a second doctor which the Company will select. If necessary, to resolve conflict between the original certification and the second opinion, the Company will require the opinion of a third doctor. Transdev and the employee will jointly select the third doctor and the Company will pay for the opinion. This third opinion will be considered final.
The Company may deny FMLA leave to an employee who refuses to release relevant medical records to the health care provider designated to provide a second or third opinion. The employee will be provisionally entitled to leave and benefits under the FMLA pending the second and/or third opinion.
If a Family Leave of Absence exceeds twelve (12) weeks on a rolling twelve (12) month period (or up to 26 weeks of military caregiver leave to care for a covered service member with a serious injury or illness) the employee employment status may be in jeopardy, which could result in termination of employment. Exceptions are if state allows more than the designated twelve (12) or twenty-six (26) weeks off in a rolling twelve (12) month period.
If the employee plans to take intermittent leave or work a reduced schedule, the certification must also include dates and duration of treatment and a statement of medical necessity for taking intermittent leave or working a reduced schedule.
Recertification:
While on leave, employees are required to report periodically to the Company regarding the status of the medical condition and their intent to return to work. Such reports may not be asked of the employee more than once every 30 days unless it is known that an employee ’s situation
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has changed, or if the Company receives information casting doubt on the reason given for the absence or if the employee seeks an extension of their leave.
The Company may request recertification for the serious health condition of the employee or the employee’s family member every six (6) months in connection with an FMLA absence. The Company may provide the employee ’s health care provider with the employee ’s attendance records and ask whether need for leave is consistent with the employee ’s serious health condition.
All employees desiring to return to work following their leave must provide a fitness -for-duty report or doctor’s statement releasing them to full duty.
Requesting Leave:
When foreseeable, all employees requesting leave under this policy must submit the request in writing to their immediate supervisor and the local HR contact. When the need for FMLA leave is unforeseeable, the employee must comply with the Company’s usual and customary notice and procedural requirements for requesting leave, absent unusual circumstances.
When an employee plans to take leave under this policy, the employee must give 30 days’ notice.
If it is not possible to give 30 days’ notice, the employee must give as much notice as is practical.
An employee undergoing planned medical treatment is required to make a reasonable effort to schedule treatment to minimize disruption to the operations.
If an employee fails to provide 30 days’ notice for foreseeable leave with no reasonable excuse for the delay, the leave request may be denied until at least 30 days from the date the Company receives notice.
Designation of FMLA Leave:
After an employee has submitted the appropriate certification form, the HR contact will complete and provide the employee with a written response to the employee’s request for FMLA leave.
Intent to Return to Work from FMLA Leave:
On a basis that does not discriminate against employees on FMLA leave, Transdev may require an employee on FMLA leave to report periodically on their status and their intent to return to work.
For more information, please review the full FMLA Policy, contact your supervisor, or Regional Human Resources Director or Corporate Human Resources Department.
Other Leave
Some state and local laws allow employees leave for reasons other than enumerated above.
Examples are leave to vote, leave to donate blood, and under certain circumstances leave for
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mothers nursing infants. Company policy is to strictly adhere to such state and local laws where applicable. Employees should consult with their local Human Resources contact for further information regarding what laws may be applicable to their location. Employees are encouraged to bring to management’s attention any instances where the employee believes the Company is not fully honoring state or local laws relating to leave provision of federal, state or local law.
Health and Welfare Benefits
Full-time employees of the Company are typically entitled to health and welfare benefits. The type of benefits offered, the cost of said benefits to the employee, and the rules regarding eligibility for such benefits vary from location to location. In addition, those employees covered by a collective bargaining agreement are typically afforded benefits as contained in the collective bargaining agreement. For these reasons, each employee must determine what benefits are offered locally and the associated eligibility requirements by contacting their local Human Resources Department or reviewing the applicable collective bargaining agreement.
Generally, benefits offered include group health insurance for the employee with optional coverage for the employee’s spouse and children; group life insurance with optional coverage for employee spouse and children; vision coverage, dental coverage and disability coverage. Not all benefits may be offered at all locations.
Generally, an employee is not eligible for health and welfare benefits until the employee has completed the local probationary period or other locally established waiting period. In most cases, the Company subsidizes a portion of the benefit cost, and the employee pays the remaining cost of the health and welfare benefits by payroll deduction payments.
Upon termination of employment under most circumstances, an employee may continue health benefits for a limited period under the provisions of the Consolidated Omnibus Budget Reconciliation Act (COBRA). While COBRA enables the extension of benefits, the employee is obligated to pay the full COBRA cost of the benefits.
Travel Expense Reimbursement
Employees traveling on Company business will be reimbursed (subject to policy limits) for their actual, reasonable and properly documented business expenses including transportation, lodging, meals and other necessary expenses incurred when conducting Company business. The traveler is responsible for complying with the Company’s travel and expense guidelines, to justify exceptions and use their best efforts to minimize travel expenses with this policy.
All travel arrangements are to be made according to the Company ’s Travel and Expense policy available on the Company I ntranet. Depending upon employee ’s job assignment, an employee will be designated to use either the Company web-based travel program or contact the Corporate Travel Coordinator.
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For more information on air travel, hotel accommodations, rental cars, meals, the use of personal automobile expenses, travel advances, and reimbursable expenses, please contact your supervisor or your Regional Human Resource Director or Corporate Human Resources Department.
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Administrative Matters
Personnel/Human Resources Records
It is Company policy to maintain a personnel/human resources file containing pertinent employee information about each employee. Employee files are confidential and are treated as such. Access to employee files is limited to the following (unless additional access is authorized under applicable state law):
• Each employee may review their own personnel file in the presence of a person designated by Human Resources or their immediate supervisor by appointment.
No material is to be removed except as specifically authorized by Human Resources.
• Other employees of the Company may have access to personnel files only on a need-to-know basis. This means access is limited to:
- Human Resources staff needing access in the course of their normal duties. - Supervisors/managers considering an employee for promotion or transfer into their departments or location.
- Union representatives (for employees represented by the union).
Individuals who are not employees of the Company may not, except with specific authorization, have access to the files themselves. Generally, such access would be granted only upon advice of counsel (for example, in response to a subpoena, summons, or request for information from a federal administrative or law enforcement agency). Unless specifically authorized by appropriate officials, no one should extract information from personnel records and/or disclose opinions or assessments of employee job performance or attitudes.
Employees are responsible for notifying management of changes in address, telephone number and/or family status (births, marriage, death, divorce, legal separation, etc.) as income tax status and group insurance may be affected by these changes.
The Company will not release information from employee personnel records including, but not limited to, information pertaining to medical/health, salary, etc. or disseminate such information to individuals who have no legitimate business need to know.
Employment and Income Verifications/References
On occasion, an employee may need to provide verification of their income to third parties.
Employment and income verifications may be required when applying for a mortgage or loan, for reference checking, leasing an apartment, establishing credit, or any other instance where proof of employment or income is needed. It is the policy of the Company to protect the privacy of
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each employee. Employees who wish to provide employment verification to an entity should direct the entity to the Company’s automated external employment verification service.
At the present time, the Company uses The Work Number® to provide automated employment and income verifications on its employees. The Work Number® is an automated service that can be used anytime, anywhere – available 24 hours a day, 7 days a week. It provides employees with the ability to quickly provide proof of their employment or income. The individual employee controls the process and is responsible for authorizing the access and release of their information to the verifying organization.
Information for Employees:
Transdev Employer Code: 13173
The Work Number® Access Information www.theworknumber.com The Work Number® Customer Service: 1-800-996-7566
1-800-424-0253 (TTY-Deaf)
Information for Verifiers:
Transdev Employer Code: 13173
The Work Number® Access Information: www.theworknumber.com The Work Number® Customer Service: 1-800-996-7566
1-800-424-0253 (TTY-Deaf)
Information for Social Services Agencies:
Transdev Employer Code: 13173
The Work Number® Access Information: www.theworknumber.com The Work Number® Customer Service: 1-800-996-7566
1-800-424-0253 (TTY-Deaf)
All employment and income verification requests are expected to use this automated service.
The Company will provide federal, state, and local government agencies any employee information required by law.
Company employees who are not designated by the Human Resources Department to provide employment information are prohibited from releasing employment or income verification information and must direct inquiries to Human Resources. Human Resources may handle a variety of confidential matters regarding other employees, clients, and other information. When doing so, it is their responsibility to respect the privacy of fellow employees. This policy is designed to protect the Company and the employee from any potential liability.
In the event The Work Number® cannot be utilized for verification, upon verbal inquiry of any individual, the following information may be released regarding a current or former employee without written authorization:
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• Name of the employee
• Current or former job title
• Length of employment
All other requests for written confirmation to employment reference/verification inquiries must contain the current or former employee ’s signature authorizing the release of their compensation history, DOT or training record information. Any information provided on current or former employees shall be job -related, required by federal or state regulations, and factual and demonstrable from the records of the employee.
The Company will not respond to questions of character, credit worthiness, likelihood of continued employment, personality, reason for leaving Company service, evaluation of performance, and eligibility for rehire or other questions of a similar nature.
Internal Placement and Transfers
The Company encourages employee placement into vacant higher-level positions when qualified employees are available, interested, deemed suitable in all respects and when it is determined the promotion is in the best interest of the employee’s department and the Company.
Promotion/Placement Eligibility:
Eligibility for promotion or position transfer may be determined by:
• The requirements of the new job following the interview process. • Employees must have held their current position for at least 12 months. • Employees must have a satisfactory performance record. • No disciplinary actions for the preceding six (6) months.
Property Transfers:
Employees require approval to transfer between properties. Employees desiring to laterally move from one location to another should meet the following requirements:
• Must have held their current position for at least 12 months; or • Must have left employment with Transdev for at least six (6) months; or • Is receiving a promotion; or
• Transferring employee has received approval from the Regional Vice President who oversees the affected contracts.
Employees transferring to a new property for a temporary basis (less than three (3) months) only require the approval of the General Manager.
For more information regarding the internal reference process, please contact your Regional Human Resources Director or Corporate Human Resources Department.
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International Mobility:
International mobility is one of the factors that supports Transdev ’s development success. It reinforces the Company’s international culture by appropriately linking our employees’ expertise with opportunities across Transdev’s global footprint. It provides employees with a new scope of responsibility and additional professional experience.
For more information regarding the international mobility process, please contact your Regional Human Resources Director or Corporate Human Resources Department.
Performance Reviews and Evaluations
Performance reviews and evaluations are an important method by which the job performance of each employee is evaluated, (generally in terms of quality, quantity, cost, and time) typically by the corresponding hiring manager or supervisor. A performance appraisal is an important part of guiding and managing employee career development. It is the process of obtaining, analyzing, and recording information about the relative worth of each employee to the organization.
An employee performance review and evaluation will:
• Give employees feedback on performance.
• Identify employee training needs.
• Document criteria used to allocate organizational rewards. • Form a basis for personnel decisions: salary increases, promotions, disciplinary actions, bonuses, etc.
• Provide the opportunity for an employee’s manager/supervisor for diagnosis and development.
• Facilitate communication between employee and management. • Validate selection techniques and human resource policies to meet federal Equal Employment Opportunity requirements.
All exempt and non -exempt employees typically receive an annual review. In addition, it is also the policy at Transde v to continuously observe and evaluate the safety performance of employees in safety sensitive positions and to provide feedback and expectations for improvement when performance standards are compromised.
For more information, please contact your supervisor, Regional Human Resources Director or Corporate Human Resources Department.
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Bulletin Boards
Company bulletin boards are an essential component of official information maintained for the purpose of communicating Company announcements, memos, matters of Company business required by law, and items related to the personal interest and benefit of employees.
Bulletin boards are Company property and, as such, the Company reserves exclusive control over their access and use. Approval for all postings outside of daily operational memorandums must be made through the local General Manager or their designee.
Upon approval, personal notices may be posted provided that adequate space is available and such notices do not violate the Company ’s no-solicitation rule. Company postings will always receive priority.
No ads of a commercial nature may be posted, nor will any posting be allowed that is derogatory or in any other way offensive to the Company, our clients or our employees.
This does not apply to Union bulletin boards which are governed by the terms and conditions of the local Collective Bargaining Agreement.
For more information, please contact your supervisor or the Regional Human Resources Director or Corporate Human Resources Department.
Social Security Number Privacy
It is the policy of the Company to protect the security of Social Security numbers and any other personal identifying information required by law to be maintained confidentially. All executives, managers and employees are expected to rigorously adhere to this policy. Any employee violating the provisions of this policy and its operating procedures will be disciplined in accordance with Company rules.
Social Security n umbers and other personal identifying information will be collected from applicants and employees as required in order to meet federal and/or state reporting requirements. These purposes include to:
• Conduct pre-employment background checks.
• Verify eligibility for employment.
• Withhold federal and state taxes.
• Comply with state new-hire reporting.
• Facilitate enrollment into Company benefit plans.
If this Company policy and operating procedures conflicts with a state law in any state in which the Company operates, the state law shall supersede.
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For more information regarding storage and disposal of Social Security and other personal identifying information, please contact your Regional or Corporate Human Resources Department.
Email, Internet, and General Computer Usage Policy
The Company’s email and computer systems are essential business tools intended to be used for legitimate Company purposes only, although occasional personal use is permitted consistent with the Company’s written email and internet use policies. All employees using the Company’s email and computer systems must be familiar with and adhere to the Company’s written policies governing its email, internet and computer systems. All existing Company policies including, but not limited to , the use of intellectual property, insider trading, misuse of Company property, discrimination, harassment, sexual harassment, information, data security, and confidentiality, apply equally to employee conduct in connection with use of email and the internet. More simply said, the use of the Company email and computer systems should always be consistent with Transdev’s Code of Business Conduct.
All email accounts and all email content created, sent, received , or stored on the Company ’s email system, whether business or personal, are the sole property of the Company and are not the property of the employee or other personnel. These systems are subject to inspection, search, and/or monitoring by Company personnel for any number of business reasons. There is no expectation of privacy in any email or internet content transmitted over or stored in the system. Email retained on the Company email system remains the property of the Company and users are forbidden to delete email from the system before or upon leaving the employment of the Company.
Highly confidential or sensitive information should not be sent through email. Email should be used in a manner that will not risk the disclosure of Company proprietary and other information to persons outside the Company. Email messages may need to be saved and may be required to be produced in litigation. Strict adherence to any directives of the Legal Department or Senior Management to preserve email content is required. For more information regarding this policy, please contact your Regional Human Resou rces Director, Corporate Human Resources, or the Legal Department.
Cellular Telephone and Other Electronic Devices
This policy sets forth Company rules and limitations on the use of use of cellular telephones and other electronic devices in any motor vehicle while on Company time, including during meal or rest periods. Distinctions are made in this policy between cellular telephones and other electronic devices issued by the Company for work-related purposes and personal devices belonging to the employee.
Mobile Devices : any phone or device as the term is commonly understood , with or without hands-free capability.
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Other electronic devices: any device that is capable of being handheld and has an on-off switch, including but not limited to music players, electronic games and GPS devices.
Company vehicle: any motor vehicle used in the performance of a contract, whether owned, rented, leased or otherwise made available to the Company including, but not limited to, revenue vehicles, services vehicles, supervisor and management vehicles.
When seated at the wheel of a Company vehicle, the use of cellular telephones and/or other electronic devices is limited as follows:
(a) In all situations, use of a Company -provided or personal cellular telephone or other electronic device while seated at the wheel of a Company vehicle is prohibited where and when prohibited by law.
(b) The use of any personal mobile device or any other personal electronic device while seated at the wheel of a Company vehicle is prohibited. These devices must be always powered off when an employee is seated at the wheel, regardless of whether the vehicle is powered on or off.
(c) Paratransit and other On -Demand Transportation Service Operators:
Company-provided cellular telephones and Company -provided other electronic devices may not be used for any purpose other than for work -related purposes while seated at the wheel of any vehicle, regardless of whether the vehicle is powered on or off, and then only to the minimum extent necessary. As much as practical, said devices may only be used when the vehicle is not in motion.
Whenever the use of a cellular telephone or other electronic device presents a risk to safe driving, use of the device is not permitted. No personal use of such devices while seated at the wheel of a Company vehicle is permitted. (d) Managers and Road Supervisors: Company-provided mobile devices may not be used for any purpose other than for work -related purposes, and then only to the minimum extent necessary. No personal use of such devices while seated at the wheel of a Company vehicle is permitted. When the use of a cellular telephone or other electronic device presents a risk to safe driving, use of the device is not permitted. As much as practical, said devices should be used only when the vehicle is not in motion. Managers or road supervisors are prohibited from the use of a cellular telephone and other electronic device when operating a revenue service vehicle at any time, in or out of revenue service.
Nothing herein shall limit the ability of the Company to impose greater restrictions on cellular telephone or other communication device possession or use during working hours on a location- by-location basis. Any such policies must first be approved in writing by the Legal Department.
Employees must comply with Transdev’s Mobile Device Policy. Failure to comply with any portion of this policy is cause for discipline up to and including termination of employment.
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Company Automobiles/Non-Revenue Vehicles
The use of Company automobiles, non -revenue vehicles and car allowances is limited to designated positions within the Company and will be managed by the Chief Human Resources Officer (CHRO) in consultation with the Chief Executive Officer (CEO) and the Chief Operating Officer (COO). Details of this program are defined in the Automobile policies posted on the Transdev U.S. intranet. Participants in the program are expected to use their vehicle to transport clients, prospective clients, and other employees of the Company. As such, the Company reserves the right to establish vehicle requirements and conditions for participation in the program.
Media Relations
It is the policy of the Company not to grant interviews or release information to the media (television, radio or newspaper reporter) without prior approval from the VP of Marketing and Communications. Exceptions will be made on a case -by-case basis depending on the nature of the media contact and subject matter.
Any requests for interviews or information by the media should be referred immediately to the Marketing and Communications Department. Courtesy and common sense should always dictate in dealing with media requests. In no case should any information be volunteered to outside sources.
An employee approached by the media should:
• Ask the reporter for their name, the name of the publication or c ompany, a telephone number and the topic in issue.
• Then contact the VP of Marketing and Communication with the information.
This policy excludes those circumstances dealing with local media events (i.e., rodeos, marketing events, etc.). But, it is always a good idea to coordinate with the Marketing and Communications department for support in those situations as well.
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Glossary of Industry Terms
The terms in this glossary are not all inclusive and some may not be used at your facility.
They are to be used as a reference guide only.
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A
AAR – Association of American Railroads
Above Grade - The location of a structure or transit guide way above the surface of the ground (also known as elevated or aerial).
Accessible Service - Buses operating in regular service with wheelchair lifts, ramps, kneeling functions or other devices that permit disabled passengers to use the service.
Accessibility - (1) The extent to which facilities are barrier free and useable by disabled persons, including wheelchair users. (2) A measure of the ability or ease of all people to travel among various origins and destinations.
Accident/incident - An unplanned occurrence, which could have or did result in personal injury and/or property damage.
Activity Center - An area with high population and concentrated activities which generate a large number of trips (e.g., CBD, shopping centers, business or industrial parks, recreational facilities; also known as trip generator).
ALARP – As low as reasonably practicable, term used to describe reducing risks.
Alight - To get off a transit vehicle. Plural: “alighting.” Alignment - The horizontal and vertical ground plan of a roadway, guide way, transit route or other facility. The horizontal alignment refers to the location of the guide way as described by curves or any straight portion of an alignment. The vertical alignment refers to the vertical orientation of the guide way. (i.e., below grade, at grade or above grade).
Allocation - An administrative distribution of funds, for example, federal funds among the states; used for funds that do not have legislatively mandated distribution formula.
Alternative Fuels/Energy - These refer to vehicle engine fuels other than standard gasoline or diesel. Typically, alternative fuels such as methanol, ethanol, and compressed natural gas are much cleaner. They produce reduced emissions of greenhouse gases that contribute to global warming.
AM Peak - The morning commute period, about two hours, in which the greatest movement of passengers occurs, generally from home to work; the portion of the morning service period where the greatest level of ridership is experienced, and service is provided. Synonyms: Rush hour, Early Peak, Morning Peak, Morning Rush, Morning Commission Americans with Disabilities Act of 1990 (ADA) - The law passed by Congress in 1990 which makes it illegal to discriminate against people with disabilities in employment, services provided by state
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and local governments, public and private transportation, public accommodations and telecommunications.
APP AR - An abbreviation for “approximate arrival” time point.
Appropriation - An act of Congress that permits federal agencies to incur obligations and make payments for specific purposes.
APTA - American Public Transportation Association
Arterial Street - A major thoroughfare, used primarily for through traffic rather than for access to adjacent land, that is characterized by high vehicular capacity and continuity of movement.
Assignment Number - Unique identification number given to a collection of runs representing a week’s worth of work for a single operator.
At Grade - The location of a structure or transit guide way at the same level as the ground surface.
Authorization - Basic, substantive federal legislation that established or continues the legal operation of federal program agencies, either indefinitely or for a specific period.
Automatic Passenger Counts (APC) (predates “ smart technology”) - A technology installed on transit vehicles that counts the number of boarding and alighting passengers at each stop while also noting the time. Passengers are counted using either pulse beams or step treadles located at each door. Stop location is generally identified through use of either global positioning systems (GPS) or signpost transmitters in combination with vehicle odometers. Synonym: Smart Counters Automatic Vehicle Location (AVL) - A system that senses, at intervals, and monitors the real- time location of transit vehicles using electronic equipment that communicates a signal back to a central control facility locating the vehicle and providing other information about its operations or about its mechanical condition.
B
Block - Trips operated by a single bus.
Block Number - The number used to identify an individual block schedule. A good block numbering system is “ smart coded” to reveal the route number it starts on and the sequence number by pullout time. For example, the second bus leaving the garage on route 26 might be given a block number 2602.
Block Sheet - Listing of all trips and time-points on a single block.
Block Summary Sheet - Start and end times of each block illustrated on a time -scale to be used in the Run-Cutting process.
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Board - To go onto or into a transit vehicle. Plural: “Boardings.” Branch - One of multiple route segments served by a single route.
Bus - A rubber-tired road vehicle designed to carry a substantial number of passengers (i.e., 10 or more), commonly operated on streets and highways for public transportation service.
Bus Bay - Bus berthing area in a facility such as a transit center or rail station.
Bus Hours - The total hours of travel by bus, including both revenue service and deadhead travel.
Synonym: Vehicle Hours
Bus Lane - A lane of roadway intended primarily for use by buses, either all day or during specified periods. Synonym: Transit Priority Lane
Bus Miles - The total miles of travel by bus, including both revenue and deadhead travel.
Synonym: Vehicle Miles
Bus Number - Vehicle number assigned to a piece of equipment.
Bus Rapid Transit (BRT) - A term applied to a variety of public transportation systems using buses to provide faster, more efficient service than an ordinary bus line. Often this is achieved by making improvements to existing infrastructure, vehicles and scheduling and using larger specialized buses.
Bus Shelter - A structure constructed near a bus stop to provide seating and protection from the weather for the convenience of waiting passengers.
Bus Stop - A curbside place where passengers board or alight transit.
Bus Turnout - Cutout in the roadside to permit a transit vehicle to dwell at a curb, typically at a Bus Stop.
Busway - A special roadway designed for exclusive use by buses. It may be constructed at, above, or below grade and may be located in separate rights-of-way or within highway corridors.
C
Capital - Long-term assets, such as property, buildings, roads, rail lines, and vehicles.
Capital Costs - Costs of long -term assets of a public transit system such as property, buildings, vehicles, etc.
Capital Improvement Program - The list of capital projects for a five-to-seven-year programming period.
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Capital Project - Construction and/or procurement of district assets, such as transit centers, transit vehicles and track.
Car Pool - An arrangement where people share the use and cost of a privately owned automobile in traveling to and from pre-arranged destinations.
Central Business District (CBD) - An area of a city that contains the greatest concentration of commercial activity, the “ Downtown”. The traditional downtown retail, trade, and commercial area of a city or an area of very high land valuation, traffic flow, and concentration of retail business offices, theaters, hotels and services.
CFR - Code of Federal Regulations.
Configuration Management – A process that ensures, as much as possible, that the configurations of all property, equipment, and system design elements are accurately and completely documented.
Contractor - An entity that performs safety sensitive tasks or provides safety sensitive services on behalf of the railroad.
Corrective Action Plan - A written plan developed by the railroad that describes the actions the railroad or other responsible party will take to address system safety program deficiencies or to minimize, control, correct, or eliminate hazards, and the schedule for implementing t hose actions.
Corridor - A broad geographical band that follows a general directional flow or connects major sources of trips. It may contain several streets and highways and many transit lines and routes.
Crosstown Route - Non-radial bus service that normally does not enter the Central Business District (CBD).
Crush Load - The maximum passenger capacity of a vehicle, in which there is little or no space between passengers (i.e., the passengers are touching one another) and one more passenger cannot enter without causing serious discomfort to the others.
Curb-to-Curb Service - The most common designation for paratransit services, the transit involves picking up and discharging passengers at the curb or driveway in front of their home or destination. The driver does not assist or escort passengers to the door.
D
Deadhead - There are two types of deadhead or non-revenue bus travel time:
(1) Bus travel to or from the garage and a terminus point where revenue service begins or ends;
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(2) A bus’s travel between the end of service on one route to the beginning of another.
Synonym: Non-Revenue Time
Deboard - To get out of or off a transit vehicle.
Demand-Responsive Service - A non-fixed-route service, typically using vans or small buses, with passengers calling the agency in advance (usually 24 hours) to arrange a trip within a transit system’s service area.
Deviated Fixed -Route Service - Service that allows on -request, limited -distance deviation (usually up to three -quarters of a mile) off a regular bus route in order to provide service to a low-density area or for those who experience difficulty getting to bus stops. Planning for these routes often involves the use of computers and GPS systems to aid the driver.
Disabled - With respect to an individual, a physical or mental impairment that substantially limits one or more of the major life activities of such an individual; a record of such an impairment; or being regarded as having such an impairment.
Discretionary - Subject to the discretion of legislators or an administrator.
Dispatcher - Refers to an individual who combines bus operators and run assignments, and/or controls the movement of buses in service.
Dispatch Sheet - A list of all assignments to be operated on a particular day of the week.
Door-to-Door Service - A form of escorted paratransit service that includes passenger assistance between the vehicle and the door of his or her home or other destination but does not entail the driver going inside the destination. Assistance is also provided, as needed, with the passenger’s belongings (e.g. bags, etc.).
E
Emergency - An event or condition that requires an immediate, active response to prevent, mitigate, and/or control threats to life and property.
Emergency Preparedness Plan - Transdev’s written plan on preparedness and response in dealing with a passenger train emergency.
Emergency Responder: A member of a police or fire department, or other agency charged with providing or coordinating emergency services.
EPA – Environmental Protection Agency.
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Escorted Transportation - Any public transportation service which requires the use of a person to assist the passenger over the course of a trip. Such services can be classified as curb -to-curb, door-to-door, or door-through-door service.
Exclusive Right-of-Way - A right-of-way that is fully grade separated or access controlled and is used exclusively by transit.
Express Bus Service - Express service is deployed in one of two general configurations:
(1) A service generally connecting residential areas and activity centers via a high speed, non-stop connection, e.g., a freeway, or exclusive right-of-way such as a dedicated busway with limited stops at each end for collection and distribution. Residential collection can be exclusively or partially undertaken using park-and-ride facilities. (2) Service operated non -stop over a portion of an arterial in conjunction with other local services. The need for such service arises where passenger demand between points on a corridor is high enough to separate demand and support dedicated express trips.
Extra Board - Refers to operators who have no standing run assignment run but are used to cover unassigned runs or runs left open because of an absence of assigned operators. Unassigned or extra board work is posted and typically rotates on a daily basis.
F
Facility - The physical place that is used by a transit agency.
Fare - Payment in the form of coins, bills, tickets and tokens collected for transit rides.
Fare Box - A device used in a public transport system for the deposit and securement of fares; typically fitted with a slot for receipt of coins and a second slot for receipt of paper bills.
Fare Box Recovery Ratio - A measure of the proportion of transit operating expenses covered by passenger fares. It is calculated by dividing a transit operator’s fare box revenue by its total operating expenses. Synonym: Fare Recovery Ratio
Fare Box Revenue - The value of cash, tickets and pass receipts given by passengers as payment for public transit rides.
Fare Card - A card that is paid for in advance and can be used as fare on mass transit: it can be printed or electronic.
Fare Collection System - The method by which fares are collected and accounted for in a public transportation system.
Fare Elasticity - The extent to which ridership responds to fare increases or decreases.
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Fare Structure - The system set up to determine how much is to be paid by various passengers using the system at any given time.
Federal Transit Administration (FTA, formerly UMTA, Urban Mass Transit Administration) - A division of the U.S. Department of Transportation (DOT) which administers the federal program of financial assistance to public transit.
Feeder Service - Service that picks up and delivers passengers to a regional mode at a rail station, express bus stop, transit center, terminal, Park-and-Ride, or other transfer facility.
Fixed Cost - An indirect cost that remains relatively constant irrespective of the level of operational activity.
Fixed-Guide Way System - A system of vehicles that can operate only on its own guide way constructed for that purpose (e.g., rapid rail, light rail, bus rapid transit). Federal usage in funding legislation also includes exclusive right -of-way bus operations, trolley buses, and ferryboats as “fixed-guide way” transit.
Fixed-Route Service - A service provided on a repetitive basis along a specific route according to a pre-arranged, published schedule with vehicles stopping to pick up and deliver passengers to specific locations. Each trip is run on a fixed route, servicing the same origins and destinations.
FRA – Federal Railroad Administration
Frequency - The amount of time scheduled between consecutive buses or trains on a given route segment; in other words, how often the bus or train comes (also known as Headway).
FTA – Federal Transit Administration.
Full Funding Grant Agreement (FFGA) - An agreement executed by the federal government with a public transit operator that assures the operator of the federal government’s intention to fully fund the federal share of a New Starts project.
Fully Implemented- All elements of a system safety program as described in the system safety program plan are established and applied in the day-to-day safety management of the railroad.
G
Garage - The place where revenue vehicles are stored and/or maintained and from where they are dispatched and recovered for the delivery of scheduled service. Synonyms: Barn, Base, Depot, District, Division, O/M Facility (ops/maintenance), Yard GCOR – General Code of Operating Rules.
Global Positioning Satellite - Technology that tracks the current location of buses, taxis, and vans to assist in maintaining schedules and dispatching is maintained through a network of global
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positioning satellites (GPS), which is the term used to describe the system used to automatically track vehicle locations.
Grade Crossing - A crossing of the track at grade (or street) level over a roadway. Grade crossings are not necessarily protected by automatic warning devices.
Grade Separated - A crossing of two forms of transportation paths (e.g., light rail tracks and a highway) at different levels to permit unconstrained operation.
H
Hazard - Any real or potential condition (as defined in the railroads hazard management process) that can cause injury, illness, or death; damage to or loss of a system, equipment or property; or damage to the environment.
Hazard Probability - The likelihood of an event occurring.
Hazard Resolution - The analysis and subsequent actions taken to reduce, to the lowest practical level, the risk associated with an identified hazard.
Hazard Severity - The consequences of an event occurring.
Headway - Number of minutes between two trips on a route. For example, if a route has a trip every 30 minutes it is said to have a “ 30-minute headway”. Headways can vary by time of day.
Synonyms: Frequency, Schedule, Vehicle Spacing
Headway Sheet - A single schedule showing all trips on a route in time order. A headway sheet will show the block number for each trip, the garage times for each block, and the times each trip reaches a time-point.
Head Sign - the sign above the front windshield of a bus describing the line number or its line name and destination.
Highway Crossing - See Grade or Level Crossing.
High Occupancy Vehicle (HOV) - Vehicles that can carry more than two persons. Examples of high occupancy vehicles are a bus, vanpool and carpool.
HOV Lane - A traffic lane in a street or highway reserved for high occupancy vehicles, which may include two person vehicles in some applications.
Hybrid Bus - A bus that runs on hybrid propulsion (fossil fuel combined with electric power). An onboard generator powered by an internal combustion engine or fuel cell supplies electricity.
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I
Incident - Traffic or passenger accident that include collisions with other vehicles, pedestrians or fixed object, and passenger accidents while boarding, on- board, or disembarking the transit vehicle or any unusual circumstance encountered in operation.
Interlining - Interlining is used in two ways: Interlining allows the use of the same revenue vehicle and/or operator on more than one route without going back to the garage. Interlining is often considered to minimize vehicle requirements as well as a method to provide transfer enhancement for passengers. For interlining to be feasible, two (or more) routes must share a common terminus or be reasonably proximate to each other (see DEADHEAD). Synonyms:
Through Routes, Interlock Routes, Interlocking
Intermodal - Switching from one form of transportation to another.
Intermodal Facility - A building or site specifically designed to accommodate the meeting of two or more transit modes of travel.
Investigation- The process used to determine the causal and contributing factors of an accident.
J
Joint Development - Development of land or airspace by a public or private entity at RT property where the RT Board has determined that there are excess property rights and the proposed development will not interfere with the existing or planned transit use of the property.
Joint Powers Authority - A group of representatives from several entities that have agreed to undertake a joint venture.
K
Kiss and Ride - A place where commuters are driven and left at a station to board a public transportation vehicle.
Kneeling Bus - A feature on a bus that lowers the floor to the curb or to near-curb level to make it easier for passengers to board, especially for seniors and persons with disabilities.
L
Layover Time - Refers to time built into a schedule between arrival and departure for bus drivers for schedule recovery. Layovers normally occur at each end of a route to allow for a driver’s break and schedule recovery, but they may be scheduled at other points to allow for timed transfer connections. Synonym: Recovery Time
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Level Crossing - Intersection of highway and railway, at same “level” or grade.
Limited-Stop Service - An express service, usually on a larger bus, that operates on a fixed route either parallel to an existing fixed route or supplementing several existing routes. Its purpose is to provide quicker service to destinations with less frequent stops.
Linked Passenger Trips - A linked passenger trip is a trip from origin to destination on the transit system. Even if a passenger must make several transfers during a one -way journey, the trip is counted as one linked trip on the system. Unlinked passenger trips count each boarding as a separate trip regardless of transfers.
Liquidated Damages - When the parties to a contract agree to the payment of a certain sum as a fixed and agreed upon satisfaction for not doing certain things particularly mentioned in the agreement, the sum is called liquidated damages.
Load Factor - The ratio of passengers carried versus the total passenger seating capacity of a vehicle. A load factor of greater than 1.0 indicates that there are standees on that vehicle.
Local Service - A type of operation that involves frequent stops and consequent low speeds, the purpose of which is to deliver and pick up transit passengers as close to their destinations or origins as possible.
Loop - A portion of a bus line where the driver operates a segment in one direction only.
Passengers may only board on one side of the loop; loops are sometimes required due to lack of pavement accessibility, or when no off street turn-around is available.
Low Floor Vehicle - Refers to a bus that does not have steps. Building a bus floor at one level between the front to rear doors allows passengers to enter and exit more quickly. The addition of steps usually adds boarding and alighting time, especially for passengers with limited mobility.
M
Manifest - List of passengers by name/address for a vehicle run —typically encountered in paratransit service.
Mass Transit - Another name for public transportation. Transportation by bus, rail, or other conveyance, either publicly or privately owned, which provides to the public general or special service on a regular and continuing basis.
Maximum Load Point - The location(s) along a route where the vehicle passenger load is the greatest. The maximum load point(s) generally differ by direction and may also be unique to each of the daily operating periods. Long or complex routes may have multiple maximum load points.
Minibus - A rubber-tired road vehicle designed to carry a small number of passengers (i.e., 12 or less), commonly operated on streets and highways for public transportation service.
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Miss Out - The failure of an operator to report on -time for a work assignment. The operator, upon arrival, will receive a shift/run available on the extra board.
Missed Trip - A schedule trip that did not operate for a variety of reasons including operator absence, vehicle failure, dispatch error, traffic, accident or other unforeseen reason.
Mode - A particular form of travel (e.g., bus commuter tail, train, bicycle, walking or automobile).
Mode Split - The proportion of people that use each of the various modes of transportation. Also describes the process of allocating the proportion of people using modes. Frequently used to describe the percentage of people using private automobiles as opposed to the percentage using public transportation.
Model - An analytical tool (often mathematical) used by transportation planners to assist in making forecasts of land use, economic activity, and travel activity.
Monthly Pass - A prepaid farecard or ticket, valid for unlimited riding within certain designated zones for one-month period.
Multi-destination Network — A bus route network that is designed to make it easy to travel by transit between any two points in the service area.
Multimodal - The availability of multiple transportation options, especially within a system or corridor. A multimodal approach to transportation planning focuses on the most efficient way of getting people or goods from place to place by means other than privately owned vehicles; by bus, trolley, light rail, streetcar, cable car, and/or ferry systems.
N
New Start Passenger Railroad – A railroad not previously operating a passenger rail system regulated by the FRA.
Network - The configuration of streets or transit routes and stops that constitutes the total system.
New Starts - Federal funding granted under Section 5309 (B) of the United States Code. These discretionary funds are made available for the construction of new fixed guide way systems or extensions of existing fixed guide way systems.
No Show - The passenger is not available for the operator to provide services for the scheduled trip.
NTSB - National Transportation Safety Board - An independent federal agency that investigates and analyzes major transportation accidents (railroads, aviation, highway, marine, etc.) and prepares a public report on its findings, conclusions, and recommendations.
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O
Off-Peak - Non-rush periods of the day when travel activity is generally lower, and less transit service is scheduled.
Operating - Maintaining the ongoing functions of an agency or service. “Operating expenses” include wages, benefits, supplies, and services. “Operating assistance” is used to pay for the costs of providing public transit service.
Operating Cost - The total costs to operate and maintain a transit system including labor, fuel, maintenance, wages and salaries, employee benefits, taxes, etc.
Operating Expense - Monies paid in salaries and wages, settlement of claims, maintenance of equipment and buildings, and rentals of equipment and facilities.
Operating Ratio - A measure of transit system expense recovery obtained by dividing total operating revenues by total operating expenses.
Operating Revenue - Revenue derived from passenger fares. See also Farebox Revenue.
Operating Speed - The rate of speed at which a vehicle is safely operated under prevailing traffic and environmental conditions.
Operator - An employee of a transit system who spends his or her working day in the operation of a vehicle, e.g., bus driver, streetcar motorman, trolley coach operator, etc.
Organizational Safety Culture - The product of individual and group values, attitudes, perceptions, competencies, and patterns of behavior that determine the commitment to, and the style and proficiency of, an organization’s health and safety management.
Origin - The location of the beginning of a trip or the zone in which a trip begins. Also known as a “Trip End.”
Origin-Destination Study - A study of the origins and destinations of trips made by vehicles or passengers.
OSHA - Occupational Safety and Health Administration - A federal agency within the United States Department of Labor responsible for establishing and enforcing standards for the exposure of workers to safety hazards or other harmful materials that they may encounter in the work environment, as well as other matters that may affect the safety and health of workers.
Overtime - The number of hours paid at a time and one-half rate.
Owl - Service that operates during the late night/early morning hours or all-night service, usually between 10:00 p.m. and 6:00 a.m.
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P
Paddle - An individual operator schedule showing trips to be operated for a particular run number.
Paratransit - The word “paratransit” alternative modes of flexible passenger transportation that do not follow fixed routes or schedules—paratransit service is typically provided to a person who is unable to use the fixed route system due to a disability.
Park-and-Ride - A parking area for automobile drivers who then board vehicles, shuttles or carpools from these locations.
Pass - A means of transit prepayment, usually a card that carries some identification that is displayed to the driver or conductor in place of paying a cash fare.
Passenger - A person who rides a transportation vehicle, excluding the driver.
Passenger Check - A check (count) made of passengers arriving at, boarding and alighting, leaving from, or passing through one or more points on a route. Checks are conducted by riding (ride check) or at specific locations (point check). Passenger checks are conducted in order to obtain information on passenger riding that will assist in determining both appropriate directional headways on a route and the effectiveness of the route alignment. They are also undertaken to meet FTA Section 15 reporting requirements and to calibrate revenue-based ridership models.
Passenger Lift - A mechanical device, either a lift or ramp, which allows wheelchair or scooter users, as well as other mobility-impaired passengers, to board a bus without climbing the steps.
Passenger Miles - A measure of service utilization which represents the cumulative sum of the distances ridden by each passenger. It is normally calculated by summation of the passenger load times the distance between individual bus stops. For example, ten passengers riding in a transit vehicle for two miles equals 20 passenger miles.
Passenger Operations - The period of time when any aspects of railroad operations are initiated with the intent to carry passengers.
Passenger Revenue - Fares paid by passenger traveling aboard transit vehicles.
Pattern - Unique, non- branching, ordered sequence of time points, street links, or public transportation stops to be followed by a transit vehicle in scheduled service.
Pay Time - The number of hours a driver is compensated.
Peak Hour/Peak Period - The period with the highest ridership during the entire service day, generally referring to either the peak hour or peak several hours (peak period).
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Peak Service - Typically weekday a.m. and p.m. service during commute hours to carry a maximum number of passengers. Commute or peak hours are typically defined as time between 6 and 9 a.m. in the morning, and between 4 and 7 p.m. at night.
Pick - The selection process by which operators are allowed to select new work assignments, i.e., run or the Extra Board in the next (forthcoming) schedule; can also refer to other operator selections conducted in seniority order, for example, “vacation pick”.
Pick Sheets - Sheet that displays by assignment number, the number of work assignments from which a driver may choose.
Platform Time - Number of hours a bus operates from pull-out to pull-in.
Program - (1) verb, to assign funds to a project; (2) noun, a system of funding for implementing transportation projects or policies.
Public Transit System - An organization that provides transportation services owned, operated, or subsidized by any municipality, county, regional authority, states, or other governmental agency, including those operated or managed by a private management form under contract to the government agency owner.
Public Transportation - Transportation by bus, rail, or other conveyance, either publicly or privately owned, that provides general or special service to the public on a regular and continuing basis.
Pull-In Time - The non-revenue time assigned for the movement of a revenue vehicle from its last scheduled terminus or stop to the garage. Synonyms: Turn-In Time, Deadhead Time, Run-off Time
Pull-Out Time - The non-revenue time assigned for the movement of a revenue vehicle from the garage to its first scheduled terminus or stop. Synonyms: Deadhead Time, Run-on Time Pull-Out Sheet - A list of runs in pull- out time order showing the bus number assigned to each run.
R
Radial Service - Local or express service designed primarily to connect the Central Business District with outlying areas.
Recovery Time - Recovery time is distinct from layover, although they are usually combined.
Recovery time is a planned time allowance between the arrival time of a just completed trip and the departure time of the next trip in order to allow the route to return to schedule if traffic, loading, or other conditions have made the trip arrive late. Recovery time is considered as reserve
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running time and typically, the operator will remain on duty during the recovery period.
Synonym: Layover Time
Revenue - Receipts derived from or for the operation of transit service including farebox revenue, revenue from other commercial sources, and operating assistance from governments. Farebox revenue includes all fare, transfer charges, and zone charges paid by transit passengers.
Revenue Time - Number of hours a bus operates in live service picking up passengers.
Revenue Vehicle Hour - The measure of scheduled hours of service available to passengers for transport on the routes, equivalent to one transit vehicle traveling in one hour in revenue service, excluding deadhead hours but including recovery/layover time. Calculated for each route.
Revenue Service - When a revenue vehicle is in operation over a route and is available to the public for transport.
Revenue Miles - Miles operated by vehicles available for passenger service.
Revenue Passenger - A passenger from whom a fare is collected.
Reverse Commute - Movement in a direction opposite to the main flow of travel, such as from the Central City to a suburb during the morning commute hour.
Ridesharing - A form of transportation, other than public transit, in which more than one person shares in the use of the vehicle, such as a van or car, to make a trip.
Ridership - The number of rides taken by people using a public transportation system in each time period.
Right-of-Way (ROW, R/W) - The land over which a public road or rail line is built. An exclusive right-of-way is a road, lane, or other right-of-way designated exclusively for a specific purpose or for a particular group of users, such as light rail vehicles or buses.
Risk - is the potential harm that may arise from some present process or from some future event.
It is often mapped to the probability of some event, which is seen as undesirable. Usually, the probability of that event and some assessment of its expected harm must be combined into a believable scenario (an outcome) which combines the set of risk, regret and reward probabilities into an expected value for that outcome.
Road Call - A mechanical failure of a bus in revenue service that causes a delay to service, and which necessitates removing the bus from service until repairs are made.
Road Supervisor - The individual who is responsible for keeping buses or trains on schedule.
Rolling Stock - The vehicles used in a transit system, including buses and rail cars. Synonym: Fleet
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Roundtrip - The two-way directional travel of a bus from its starting point to the other end of the route and back to the starting point.
Route - A specified path taken by a transit vehicle usually designated by a number or a name, along which passengers are picked up or discharged. Synonym: Line Route Miles - The total number of miles included in a fixed route transit system network.
Run - Driver assignments for a particular day of the week. • Split - a split run consists of an AM and PM assignment in which the driver is off work between the two runs.
• Early Straight - a single, full-time piece of work starting with the morning pull out. • Late Straight - a single, full-time piece of work starting after the morning peak. • Night - a single, full-time piece of work starting at the PM peak. • Owl - A single, full-time piece of work starting after the PM peak, usually working through the night and early morning.
Run Cut - The process, normally performed two to four times a year, of generating daily bus driver work assignments in a cost -efficient manner to meet all service requirements. Run-cutting software is used to generate assignments that may be reset until they fulfill the requirements of all participating parties.
Running Time - The time assigned for the movement of a revenue vehicle over a route, usually done on a [route] segment basis by various time of day. Synonym: Travel Time S
Safety - Freedom from harm resulting from unintentional acts or circumstances.
Safety Certification - A process applied to a safety system to ensure that the system meets all applicable requirements and is certified safe for operation.
System Safety Program - A comprehensive process for the application of engineering and management principles, criteria, and techniques to optimize safety. The system safety program:
(1) assesses and manages risk.
(2) provides methods for evaluating and responding to all safety issues. (3) includes proactive hazard management methods that support continuous safety improvement.
(4) Ensures that applicable federal, state, and local safety regulations and safety requirements are identified and addressed.
The program reflects the railroad’s safety philosophy and cultivates a robust safety culture from the most senior officer throughout all levels of the organization.
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Schedule - A document that, at a minimum, shows the time of each revenue trip through the designated time points. Many properties include additional information such as route descriptions, deadhead times and amounts, interline information, run numbers, block numbers, etc. Synonyms: Headway, Master Schedule, Timetable, Operating Schedule, Recap/ Supervisor ’s Guide
Scheduling — The planning of vehicle arrivals and departures and the operators for these vehicles to meet consumer demand along specified routes.
Service Area — A geographic area which is provided with transit services. Service area is now defined consistent with ADA requirements.
Service Span — The span of hours over which service is operated, e.g., 6 a.m. to 10 p.m. or 24- hour (owl). Service span often varies by weekday, Saturday, or Sunday.
Service Standards — A benchmark by which service operations performance is evaluated. These standards are provided in the Short-Range Transit Plan.
Shuttle Bus - A public transport bus service designed to quickly transport people between two points. Such a bus will ‘shuttle’ backwards and forwards between the two points, normally without any intermediate stops and with a high frequency of trips. Such services are often designed to serve specific customers, such as park and ride routes or airport bus services.
Skip-Stop Service - A public-transportation service pattern in which not all vehicles make every stop along a designated route. While all vehicles may stop at every major hub station, some express buses or trains may serve only a few stops. This system attempts to reduce travel time and crowding at boarding stations.
Smart Card - One of many kinds of automatic fare collection systems beyond the single -use or limited-use fare card.
Spread Penalty - Number of hours paid at overtime beyond a designated spread period. For example, a 12-hour spread penalty would mean any driver operating a bus 12 hours after they started work would be paid at an overtime rate.
Stop - A location where public transport customers may board or alight from a transit vehicle in revenue service.
Subsidy — Funds granted by federal, state or local government.
System Safety Program Plan (SSPP) - A document developed by the railroad, describing its safety policies, goals, objectives, responsibilities, and procedures.
System Security Plan (SSP) – A document developed by the railroad, describing its prevention- oriented approach to security.
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System Safety - The application of operating , technical, and management techniques and principles to the safety aspects of a system throughout its life cycle to reduce hazards to the lowest practical level through the most effective use of the available resources.
T
Time-Point - A designated location and time that a bus can arrive before – but not leave earlier than – the stated time as indicated in the route schedule.
Timed Transfer - A point or location where two or more routes come together at the same time to provide positive transfer connections. A short layover may be provided at the timed transfer point to enhance the connection. Timed transfers have had increasing application as service frequencies have been reduced below 15 to 20 minutes and hub-and-spoke network deployment has grown.
Total Miles - The total miles include revenue, deadhead, and yard (maintenance and servicing) miles.
Transfer - A slip of paper issued to a passenger that gives him or her the right to change from one transit vehicle to another according to specified limitations.
Transfer Cluster - A collection of one or more public transportation stops where transfer between routes is convenient.
Transfer Passenger - A passenger who transfers to a line after paying a fare on another line.
Transfer Point - Refers to a point where bus lines intersect, and passengers can transfer to another line.
Transit Center - A fixed location where passengers transfer from one route to another.
Transit Corridor - A broad geographic band that follows a general route alignment such as a roadway of rail right-of-way and includes a service area within that band that would be accessible to the transit system.
Transit Dependent - Someone who must use public transportation for his/her travel.
Transit Mall - A street, or set of streets, in a city or town along which automobile traffic is prohibited or greatly restricted and only public transit vehicles and pedestrians are permitted.
Transit Priority - A means by which transit vehicles are given an advantage over other traffic, e.g., preemption of traffic signals or transit priority lanes.
Transit Priority Lane - See Bus Lane
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Transit System - An organization providing local or regional multi- occupancy vehicle passenger service, whether privately or publicly held. Organizations that provide service under contract to another agency are generally not counted as separate systems.
Transportation Authority - These are the local component agencies designated by your state, commonwealth, or territory to be responsible for a specific geographic area, such as a state, a city, a county, or multi-county district.
Travel Time - The time allows for an operator to travel between the garage and a remote relief point.
Trip - The one-way directional travel of a bus from its starting time-point at one end of the route to its ending time-point at the other end of the route.
U
Unlinked Passenger Trips - The total number of passengers who board public transit vehicles. A passenger is counted each time he/she boards a revenue vehicle even though the boarding may be the result of a transfer from another route to complete the same one -way journey. Where linked or unlinked is not designated, unlinked is assumed.
V
Van - See Minibus.
Variable Cost - A cost that varies in relation to the level of operational activity.
Vehicle Miles - The number of miles traveled by a vehicle and are usually calculated by mode.
W
Wheelchair Lift - A device used to raise and lower a platform in a transit vehicle for accessibility by handicapped individuals.
Y
Yard – An area where buses and rail are stored, parked, or repaired.
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ACKNOWLEDGEMENT
I have received and read my copy of the Employee Handbook and was provided an opportunity to review and discuss its contents. Any questions that I may have had were discussed, answered and explained to me by my supervisor or a member of the Human Resources Department to my satisfaction. I am fully aware that this handbook is to be used as a guide. There may be occasions when Transdev U.S. may amend, modify or cancel this handbook as well as any policies, rules, or procedures with or without notice. In addition, I understand that Transdev U.S. may interpret the policies and procedures differently than me.
By Employee:
Date
Location
Employee Name (Please Print)
Employee Signature
I have discussed, answered and explained all questions with the above employee with regard to the policies, practices and benefits as contained in the Employee Handbook.
By Employer:
Date
Location
Employer Name (Please Print)
Employer Signature
Please return the acknowledgement form to the Human Resources Department.
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Pre- and Post-Trip
Inspection Checklist
Farebox
Specifications
DONATION
BOXES
Diamond Manufacturings offers 4 different sizes of Donation Boxes.
Donation Boxes are constructed with Carbon Steel.
All Donation Boxes are Wet-Painted Black.
Each Donation Box comes standard with a top lock for moderate security.
They accept the dollar bill, coins, tokens, passes & other similar fare media.
Each Donation Box has a bracket to be permanently mouned to the vehicle.
Diamond, also, offers additional Bracket Systems that allows the Donation Box to be locked to the vehicle and removed easily.
Donation Boxes are an inexpensive yet long lasting alternative for Fare Collection.
Diamond supplies a one year warranty against all defects 5”x5”x5” 8”x6”x4”
Standard Bracket 3 Piece Bracket
DONATION BOX
BRACKETS
Vehicle
Specifications
Transdev
Starcraft Allstar CNG Fueled
20 Passenger/2WC
6-1-26
Photo Similar to Bus Proposed
Chassis Specifications:
Year Model Chassis: __2026__
Ford E450, 7.3-liter, 14,500 GVWR
OEM ALT Fuel Prep Package
Landi Renzo 30 GGE CNG Fuel Package
Automatic Transmission
Four Wheel ABS Brakes
Power Steering, Power Brakes, Pulse Wipers
240 Amp Alternator Gas
Heavy Duty Suspension
Heavy Duty Springs
55 Gallon Fuel Tank Minimum
Steel Belted Radial Tires, LT225/75R 16E
Chrome Front Bumper
Front Dash Air Conditioning and Heat
Bus Alignment with Castor and Camber Kit (Documentation Must be submitted with Delivery) Route Exhaust to Street side
Valve Stem Extension Dual Rear Wheels
Body Specifications:
Interior
Tubular Cage Construction
Interior Width: Minimum 93”
17” Minimum Clear Aisle Required
Interior Headroom- Minimum 74”
Modesty Panel and Stanchion at Left Side of Entry Door
Modesty Panel and Stanchion behind Driver
Plexiglas on top of Driver’s Modesty Panel
Black Rubber Floor Covering with Ribbed Rubber Aisle
Padded Vinyl in Driver’s Area
Yellow Step Nosing and Standee Line
Storage in Cab Overhead
Exterior
Front and Rear Mud Flaps
Rear Tow Hooks
Maximum Tint on Passenger Windows
Exterior Paint: Solid White
Side Windows with Upper T-Sliders
Anti-ride Rear Step Bumper
Exterior Heated and Remote Mirrors
Roof Hatch
Air Conditioning and Heater
TA73R60 SUPER 70K - TA73 EVAP - Roof Mount 60 RM COND - 10 C.I.D. COMP 40,000 BTU Rear Floor Mounted Heater
Electrical
Electric Passenger Entrance Door
Ford OEM AM/FM/CD PA Ready
JPA 600 PA System with Handheld Mic Integrated with OEM Radio 4 Interior Speakers and 1 Exterior Speaker
Rear Center Mounted Brake Light
All Exterior Lighting – LED
All Interior Lighting – LED
Door Activated Interior Lights
Rotary Battery Disconnect (placement and Model to be approved) Prewire for Two-Way Radio
STANDARD ROSCO STSK4750 BACK-UP CAMERA SYSTEM W/ 7" REARVIEW MONITOR /
MIRROR COMBO
Transign Front and Side LED Destination Sign
Seating
Total Capacity: ___20__ (All Seats)
Driver’s Seat: Freedman Shield Recliner, No Armrest, Adj Lumbar Support, Map Pocket Freedman Passenger Seats: Mid High Rigid Seats (x8)
Freedman 34” Double Flip Seats (2)
Level 1 Cover for Driver and Passenger Seats
Anti-Vandal Grab Handles on Seat Back (x8) Aisle Side Only Standard 74” Lap Belts (x20)
ADA Requirements
Braun Century NCl9173454-2 800# Automatic wheelchair Lift (34” x 54” Platform) ADA Decals and Vehicle Height Sticker
Double Wheelchair Doors with Windows, Interior Light, and Leaf Spring Wheelchair Opening Devices: Shocks Mounted to Both WC Doors Sections (2) Q-8301-L Max Retrctr tie down, Q8-6326-A1 Comb Lap/Shldr,L Trk (2) Tie Down Storage Pouches
Q-Straint Belt Cutter (x1)
Ceiling Grab Rails –Both Sides
Yellow Standee Line with “No Standees forward of Yellow Line” sign Parallel Entry Grab Rails – Power Coated Yellow
Intermotive Brake/Lift Interlock with Automatic Fast Idle Watch Your Step and Vehicle Height Decals
Safety Options
5 LB Fire Extinguisher
Warning Triangles
Minimum of 25 Unit First Aid Kit
Back Up Alarm
Body Fluid Kit
Interior Convex Mirror 6” x 9”
Manuals and Training
“As Built” Wiring Schematics and Parts Manuals (Generic Versions not Acceptable) On USB Flash Drive
Owner’s Manuals Required
Minimum Required Warranty Coverage
Body: 5 Year or 100,000 Miles
Chassis: 3 Year or 36,000 Mile
Rear Air Conditioning: 3 Years Unlimited Miles
FLOORPLAN – 20 PASSENGERS OR 16 PASSENGERS AND (2) ADA
POSITIONS
2025
Vantage Mobility
Sienna In-Floor Side Entry
PROPOSAL
Prepared for
Transdev - City of Monterey
Park, CA
CONTACT
Date Issued:5-28-26
Name: Drew Hawkins
Phone: 404-702-0478
Email: [email protected]
Whether you need to fill a spot in your fleet or create an entirely new vehicle, your Model 1 experts have a single top priority: you. With a clear understanding of your needs, we find ways to deliver — starting with deep relationships all the way back at the manufacturer level. And with the nation’s largest inventory of commercial vehicles, you’ll never be short on the best choices to make for your business.
SALES EXPERIENCE
550+ Years of Collective Bus
Sales Experience Servicing Over
1,500 Customers Annually
NATIONWIDE NETWORK
21 Full-Service Locations
Nationwide Partners with
25+ Top Manufacturers
COMPETITIVE PRICING
Volume Discounts
Fixed Contract Pricing
IN-HOUSE FINANCING
Seamless Transactions
Flexible Solutions
PROPOSAL
IMAGES & FLOORPLAN
SPECIFICATIONS
CHASSIS
2025 Toyota Sienna
Trim: FWD LE ST
Fuel Type: Hybrid/Gas
OEM Suspension
EXTERIOR
Exterior Color: Ice Cap White
Dual Driver and Passenger Side Manual Sliding Doors (ADA Compliant) Passenger Doors Opening Usable Width: 29.3”
Passenger Doors Opening Usable Height: 56.1”
Ground Clearance at Lowest Point: 5.6”
Overall Vehicle Height: 77.75”
Overall Vehicle Length: 203.5”
VMI Patented Wheel Well Covers
INTERIOR
AL TRO Durable Commercial Flooring
Step Flares w/ Non-Slip Micro-Spike Texture
Interior Headroom: 58.75”
Overall Floor Length (with Co-Pilot Seat Removed): 86” Floor Length (Behind Front Seats): 56”
Floor Width (At Mid-Row): 59.75”
Lowered floor, from Toepan to rear axle
PROPOSAL
WHEELCHAIR ACCESSIBILITY
ADA Compliant In-Floor Ramp w/ 2” Side Rails (Yellow Powder Coated) & Transition Plate
EasyGrip Ramp Handle Attached to Ramp
Ramp Width: 30”
Ramp Length: 58.5”
Ramp Angle: 11°
Ramp Weight Capacity: 1,000 lbs.
Wheelchair securements – (1) Set of (4x) Q’Straint Deluxe L-Track Retractable System – Quick Secure (CA4072)
LIGHTING & ELECTRICAL
Interior Overhead, Floor, and Ramp LED Lighting w/ Additional Exterior LED Lighting
AUDIO / VISUAL
OEM Radio
Back-up Alarm
PASSENGER SEATING CAPACITY
4 Ambulatory, 1 Wheelchair (including co-pilot)
6 Ambulatory, 0 Wheelchair (including co-pilot)
SEATING
OEM Driver and Co-Pilot Seats
Fabric: Graphite/Gray
Removable front Copilot Seat
2nd Row Seating: 2-Passenger Mid Row Folding Bench (PP9677-4) 3rd Row Seating: 3-Passenger Bench
Folding Footrest
Manufacturer Warranty Basic ................................... 36 month/36,000 miles Structural (Rust-Through Corrosion) ………………............. 84 months Chassis Warranty Basic ................................... 36 month/36,000 miles Powertrain ........................... 60 month/unlimited mileage Corrosion Perforation ............ 60 month/unlimited mileage All vehicles come with warranty, but Model 1 offers more value without the added cost.
Our coverage and support come with each of our new vehicles — standard.
WE PROCESS ALL THE WARRANTY REGISTRATIONS
We register all of your bus parts for you, no more pesky warranty cards to fill out. This includes all parts, wheelchair lift, electronics, HVAC, etc.
WE HANDLE ALL THE PAPERWORK
We administer and coordinate any warranty work. You make one call to our warranty department, and they take it from there.
REPAIR FACILITIES NEAR YOU
When warranty work is needed, we use service repair facilities near the bus location. We have over 3200 authorized centers and growing. You will never have to drive far to get repairs completed.
NO MORE CLAIM FORMS
Model 1 handles all parts of the claim process, you will have no out of pocket expenses, no reimbursements, and the service facility will be paid directly by us.
LONGER WARRANTY PERIOD
We have negotiated extended periods for the units we sell. Unprecedented 60 month/100,000 mile bumper-to-bumper warranty on the Starcraft bus upfit.
PROPOSAL
Spare
Implementation
Timeline
601 W Hastings St, Suite 300
Vancouver BC V6B 1M8
Canada
Spare Operations Implementation Plan
Transdev
May 28, 2026
SPARE CONFIDENTIAL PROPERTY
Table of Contents
Spare Operations Launch Plan 1
Simplified Gantt Chart 7
SPARE CONFIDENTIAL PROPERTY
Proposal for Spare Operations Implementation 1 Spare Operations Launch Plan
Spare has refined our implementation approach across numerous paratransit launches. For this project, our planning and implementation program for this project would run from August 1, 2026 to October 1, 2026, with go-live on October 1. The timeline is achievable because Spare runs discovery, configuration, and data staging concurrently from the start, and our Launch Manager carries proven SOPs from prior Transdev-operated launches into kickoff rather than building them from scratch.
The phases below show date ranges and concurrent activities. Several phases overlap by design to meet the October 1 launch which is shown visually in the Gantt Chart following the table below.
Project Stage Description Resources
Phase 1: Project
Kickoff
August 1, 2026 (1
hour)
Spare will hold a kick-off meeting with Transdev to
review the following:
• Roles & Responsibilities - All of the key parties in
the project for Spare and Transdev
• Review Spare Platform Suite - Understanding of
what Transdev has purchased and what we are
working towards
• Project Overview - Outlines the phases we are
carrying out to complete the launch of Spare
• Timelines - Giving an understanding of
approximately how long each phase is scheduled for
and the ultimate launch date
• Project Goals - Outlines current pain points,
project goals, and KPIs to track
• Service Discovery - A light discovery session to
get a high-level understanding of the services that
Transdev will be operating with Spare
The outcome of the kickoff will be a consensus on
the project approach and what the Spare team will
be working towards for a successful launch.
Spare:
• Launch Manager
• Account Executive
• Launch Team Manager
(optional)
Transdev:
• Project PM
• Dispatch Supervisor
• Reservations
Supervisor
• Executive Sponsor (if
applicable)
Phase 2:
Requirements
Gathering
August 1 - August
21, 2026
This phase is to collect information around how the
different departments and service are running today.
In this phase we collect information regarding:
Service Parameters and Settings
• Service area boundaries (polygons)
Spare:
• Launch Manager
• Launch Team Manager
(optional)
Transdev:
SPARE CONFIDENTIAL PROPERTY
Proposal for Spare Operations Implementation 2 (Concurrent with
Phases 3 and 4)
• Operating hours and days
• Fare structures and rules
• Accepted payment methods
• Travel rules (e.g., transfer policies, maximum ride
times, wait times)
• Rider eligibility requirements
• Service types (e.g., fixed-route, on-demand,
paratransit, NEMT)
Reservations Processes
• Reservation responsibilities (who books, how, and
when)
• Standard Operating Procedures for reservations
• Booking channels (app, web, phone, etc.)
• Cancellation and no-show policies
• Advanced booking vs. real-time request handling
Dispatch Processes
• Dispatch responsibilities and handoff points
• Standard Operating Procedures for dispatching
• Run/Duty creation and scheduling
• Monitoring and managing trips in real-time
• Communication protocols with drivers and riders
Driver Processes
• Driver check-in/pull-out processes
• Communication methods
• Rider onboarding processes
• Payment collection
• Cancellation / no-show processes
• Breaks
The goal of this phase is for Spare to have a full
understanding of the operation we are migrating into
Spare Operations.
• Project PM
• Dispatch Supervisor
• Reservations
Supervisor
Phase 3: System
Configuration
August 8 - August
31, 2026
(Concurrent with
Phases 2 and 4)
In the system configuration stage, Spare will
configure the organization settings and service
settings:
Organization Settings
• Time rules
• Fare rules
• Custom fields (for riders, vehicles, trips, etc.)
Spare:
• Launch Manager
• Launch Team Manager
(optional)
Transdev:
• Project PM
• Spare Admin
SPARE CONFIDENTIAL PROPERTY
Proposal for Spare Operations Implementation 3 • Fleet setup and break policies
• Vehicle types (capacity, accessibility features)
• Notifications (trip reminders, cancellations, delays, custom messages)
• Role and permission settings (staff access levels,
admin configurations)
Service Settings
• Service zone setup
• Rider types and eligibility rules
• Available payment methods
• Boarding time configurations
• Pickup window rules
• Advanced booking windows
• Booking channels
The goal at the end of this phase is to have Spare
Operations ready for user acceptance testing.
Phase 4: Data
Staging and Field
Mapping
August 8 - August
31, 2026
(Concurrent with
Phases 2 and 3)
This phase focuses on understanding what data
needs to be migrated into Spare by gathering
samples of the existing data and conducting a field
mapping exercise to ensure Spare can
accommodate the necessary fields. Once the
mapping is confirmed, we populate the Spare import
file with sample data to validate the format and
prepare for a smooth data migration into production.
Data staging and field mapping focuses on:
• Rider profile data
• Vehicle data
• Driver data
• Subscription/recurring trip data
The goal of this phase is to be prepared for a
smooth data migration into production prior to the
booking launch.
Spare:
• Launch Manager
• Launch Team Manager
(optional)
Transdev:
• Project PM
• Data Analyst / existing
scheduling system
expert
Phase 5: User
Acceptance
Testing
August 31 -
September 15,
2026
The User Acceptance Testing (UAT) phase ensures
that Spare's platform is ready for live operations by
validating its functionality with real users. Key staff, including reservationists, dispatchers, drivers, and
administrators, actively participate to confirm the
Spare:
• Launch Manager
• Launch Team Manager
(optional)
Transdev:
SPARE CONFIDENTIAL PROPERTY
Proposal for Spare Operations Implementation 4 platform meets operational needs. This phase
includes:
• Users complete a series of test scripts to simulate
real-world workflows and validate platform behavior
• Feedback and revisions where users provide input
on what needs to be adjusted, and the team makes
necessary changes
• Final UAT on revisions to ensure the updates
resolve initial issues and function as expected
• Driver dry runs to confirm drivers are comfortable
using the app and that operational workflows are
sound before launch
The goal of this phase is to get approval of the Spare
set up to start migrating the settings into the Spare
production environment.
• Project PM
• Dispatch Supervisor
• Reservations
Supervisor
• Operator Supervisor
• Dispatch/reservations
lead (Technology
Champion)
• Select drivers for dry
run(s)
Phase 6: Training
September 15 -
September 25,
2026
Each session is 1-3
hours depending
on role
(Concurrent with
Phases 7, 8, and 9)
The Training Phase focuses on equipping all user
personas with the knowledge and skills needed to
effectively use Spare to operate their service. This
includes:
• Reservations Training - Teaching staff how to
book, modify, and cancel trips using Spare
• Dispatch Training - Training on managing daily
operations, duty/vehicle assignments, and real-time
adjustments
• Admin/Reporting Training - Covering platform
oversight, reporting tools, and user management
• Driver Training - Educating drivers on using the
driver app, handling trips, and best practices for on-
the-road scenarios
Outside of the formal training, users are expected to
practice using Spare by performing tests in the
Spare Test organization.
The goal of this phase is to ensure that all users are
prepared and confident in using Spare for launch
day.
Spare:
• Launch Manager
• Launch Team Manager
(optional)
Transdev:
• Project PM
• Dispatchers
• Reservationists
• Admins
• Drivers
SPARE CONFIDENTIAL PROPERTY
Proposal for Spare Operations Implementation 5 Phase 7:
Marketing and
Communications
September 10 -
September 25,
2026
(Concurrent with
Phases 6, 8, and 9)
In the Marketing and Communications phase,
Transdev is responsible for developing and
executing a strategy to introduce the new platform
to their rider base. Spare supports this effort by
sharing best practices and lessons learned from
previous launches, including:
• Defining a marketing strategy focused on either
ridership awareness or ridership growth
• Selecting effective marketing channels such as
social media, flyers, websites, TV, and radio
• Preparing prelaunch content to support the app
release and generate early interest
This collaborative approach ensures a smooth
rollout and strong adoption from the rider
community.
Spare:
• Launch Manager
• Spare Marketing
Specialist
Transdev:
• Project PM
• Marketing
Manager/Specialist
Phase 8: Data
Migration
September 15 -
September 25,
2026
(Concurrent with
Phases 6, 7, and 9)
This phase involves executing the migration plan
developed during the Data Staging and Field
Mapping phase. The following actions take place in
the Spare production environment:
• Migration of Test Organization settings to
Production
• Importing riders
• Importing drivers
• Importing vehicles
• Importing subscription/recurring trips (if
applicable)
The goal of this phase is to ensure all required data
is in the production environment, prior to launch.
Spare:
• Launch Manager
• Launch Team Manager
(optional)
Transdev:
• Project PM
• Data Analyst / existing
scheduling system
expert
Phase 9: Pre-
Launch
September 25 -
September 30,
2026
(Concurrent with
Phases 6, 7, and 8)
The Pre-Launch phase is focused on finalizing all
operational preparations to ensure a smooth
transition to Spare on launch day. This phase is
critical for aligning all stakeholders and confirming
that platform, people, and processes are ready:
• Trip Booking Transition Plan - Define the timeline
and process for utilizing your legacy system and
Spare leading up to the launch
Spare:
• Launch Manager
• Launch Team Manager
(optional)
Transdev:
• Project PM
• Dispatch Supervisor
• Reservations
Supervisor
SPARE CONFIDENTIAL PROPERTY
Proposal for Spare Operations Implementation 6 • Dispatch/Scheduler Transition Plan - Outline how
dispatching responsibilities will shift to Spare
• Operations Transition - Coordinate the
changeover for all day-to-day operations, including
driver routines, service oversight, and support
procedures
• Rider App Transition - Communicate and facilitate
the shift for riders to begin using the Spare Rider
App, including guidance and support resources
• Tablet/Mount Installation Plan (if applicable) -
Ensure all driver hardware is installed, tested, and
ready for launch
The goal of this phase is to educate and prepare
staff to ensure a smooth launch.
• Operator Supervisor
• Executive Sponsor
Phase 10: Go-Live
October 1, 2026
The Go-Live phase marks the official transition to
Spare and the beginning of live operations on the
platform. This phase includes two key milestones:
• Booking Launch / Eligibility Launch - If the service
supports advanced booking, this is when the
eligibility team will start using Spare to process new
applications. The reservations team will also begin
entering and managing future trips in Spare ahead of
the live service start date.
• Launch Day - All users, including reservationists,
dispatchers, admins, and drivers, begin using Spare
to carry out their daily operations, marking the full
transition from the legacy system to Spare.
The Spare team closely supports this phase to
ensure a smooth and successful start.
Spare:
• Launch Manager
• Spare Support Team
• Launch Team Manager
(optional)
Transdev:
• All users and project
staff
Phase 11: Post-
Launch Support
and Optimization
October 2, 2026
onward (through
end of contract)
In the Post-Launch phase, Spare's Launch team
transitions Transdev to our Customer Success team,
who will provide ongoing support and partnership.
During this phase, the Customer Success team will:
• Make any necessary tweaks and changes to
optimize the service
• Track KPIs to ensure the service is aligned with
targets and goals
Spare:
• Launch Manager
• Spare Support Team
• Customer Success
Team
• Launch Team Manager
(optional)
Transdev:
SPARE CONFIDENTIAL PROPERTY
Proposal for Spare Operations Implementation 7 • Support inquiries and provide guidance on Spare
functionality
• Explore expansion opportunities and
improvements that will benefit Transdev's
operations
This phase is focused on long-term success and
ensuring Transdev gets continued value from Spare.
• All users and project
staff
Simplified Gantt Chart
Financial Statements
Transdev North America, Inc.
and Subsidiaries
Independent Auditor’s Report, and Consolidated
Financial Statements
December 31, 2024 and 2023
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Contents
December 31, 2024 and 2023
Independent Auditor's Report ....................................................................................................................... 1 Financial Statements
Consolidated Statements of Financial Position ........................................................................................... 3 Consolidated Statements of Income (Loss) and Comprehensive Income (Loss) ....................................... 5 Consolidated Statements of Changes in Equity .......................................................................................... 6 Consolidated Statements of Cash Flows .................................................................................................... 7 Notes to Consolidated Financial Statements .............................................................................................. 8
CONFIDENTIAL
Forvis Mazars, LLP is an independent member of Forvis Mazars Global Limited Independent Auditor’s Report
Board of Directors and Shareholder
Transdev North America, Inc. and Subsidiaries
Lombard, IL, USA
Opinion
We have audited the financial statements of Transdev North America, Inc. and Subsidiaries (the “Company”), which comprise the consolidated statement of financial position as of December 31, 2024, and the related consolidated statement of income (loss) and comprehensive income (loss), consolidated statement of changes in equity, and consolidated statement of cash flows for the year then ended, and the related notes to the consolidated financial statements.
In our opinion, the accompanying consolidated financial statements present fairly, in all material respects, the financial position of the Company as of December 31, 2024, and the results of their operations and their cash flows for the year then ended in accordance with International Financial Reporting Standards (“IFRS”).
Basis for Opinion
We conducted our audit in accordance with auditing standards generally accepted in the United States of America (GAAS). Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the Company and to meet our other ethical responsibilities in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
Prior Year Audited by Other Auditors
The 2023 consolidated financial statements were audited by other auditors, and their report thereon, dated May 24, 2024, expressed an unmodified opinion.
Responsibilities of Management for the Consolidated Financial Statements Management is responsible for the preparation and fair presentation of the consolidated financial statements in accordance with IFRS, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of the consolidated financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the consolidated financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company’s ability to continue as a going concern within one year after the date that the consolidated financial statements are available to be issued.
CONFIDENTIAL
Board of Directors and Shareholder
Transdev North America, Inc. and Subsidiaries
2 Auditor’s Responsibilities for the Audit of the consolidated Financial Statements Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an Auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements, including omissions, are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the consolidated financial statements.
In performing an audit in accordance with GAAS, we:
Exercise professional judgment and maintain professional skepticism throughout the audit. Identify and assess the risks of material misstatement of the consolidated financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks.
Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the consolidated financial statements.
Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Company’s internal control. Accordingly, no such opinion is expressed. Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the consolidated financial statements.
Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the Company’s ability to continue as a going concern for a reasonable period of time.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control related matters that we identified during the audit.
Chicago, Illinois
June 19, 2025
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Consolidated Statements of Financial Position
December 31, 2024 and 2023
See Notes to Consolidated Financial Statements 3
2024 2023
ASSETS
Current Assets
Cash and cash equivalents (Note 7) 50,525$ 74,904$
Restricted cash (Note 3) 394 394
Accounts receivable, net of allowance for doubtful
accounts of $2,024 and $13,296 in
2024 and 2023, respectively (Note 8) 532,919 531,014
Inventories 33,937 29,139
Current operating financial assets (Note 13) 1,978 -
Prepaid expenses and other current assets (Note 9) 64,946 49,917 Total Current Assets 684,699 685,368
Property and equipment, net (Note 11) 127,768 147,401
Right of use assets (Note 12) 70,135 68,832
Non-current operating financial assets (Note 13) 10,250 - Other non-current assets (Note 10) 42,240 35,649
Goodwill (Note 14) 455,448 455,448
Intangible assets, net (Note 14) 61,513 74,136
Deferred tax assets (Note 15) 51,419 53,311
Total Assets 1,503,472$ 1,520,145$
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Consolidated Statements of Financial Position
December 31, 2024 and 2023 (Continued)
See Notes to Consolidated Financial Statements 4
2024 2023
Liabilities and Equity
Current Liabilities
Accounts payable 104,010$ 125,852$
Accrued payroll and related expenses (Note 17) 120,972 138,167 Short-term debt (Notes 20) 51,628 24,027
Other accrued expenses and liabilities (Note 18) 119,834 69,083 Current lease liability (Note 12) 21,458 22,137
Current provision of rolling stock under concession
arrangements (Note 13) 1,978 -
Current claims and other provisions (Note 19) 209,845 243,560 Current due to affiliates (Note 16) 32,079 55,000
Total Current Liabilities 661,804 677,826
Non-current lease liability (Note 12) 54,732 53,451
Non-current provision of rolling stock under concession arrangements (Note 13) 10,250 -
Long-term debt (Note 20) 329,374 379,029
Non-current claims and other provisions (Note 19) 322,101 300,278 Employee pension liabilities (Note 22) 3,888 8,698
Deferred tax liabilities (Note 15) 51,418 53,311
Other non-current liabilities (Note 21) 30,814 28,689 Non-current due to affiliates (Note 16) 409 3,102
Total Liabilities 1,464,790 1,504,384
Equity
Common stock, $1 par value, 5,000 shares
authorized, 1,000 shares issued and outstanding 1 1
Additional paid-in capital 98,000 98,000
Accumulated deficit (55,549) (72,462)
Accumulated other comprehensive loss (3,770) (9,778)
Total equity attributable to shareholder 38,682 15,761 Non-controlling interests - -
Total Equity 38,682 15,761
Total Liabilities and Equity 1,503,472$ 1,520,145$ ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Consolidated Statements of Income (Loss) and Comprehensive Income (Loss) Years Ended December 31, 2024 and 2023
See Notes to Consolidated Financial Statements 5
2024 2023
Revenues 3,065,800$ 2,635,251$
Operating Expenses
Cost of operations 2,700,524 2,310,568
Selling, general, and administrative expenses 245,175 219,765 Depreciation and amortization (Note 24) 73,818 62,548 Change in provisions (36,814) 832
Other operating income and expense (1,506) (876)
Total Operating Expenses 2,981,197 2,592,837
Operating Income 84,603 42,414
Other Expense
Interest expense (Note 25) 22,708 22,869
Financial expense (Note 26) 35,048 26,017
Other, net (Note 27) 5,858 2,824
Net Income (loss) Before Taxes 20,989 (9,296)
Income Tax (Note 15) 4,076 8,588
Net Iincome (Loss) for the Year 16,913$ (17,884)$
Other Comprehensive Income (Loss):
Actuarial changes in employee benefit
obligations, net of tax 3,080$ 1,776$
Fair value adjustment on hedge derivatives
and assets measured at fair value 4,258 (4,044)
Total Comprehensive Income (Loss) 24,251$ (20,152)$
Net Income (Loss) Attributable to
Shareholder 16,913$ (17,933)$
Non-controlling interests - 49
16,913$ (17,884)$
Total Comprehensive Income (Loss) Attributable to
Shareholder 24,251$ (20,201)$
Non-controlling interests - 49
24,251$ (20,152)$
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Consolidated Statements of Changes in Equity
Years Ended December 31, 2024 and 2023
See Notes to Consolidated Financial Statements 6
Accumulated Total
Additional Other Equity
Common Paid-In Accumulated Comprehensive Attributable to Non-controlling Total Stock Capital Deficit Loss Shareholder Interests Equity Balance at December 31, 2022 1$ 98,000$ (29,627)$ (7,510)$ 60,864$ 467$ 61,331$ Net income - - (17,933) - (17,933) 49 (17,884) Other comprehensive income - - - 1,776 1,776 - 1,776 Fair value adjustment on hedge derivatives
and assets measured at fair value - - - (4,044) (4,044) - (4,044) Distribution in kind - - (24,902) - (24,902) - (24,902) Dividends paid - - - - - (516) (516)
Balance at December 31, 2023 1 98,000 (72,462) (9,778) 15,761 - 15,761 Net income - - 16,913 - 16,913 - 16,913
Other comprehensive income - - - 3,080 3,080 - 3,080 Fair value adjustment on hedge derivatives
and assets measured at fair value - - - 4,258 4,258 - 4,258 Foreign exchange differences - - - (1,330) (1,330) (1,330) Balance at December 31, 2024 1$ 98,000$ (55,549)$ (3,770)$ 38,682$ -$ 38,682 $ Attributable to Shareholder
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Consolidated Statements of Cash Flows
Years Ended December 31, 2024 and 2023
2024 2023
Operating Activities
Net income (loss) 16,913$ (17,884)$
Adjustments to reconcile net income (loss) to net cash
provided by operating activities:
Depreciation and amortization 73,818 62,548
Change in provisions and undiscounting (10,767) 20,804 Net Interest expense 22,708 21,394
Deferred income taxes (1) 5,668
(Gains) losses on disposals, including reversal of provisions (252) 394 Distribution in kind - (16,742)
Net contribution to pension plan 476 (3,000)
Restructuring provisions (1,506) (876)
Amortization of financing costs 351 254
Changes in operating assets and liabilities, net of
effects of acquired businesses:
Accounts receivable (1,905) (34,815)
Inventories (4,798) (2,091)
Prepaid expenses and other current assets (15,029) 7,812 Accounts payable (1,613) 24,327
Accrued payroll and related expenses (17,195) 13,929 Other accrued expenses and liabilities 30,522 19,893 Other assets and other liabilities (4,493) (347)
Net Cash Provided by Operating Activities 87,229 101,268 Investing Activities
Acquisition of businesses, net of cash acquired - (466,118) Purchases of property and equipment (55,737) (49,622)
Proceeds from sales of property and equipment 14,839 3,745 Additions of goodwill and intangible assets - (130)
Change in restricted cash -
Net Cash used in Investing Activities (40,898) (512,125) Financing Activities
Proceeds from debt borrowing - 400,000
Change in other amounts due to/from affiliates, net (3,342) 46,613 Repayments on debt obligations (45,000) -
Interest paid (20,735) (18,724)
Bank short term financing (2,227) 2,263
Payments under capital lease obligations (31,958) (22,403) Non-current borrowings from capital leases 32,582 15,426 Financing cost associated with debt borrowing (30) (1,530) Dividends paid to parent company - (8,716)
Dividends paid to non-controlling interests - (516)
Net Cash (used in) Provided by Financing Activities (70,710) 412,413 Net (Decrease) Increase in Cash and Cash Equivalents (24,379) 1,556 Cash and Cash Equivalents at Beginning of Year 74,904 73,348 Cash and Cash Equivalents at End of Year 50,525$ 74,904$ Supplemental Schedule of Cash Flow Information
Income taxes paid, including payments to affiliates 1,622$ 824$ ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
8 Note 1. Organization of Business
Transdev North America, Inc. and Subsidiaries (the “Company” or “TDNA”) is incorporated in the United States of America, and is headquartered at 720 E. Butterfield Road, Suite 300, Lombard, Illinois, 60148. The Company is the largest private provider of multiple modes of transport in North America, providing primarily bus, rail, paratransit, and autonomous vehicle services. The Company manages over 300 transportation contracts for cities, universities, transit authorities, and airports, providing safe, reliable, and innovative mobility solutions across the United States, Canada and Puerto Rico.
The Company is owned by Transdev Group, which is a public limited company incorporated in France. As of December 31, 2024, Caisse des Dépôts holds a 66% stake in Transdev Group with the remaining 34% of the capital held by Rethmann France. Transdev Group operates in 19 countries, and has over 94 thousand employees.
In October 2024, Caisse des Dépôts stated its intention to become a long-term minority shareholder. On December 16, 2024, following a competitive process, Caisse des Dépôts announced that it had accepted Rethmann Group’s offer and entered into exclusive negotiations with a view to Rethmann France acquiring an additional 32% stake in Transdev Group, making it the majority shareholder with 66% of the capital, which Caisse des Dépôts would retain the remaining 34% stake. Final acceptance of the offer submitted by the Rethmann Group would take place at the end of the information-consultation procedure with the Transdev Group’s employee representative bodies. The transaction could be completed in 2025, subject to obtaining the necessary administrative and regulatory approvals.
The Company’s reporting and functional currency is the U.S. dollar. The Company prepares its consolidated financial statements on a historical cost basis, unless otherwise stated, where certain accounts are recognized at fair value.
Note 2. Basis of Presentation
The accompanying consolidated financial statements include the Company’s wholly-owned and majority- owned subsidiaries. The audited financial information included herein has been prepared in accordance with International Financial Reporting Standards (“IFRS”), as published by the International Accounting Standards Board (“IASB”).
IFRS includes International Accounting Standards (“IAS”) and the related interpretations issued by the Standards Interpretation Committee and the International Financial Reporting Interpretations Committee. The Company consolidates all subsidiaries in which it has a controlling financial interest, which is represented by a majority of the voting equity interest. Non-controlling interests are presented separately in the accompanying consolidated financial statements contained herein. All intercompany transactions and balances have been eliminated in consolidation in the periods presented.
On March 6, 2023, the Company completed the acquisition of 100% of the capital stock of First Transit Inc. (“First Transit”), that was announced on October 26, 2022. This acquisition bolsters the Company’s innovative offer of sustainable mobility and public transportation in the United States and Canada. As of the acquisition date, First Transit is fully consolidated in the Company’s consolidated financial statements. This acquisition was mainly financed with a five-year syndicated loan for which part of the interest expense is indexed on sustainable development targets (see Note 4).
The Company is organized into the following divisions: (1) Business to Government (“B2G”), (2) Transdev Alternative Services (“TAS”), and (3) Other.
The Company’s B2G division consists of its wholly-owned subsidiaries Transdev Services, Inc. (“TS”); First Transit, Inc. ("First Transit"), Intelliride, LLC; Transdev Fleet Services, Inc. and First Transit Canada, Inc. On December 31, 2023, the Company divested Transdev Services (Canada), Inc. (see Note 5). TS and First Transit provide transit ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
9 and paratransit services (including buses, vans, mini-coaches, motor coaches, and sedans) in principal locations such as Long Island (Nassau County); California; Arizona; Maryland; Georgia; Nevada; and British Colombia. TS also provides school bus management services in the city of Boston. Customers are primarily governmental transit agencies within a county and adjacent services in non-emergency medical transportation brokerage, call center support, eligibility verification, and consulting may be provided. This division also provides shuttle services to universities, airports, and hospitals. A smaller portion of the division includes Transdev Rail, Inc. which primarily provide construction and maintenance contracts for rail equipment as well as operates light commuter rail services in select locations.
TAS consists of the Company’s autonomous vehicle division. The TAS division operates in multiple locations and provides various support services to companies in the autonomous vehicle industry.
Other is comprised of the Company’s discontinued operations.
Accounting Standards, Standard Amendments, and Interpretations Applicable from Fiscal Year 2024
The accounting policies and valuation rules applied by the Company in preparing the consolidated financial statements as of December 31, 2024, are identical to those the Company used as of December 31, 2023, with the exception of the new standards, amendments to standards and interpretations of mandatory application as of January 1, 2024, which are described below:
Amendments to IAS 1, Classification of Liabilities as Current or Noncurrent – Classification of liabilities with covenants as Current or Noncurrent;
Amendments to IFRS 16, Lease Liability in a Sale and Leaseback; Amendments to IAS 7 and IFRS 7, Supplier Finance Arrangements.
The application of these three amendments had no impacts on the Company’s consolidated financial statements.
Main Texts Applicable after December 31, 2024 and Not Adopted Early by the Company The main texts which became mandatory after December 31, 2024 are listed below:
IFRS 18, Presentation and Disclosure in Financial Statements; Amendments to IAS 21, Lack of Exchangeability;
Amendments to IFRS 9 and IFRS 7, Classification and Measurement of Financial Instruments.
The Company is currently assessing the impacts of the initial application of these texts.
Note 3. Material Accounting Policy Information and Selected Information Cash and Cash Equivalents
Cash and cash equivalents are defined as cash and liquid investments with maturities of three months or less when purchased that are readily convertible into cash. Book overdrafts are presented in current liabilities on the accompanying Consolidated Statements of Financial Position.
Restricted Cash
Restricted cash balances are cash balances established for the purposes of the Company’s insurance programs.
The balance was $0.4 million at December 31, 2024 and 2023, and is presented as a current asset on the accompanying Consolidated Statements of Financial Position. ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
10 Revenue Recognition and Accounts Receivable
IFRS 15, Revenue from Contracts with Customers, establishes a five-step model for determining when to recognize revenue and in what amount. The general principle of the model is that all companies should recognize revenue on the basis of the transfer of goods or services promised to customers for an amount that corresponds to the consideration they expect to receive in exchange for such goods or services.
The Company’s primary business is the public transportation of passengers. It consists of managing a portfolio of multi-year contracts that can have very different characteristics (modes of transport, start date, term, margin profiles and compensation terms, indexation formulas, etc.). In the vast majority of cases:
a performance-related system of bonuses/penalties is applied to these contracts. They are calculated and settled over periods ranging from month to year and are approved by the governance bodies of the mobility authorities;
contracts usually have revenue per unit of work (miles, hours, etc.) that is stable over time, assuming constant modes of transportation.
The customers are the public transit authorities (generally local authorities).
Under most contracts, the promise to the customer is to provide an overall service, i.e., a public transportation network management service, in which the identified services are interdependent components. The main costs for providing this overall service are primarily for rolling stock (depreciation, leasing, financing), payroll, fuel and maintenance.
The public transit authorities simultaneously receive and consume the benefits of the service as it is provided by the Company. They verify the public service provided as it is delivered (i.e., as miles/hours/services progress).
Principal/agent analysis
If a third party is involved in providing goods or services to a customer, an entity must determine whether it is acting on its own behalf (principal: revenue recognized is the gross amount to which the entity expects to be entitled in consideration for the specified good or service provided) or as an agent (agent: revenue recognized is a net amount equal to the commission to which the entity expects to be entitled in consideration for the arrangements made for the specified good or service).
The key principle is that an entity acts as a principal if it obtains control of the promised good or service before it is transferred to the customer.
The standard provides three indicators that an entity acts as a principal:
the entity has primary responsibility for fulfilling the promise, including responsibility for the acceptability of the good or service and its compliance with the customer's specifications; the entity bears the risks associated with holding inventory, either before the goods are transferred to the customer or in the event of a return;
the entity has the discretion to set the prices the customer pays for the goods or services.
Contract costs
IFRS 15 requires capitalizing the costs of obtaining contracts if both of the following conditions are met:
these costs must be incremental, i.e., costs the entity would not have incurred if it had not acquired the contract; and
the entity expects to recover them, i.e., the entity expects that the profit generated by the contract will be sufficient to absorb these costs.
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
11 The standard also addresses costs incurred to perform a contract. If the accounting treatment for such costs is not prescribed by another IFRS standard and they come within the scope of IFRS 15, the costs of performing the contract must be recognized as an asset only if they meet the following three conditions:
they relate directly to the contract;
they generate or enhance the resources of the entity that it will use to satisfy its performance obligations in the future; and
the entity expects to recover them.
Capitalized costs incurred in the performance of a contract include certain costs sustained after the Company has been selected as a preferred bidder (restricted bid procedure) in call for bids processes but before it receives any payment from customers.
Capitalized contract costs are amortized over the term of the contracts. Impairment is recognized if their carrying amount, less amortization, exceeds the economic benefits expected from the contract.
The Company’s accounts receivable is generated from services provided to a wide variety of customers (see Note 1). Consequently, the Company believes that there is no significant concentration of credit risk.
The Company performed work under construction contracts during 2024 and 2023. These construction contracts are executed by Transdev Rail, Inc. The Company reports the construction contracts using the percentage of completion method. In accordance with this method, the Company records revenue based on the proportion of the cost incurred. Construction revenues for the years ended December 31, 2024 and 2023 are 1% of consolidated revenues.
Allowance for Doubtful Accounts
The Company grants credit to the majority of its customers, and collateral is generally not required. The Company maintains an allowance for doubtful accounts to reduce accounts receivable to an amount the Company believes is collectable. The estimated allowances are based on historical collection experience, a review of the current status of the existing receivables and contracts, and the future economic conditions. Customer accounts are written-off against the allowance for doubtful accounts when an account is determined to be uncollectible.
Inventories
Inventories are comprised of supply parts and are stated at the lower of cost or net realizable value. Cost is determined using the average cost method.
Property and Equipment
Property and equipment are carried at cost, less accumulated depreciation, and any accumulated impairment losses, in accordance with IAS 16, Property, Plant, and Equipment. Depreciation is recognized on the straight- line basis over the estimated useful lives of the respective component (or the shorter of the estimated useful lives or the lease terms, where applicable, for leasehold improvements), which are as follows:
Estimated Useful Lives
Buildings and leasehold improvements 20 years
Vehicles 3 - 12 years
Computers 3 years
Furniture and fixtures 5 - 10 years
The estimated useful lives are reviewed periodically and may be adjusted prospectively if appropriate. ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
12 An item of property, plant and equipment is derecognized upon disposal or when no future economic benefits are expected from its use or disposal. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included in the income statement when the asset is derecognized.
Leases
Leases, as defined by IFRS 16, Leases, are recorded in the consolidated statement of financial position, which leads to the recognition of an asset representing a right-of-use of the asset leased during the lease term of the contract and to the recognition of a liability related to the payment obligation.
Lease term
The term of the lease is determined for each contract considering the useful life of leasehold improvements that are not removable from the leased property. The lease term corresponds mainly to the non-cancellable period of each contract, except in cases where the Company is reasonably certain of exercising the renewal options contractually foreseen.
Lease liabilities
At commencement date, the lease liability is measured at the present value of the lease payments for the term of the lease, which include:
fixed payments;
variable lease payments that depend on an index or a rate, initially measured using the index or the rate in force at the commencement date of the lease;
amounts expected to be payable by the lessee under residual value guarantees; payments of penalties for terminating the lease, if the lease term reflects the lessee exercising an option to terminate the lease.
Non-lease components, such as management fees, taxes or the provision of a maintenance service are not included.
The discount rates used consist of either the implicit interest rate in the lease or the incremental borrowing rate, which is determined by currency and maturity.
Right-of-use assets
At commencement date, the right-of-use asset is measured at cost and comprises:
the amount of the initial measurement of the lease liability, to which is added, if applicable, any lease payments made at or before the commencement date, less any lease incentives received from the lessor; where relevant, any initial direct costs incurred by the lessee for the conclusion of the contract. These are incremental costs which would not have been incurred if the contract had not been concluded; estimated costs for restoration and dismantling of the leased asset according to the terms of the contract.
The right-of-use asset is depreciated over the lease term. The carrying amount of the asset is reviewed at year-end to determine if there is any indication that it has become impaired.
Exemption
For short-term leases and leases for which the underlying asset is of low value, the Company uses the two exemptions permitted by the standard (recognition of full lease expenses in operating result). ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
13 Concessions
The Company has assets that are used in connection with concession or public service management contracts granted by public sector customers (“concession grantors”). The characteristics of these contracts generally provide, directly or indirectly, for the concession grantor’s involvement in determining the service and compensation, as well as the return of assets necessary to perform the service at the end of the contract.
IFRIC Interpretation 12, Service Concession Arrangements, (“IFRIC 12”) is applicable to concession arrangements comprising a public service obligation and meeting the following criteria:
The concession grantor controls or regulates the services to be provided by the operator using the asset, the infrastructure, the beneficiaries of the services and prices applied; and the concession grantor controls the residual economic value of the infrastructure at the end of the arrangement.
Pursuant to IFRIC 12, such infrastructures are not recognized as property, plant and equipment by the operator, but as financial assets (“financial asset model”) and/or intangible assets (“intangible asset model”), depending on the compensation paid by the concession grantor.
Financial asset model
The financial asset model applies if the operator has an unconditional right to receive cash or another financial asset from the concession grantor, in compensation for concession services. The operator has such an unconditional right if the concession grantor contractually guarantees payment of amounts specified or determined in the contract, or of any shortfall (i.e., the difference between amounts received from users of the public service and amounts determined in the contract).
Financial assets resulting from the application of IFRIC 12 are reported in the consolidated statement of financial position under "Operating financial assets"; the short-term portion (less than one year) is recorded under "Current operating financial assets", while the long-term portion (more than one year) is reported under "Non-current financial assets". They are recognized at amortized cost unless otherwise indicated in the contract. The effective interest rate retained is equal to the weighted average cost of capital of the entities carrying the relevant assets. In accordance with IFRS 9 “Financial Instruments,” these assets are impaired using a model based on expected credit losses.
Cash flows associated with these operating financial assets are included in the consolidated statement of cash flows in net cash used in investing activities.
Revenue associated with this financial model includes remuneration of the operating financial asset accounted for in Revenue from operating financial assets (excluding principal payments) and the compensation for the service.
Intangible asset model
The intangible asset model applies if the operator is paid by the users or if the concession grantor makes no contractual guarantee concerning the recoverable amount. The intangible asset corresponds to the right granted by the concession grantor to the operator to charge users of service as compensation for the concession services.
Intangible assets resulting from the application of IFRIC 12 are recognized in the consolidated statement of financial position under a separate heading entitled “Concession intangible assets”. These assets are generally amortized on a straight-line basis over the term of the contract.
Outgoing cash flows, i.e., disbursements, associated with infrastructure construction pursuant to “intangible asset model” concession arrangements are presented in the consolidated statement of cash flows in net cash from investing activities, and incoming cash flows are presented in net cash generated by the activity. ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
14 Under the intangible asset model, revenue corresponds to compensation for the service.
The Company currently does not have any concession intangible assets.
Mixed or bifurcation model
The choice of the financial asset or intangible asset model depends on the existence of payment guarantees made by the concession grantor. However, certain contracts may include a payment commitment on the part of the concession grantor covering only part of the investment, with the balance covered by fees charged to users. In such a case, the investment amount guaranteed by the concession grantor is recognized using the financial asset model and the balance is recognized using the intangible asset model.
Investment grants related to concession arrangements
Investment grants received in connection with concession arrangements are generally vested and are not repayable. In accordance with the option offered by IAS 20, these grants are presented as a deduction from intangible assets or financial assets:
under the intangible asset model, investment grants reduce amortization expense for intangible assets within the scope of the concession over the residual term of the arrangement, under the financial asset model, investment grants are treated as a method of repaying the operating financial asset.
Assets provided to the Company by concession grantors or by a third party in consideration for the payment of lease installments
Under certain concession arrangements, the transport equipment is provided to the Company in consideration for the payment of lease installments, in which case the legal form of the arrangement is a lease contract. At the same time, the concession grantor grants the Company unconditional reimbursement rights in an equivalent amount.
As the grantor controls the use of this equipment, the Company cannot apply IFRS 16 to these contracts. Therefore, these future lease payments are treated as the acquisition cost of the concession contract, and their present value is reported in the "Provision of transport equipment under concession arrangements - non-current part" and "Provision of transport equipment under concession arrangements - current part" items of the consolidated statement of financial position. These liabilities are not included in the definition of the Company's "Net Financial Debt" indicator because they are future lease payments for rolling stock that are fully secured by revenues, of the same amount and with the same maturities, to be paid by the concession grantor.
The reimbursement rights, of an equivalent amount, are classified as "Non-current operating financial assets" and "Current operating financial assets" in the consolidated statement of financial position.
These transactions have no impact on the consolidated statement of cash flows throughout the term of the contract.
In the consolidated income statement, the fees paid by the Company for the provision of transport equipment are fully offset by the amounts received from the grantor.
Goodwill
Goodwill is initially measured as the excess of the cost of an acquired business over the fair value of the identifiable net assets acquired. Goodwill is not amortized but is subject to an annual impairment test, or more frequently if an impairment indicator is identified.
Intangible Assets
Intangible assets are identifiable non-monetary assets without physical substance. They include mainly access fees paid to local authorities under contracts, the value of contracts and portfolios acquired in connection with business ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
15 combinations, assets constituted under agreements (IFRIC 12), trademarks, patents, licenses, software, and operating rights.
Intangible assets (excluding goodwill) are recognized at historical acquisition cost, less accumulated depreciation and any accumulated impairment losses.
If intangible assets have a definite useful life, they are amortized on a straight-line basis over their useful life, unless another systematic amortization basis better reflects the rate of consumption of the asset. Useful lives are as follows:
Range of useful lives in number of years (1)
Contractual rights contract-based
Portfolios based on a period covering 80% of discounted flows Purchased software 3 to 10 years
(1) The range of useful lives is due to the diversity of relevant assets.
Impairment of Non-Financial Assets
Goodwill is systematically tested for impairment each fiscal year and whenever there is an indication that the cash generating unit (“CGU”) may have lost value. Changes in the overall economic and financial context, deterioration in local economic environments and changes in economic performances are among the external indicators of impairment that the Company analyzes to determine if impairment tests should be conducted more frequently.
The need to recognize an impairment loss is determined by comparing the carrying amount of a CGU and its recoverable amount. If the recoverable amount calculated is less than the net carrying amount of an asset or group of assets, an impairment loss is recognized.
Cash generating units (“CGU”)
A cash generating unit (CGU) is the smallest identifiable group of assets that generates cash inflows that are largely independent of the cash flows generated by other assets or groups of assets. In light of the Company’s business, cash generating units generally coincide with a country.
For the purposes of impairment testing, goodwill is allocated to a CGU when initially recognized. The capital employed used for the impairment test calculation are consistent with the cash flow projections and do not include deferred taxes that are expected to reverse over the term of the projections.
Measuring recoverable amount
The value in use measured by the Company is equal to the present value of future cash flows from CGUs or groups of CGUs, taking into account their residual value, on the basis of the following factors:
Projected cash flows are based on the long-term plan prepared during the second semester and subsequently revised. Cash flow projections reflect changes in volumes, rates, direct costs and investments during the period, established on the basis of, first, contracts or business activities using historical data and, second, expected changes during the period covered by the long-term plan. This plan covers the fiscal year 2025 and the next five years. This period corresponds to the average duration of the Company’s portfolio of long-term contracts and its short-term business activities; Final values are measured on the basis of the present value of projected cash flows for the last year of the long-term plan (2030). These cash flows are estimated for each CGU on the basis of a continuous growth rate that takes factors such as inflation into account; A discount rate (weighted average cost of capital) is determined for each asset and cash generating unit.
This rate corresponds to a risk-free rate, increased by a risk premium weighted on the basis of specific country risks. Therefore, the discount rates estimated by management for each cash generating unit reflect ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
16 current assessments of the market, the time value of money and country risks specific to the CGU only; other risks are included in future cash flows;
Restructuring plans not yet implemented are not included in the cash flow projections used to measure value in use.
The Company did not record any impairments to goodwill or indefinite-live intangibles in 2024 and 2023.
Income Taxes
The Company prepares and files its own consolidated U.S. federal income tax return. The tax rates and tax laws used are those that are enacted or substantively enacted at the reporting date where the Company operates and generates taxable income (loss). Income tax positions are assessed and recorded for all years subject to examination based upon management’s evaluation of the facts, circumstances, and information available at the reporting dates. For those tax positions where it is more likely than not that a tax benefit will be sustained, the Company recorded the largest amount of tax benefit with a greater than 50% likelihood of being realized upon ultimate or effective settlement with a taxing authority that has full knowledge of all relevant information. In the event of a tax position where it would not be more likely than not that a tax benefit would be sustained, no tax benefit would be recognized in the consolidated financial statements. When applicable, associated interest and penalties have been recognized as a component of income tax expense.
Deferred income taxes are recorded for the temporary differences between the financial reporting basis and the tax basis of the Company’s assets and liabilities and tax credit carryforwards. A valuation allowance is recorded to reduce deferred tax assets to the amount expected to be more likely than not be realized in the Company’s future tax returns. Deferred tax assets and liabilities and tax credit carryforwards are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences and operating loss and tax credit carryforwards are expected to be recovered and settled.
Provisions for Contingencies
In accordance with IAS 37, Provisions, Contingent Liabilities and Contingent Assets , provisions are recognized if, at the end of the fiscal year, the Company owes a present (legal or constructive) obligation to a third party as a result of a past event, it is probable that discharging this obligation will result in an outflow of resources representing economic benefits for the Company, and the amount of this obligation can be estimated reliably as of the balance sheet date.
In the event of restructuring, an obligation exists if, prior to year-end, the restructuring has been announced and a detailed plan produced, or implementation has commenced. No provision is recognized for future operating costs.
If the obligation is not probable and cannot be reliably estimated but remains possible, it is classified as a contingent liability and disclosed in the Notes to the Consolidated Financial Statements (see Note 23). Provisions are determined on a case-by-case basis.
Claims and Other Provisions
The Company has insurance coverage for automobile liabilities and workers’ compensation claims in excess of certain occurrence deductibles. Provisions are recorded each period for incidents and claims below the occurrence deductibles. Provisions represent management’s best estimate of the ultimate settlement of the developed claims reported to third-party administrators, as well as those claims that have been incurred but not reported. Such provisions are recorded on a discounted basis and reflected on the accompanying consolidated statements of financial position as current or non-current claims reserves, depending on when the claims are expected to be settled.
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
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CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
17 The company records contingent liabilities that are probable and estimable primarily related to employment and commercial litigation.
The company may also record loss making contract provisions where unavoidable costs exceed the expected economic benefit expected to be received over the life of the contract.
Foreign Currency
Foreign currency transactions are recorded using the spot currency exchange rate in effect at the date the transaction first qualifies for recognition.
Statements of financial position, income statements and statements of cash flows of subsidiaries whose functional currency is different from the Company’s presentation currency are translated into the currency used to present the consolidated financial statements at the applicable exchange rate, i.e., the year-end rate for consolidated statement of financial position items and the average annual rate for income statement and cash flow statement items. Foreign currency translation gains and losses relating to the Company’s Canadian subsidiary were not material at December 31, 2024 and 2023.
Fair Value of Financial Instruments
The Company’s financial instruments consist primarily of cash and cash equivalents, restricted cash, accounts receivable, accounts payable, and amounts due to and from affiliates. The book values of these financial instruments are considered to be representative of their respective fair values. None of the Company’s debt instruments with affiliates have readily ascertainable market values and, due to their related-party status, it was not practicable to estimate the fair value of the notes due from and to affiliates. See Note 16 for the terms and carrying values of the Company’s various borrowings from affiliates.
Derivatives
Transdev Group uses derivative instruments primarily to hedge its exposure to interest rate risks. Hedge accounting applies if:
The hedging relationship is precisely defined and documented at the inception date; The effectiveness of the hedge is demonstrated at the outset and by regular subsequent verification of the correlation between movements in the market value of the hedging instrument and the hedged item. The ineffective portion of the hedge is systematically recognized in income.
Transdev Group entered into an interest rate swap in 2023 on the Company’s $400 million term loan that is designated as a cash flow hedge (see Note 20). A cash flow hedge is a hedge of exposure to variations in cash flows that are attributable to a specific risk associated with a recognized asset or liability or a highly probable forecast transaction and could affect net income for the period. In the case of cash flow hedges, the effective portion of changes in fair value of the hedging instrument is recognized directly in other comprehensive income, and changes in the fair value of the underlying item are not recognized in the consolidated statement of financial position. The ineffective portion of fair value variations is recognized in income. Amounts recognized in other comprehensive income are released to income in the same period or periods in which the asset acquired or liability issued impacts income.
All interest rate hedging activities are managed by Transdev Group.
Defined Benefit Plans (Pension Benefits)
The cost of the defined benefit pension plan and the present value of the pension obligation are determined using actuarial valuations. An actuarial valuation involves making various assumptions that may differ from actual developments in the future. These include the determination of the discount rate, future salary increases, mortality ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
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CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
18 rates and future pension increases. Due to the complexities involved in the valuation and its long-term nature, a defined benefit obligation is highly sensitive to changes in these assumptions. All assumptions are reviewed at each reporting date. Mortality rate is based on publicly available mortality tables as issued by the Society of Actuaries.
Those mortality tables tend to change in response to demographic changes. Future salary increases and pension increases are based on expected future inflation rates. Further details about pension obligations are provided in Note
22. Use of Estimates
The preparation of consolidated financial statements requires the management of the Company to make estimates and use assumptions that affect the reported amounts in our consolidated financial statements and our notes thereto.
These estimates and assumptions take into account historical and forward-looking factors that the Company believes are reasonable.
These estimates mainly concern the following:
The recoverable amount of accounts receivable (see Note 8) The recoverable amount of property and equipment, right of use assets, and goodwill (see Notes 11, 12 and 14)
Income taxes (see Note 15)
Self-insurance costs or claims reserves (see Note 19) Postretirement medical, pension, and other employee benefits (see Notes 21 and 22) Contingencies and legal matters (see Note 23)
It is reasonably possible that the estimates made may change in the future and could have a material effect on the Company’s consolidated financial statements.
Reclassifications
Certain reclassifications in the prior year financial statements have been made to conform to the current year presentation.
Note 4. First Transit Acquisition
On March 6, 2023, the Company acquired all of the outstanding stock of First Transit Inc., a leading private- sector operator of mobility solutions in North America, for $466.1 million. This acquisition was primarily financed by a syndicated loan (see Note 20).
The Company accounted for the purchase of First Transit using the acquisition method as defined in IFRS 3, Business Combinations . Under this method, identifiable assets acquired and liabilities assumed of the entity acquired are recognized at their fair value on the acquisition date.
The Company expensed as incurred total acquisition costs of $19.9 million during the year ended December 31, 2023. These costs were recorded in Other expenses in the Consolidated Statements of Income. ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
19 Pursuant to IFRS 3, the Company has reassessed the fair value at the acquisition date of the identifiable assets and liabilities acquired and has determined the related deferred tax amounts, on a provisional basis, based on the information available. The assets and liabilities of First Transit acquired on March 6, 2023 are as follows:
Other intangible assets $ 83,769
Property, plant and equipment 122,049
Right-of-use assets 47,074
Operating working capital requirements 233,862
Non-current and current provisions (336,030)
Deferred Tax assets (liabilities) 6,082
Non-current and current lease liabilities (47,889)
Cash and cash equivalents 17,674
Others 923
Net assets acquired 127,514
Fair value on the acquisition date of the total consideration transferred 483,791 Goodwill $ 356,277
Goodwill, determined as detailed above, chiefly reflects the growth potential of the business activities acquired and expected synergy gains.
None of the goodwill recognized is expected to be deductible for income tax purposes.
The valuation of assets and liabilities at fair value at the date of takeover, as reported in the 2023 consolidated financial statements, remained unchanged in 2024.
Note 5. Divestiture of Transdev Services Canada, Inc.
On December 31, 2023, TDNA distributed 100% of the stock of Transdev Services Canada and its subsidiaries to Transdev Group as a dividend distribution in kind. The amount totaled $24.9 million, which is equal to the fair market value of the stock in Transdev Services Canada at that date. Transdev Group then contributed 100% of the stock of Transdev Services Canada to Transdev Canada in exchange for stock of Transdev Canada.
Note 6. Segment Information
1) The Company is organized into the divisions as detailed below. 2) The B2G division includes all the activity with government clients in Transit, Paratransit or Rail activities as well as fleet management services.
3) TAS division includes contractual relationships within the autonomous vehicle sector. 4) Other includes all discontinued activities.
The following table represents the detail of revenues and income by CGU for the years ended December 31, 2024 and 2023:
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
20 December 31, 2024 B2G TAS Other Total
Revenue 2,984,466$ 80,990$ 344$ 3,065,800 $
EBITDA 134,985 6,793 (21,677) 120,101
EBIT 85,956 8,453 (9,806) 84,603
December 31, 2023 B2G TAS Other Total
Revenue 2,516,995$ 117,718$ 538$ 2,635,251 $
EBITDA 110,247 10,820 (15,273) 105,794
EBIT 35,120 7,254 40 42,414
EBITDA (Earnings Before Interest Taxes, Depreciation, and Amortization) represents the operating cash flow generated by the various operating units excluding change in working capital. This includes the non-cash impact of changes in provisions.
EBIT (Earnings Before Interest and Taxes) represents the operating profitability of all the various CGU.
Note 7. Cash and Cash Equivalents
Components of cash and cash equivalents are as follows:
2024 2023
Cash and cash equivalents 50,525$ 74,904$
Book overdrafts1
(263) (2,490)
Cash and cash equivalents, net of overdrafts 50,262$ 72,414$ 1 Balance included in Short Term Debt
Note 8. Accounts Receivable
Accounts receivable at December 31, were aged as follows:
2024 2023
On time 465,030$ 412,439$
Overdue zero to six months 61,260 120,835
Overdue six months to one year 5,443 2,917
Overdue more than one year 3,210 8,119
Accounts receivable, gross 534,943$ 544,310$
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
21 The Company’s accounts receivable is generated from services provided to a wide variety of customers (see Note 1). Consequently, the Company believes that there is no significant concentration of credit risk. Changes in the allowance for doubtful accounts at December 31, were as follows:
Allowance for doubtful accounts on January 1 (13,296)$ (2,061)$ Additions (1,001) (12,880)
Utilization 12,274 1,645
Allowance for doubtful accounts on December 31 (2,024)$ (13,296)$ Note 9. Prepaid Expenses and Other Current Assets
Prepaid expenses and other current assets at December 31, consist of the following:
Miscellaneous receivables represent amounts due from certain customers for reimbursement of employee- related liabilities assumed and paid by the Company during 2024 and 2023 relating to transit contracts.
Note 10. Other Non-current Assets
Other non-current assets at December 31, consist of the following:
2024 2023
Assets held for deferred compensation plans 29,669$ 24,348$ Deposits 5,303 8,429
Other 7,268 2,872
42,240$ 35,649$
The Company invests employee and employer contributions to the Supplemental Employee Retirement Plan (SERP) and the Deferred Compensation Plan (DC Plan) into insurance policies, with such policies having a cash surrender ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
22 value of $29.7 million and $24.3 million at December 31, 2024 and 2023, respectively. See Note 22 for information on plan liabilities.
Note 11. Property and Equipment
The following table presents a summary of the changes in property and equipment, net for the years ended:
January 1, First Transit Capital Depreciation Currency December 31, 2024 Consolidations Expenditures Expense Retirements Impairments Impact 2024 Cost:
Land 7,658$ -$ -$ -$ -$ -$ (135)$ 7,523$
Building 10,703 - 179 (568) - - (44) 10,270
Vehicles 91,462 - 10,197 (21,634) (5,028) 743 (578) 75,162 Other 37,578 - 10,909 (13,284) (297) - (93) 34,813 Total 147,401 - 21,285 (35,486) (5,325) 743 (850) 127,768 January 1, First Transit Capital Depreciation Currency December 31, 2023 Consolidations Expenditures Expense Retirements Impairments Impact 2023 Cost:
Land 750$ 6,862$ -$ -$ -$ -$ 46$ 7,658$
Building 3,524 7,134 607 (491) (104) - 33 10,703 Vehicles 14,252 77,731 21,298 (19,258) (3,085) 554 (30) 91,462 Other 6,096 30,322 12,365 (10,548) (935) - 278 37,578 Total 24,622 122,049 34,270 (30,297) (4,124) 554 327 147,401 Note 12. Leases and Right of Use Assets
The Company leases office space, certain vehicles, and equipment under non-cancelable leases. The Company recognized lease liabilities at December 31, as follows:
2024 2023
Building 60,065$ 65,118$
Vehicles 15,475 6,571
Other 650 3,899
Total lease liabilities 76,190$ 75,588$
Current liabilities 21,458 22,137
Non-current liabilities 54,732 53,451
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
23 The contractual payments for lease liabilities at December 31, 2024 are as follows:
Maturity analysis - contractual undiscounted cash flows 2024 Less than one year 25,840$
One to five years 60,707
More than 5 years 8,208
Total undiscounted cash flows at December 31 94,755$
Interest expenses recognized on lease liabilities were $3.7 million and $3.3 million during the years ended December 31, 2024 and 2023, respectively.
Expenses from leases classified as short-term or the underlying asset is of low value are excluded from the measurement of the lease liability. The Company recognized these lease payments as an expense over the duration of its respective lease term. For the years ended December 31, 2024 and 2023, these total lease expenses were $1.0 million and $0.9 million, respectively.
In 2024 and 2023, total cash outflows for leases, including the above-mentioned leases not included in the calculation of the lease liability, amounted to $33.0 million and $23.3 million, respectively. The Company does not have significant sub-leasing contracts.
The following table presents a summary of the changes in the right of use assets, net for the years ended December 31, 2024 and 2023:
January 1, First Transit Capital Depreciation Currency December 31, 2024 Consolidations Expenditures Expense Retirements Impairments Impact 2024 Cost:
Building 59,573$ - $ 21,332$ (20,678)$ (7,975)$ 146$ - $ 52,398$ Vehicles 1,733 - 1,997 (1,677) (616) 616 - 2,053 Other 7,526 - 11,123 (2,275) (671) - (19) 15,684 Total 68,832$ -$ 34,452 $ (24,630)$ (9,262)$ 762$ (19)$ 70,135$ January 1, First Transit Capital Depreciation Currency December 31, 2023 Consolidations Expenditures Expense Retirements Impairments Impact 2023 Cost:
Building 19,504$ 47,074$ 12,256$ (19,241)$ (332)$ 312$ -$ 59,573$ Vehicles 1,733 - 35 (45) - 10 - 1,733
Other 7,063 - 3,061 (2,590) 1 - (9) 7,526
Total 28,300$ 47,074$ 15,352$ (21,876)$ (331)$ 322$ (9)$ 68,832$ ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
24 Note 13. Concession Activities
The Company entered into an 8-year service agreement with the concession grantor, which expires on September 30, 2032. The agreement does not include any renewal options. However, the grantor retains the right to terminate the agreement with written notice if the Company fails to meet specified performance obligations. Under the terms of the agreement, the Company is responsible for the acquisition, operation, and maintenance of the transport vehicles.
Activities for operating financial assets as recognized per IFRIC 12 are as follows:
Operating Financial Assets
Current Non-Current Total
December 31, 2023 -$ -$ -
Additions 1,954 10,754 12,708
Change in Classification 504 (504) -
Undiscounting (480) - (480)
December 31, 2024 1,978$ 10,250$ 12,228$
These amounts correspond to the unconditional rights to receive compensation from the concession grantors in respect of lease payments to be made related to rolling stock.
With respect to operating financial assets representing rolling stock, revenue generated by operating financial assets is reported as revenue.
The corresponding current and non-current part of lease payments to be made under concession arrangements at amortized cost totaled $12.2 million and $0 at December 31, 2024 and 2023, respectively.
Note 14. Goodwill and Indefinite-Lived Intangible Assets The changes in the carrying amount of goodwill and indefinite-lived intangible assets are as follows:
Goodwill by CGU B2G
Goodwill as of December 31, 2022 99,171
Acquisition of goodwill 356,277
Goodwill as of December 31, 2023 455,448
Goodwill as of December 31, 2024 455,448
There was no impairment recognized in the years presented.
Impairment test
The bases for calculating recoverable amounts are described in Note 2 above.
The recoverable amount as of December 31, 2024 has been determined by referring the value in use, using a discount rate of 9.9% and a perpetual growth rate of 3.0%.
Sensitivity of impairment tests
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
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CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
25 Recoverable amounts measured within the framework of impairment tests underwent a sensitivity analysis based on a discount rate increased by 1%, a perpetual growth rate decreased by 1% and operating cash flow decreased by 5%. These assumptions concerning changes are considered reasonable in light of the Company’s business activities.
The difference between recoverable amount and net carrying amount due to an increase in the discount rate (1%) amounts to $136.4 million.
The difference between recoverable amount and net carrying amount due to a decrease in the perpetual growth rate (1%) amounts to $100.7 million.
The difference between recoverable amount and net carrying amount due to a decrease in operating cash flows (5%) amounts to $47.9 million.
Definite Lived Intangible Assets
The Company’s definite-lived intangible assets by major asset class are as follows:
Intangible Assets
Contract
Valuation
Intangible asset as of December 31, 2022 -$
Investments 83,769
Amortization (9,633)
Intangible asset as of December 31, 2023 74,136
Amortization (12,623)
Intangible asset as of December 31, 2024 61,513$
As of December 31, 2024, projected annual amortization expense for amortizable intangible assets is as follows:
Amortization
of intangible
assets
2025 12,617$
2026 12,617
2027 12,617
2028 12,617
2029 7,425
Thereafter 3,620
Total 61,513$
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
26 Note 15. Income Taxes
Current and deferred taxes have been presented by the Company on a stand-alone basis. The provision for income taxes consists of the following:
2024 2023
Current
U.S. Federal 372$ -$
State and local 3,055 2,049
Foreign 649 204
Total current 4,076 2,253
Deferred
Federal - 6,082
Foreign - 253
Total Deferred - 6,335
Total income tax expense 4,076$ 8,588$
As of December 31, 2024 and 2023, the Company did not recognize any net deferred tax assets in accordance with IAS 12, Income Taxes, resulting in a net deferred tax asset position of $0 for both periods. The Company intends to continue this approach until it determines that it is has sufficient convincing evidence probable that future material taxable profits will be available against which the deferred tax assets can be utilized.
Based on current and projected earnings, there is a reasonable possibility that within the next 12 months, there may be enough convincing sufficient evidence it may become probable that sufficient material taxable profits will be available to support the recognition of a significant portion of the deferred tax asset. If recognized, this would result in a corresponding decrease in income tax expense in the period of recognition. However, the timing and amount of any such recognition remain uncertain and will depend on the level of profitability actually achieved.
The differences in the provision for income taxes and the amounts determined by applying the federal statutory rate for both 2024 and 2023 to income before income taxes are as follows:
2024 2023
U.S. Federal tax expense at statutory rate 5,045$ (1,952)$ State tax expense (net of federal benefit) 2,413 1,619 NOL utilization (6,048) (6,974)
Tax credit utilization (1,140) -
Change in valuation allowance 1,319 17,440
Prior year return to provision adjustments (862) (37)
Other (including permanent differences) 2,700 (1,965) Foreign tax expense 649 457
4,076$ 8,588$
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
27 Deferred income taxes recognized on the accompanying Consolidated Statements of Financial Position consist of the following:
2024 2023
Deferred tax assets:
Claims reserve 137,312$ 128,667$
Net operating loss carryforward 11,115 21,296
Tax credit carryforward 19,952 20,474
Interest expense limitation 11,572 5,844
Accrued expenses not currently deductible 14,837 19,938 Employee benefits 21,428 22,303
Pension (57) 613
Finite-lived intangible assets (excluding goodwill) 585 796 Foreign deferred tax assets 8,620 9,396
Fuel hedge derivative (203) 1,072
Allowance for doubtful accounts 536 3,472
Total deferred tax assets 225,697 233,871
Deferred tax liabilities:
Indefinite-lived intangible assets 36,594 33,580
Property and equipment 14,824 19,732
Total deferred tax liabilities 51,418 53,312
Unrecognized deferred tax assets (174,279) (180,560)
Net deferred tax asset -$ -$
As of December 31, 2024 and 2023, TDNA net deferred tax assets are as follows:
2024 2023
Net deferred tax assets on January 1 -$ 253$
Deferred tax assets from acquisition of First Transit - 6,082 Net Deferred Tax Expense / Benefit recognized in income - (6,335) Net deferred tax assets on December 31 -$ -$
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
28 Note 16. Transactions with Affiliates and Related Parties Amounts due to affiliates at December 31, are as follows:
2024 2023
Transdev Group (short-term loan) 30,000$ 55,000$
Transdev Canada (short-term) 1,991 1,921
Transdev Group (accrued interest) 69 933
Other Transdev Affiliates 428 248
32,488$ 58,102$
The Company entered into a credit amendment with Transdev Group in December 2022 that provided for a revolving credit facility in an aggregate amount of up to $100.0 million. As of December 31, 2024 and 2023, the Company had borrowings outstanding under the revolving credit of $30.0 million and $55.0, respectively.
The loan outstanding has interest rates based on SOFR + 1.65%.
The Company was charged $26.1 million and $18.5 million in 2024 and 2023, respectively, for management fees and trademark royalty fees, which were included as components of selling, general, and administrative expenses on the Consolidated Statements of Income (Loss) and Comprehensive Income (Loss) .
Note 17. Accrued Payroll and Related Expenses
Accrued payroll and related expenses consist of the following:
2024 2023
Accrued vacation 43,322$ 45,285$
Accrued wages 33,842 45,696
Medical reserve and benefits 23,461 17,454
Accrued bonus 15,093 14,679
CARES Act payroll related accruals 3,635 13,652
Other payroll related accruals 1,619 1,401
120,972$ 138,167$
The CARES Act payroll-related accruals relate to the employee retention credits. ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
29 Note 18. Other Accrued Expenses and Liabilities
Other accrued expenses and liabilities consist of the following:
2024 2023
Insurance premium accrual 30,659$ 8,430$
Settled claims payable 27,404 17,042
Customer refunds 25,919 21,673
Tax liabilities 9,277 5,932
Deferred revenue 4,767 6,456
Other 21,808 9,550
119,834$ 69,083$
Note 19. Claims and Other Provisions
The Company has insurance for auto liability, general liability, and workers’ compensation with high self-insured retentions. The claims provision represents the estimate for the future obligation related to this self-insured retention. This estimate is completed by third party actuarial review.
As a part of the First Transit acquisition, material loss making provisions were recognized for contracts where the future economic benefit did not exceed the committed cost.
Other provisions includes third party litigation as well as restructuring provisions.
The following presents the changes in the provisions recorded for claims outstanding for the years ended December 31, 2024 and 2023:
Current Non-Current Current Loss Non-Current Loss Other Total Claims Claims Making Contract Making Contract Provisions Provisions December 31, 2022 66,332$ 110,045$ 2,168$ -$ 8,873$ 187,418 Additions 72,897 170,997 22,824 55,444 14,733 336,895 Change in Estimate 136,332 32,829 - - 2,451 171,612 Payments & Utilization (141,955) - (24,992) - (4,470) (171,417) Change in Classification 14,222 (14,222) 27,471 (27,471) - - Undiscounting - 19,171 - - 159 19,330
December 31, 2023 147,828$ 318,820$ 27,471$ 27,973$ 21,746$ 543,838$ Change in Estimate 175,204 25,555 - - (1,102) 199,657 Payments & Utilization (202,618) - (27,989) - (6,560) (237,167) Change in Classification 63,531 (63,531) 14,090 (14,090) 1 1 Undiscounting - 25,617 - - - 25,617
December 31, 2024 183,945$ 306,461$ 13,572$ 13,883$ 14,085$ 531,946$ ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
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CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
30 Note 20. Debt
On February 16, 2023 (“Closing Date”), the Company, in conjunction with Transdev Group SA as Guarantor, entered into a term facility agreement, which provided for a term loan facility (the “Loan”) in an aggregate principal amount of $400.0 million, with a five-year maturity on March 3, 2028. 2024 2023
Term Loan Facility 380,000$ 400,000$
Less: Unamortized debt issuance costs (957) (1,277)
Total debt, net 379,043$ 398,723$
Portion due within one year 49,695$ 19,694$
Total long-term debt, net 329,348$ 379,029$
Total borrowings as at the reporting date amounted to $381.0 million comprised from a term loan principal of $379.0 million, accrued interest on the term loan of $1.7 million, short-term borrowings of $0.3 million, and other debt liabilities of $0.02 million.
The loan proceeds were used to finance the acquisition of 100% of the capital stock of First Transit Inc, on March 6, 2023, which was first announced on October 26, 2022.
Interest Rates and Fees
The rate of interest on the Loan is indexed on sustainable-development targets. Part of the interest on this loan is linked to the achievement of annual environmental targets and gender parity targets. As of December 31, 2024 and 2023, the borrowing interest rate for the Loan was 5.51% and 6.76%, respectively. All interest rate hedging activities are managed by Transdev Group.
The line of credit facility interest rate is based on either the cost of fund index plus 70 basis points or term SOFR loan plus 80 basis points.
Maturity
Required minimum principal payments under the Loan as are as follows for the years ended December 31:
Repayment Amount
2025 50,000$
2026 60,000
2027 70,000
2028 200,000
Total 380,000$
The total short-term debt amounted to $51.6 million. This includes a current portion of the term loan principal of $49.7 million, accrued interest on the term loan of $1.7 million, and a bank overdraft of $0.3 million. ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
31 Financial Covenant
The Loan agreement includes financial and non-financial covenants, including the ratio between adjusted net financial debt and adjusted EBITDA, at the Transdev Group consolidated level. In the event of non- compliance, the Loan repayments could be accelerated.
As of December 31, 2024, the Company is in compliance with the covenants of the Loan.
Line of Credit
On June 23, 2023, the Company entered into a credit agreement with Crédit Industriel et Commercial, New York Branch (“CIC”), for an uncommitted discretionary revolving line of credit (“line of credit facility”) in an aggregate principal amount of up to $20.0 million, with a maturity date based on the unilateral discretion of CIC at their demand.
As of December 31, 2024 and 2023, the Company had no borrowings outstanding under this line of credit.
Note 21. Other Non-current Liabilities
The Company’s other non-current liabilities consist of the following:
2024 2023
Deferred compensation 30,051$ 24,321$
Derivatives designated as cash flow hedging 763 4,368 30,814$ 28,689$
The Company sponsors two non-qualified Executive Top Hat Plans, the SERP and the DC Plan. The SERP does not provide for any employee contributions, only a discretionary annual employer contribution as a percentage of the participant’s annual pay. The Company paid and expensed contributions to the SERP of $0.3 and $0.6 million during 2024 and 2023. The DC Plan allows employee contributions between 1% and 20% of pay, and up to 100% for the annual bonus payment for the year, to be paid the following year. Prior to 2022, the employer contributions of 3% of the employee’s pay are earned by the participant regardless of whether a participant elects to defer employee-based compensation. Beginning on January 1, 2022, the Company no longer provided the 3% contribution. As a result, $0 was paid and expensed relating to the DC Plan contributions during the years presented.
See Note 10 for information on plan assets.
Transdev Group uses derivative instruments primarily to hedge its exposure to interest rate risks. Transdev Group entered into an interest rate swap in 2023 on the Company’s $400 million term loan that is designated as a cash flow hedge (see Note 20 for term loan details). All interest rate hedging activities are managed by Transdev Group.
The Company has assessed that the financial debt has low exposure to interest rate risk.
Nature Total less than 1 year greater than 1 year Fair value Cash flow hedge
derivatives
Interest rate
swap 380,000 $ 50,000$ 330,000$ 208 $ Assuming a constant financial debt structure and management policy as of December 31, 2024, a change of 1% of interest rates would have an immaterial impact on the cost of non-current and current financial debt. ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
32 Note 22. Employee Benefit Plans
The Company sponsors the Transdev North America, Inc. 401(k) Plan for Non-Collectively Bargaining Employees (the Non-Union Plan) and the Transdev North America, Inc. 401(k) Plan for Collectively Bargaining Employees (the Union Plan). The Non-Union Plan covers the majority of non-union employees. Excluded are properties with local plans that cover non-union employees and at least one property that does not offer its non-union employees any defined contribution plan. The Union Plan covers only certain collective bargaining employees at certain locations.
Participants of both plans may contribute 1% to 90% of their eligible compensation. The Company’s plans have various matching or hourly based employer contribution formulas based on location and employee/union group covered. Employer contributions paid under these plans were $12.0 million and $11.2 million and were expensed during the years ended December 31, 2024 and 2023, respectively.
Interest on outstanding pension obligations and the expected return on assets are recognized in operating income.
The Company’s policy is to recognize actuarial gains and losses in accumulated other comprehensive loss, which is a component of total comprehensive income. The following table summarizes the components of the total pension cost recognized on the consolidated statements of comprehensive income related to the Phoenix Transit pension plan:
2024 2023
Service cost 842$ 770$
Interest cost 430 640
Actuarial changes in employee benefit obligations recognized in other comprehensive loss (3,080) (1,776)
Total pension cost recognized (1,808)$ (366)$
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
33 The following table summarizes the funded status and amounts recognized on the consolidated statements of financial position related to the Phoenix Transit pension plan:
2024 2023
Benefit obligation at the beginning of the year 49,944$ 51,024$ Interest cost 2,302 2,537
Actuarial (gain)/loss (2,196) 863
Settlement - -
Benefits paid (3,964) (4,479)
Benefit obligation at the end of the year 46,086 49,945 Fair value of plan assets at the beginning of the year 41,246$ 38,961$ Contributions of the plan 3,000 3,000
Actual return on plan assets 2,757 4,536
Expenses Paid (842) (771)
Benefits paid (3,963) (4,479)
Fair value of plan assets at the end of the year 42,198 41,247 Underfunded status of the Phoenix Transit pension plan (3,888)$ (8,698)$ The discount rate used to determine the Phoenix Transit pension benefit obligations increased to 5.5% at December 31, 2024 from 4.8% at December 31, 2023, resulting in an actuarial gain. The plan assets are invested in alternative investments and mutual funds. The mutual funds are valued using quoted prices in the market.
The actuarial debt is particularly sensitive to discount rates. For example, an increase of 0.5% in the discount rate would reduce the discounted value of the obligation by $2.0 million.
The assets of the group have been allocated as follows as of December 31, 2024:
Equities 36%
Corporate bonds 33%
Other 31%
The average duration of the Phoenix Transit pension plan obligation at December 31, 2024 and 2023 was 8 years.
The Company also participates in multi-employer defined-benefit plans pursuant to collective bargaining agreements. Multi-employer pension plans are designed to cover employees from multiple employers. These plans allow multiple employers to pool their pension resources and realize efficiencies associated with the daily administration of the plan. Multi-employer plans are generally governed by a board of trustees composed of management and labor representatives and are funded through employer contributions.
The Company's expense for multi-employer pension plans totaled $6.2 million in 2024 and $5.0 million in 2023. The plans that the Company currently participate in have contractual arrangements that extend into 2027. If, in the future, the Company chooses to withdraw from any of the multi-employer pension plans, there will be withdrawal liabilities that will need to be recognized at that time.
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
34 Note 23. Commitments and Contingencies
Leases
The Company leases office space, certain vehicles, and equipment under non-cancelable leases. Future minimum payments under all non-cancelable leases consisted of the following at December 31, 2024:
Years Ending December 31, Lease Liabilities
2025 25,840$
2026 21,705
2027 16,997
2028 10,681
2029 6,573
Thereafter 12,959
Total future minimum lease payments 94,755$
Financial Assurance
The Company satisfies certain of its financial assurance obligations through the use of bonds. The Company pays annual premiums to obtain performance bonds underwritten by insurance carriers. These premiums are expensed over the life of the bond. At December 31, 2024 and 2023, the Company had coverage under performance bonds of $376.1 million and $318.7 million, respectively.
Contingencies
The Company is subject to contingencies, including legal proceedings and claims arising out of the normal course of business, that cover a variety of matters, including, among others, contract, self-insurance, and employee claims.
In the management’s opinion, the amount of any liability or other action arising from these matters will not materially affect the consolidated financial position of the Company. It is possible, however, that future results of operations could be materially affected by unexpected changes in conditions or events and strategies related to these contingencies. There are currently no material contingencies that were not reported in the consolidated financial statements that require further disclosure.
Note 24. Depreciation and Amortization
Depreciation and amortization expense included in operating expenses was as follows:
2024 2023
Property and equipment depreciation 60,116$ 52,173$
Contracts amortization 12,617 9,761
Other amortization 1,085 614
73,818$ 62,548$
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
35 Note 25. Interest Expense, net
Interest expense, net consists of income and expense related to financial assets and liabilities, including cash and cash equivalents and borrowings due to or due from affiliates and capital lease obligations:
2024 2023
Interest expense on term loan 21,059$ 18,654$
Lease-related interest expense 3,709 3,250
Net interest expense due to parent 1,902 2,658
Interest (income) expense (3,962) (1,693)
22,708$ 22,869$
Note 26. Financial Expense
Financial Expense consists of the following:
2024 2023
Undiscounting of provisions and pensions 26,047$ 19,971$ Parent guarantee fees paid to Transdev 6,335 6,026
Other 2,666 20
35,048$ 26,017$
Other, Net
Other, net consists of the following:
2024 2023
Restructuring Costs 6,431$ 19,870$
Loss / (Gain) on Disposal including reversal of provison (573) (17,050) Other - 4
5,858$ 2,824$
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
36 Employees
Employee costs included in operating expenses were as follows:
2024 2023
Included in cost of operations 1,997,572$ 1,768,329$
Included in selling, general, and administrative expenses 121,247 104,430 2,118,819$ 1,872,759$
The Company employed a total weighted-average number of employees of 30.2 thousand and 31.2 thousand during 2024 and 2023, respectively.
Executive Committee Compensation
The aggregate compensation paid to members of the Company’s executive committee for services in all capacities and included in selling, general, and administrative expenses during 2024 and 2023 was as follows:
Total Total
Fixed Variable In-Kind Total
Compensation Compensation Benefits Compensation
Compensation 2024 2,609$ 1,713$ 244$ 4,566$
Compensation 2023 2,638 1,813 254 4,705
Note 27. Subsequent Events
Management has evaluated events after the reporting period of December 31, 2024, through the date of the accompanying consolidated financial statements being authorized and issued as of June 19, 2025. ***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL
Transdev North America, Inc. and Subsidiaries
Notes to Consolidated Financial Statements
December 31, 2024 and 2023
37 Note 28. Consolidated Entities
The main companies of the Company are listed below:
Entity Address Consolidation
Method
Percentage control as
of December 31, 2024
Percentage control as
of December 31, 2023
TRANSDEV SERVICES,
INC.
720 E. BUTTERFIELD RD., SUITE 300,
LOMBARD, IL 60148
Full
Consolidation 100.0 100.0
TRANSDEV ON
DEMAND, INC.
4610 SOUTH 35TH STREET, PHOENIX,
AZ 85040
Full
Consolidation 100.0 100.0
TRANSDEV RAIL, INC 1400 W LAMBERT RD, SUITE B, 92821 Full Consolidation 100.0 100.0
TRANSDEV BUSINESS
SOLUTIONS, INC.
720 E. BUTTERFIELD RD., SUITE 300,
LOMBARD, IL 60148
Full
Consolidation 100.0 100.0
INTELLIRIDE, LLC 720 E. BUTTERFIELD RD., SUITE 300,
LOMBARD, IL 60148
Full
Consolidation 100.0 100.0
SFO AIRPORTER, INC. 160 S. LINDEN AVE., SUITE 300, SAN
FRANCISCO, CA 94080
Full
Consolidation 100.0 100.0
TRANSDEV
ALTERNATIVE
SERVICES, INC.
720 E. BUTTERFIELD RD., SUITE 300,
LOMBARD, IL 60148
Full
Consolidation 100.0 100.0
***Transdev North America, Inc - Confidential and Proprietary Financial Information*** This document is meant for use only for the intended recipients and may not be copied or forwarded to any third parties or otherwise used in a manner not intended.
These financial statements are private and given only in confidence to the intended recipient. If given to a public agency, this confidential financial document qualifies under exemption 4 from disclosure under the Freedom of Information Act and similar state statutes.
CONFIDENTIAL