Quarterhill Announces $40 Million Renewal Contract to Upgrade Alameda County Transportation Commission (Alameda CTC) I-580 Express Lanes
Rhea-AI Summary
Quarterhill (TSX: QTRH) (OTCQX: QTRHF) has secured a $40 million contract to upgrade the Alameda County Transportation Commission (Alameda CTC) I-580 Express Lanes. The project spans 17 months and includes 7 years of operations and maintenance, with an option for 4 additional years at $15 million.
The upgrade will consolidate the I-580 Express Lanes onto the same technology infrastructure as the I-680 Express Lanes, using Quarterhill's riteSuite™ platform. The I-580 Express Lanes cover approximately 10 miles eastbound and 12 miles westbound, designed to improve travel times and reduce congestion across Alameda County.
This contract positions Quarterhill as Alameda CTC's exclusive Express Lane Electronic Toll Collection System provider until 2032, with possible extensions to 2036. The project includes updating technical equipment, sign upgrades, and replacing outdated roadside equipment while streamlining operational processes across Alameda CTC's network.
Positive
- Secured significant $40 million contract with potential additional $15 million extension
- Established exclusive provider status until 2032 (potential extension to 2036)
- Consolidation of systems will create operational efficiencies
- Long-term recurring revenue through 7-year maintenance agreement
Negative
- Extended 17-month implementation period before full system deployment
News Market Reaction – QTRHF
On the day this news was published, QTRHF gained 3.62%, reflecting a moderate positive market reaction.
Data tracked by StockTitan Argus on the day of publication.
- Alameda CTC's fully electronic express lanes increase the efficiency of the I-580 and I-680 corridors by giving drivers the option to bypass congested traffic segments under certain conditions.
- Upgrading the I-580 system will create a single, unified platform for Alameda CTC and solidify Quarterhill as its sole Express Lane vendor through 2032.
The Alameda CTC I-580 express lanes are specially designated highway lanes designed to improve travel times and alleviate traffic congestion across Alameda County. These lanes enable a more reliable traveling experience for commuters and travelers in the county by providing an option to bypass congested traffic segments under certain conditions. Express lanes help in managing and mitigating traffic congestion, directly benefiting not just the users of these lanes but also potentially improving conditions in the general-purpose lanes. The I-580 Express Lanes span approximately 10 miles from Hacienda Drive in Pleasanton to Greenville Road in Livermore in the eastbound direction and approximately 12 miles from Greenville Road to just before the I-680 overpass in
Under this contract, Quarterhill will upgrade I-580 Express Lanes onto the same technology infrastructure that underlies the I-680 Express Lanes operations. The project ensures compatibility with recent system replacements at the Alameda CTC I-680 Express Lane facilities, which implemented Quarterhill's riteSuite™ to improve mobility and alleviate congestion along the corridor. riteSuite is an updated family of cloud-based, end-to-end tolling and mobility systems built on mainstream open-source platforms for flexible deployment to support transportation growth throughout the region.
The express lane consolidation focuses on streamlining operational processes and applying consistent business rules across Alameda CTC's operations. It also addresses the legacy system's increasing operational exposures and maintenance risks by updating technical equipment, including sign upgrades to accommodate changes to road segments, and decommissioning and replacing outdated roadside equipment. With this project, Quarterhill is positioned as Alameda CTC's sole Express Lane Electronic Toll Collection System provider until 2032, with potential extensions until 2036, emphasizing a long-term commitment to enhancing Alameda County's transportation infrastructure.
"We are thrilled to deepen our partnership with the Alameda CTC through this significant upgrade of the Express Lanes," said Chuck Myers, CEO of Quarterhill. "This upgrade project not only demonstrates Quarterhill's commitment to innovation but also solidifies our position as Alameda CTC's unified provider for electronic tolling solutions. This initiative will streamline operations, ensure uniformity in the application of business rules across Alameda CTC's network, and provide greater maintenance efficiency. We believe this is a pivotal step forward in enhancing customer experience and are proud to play a crucial role in modernizing Alameda County's transportation infrastructure."
About Quarterhill
Quarterhill is a leading provider of tolling and enforcement solutions in the Intelligent Transportation System (ITS) industry. Our goal is technology-driven global leadership in ITS, via organic growth of our tolling and enforcement businesses, and by continuing an acquisition-oriented investment strategy that capitalizes on attractive growth opportunities within ITS and its adjacent markets. Quarterhill is listed on the TSX under the symbol QTRH and on the OTCQX Best Market under the symbol QTRHF. For more information: www.quarterhill.com.
Forward-looking Information
This news release contains forward-looking information and forward-looking statements within the meaning of applicable Canadian securities laws (collectively, "forward-looking statements"). Such forward-looking statements relate to future events, conditions or future financial performance of Quarterhill based on future economic conditions and courses of action. All statements other than statements of historical fact may be forward-looking statements. Such forward-looking statements are often, but not always, identified by the use of any words such as "seek", "anticipate", "budget", "plan", "goal", "expect" and similar expressions.
Forward-looking statements involve known and unknown risks, assumptions, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Material risk factors that could cause actual results to differ materially from the forward-looking statements contained in this news release include, among others, demand for Quarterhill's products and services; general economic and market conditions; competition; risks relating to technological advances and cyber-security; and other risks set forth in the Company's most recent annual information form available on SEDAR+ at www.sedarplus.ca. The Company believes the expectations reflected in the forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon. Material factors and assumptions used to develop the forward-looking statements contained in this news release include, among others: Quarterhill's ability to execute on its business plan; demand for Quarterhill's products and services; operating assumptions; and financial projections and cost estimates. Quarterhill has no intention, and undertakes no obligation, to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
View original content:https://www.prnewswire.com/news-releases/quarterhill-announces-40-million-renewal-contract-to-upgrade-alameda-county-transportation-commission-alameda-ctc-i-580-express-lanes-302342460.html
SOURCE Quarterhill Inc.
FAQ
What is the value of Quarterhill's (QTRHF) new Alameda CTC contract?
How long will Quarterhill (QTRHF) implement the I-580 Express Lanes upgrade?
What is the coverage area of the I-580 Express Lanes project for QTRHF?
How long will Quarterhill (QTRHF) be Alameda CTC's exclusive provider?
What technology will Quarterhill (QTRHF) implement in the I-580 upgrade?
