Unit exchange, outright, repair and return: what the terms mean and how core charges work
When a quote comes back for a traction motor, turbocharger or governor, the price depends on two things: the condition of the part and the terms it is sold on. Two quotes for the same part number can differ by thousands of dollars and both be fair.
Condition
| Term | What it means |
|---|---|
| New OEM | Made by or for the original maker. |
| New aftermarket | Made new by an independent manufacturer to fit the same application. |
| Remanufactured | A used part rebuilt to the maker's dimensions and tested, with worn components replaced. |
| Used serviceable | A used part inspected and judged fit for more service without a rebuild. |
| Running take-out | A used part removed from a locomotive that was running when it was retired. |
Terms
Unit exchange. You receive a rebuilt part and send your worn one back. The worn part is called the core. Progress Rail calls this UTEX, and other suppliers write UX. Because the supplier gets a rebuildable core, the price is lower than buying outright.
Outright. You buy the part and keep your old one. The price is higher because no core comes back.
Repair and return. Your own part goes to the shop, is rebuilt, and comes back to you. It takes longer, and it is the right choice when the part is rare or matched to the unit.
How a core charge works
A core charge is a deposit added to an exchange sale. It is refunded when your old part arrives and is accepted. If the core never arrives, or arrives beyond repair, the supplier keeps the deposit.
Ask these four questions before you accept an exchange quote:
- What makes a core acceptable? Cracked frames and fire damage are common reasons for rejection.
- How many days do I have to return it?
- Who pays the freight on the core?
- What happens to the deposit if the core is rejected?
Putting it in an RFQ
State which conditions and terms you will accept. "Exchange or outright, new or remanufactured" gets more options back than a bare part number. If you have no core to return, say so at the start.
On our RFQ form each line has a condition field for exactly this. Definitions of these and other terms are in the glossary.
Sources
- Progress Rail locomotive components and UTEX
- PowerRail new and remanufactured locomotive parts, Railway News
- What is a core part, Rush Truck Centers
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