DB Cargo UK

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DB Cargo UK
Industry Rail freight
Predecessor Loadhaul
Mainline Freight
Rail Express Systems
Railfreight Distribution
Transrail Freight
Founded 1995
Headquarters Doncaster, England
Area served
 United Kingdom
Key people
 Edward Burkhardt (Chairman & CEO 1995–1999)[1]
Keith Heller (CEO / Co-chairman) 2004–2010[2][3]
Alain Thauvette CEO[4]
Services Bulk freight and intermodal logistics
Owner Deutsche Bahn
Parent DB Schenker
Subsidiaries Euro Cargo Rail
Axiom Rail
Website www.uk.dbcargo.com

DB Cargo UK, formerly DB Schenker Rail UK and English Welsh & Scottish Railway, is a British rail freight company headquartered in Doncaster, England.

The company was founded in 1995 as North & South Railways, acquiring five of the six freight companies sold during the privatisation of British Rail,[note 1] becoming the UK market leader in rail freight transportation. In November 2007, EWS was sold to Deutsche Bahn, and in January 2009 rebranded as DB Schenker. In March 2016 it was rebranded as DB Cargo UK.

History

Background

In 1988, British Rail's (BR) freight operations were split into two divisions Railfreight Distribution (RfD) and Trainload Freight (TLF).[5] RfD took over BR's Freightliner and Speedlink services and general wagonload and trainload services, excluding bulk coal, petroleum, aggregates and metals.[6] BR's bulk trainload services were handled by the Trainload Freight division.[7][8] In 1991 the Rail Express Systems brand was created, to handle mail and postal services.[9]

After the passing of the Railways Act 1993, five rail freight companies were formed from RfD and TLF.[5][10] On 1 April 1994,TLF was split into three separate geographical businesses: Trainload North East, Trainload West and Trainload South East, with each initially given existing contracts based on the geographic origin of the trainflow, plus some contract trainload services previously handled by RfD.[11][12] which were later renamed Loadhaul, Mainline Freight and Transrail Freight.[12][13][14]

The remainder of RfD was split into two companies: Freightliner (container operations between ports), with the residual RfD company operating freight trains through the Channel Tunnel.[5] The Mail and Parcels business were sold as Rail Express Systems and Red Star Parcels.[10]

These companies were subsequently put up for sale by competitive tender.[15]

English Welsh & Scottish Railway

EWS liveried Class 66 and coal wagons near Tupton, Derbyshire in May 2011
EWS liveried Class 92 at Crewe Works in June 2003

To bid for the ex-BR businesses being offered for sale, North and South Railways Limited was formed.[16] It was owned by a consortium headed by Wisconsin Central,[5][17] with additional financing provided by Berkshire Partners, Goldman Sachs and Fay Richwhite.[18]

On 9 December 1995, North and South Railways purchased Rail Express Systems for £24 million.[19][20] With this came the contract for the Royal Mail train service, including the Travelling Post Office trains, and the contract to haul the Royal Train.[21] A fleet of 164 locomotives and 677 postal vans were included along with depots at Bristol Barton Hill, Cambridge, Crewe and London Euston.[22]

Then on 24 February 1996, British Rail's three trainload freight companies, Loadhaul, Mainline Freight and Transrail Freight were acquired for £225 million.[19][20] The sale included 914 locomotives and 19,310 wagons.[23]

All four companies were subsequently merged into North and South Railways,[24] nullifying the government's effort to create multiple competitive rail freight firms through the privatisation;[25] the decision to allow the creation of a rail freight company with a dominant market position was justified by the additional competition faced from other transport modes.[17][26] At the time rail had a 6% share of the freight market.[27]

Initially, the four companies continued to trade under their existing names. On 25 April 1996, the EWS brand was unveiled.[28][29]

On 10 July 1996 the holding company's name was changed to English Welsh & Scottish Railway Holdings Limited.[16] In October 1996, Loadhaul and Mainline Freight were merged with Transrail Freight, and employees transferred to Transrail Freight, which was then renamed to English Welsh & Scottish Railway Limited.[30][31]

One of the first actions of the enlarged company was to seek volunteers for redundancy, as it sought to reduce staff numbers by around 3,000, from 7,600.[32]

On 24 December 1996, EWS was announced as the preferred bidder for the loss-making Railfreight Distribution,[33][34] for which it received grants and subsidies estimated to amount to £242 million over eight years .[35] including subsidies for the use of the Channel Tunnel.[36] Railfreight Distribution's businesses included international containerised freight, movement of cars and automotive components by rail, and freight services for the Ministry of Defence. The sale included 157 locomotives.[34] It was concluded on 12 March 1997.[37] At this point, EWS controlled 90% of the rail freight market.[38] Railfreight Distribution was renamed English Welsh & Scottish Railway International on 1 December 1998.[24][33]

The new company had over 900 locomotives, 19,000 freight wagons, and 7,000 employees. Track access charges were renegotiated and after 1,800 job redundancies the workers involved in profit sharing and other incentivised working plans; as a result shipping rates were reduced by over 30%.[39] Many locomotives inherited on foundation were considered unreliable, and expensive to maintain;[40] the company invested heavily in modernisation of its rolling stock; by 2002 £750 million had been invested,[41] including 280 new locomotives and over 2,000 new wagons.[42][note 2]

Services included mail, locomotive hire, wagonload traffic (branded 'Enterprise', founded by Transrail Freight), cross channel trains via the Channel Tunnel, trainload freight including oil, aggregates, cement and traffic related to the coal, electricity generation and steel industries, and infrastructure trains for Railtrack.[43] Following privatisation EWS began to compete for Intermodal contracts,[note 3] while it faced competition from Freightliner in its core markets.[44][45] Turnover in 1999 was £533.7 million, an 80% market share by value.[46]

On 1 April 1998, open access operator National Power's rail division was taken over with six Class 59 locomotives and 106 wagons.[47][42]

In January 2001, the Canadian National Railway announced it had agreed to purchase Wisconsin Central.[48] The deal, which included Wisconsin Central's 42.5% stake in EWS, was concluded in October 2001.[30][49]

The contract with Royal Mail was lost in 2003 to road transport.[50][51] EWS acquired the assets of wagon bogie company, Probotec Limited in 2005,[52][53][note 4] It was formed into a new subsidiary, Axiom Rail that also took over responsibility for some of the depots and leasing surplus locomotives overseas.[57]

In October 2005, a subsidiary in France trading as Euro Cargo Rail commenced operating.[58][59][60] Several Class 66 locomotives were transferred.

In November 2005, EWS acquired wagon maintenance business Marcroft.[38] As a result of the potential of the acquisition to reduce competition in the UK wagon repair market the acquisition was referred to the Competition Commission by the Office of Fair Trading, who required EWS to sell all or part of the business excluding Marcroft's works at Stoke on Trent.[61] That was incorporated into the Axiom business.

By 2006, turnover was approaching £1 billion.[62] In 2006 the Office of Rail Regulation fined the company £4.1million for anti-competitive practices in the coal haulage business, in which it had held a near monopoly, following complaints by Enron and Freightliner Heavy Haul in 2001 and 2002.[63][64][note 5]

DB Cargo UK

DB Schenker liveried 59206 at the National Railway Museum, York in January 2009

On 28 June 2007, Deutsche Bahn announced it had agreed to purchase EWS, subject to receiving regulatory approval.[66][67] for £309 million[68] At the time EWS had a market share of around 70% in the United Kingdom and around 5,000 employees.[69] After the transaction was approved by the European Commissioner for Competition,[70][71] the sale was completed on 13 November 2007.[72]

At the time of the sale, it was announced that EWS would not be rebranded,[73] but on 1 January 2009, EWS was rebranded as DB Schenker along with Deutsche Bahn's Railion and DB Schenker divisions.[74][75]

The first locomotive painted in DB Schenker livery was Class 59 59206 at Toton Depot in January 2009,[76] being formally unveiled at the National Railway Museum, York on 21 January 2009.[77][78] [note 6]

In 2009, DB Schenker Rail began work to enable Class 92 hauled trains to operate freight services on the High Speed 1 by installing in cab TVM signalling. The project received funding from the European Commission and it was originally anticipated services would begin in early 2010.[80] On 25 March 2011, for the first time a modified class 92 locomotive travelled from Dollands Moor to Singlewell using the TVM430 signalling system.[81] The first of five planned test trains ran as a loaded container train from Hams Hall, West Midlands to Novara, Italy on 27 May 2011.[82][83][84] DB planned to upgrade an additional five Class 92 locomotives to allow them to run on High Speed 1, making a fleet of six.[85][86][87]

In July 2011, a trial run of wagons carrying curtain walled swap bodies built to a larger European loading gauge was run from Dollands Moor, Folkestone to east London.[88] From 11 November 2011 a weekly service using European sized swap bodies has run between Barking, London and Wroclaw, Poland using High Speed 1.[89][90]

On 2 March 2016, DB Schenker was rebranded as DB Cargo UK.[91]

Services and rolling stock

Rolling stock

37411 at Carlisle station on an Arriva Trains Northern service in August 2004

EWS inherited a fleet of 1,231 locomotives from its British Rail acquisitions.[22][23][34]

In May 1996, an order for 250 Class 66s and 30 Class 67s was placed.[92] These replaced all of the 20, 31, 33, 37, 47, 56, 58, 73 and 86 class locomotives.[93] Through improved utilisation, they also replaced many of the newer 60 and 90 class locomotives.

Several of these redundant locomotives saw further use on infrastructure trains in Europe with Class 37s operated in France (40), Italy (2) and Spain (14),[94][95][96] Class 56s in France (30),[97] and Class 58s in France (26), the Netherlands (3) and Spain (8).[97][98]

EWS gained the attention of the Rail Regulator for scrapping serviceable locomotives rather than making them available for sale to potential competitors.[99]

As well as an extensive fleet of freight wagons, DB Schenker Rail operate a small fleet of Mark 2 and Mark 3 carriages. Some of the former are on lease to First ScotRail for use on Fife Circle services,[100] while the latter form the DB Schenker Company Train.[101][102][103]

Depots

DB Schenker's primary maintenance depot is Toton.[104] The electric fleet is maintained at Crewe. With a modern fleet requiring less maintenance, many of the depots EWS inherited have closed.[105] Some of its other facilities including Bristol Barton Hill, Cambridge, Eastleigh and Newcastle have been transferred to fellow Deutsche Bahn subsidiary LNWR.[106][107]

In 2001, EWS commenced a contract to service Virgin CrossCountry's Class 220/221 fleets at Bristol Barton Hill, Eastleigh, Newcastle, Old Oak Common and Three Bridges.[108]

Locomotive haulage for Passenger services

Class 67 on a First Great Western service at Bristol Temple Meads station in April 2009
First ScotRail liveried Class 90 at Edinburgh Waverley station in June 2009

Since its inception, EWS has provided locomotives for the Caledonian Sleeper.[109] It inherited the contract from Rail Express Systems to provide Class 37 and Class 47s north of Edinburgh Waverley. In March 1998, it also began hauling the services south from Edinburgh Waverley and Glasgow Central to London Euston with Class 90s.[110]

Class 67s replaced the Class 37s and Class 47s in the early 2000s.[111][112] This work has now ceased operating on 31 March 2015.[113] In April 2003, EWS purchased the Rail Charter Services business from William McAlpine with 70 Mark 1 carriages.[114]

As of October 2014, Class 67s haul passenger services for Arriva Trains Wales,[115] Chiltern Railways[116] and First ScotRail.[112] Class 67s are also used as Thunderbird rescue locomotives for East Coast.[117] EWS also provides locomotives for the Venice-Simplon Orient Express.[118]

EWS have previously hauled passenger trains for Anglia Railways,[119] Arriva Trains Northern,[120] First Great Western[121] First North Western,[122] National Express East Anglia, Valley Lines, Virgin CrossCountry[123] Virgin West Coast and Wrexham & Shropshire.[124]

Since its inception, EWS has held the contract to operate the Royal Train. Initially two Class 47s were dedicated to this work.[125] These were replaced in 2004 by two Class 67s.[126][127]

Liveries

In April 1996, EWS adopted a maroon and yellow livery.[28] Initial repaints carried EW&S lettering, however this was simplified to EWS in January 1997.[128][129] In January 2009, the DB Schenker corporate red livery was adopted.[77][78] A few locomotives have been repainted in other liveries including Class 90s in GNER, First ScotRail and Direct Rail Services liveries, and Class 67s in Royal Train, Wrexham & Shropshire and unbranded Arriva Trains Wales liveries.[130][131][132][133]

See also

Notes

  1. ↑ The sixth rail freight company created during privatisation, Freightliner, was privatised through a management buyout.
  2. ↑ The main orders were: 250 EMD Series 66 locomotives from GM-EMD built in USA/Canada, 30 JT 42HW-HS from Alstom / Electro Motive Diesel (Spain/USA), and around 2500 wagons from Thrall Car Manufacturing Company, built at the Thrall Europa, York works.
  3. ↑ After 2002 began intermodal services from the ports of Felixstowe, Southampton, and Tilbury.[24]
  4. ↑ Probotec was formed 2004 from Powell Duffryn Rail.[54] Powell Duffryn Rail originated as the Cambrian Wagon Company, registered 1905, numerous amalgamations and changes of shareholding, became part of Powell Duffryn in 1935;[55] also acquired the Gloucester Railway Carriage and Wagon Company in 1986.[56]
  5. ↑ Complaints made in 2003 alleging predatory pricing in the passenger charter sector were not upheld.[65]
  6. ↑ Previously two EWS locomotives had received DB Schenker branding — including a light blue British Rail Class 60 60074 named "Teenage Cancer Trust"[79]

References

  1. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  2. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  3. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  4. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  5. ↑ 5.0 5.1 5.2 5.3 Butcher 2011, p. 13.
  6. ↑ ECMT 2001, p. 68.
  7. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  8. ↑ Parker 2012, p. 479.
  9. ↑ ECMT 2001, p. 67.
  10. ↑ 10.0 10.1 Parker 2012, pp. 479–480.
  11. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  12. ↑ 12.0 12.1 ECMT 2001, p. 70.
  13. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  14. ↑ "Bright new identies for TLF businesses" The Railway Magazine issue 1121 September 1994 page 12
  15. ↑ Parker 2012, pp. 479–482.
  16. ↑ 16.0 16.1 Companies House extract company no 3116332 DB Schenker Rail (UK) Holdings Limited formerly English Welsh & Scottish Railway Holdings Limited formerly North & South Railways Limited
  17. ↑ 17.0 17.1 Parker 2012, p. 480.
  18. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  19. ↑ 19.0 19.1 Lua error in package.lua at line 80: module 'strict' not found.
  20. ↑ 20.0 20.1 Lua error in package.lua at line 80: module 'strict' not found.
  21. ↑ Nash & Fowkes 2004, p. 67.
  22. ↑ 22.0 22.1 "Confirmed – Wisconsin Central buys Rail express systems" Rail issue 268 20 December 1995 page 9
  23. ↑ 23.0 23.1 "BR freight is finally sold to Burkhardt" Rail issue 274 13 March 1996 page 6
  24. ↑ 24.0 24.1 24.2 Lua error in package.lua at line 80: module 'strict' not found.
  25. ↑ ECMT 2001, p. 88.
  26. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  27. ↑ " The end of rail freight as we know it" The Railway Magazine issue 1140 April 1996 page 7
  28. ↑ 28.0 28.1 Lua error in package.lua at line 80: module 'strict' not found.
  29. ↑ "Wisconsin Central decides: It's the English Welsh & Scottish Railway" The Railway Magazine issue 1142 June 1996 page 8
  30. ↑ 30.0 30.1 ORR 2006, p. 6
  31. ↑ "New EW&S logo launched as company runs its first train" The Railway Magazine issue 1148 December 1996 page 6
  32. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  33. ↑ 33.0 33.1 Companies House extract company no 3232475 DB Schenker Rail International Limited formerly English Welsh & Scottish Railway International Limited formerly Railfreight Distribution Limited
  34. ↑ 34.0 34.1 34.2 "English Welsh & Scottish set to take over Railfreight Distribution" Rail issue 296 15 January 1997 page 9
  35. ↑ Sale of RfD 1999
  36. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  37. ↑ "RfD sale to EWS formally agreed" Rail issue 301 26 March 1997 page 10
  38. ↑ 38.0 38.1 "The complete rise and fall of EWS " Rail issue 612 25 February 2009 pages 62–65
  39. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  40. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  41. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  42. ↑ 42.0 42.1 Nash & Fowkes 2004, p. 71.
  43. ↑ Nash & Fowkes 2004, pp. 67, 69–72, 72–73.
  44. ↑ Nash & Fowkes 2004, p. 68, 72.
  45. ↑ "Freightliner Heavy Haul division challenges EWS" The Railway Magazine issue 1186 February 2000 page 6
  46. ↑ Nash & Fowkes 2004, p. 79.
  47. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  48. ↑ Canadian railway to buy Wisconsin Central New York Times 31 January 2001
  49. ↑ "EWS comes under CN" The Railway Magazine issue 1208 December 2001 page 15
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  57. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  58. ↑ Euro Cargo Rail Third Rail Freight Operator in France infrasite.net 11 April 2005
  59. ↑ Press Euro Cargo Rail
  60. ↑ "Euro Cargo Rail" Rail issue 667 6 April 2011 page 67
  61. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  62. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  63. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  64. ↑ ORR 2006, pp. 1–5, §1–17.
  65. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  66. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  67. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  68. ↑ "EWS sold to German Railways" The Railway Magazine issue 1276 August 2007 page 6
  69. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  70. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  71. ↑ "Go-ahead for EWS sale to German Railways" The Railway Magazine issue 1281 January 2008 page 8
  72. ↑ Annual Accounts for 9 months ended 31 December 2007: English Welsh & Scottish Railway Holdings Limited
  73. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  74. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  75. ↑ "EWS becomes DB Schenker" Rail issue 608 31 December 2008 page 17
  76. ↑ "Class 59 is first to receive UK DB Schenker German livery" Rail issue 610 28 January 2009 page 7
  77. ↑ 77.0 77.1 Lua error in package.lua at line 80: module 'strict' not found.
  78. ↑ 78.0 78.1 "DB Schenker unveils new look" The Railway Magazine issue 1295 March 2009 page 11
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  84. ↑ "Inaugural freight train on HS1" The Railway Magazine issue 1324 August 2011 page 9
  85. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  86. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  87. ↑ "More Class 92 freights on HS1" The Railway Magazine issue 1329 January 2012 page 87
  88. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  89. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  90. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  91. ↑ The UK's leading rail freight company announces rebrand DB Cargo UK 2 March 2016
  92. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  93. ↑ "EWS has big loco switch-off" The Railway Magazine issue 1236 April 2004 page 64
  94. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  95. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  96. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  97. ↑ 97.0 97.1 France wnxx.com
  98. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  99. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  100. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  101. ↑ EWS Executive Train Scot-rail
  102. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  103. ↑ "Silver 67 for EWS executive train" The Railway Magazine issue 1244 December 2004 page 7
  104. ↑ "Making the Class 60s super again" Rail issue 730 4 September 2013 page 48
  105. ↑ End of the line for Thornaby Railway Magazine 3 August 2011
  106. ↑ Depot integration puts Arriva's LNWR on track for future growth Global Rail News 5 May 2011
  107. ↑ "Four DB Schenker depots taken over by L&NWR" The Railway Magazine issue 1323 July 2011 page 81
  108. ↑ "New depots shared by EWS and Virgin" The Railway Magazine issue 1205 September 2001 page 73
  109. ↑ EWS awarded Sleeper contract Rail Technology Magazine 1 December 2005
  110. ↑ "Scottish sleeper power" The Railway Magazine issue 1166 June 1998 page 56
  111. ↑ "Highland sleepers awake after five-month break" Rail issue 408 2 May 2001 page 50
  112. ↑ 112.0 112.1 Class 67 locomotives take to the West Highland Line ScotRail 6 June 2006
  113. ↑ "The Sleepers are stirring" Rail issue 756 3 September 2014 page 70
  114. ↑ "Fear and trepidation as EWS acquires RCS" The Railway Magazine issue 1226 June 2003 page 91
  115. ↑ Changeover day North Wales Coast Railway Noticeboard 26 March 2012
  116. ↑ Chiltern to employ Vossloh Class 68 power for Mainline services Rail Express 22 August 2014
  117. ↑ Thunderbirds are go for rail firm BBC News 25 May 2003
  118. ↑ "DB Schenker to continue passenger services" Rail issue 673 29 June 2011 pages 36/37
  119. ↑ "Anglia opts for EWS Class 90s" The Railway Magazine issue 1232 December 2003 page 63
  120. ↑ "Loco-hauled trains back on the S&C" The Railway Magazine issue 1229 1 September 2003 page 7
  121. ↑ First Great Western Taunton Trains
  122. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  123. ↑ History Riviera Trains
  124. ↑ The end of Wrexham & Shropshire North Wales Coast Railway noticeboard 7 February 2011
  125. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  126. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  127. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  128. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  129. ↑ "Revised EWS livery launched" The Railway Magazine issue 1151 March 1997 page 6
  130. ↑ Lua error in package.lua at line 80: module 'strict' not found.
  131. ↑ Lua error in package.lua at line 80: module 'strict' not found.}
  132. ↑ "Virgin hires DB Class 90 via DRS" Rail issue 739 8 January 2014 page 13
  133. ↑ "Arriva blue for Class 67" The Railway Magazine issue 1327 November 2011 page 81

Sources

  • Lua error in package.lua at line 80: module 'strict' not found.
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  • Lua error in package.lua at line 80: module 'strict' not found.
  • Lua error in package.lua at line 80: module 'strict' not found.
  • Lua error in package.lua at line 80: module 'strict' not found.

Further reading

  • Lua error in package.lua at line 80: module 'strict' not found.

External links

  • Media related to Lua error in package.lua at line 80: module 'strict' not found. at Wikimedia Commons
  • Media related to Lua error in package.lua at line 80: module 'strict' not found. at Wikimedia Commons
  • Official website
  • Lua error in package.lua at line 80: module 'strict' not found.
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