[Federal Register Volume 61, Number 197 (Wednesday, October 9, 1996)]
[Notices]
[Pages 52994-52995]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-25936]
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DEPARTMENT OF TRANSPORTATION
Surface Transportation Board \1\
[STB Finance Docket No. 33136]
Canadian Pacific Limited, Canadian Pacific Railway Company, and
Napierville Junction Railroad Company--Corporate Family Transaction
Exemption--St. Lawrence & Hudson Railway Company Limited
Canadian Pacific Limited (CPL), Canadian Pacific Railway Company
(CP Rail),\2\ Napierville Junction Railroad Company (NJR), and St.
Lawrence & Hudson Railway Company Limited (StL&HR) have jointly filed a
verified notice of exemption.
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\1\ The ICC Termination Act of 1995, Pub. L. No. 104-88, 109
Stat. 803, which was enacted on December 29, 1995, and took effect
on January 1, 1996, abolished the Interstate Commerce Commission and
transferred certain functions to the Surface Transportation Board
(Board). This notice relates to functions that are subject to Board
jurisdiction pursuant to 49 U.S.C. 11323-24.
\2\ On July 4, 1996, Canadian Pacific Limited changed its name
to Canadian Pacific Railway Company, and a new noncarrier holding
company, Canadian Pacific Limited, was created.
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CP Rail will transfer its interest in certain U.S. rail assets to
StL&HR, a newly-created subsidiary of CP Rail, as follows:
(1) Its interest in CNCP-Niagara Detroit, an Ontario partnership,
which owns all of the stock of Detroit River Tunnel Company (DRTC) and
Niagara River Bridge Company (NRBC).\3\ StL&HR will acquire trackage
rights from DRTC and NRBC: (a) Through the Detroit River Tunnel (a
railway tunnel connecting Detroit, MI, and Windsor, Ontario, Canada)
from the international border (mid-tunnel) to the end of the connecting
track at milepost 228.2 in Detroit, a distance of approximately 2
miles, and (b) over the Suspension Bridge (a railway bridge between
Niagara Falls, Ontario, Canada, and Niagara Falls, NY, between the
international border (milepost 0.2) and the end of the access track at
milepost 0.0 in Niagara Falls, NY, a distance of 0.2 miles. The
trackage rights also include the short segments of connecting track at
both the Detroit River Tunnel and the Suspension Bridge.
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\3\ See Canadian National Railway Company and Canadian Pacific
Limited--Acquisition--Interests of Consolidated Rail Corporation in
Canada Southern Railway and Detroit River Tunnel Company, Finance
Docket No. 30387 (ICC served Sept. 4, 1984).
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(2) StL&HR will acquire a leasehold interest in the rail properties
of NJR,\4\ a 1.1-mile segment of track on the U.S. side of the
international border near Rouses Point, NY, where NJR connects with the
lines of the Delaware and Hudson Railway Company, Inc. (DHRC).\5\
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\4\ CP Rail obtained authorization to acquire NJR in Canadian
Pacific Limited, et al.--Purchase and Trackage Rights--Delaware &
Hudson Railway Company, Finance Docket No. 31700, 7 I.C.C.2d 85.
\5\ DHRC is a wholly owned subsidiary of CP Rail operating as a
rail carrier in the U.S.
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(3) StL&HR will acquire incidental overhead trackage rights, by
assignment of existing CP Rail trackage rights agreements, to reach
connections with U.S. carriers in the Detroit terminal area as follows:
(a) Consolidated Rail Corporation (Conrail) trackage between the end of
the Detroit River Tunnel connecting track (Conrail milepost 2.02 Main
Line) and Conrail milepost 9.3, Detroit Line, including the Delray
Interlocking at milepost 5.3, Detroit Line, and between milepost 2.02
and milepost 3.1, Mackinaw Branch, a total distance of approximate 8.4
miles; (b) The Norfolk and Western Railway Company (NW) line between
the Delray Interlocking (NW milepost 4.4) and Oakwood Yard (NW milepost
8.87), a distance of approximately 4.47 miles; and (c) The CSX
Transportation, Inc. (CSXT) line between Delray Interlocking (CSXT
milepost 4.5) and Rougemere Yard (CSXT milepost 6.6), a distance of
approximately 2.1 miles.
The transaction was expected to be consummated on or after October
1,
[[Page 52995]]
1996. Upon consummation of this transaction, StL&HR will become a rail
carrier.
The proposed transaction is part of an internal reorganization of
CP Rail's railroad operations in the eastern United States and eastern
Canada. It is designed to improve service and financial performance by
realigning CP Rail's railroad operating units and by consolidating
duplicate functions, primarily at the managerial and administrative
levels.
This is a transaction within a corporate family of the type
specifically exempted from prior review and approval under 49 CFR
1180.2(d)(3). The parties state that the transaction will not result in
adverse changes in service levels, significant operational changes, or
a change in the competitive balance with carriers outside the CPL
corporate family.
As conditions to this exemption, as applicable to the continuance
in control, any employees affected by the transaction will be protected
under New York Dock Ry.--Control--Brooklyn Eastern Dist., 360 I.C.C. 60
(1979); as applicable to the trackage rights, any employees affected by
the transaction will be protected by the conditions imposed in Norfolk
and Western Ry. Co.--Trackage Rights--BN, 354 I.C.C. 605 (1978), as
modified in Mendocino Coast Ry., Inc.--Lease and Operate, 360 I.C.C.
653 (1980); as applicable to the lease transaction, any employee
affected by the transaction will be protected by the conditions imposed
in Mendocino Coast Ry., Inc.--Lease and Operate, 354 I.C.C. 732 (1978),
as modified in Mendocino Coast Ry., Inc.--Lease and Operate, 360 I.C.C.
653 (1980), aff'd sub nom. RLEA v. ICC, 675 F.2d 1248 (D.C. Cir. 1982).
If the verified notice contains false or misleading information,
the exemption is void ab initio. Petitions to reopen the proceeding to
revoke the exemption under 49 U.S.C. 10502(d) may be filed at any time.
The filing of a petition to revoke will not automatically stay the
transaction.
An original and 10 copies of all pleadings, referring to STB
Finance Docket No. 33136, must be filed with the Surface Transportation
Board, Office of the Secretary, Case Control Branch, 1201 Constitution
Avenue, N.W., Washington, DC 20423. In addition, a copy of each
pleading must be served on Terence M. Hynes, Sidley & Austin, 1722 Eye
Street, N.W., Washington, DC 20006.
Decided: October 2, 1996.
By the Board, David M. Konschnik, Director, Office of
Proceedings.
Vernon A. Williams,
Secretary.
[FR Doc. 96-25936 Filed 10-8-96; 8:45 am]
BILLING CODE 4915-00-P
