[Federal Register Volume 61, Number 121 (Friday, June 21, 1996)]
[Notices]
[Page 32027]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-15893]
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DEPARTMENT OF TRANSPORTATION
Surface Transportation Board1
[STB Finance Docket No. 32975]
RailTex, Inc.; Control Exemption; Indiana & Ohio Rail Corp.
RailTex, Inc. (RailTex), a noncarrier holding company, has filed a
notice of exemption to acquire control through stock ownership of
Indiana & Ohio Rail Corp. (I&O), a noncarrier holding company.2
I&O controls four separate Class III railroads as follows: Cincinnati
Terminal Railway Company; Indiana and Ohio Railroad, Inc.; Indiana &
Ohio Railway Company; and Indiana & Ohio Central Railroad, Inc. These
four I&O rail carrier subsidiaries are separate corporate entities
comprising a single rail system operating in the States of Indiana and
Ohio as the Indiana & Ohio Rail System (I&O Rail System).
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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\ RailTex is acquiring all of the issued and outstanding
capital stock of I&O.
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The exemption became effective, and it was reported in a letter
filed in The Indiana & Ohio Rail Passenger Corporation--Acquisition by
Trackage Rights and Operation Exemption--Cincinnati Terminal Railway
Corp., Indiana and Ohio Railroad Company, Indiana & Ohio Railway
Company, Inc., and Indiana & Ohio Central Railroad Company, Inc., STB
Finance Docket No. 32976 (STB served June 21, 1996), that the
transaction was consummated, on June 4, 1996.
RailTex controls 16 existing Class III railroad subsidiaries: San
Diego & Imperial Valley Railroad Company, Inc., operating in
California; North Carolina & Virginia Railroad Company, Inc. (including
Virginia Southern Division), operating in North Carolina and Virginia;
South Carolina Central Railroad Company, Inc. (including Carolina
Piedmont Division), operating in South Carolina; Mid-Michigan Railroad,
Inc. (including Northeast Kansas & Missouri Division and Texas
Northeastern Division) operating in Texas, Kansas, Missouri and
Michigan. Chesapeake & Albemarle Railroad Company, Inc., operating in
Virginia and North Carolina; Michigan Shore Railroad Company, Inc.,
operating in Michigan; New Orleans Lower Coast Railroad Company, Inc.,
operating in Louisiana; Dallas, Garland & Northeastern Railroad, Inc.,
operating in Texas; Indiana Southern Railroad, Inc., operating in
Indiana; 3 Missouri & Northern Arkansas Railroad Company, Inc.,
operating in Kansas, Missouri and Arkansas; Salt Lake City Southern
Railroad Company, Inc., operating in Utah; Grand Rapids Eastern
Railroad, Inc., operating in Michigan; Central Oregon & Pacific
Railroad, Inc., operating in Oregon and California; New England Central
Railroad, Inc., operating in Vermont, New Hampshire, Massachusetts, and
Connecticut; Georgia Southwestern Railroad, Inc. (including Georgia &
Alabama Division and Georgia Southwestern Division), operating in
Alabama and Georgia; and Austin & Northwestern Railroad Company, Inc.
(including Texas-New Mexico Division), operating in Texas and New
Mexico.
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\3\ The Indiana Southern Railroad, Inc. operates in the State of
Indiana but does not connect with the I&O Rail System.
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RailTex states that: (i) the I&O Rail System will not connect with
any railroad in the RailTex corporate family; (ii) the acquisition of
control is not part of a series of anticipated transactions that would
connect the I&O Rail System with any railroad in the RailTex corporate
family; and (iii) the transaction does not involve a Class I carrier.
Therefore, the transaction is exempt from the prior approval
requirements of 49 U.S.C. 11323. See 49 CFR 1180.2(d)(2).
Under 49 U.S.C. 10502(g), the Board may not use its exemption
authority to relieve a rail carrier of its statutory obligation to
protect the interests of its employees. Section 11326(c), however, does
not provide for labor protection for transactions under sections 11324
and 11325 that involve only Class III rail carriers. Because this
transaction involves Class III rail carriers only, the Board, under the
statute, may not impose labor protective conditions for this
transaction.
If the notice contains false or misleading information, the
exemption is void ab initio. Petitions 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. 32975, 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 Karl Morell, Ball, Janik & Novack, 1455 F
Street, N.W., Suite 225, Washington, DC 20005.
Decided: June 14, 1996.
By the Board, David M. Konschnik, Director, Office of
Proceedings.
Vernon A. Williams,
Secretary.
[FR Doc. 96-15893 Filed 6-20-96; 8:45 am]
BILLING CODE 4915-00-P
