[Federal Register Volume 61, Number 177 (Wednesday, September 11, 1996)]
[Notices]
[Page 48002]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 96-23215]
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DEPARTMENT OF TRANSPORTATION
[STB Finance Docket No. 33014]
Modesto and Empire Traction Company, Beard Land and Investment
Co., Beard Land Improvement Company, and New Modesto and Empire
Traction Company--Corporate Family Transaction Exemption
Modesto \1\ and Empire Traction Company (MET), Beard Land and
Investment Co. (BI), Beard Land Improvement Company (BL), and New
Modesto and Empire Traction Company (NMET), have filed a joint notice
of exemption to undertake a corporate family transaction. MET, a short
line rail carrier, will merge into its parent BI, a noncarrier. BI and
BL, a noncarrier subsidiary of MET, will concurrently transfer certain
rail properties to NMET, a noncarrier company, in exchange for its
common stock. The name of the surviving corporation will then be
changed to Modesto and Empire Traction Company. The proposed
transaction was to be consummated on the date of final agreement of
parties but not sooner than August 19, 1996, the effective date of the
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.
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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 transaction will not result in adverse changes in
service levels, significant operational changes, or a change in the
competitive balance with carriers operating outside applicants'
corporate family. The purpose of the transaction is to simplify
corporate structure to achieve certain economies and efficiencies in
the surviving corporation.
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 railroad carriers. Because this
transaction involves Class III rail carriers only, the Board, under the
statute, may not impose labor protective conditions for this
transaction.
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. 33014, must be filed with the Surface Transportation
Board, Office of the Secretary, Case Control Branch, 1201 Constitution
Avenue, N.W., Washington, DC 20423 and served on: John B. Lowry,
McCutchen, Doyle, Brown & Enersen, Three Embarcadero Center, 18th
Floor, San Francisco, CA 94111.
Decided: September 5, 1996.
By the Board, David M. Konschnik, Director, Office of
Proceedings.
Vernon A. Williams,
Secretary.
[FR Doc. 96-23215 Filed 9-10-96; 8:45 am]
BILLING CODE 4915-00-P
