[Federal Register Volume 64, Number 24 (Friday, February 5, 1999)]
[Notices]
[Pages 5859-5860]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 99-2812]
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DEPARTMENT OF TRANSPORTATION
Surface Transportation Board
[STB Docket No. MC-F-20919]
Greyhound Lines, Inc., et al.--Acquisition--Autobus Turismos
Rapidos, Inc.
AGENCY: Surface Transportation Board.
ACTION: Notice tentatively approving finance application
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SUMMARY: Greyhound Lines, Inc. (Greyhound), a motor carrier of
passengers, Sistema Internacional de Transporte de Autobuses, Inc.
(SITA), a wholly owned, non-carrier subsidiary of Greyhound, and
Americanos U.S.A., L.L.C. (Americanos), a motor carrier controlled by
SITA, jointly seek approval under 49 U.S.C. 14303 for the acquisition
of the operating authority and certain other properties of Autobus
Turismos Rapidos, Inc. (ATR), a motor carrier of passengers. Persons
wishing to oppose the application must follow the rules under 49 CFR
part 1182 (effective October 1, 1998). The Board has tentatively
approved the transaction, and, if no opposing comments are timely
filed, this notice will be the final Board action.
DATES: Comments must be filed by March 22, 1999. Applicants may file a
reply by April 6, 1999. If no comments are filed by March 22, 1999,
this notice is effective on that date.
[[Page 5860]]
ADDRESSES: Send an original and 10 copies of any comments referring to
STB Docket No. MC-F-20919 to: Surface Transportation Board, Office of
the Secretary, Case Control Unit, 1925 K Street, NW., Washington, DC
20423-0001. In addition, send one copy of any comments to applicants'
representative: Fritz R. Kahn, Suite 750 West, 1100 New York Avenue,
NW., Washington, DC 20005-3934.
FOR FURTHER INFORMATION CONTACT: Beryl Gordon, (202) 565-1600. [TDD for
the hearing impaired: (202) 565-1695.]
SUPPLEMENTARY INFORMATION: Greyhound holds nationwide, motor passenger
carrier operating authority under Docket No. MC-1515.1 SITA
holds no operating authority, but controls Americanos (MC-309813)
2 and proposes to acquire ATR through Americanos. SITA also
controls three other motor passenger carriers: Gonzalez, Inc., d/b/a
Golden State Transportation Company (Gonzalez) (MC-173837), operating
in the Southwest; Los Rapidos, Inc. (MC-293638), operating in
California, Nevada, and Arizona; and Autobuses Amigos, L.L.C. (Amigos)
(MC-340462), operating between Mexican border crossing points in Texas
and points throughout the United States. ATR holds authority in Docket
No. MC-181016, to conduct scheduled, regular-route, passenger
operations in California, Colorado, New Mexico, Arizona, and Texas.
According to applicants, their purchase of ATR has already been
consummated, but SITA has placed all of its ``membership interests'' in
Americanos into a voting trust established pursuant to 49 CFR part
1013.
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\1\ In Laidlaw, Inc. and Laidlaw Transit Acquisition Corp.--
Merger--Greyhound Lines, Inc., STB Docket No. MC-F-20940 (STB served
Dec. 17, 1998) (63 FR 69710), we tentatively approved the merger of
Greyhound with Laidlaw Transit Acquisition Corp., a wholly owned
subsidiary of Laidlaw Inc.
Greyhound also controls several regional motor passenger
carriers: Valley Transit Company, Inc. (MC-74), operating in Texas;
Carolina Coach Company, Inc. (MC-13300), operating in Delaware,
Virginia, and North Carolina; Texas, New Mexico & Oklahoma Coaches,
Inc. (MC-61120), operating in Texas, New Mexico, Colorado, Kansas,
and Oklahoma; Continental Panhandle Lines, Inc. (MC-8742), operating
in Oklahoma and Texas; Vermont Transit Co., Inc. (MC-45626),
operating in Maine, Vermont, Massachusetts, and New York; and PRB
Acquisition, LLC, doing business as Peoria Rockford Bus Co. (MC-
66810), operating in Illinois.
\2\ Americanos is authorized to conduct scheduled, regular-
route, passenger operations between border crossing points such as
San Ysidro/Tijuana, Calexico/Mexicali, and Nogales/Nogales, and such
cities as Los Angeles, Seattle, Dallas, Houston, Chicago, Atlanta,
and Miami, but it did not conduct any passenger transportation
operations before consummation of the purchase of ATR's properties.
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Applicants state that the aggregate gross operating revenues for
Greyhound and its affiliates exceeded $2 million during the 12 months
preceding the filing of this application. They assert that access to
applicants' financial resources will permit ATR's business,
specializing in transportation markets addressing Spanish speaking
passengers, to grow and will strengthen its competitive position. They
state that this will improve service to the traveling public, integrate
ATR's services with those of Greyhound, permit both carriers to offer
reasonable and reduced fares, and enhance competition.3 They
indicate that the transaction will have little or no effect on
Greyhound's total fixed charges, and that ATR's drivers and other
employees will be offered the opportunity to apply for positions with
Americanos.
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\3\ According to applicants, SITA has minority ownership
interests in two Mexican motorbus operators that connect with
Americanos at the Mexican/U.S. border crossing points and this
transaction will permit SITA, through Americanos, to use the
operating authority and other property of ATR to ease and simplify
Mexico/U.S. transborder passenger transportation.
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Applicants certify that: (1) Greyhound and its affiliates hold
``satisfactory'' safety ratings (except for Americanos and Amigos,
which have not yet been rated, and Gonzalez, which has a
``conditional'' rating); (2) Americanos and Greyhound have appointed
appropriate agents for service of process in each state in which they
operate, in accordance with 49 U.S.C. 13303 and 13304 and 49 CFR part
366.1 et seq., and maintain sufficient liability insurance as required
by 49 U.S.C. 13906 and 40 CFR part 387.1, et seq.; (3) Greyhound, SITA,
Americanos, and ATR are not domiciled in Mexico and are not owned or
controlled by a person of that country; and (4) approval of the
transaction will not significantly affect either the quality of the
human environment or the conservation of energy resources.
Under 49 U.S.C. 14303(b), we must approve and authorize a
transaction that we find consistent with the public interest, taking
into consideration at least: (1) the effect of the proposed transaction
on the adequacy of transportation to the public; (2) the total fixed
charges that result from the proposed transaction; and (3) the interest
of carrier employees affected by the proposed transaction.
On the basis of the application, we find that the proposed
acquisition is consistent with the public interest and should be
authorized. If any opposing comments are timely filed, this finding
will be deemed to be vacated, and unless a final decision can be made
on the record as developed, a procedural schedule will be adopted to
reconsider the application. If no opposing comments are filed by the
expiration of the comment period, this decision will take effect
automatically and will be the final Board action.
Board decisions and notices are available on our website at
``WWW.STB.DOT.GOV.''
This decision will not significantly affect either the quality of
the human environment or the conservation of energy resources.
It is ordered:
1. The proposed acquisition is approved and authorized, subject to
the filing of opposing comments.
2. If timely opposing comments are filed, the findings made in this
decision will be deemed to be vacated.
3. This decision will be effective on March 22, 1999, unless timely
opposing comments are filed.
4. A copy of this notice will be served on: (1) the U.S. Department
of Justice, Antitrust Division, 10th Street & Pennsylvania Avenue, NW.,
Washington, DC 20530; and (2) the U.S. Department of Transportation,
Office of Motor Carriers-HIA 30, 400 Virginia Avenue, SW., Suite 600,
Washington, DC 20024.
Decided: February 1, 1999.
By the Board, Chairman Morgan and Vice Chairman Clyburn.
Vernon A. Williams,
Secretary.
[FR Doc. 99-2812 Filed 2-4-99; 8:45 am]
BILLING CODE 4915-00-P