[Federal Register Volume 66, Number 201 (Wednesday, October 17, 2001)]
[Notices]
[Pages 52830-52831]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 01-25972]


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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[STB Docket No. MC-F 20984]


Stagecoach Holdings PLC and Coach USA, Inc., et al.--Control--St. 
Louis Executive Coach, Inc.

AGENCY: Surface Transportation Board.

ACTION: Notice tentatively approving finance transaction.

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SUMMARY: Stagecoach Group PLC (Stagecoach) and its subsidiary, Coach 
USA, Inc. (Coach), noncarriers, and various subsidiaries of each 
(collectively, applicants), filed an application under 49 U.S.C. 14303 
to acquire control of St. Louis Executive Coach, Inc. (St. Louis 
Executive), a motor passenger carrier based in St. Louis, MO. Persons 
wishing to oppose this application must follow the rules under 49 CFR 
1182.5 and 1182.8. 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 November 30, 2001. Applicants may file 
a reply by December 17, 2001. If no comments are filed by November 30, 
2001, this notice is effective on that date.

ADDRESSES: Send an original and 10 copies of any comments referring to 
STB Docket. No. MC-F-20984 to: (1) 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: Betty Jo Christian, Steptoe & Johnson LLP, 1330 
Connecticut Avenue, NW., Washington, DC 20036-1795.

FOR FURTHER INFORMATION CONTACT: Joseph H. Dettmar (202) 565-1600 [TDD 
for hearing impaired: 1-800-877-8339.]

SUPPLEMENTARY INFORMATION: Stagecoach is a public limited corporation 
organized under the laws of Scotland.\1\ With operations in several 
countries, Stagecoach is one of the world's largest providers of 
passenger transportation services. It had total revenues of $2.7 
billion for the fiscal year ending April 30, 2001. Coach is a Delaware 
corporation that currently controls over 90 motor passenger carriers.
    Stagecoach and its subsidiaries currently control Coach,\2\ its 
noncarrier regional management subsidiaries, and the motor passenger 
carriers jointly controlled by Coach and the management 
subsidiaries.\3\ In previous Board decisions, Coach management 
subsidiaries, including co-applicant Coach USA North Central, Inc., 
have obtained authority to control motor passenger carriers jointly 
with Coach.\4\
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    \1\ Stagecoach was formerly known as Stagecoach Holdings PLC. It 
recently changed its name to Stagecoach Group PLC.
    \2\ Stagecoach controls Coach through various subsidiaries, 
namely, SCUSI Limited (formerly known as SUS 1 Limited); SCOTO 
Limited (formerly known as SUS 2 Limited); Stagecoach General 
Partnership and SCH US Holdings Corp.
    \3\ See Stagecoach Holdings PLC--Control--Coach USA, Inc., et 
al., STB Docket No. MC-F-20948 (STB served July 22, 1999).
    \4\ See Coach USA, Inc. and Coach USA North Central, Inc.--
Control--Nine Motor Carriers of Passengers, STB Docket No. MC-F-
20931, et al. (STB served July 14, 1999).
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    Applicants state that Coach formed St. Louis Executive as a 
Missouri corporation in August 2001.\5\ Before St.

[[Page 52831]]

Louis Executive obtained operating authority, Coach placed the stock of 
that entity into an independent voting trust.\6\ The control 
transaction that is the subject of this application will not involve 
any transfer of the federal operating authority held by St. Louis 
Executive. St. Louis Executive would also be jointly controlled by 
Coach USA North Central, Inc, a management company wholly owned by 
Coach.
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    \5\ St. Louis Executive recently obtained federally issued 
operating authority from the Federal Motor Carrier Safety 
Administration in Docket No. MC-414193, authorizing it to provide 
charter and special services between points in the United States. 
St. Louis Executive will initially operate approximately 6 buses and 
minivans and employ approximately 10 drivers. It intends to initiate 
carrier operations soon and to date has no revenues. St. Louis 
Executive will provide charter and tour services in the St. Louis 
area and between that area and points in nearby states.
    \6\ Applicants submitted a copy of the voting trust agreement 
with their application.
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    Applicants have submitted information, as required by 49 CFR 
1182.2(a)(7), to demonstrate that the proposed acquisition of control 
is consistent with the public interest. Applicants state that the 
proposed acquisition of control will not reduce competitive options, 
adversely impact fixed charges, or adversely impact the interests of 
the employees of St. Louis Executive. They assert that granting the 
application will allow St. Louis Executive to take advantage of 
economies of scale and substantial benefits offered by applicants, 
including interest cost savings and reduced operating costs. In 
addition, applicants have submitted all of the other statements and 
certifications required by 49 CFR 1182.2. Additional information, 
including a copy of the application, may be obtained from the 
applicants' representative.
    Under 49 U.S.C. 14303(b), we must approve and authorize a 
transaction we find consistent with the public interest, taking into 
consideration at least: (1) The effect of the transaction on the 
adequacy of transportation to the public; (2) the total fixed charges 
that result; and (3) the interest of affected carrier employees.
    On the basis of the application, we find that the proposed 
acquisition of control is consistent with the public interest and 
should be authorized. If any opposing comments are timely filed, this 
finding will be deemed vacated and, unless a final decision can be made 
on the record as developed, a procedural schedule will be adopted to 
reconsider the application. See 49 CFR 1182.6(c). 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 Web site at 
WWW.STB.DOT.GOV.
    The 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 of control 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 as having been vacated.
    3. This decision will be effective on November 30, 2001, unless 
timely opposing comments are filed.
    4. A copy of this notice will be served on: (1) The U.S. Department 
of Transportation, Federal Motor Carrier Safety Administration, 400 7th 
Street, SW., Room 8214, Washington, DC 20590; (2) the U.S. Department 
of Justice, Antitrust Division, 10th Street & Pennsylvania Avenue, NW, 
Washington, DC 20530; and (3) the U.S. Department of Transportation, 
Office of the General Counsel, 400 7th Street, SW, Washington, DC 
20590.

    Decided: October 10, 2001.

    By the Board, Chairman Morgan, Vice Chairman Clyburn, and 
Commissioner Burkes.
Vernon A. Williams,
Secretary.
[FR Doc. 01-25972 Filed 10-16-01; 8:45 am]
BILLING CODE 4915-00-P