[Federal Register Volume 69, Number 49 (Friday, March 12, 2004)]
[Notices]
[Page 11939]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-5381]


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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[STB Docket No. MC-F-21005]


Coach USA, Inc.--Intra-Corporate Family Transaction Exemption

    Coach USA, Inc. (Coach), a noncarrier, has filed a verified notice 
of exemption under the Board's class exemption procedures at 49 CFR 
1182.9. Under the proposed transaction, Coach will transfer equal 
shares of Coach USA Administration, Inc. (Coach Administration), a 
noncarrier subsidiary of Coach that is incorporated in Nevada, to two 
United Kingdom (UK) entities, SCUSI Limited and SCOTO Limited, 
noncarriers that currently are general partners in Stagecoach Nevada, 
Coach's current immediate parent company. Subsequently, Stagecoach 
Nevada will transfer its shares in Coach to Coach Administration. 
Thereafter, SCOTO Limited will transfer all of its Coach Administration 
shares to SCUSI Limited. As a result of the transaction, the structure 
of Coach will be simplified, leaving SCUSI Limited as the owner of 
Coach Administration which will be the sole immediate owner of Coach.
    The transaction is scheduled to be consummated on March 10, 
2004.\1\
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    \1\ In its verified notice, Coach initially proposed 
consummation on February 19, 2004, the effective date of the 
exemption (7 days after the exemption was filed). By letter filed on 
March 2, 2004, Coach states that the closing date for the 
transaction was rescheduled to March 10, 2004.
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    The purpose of the transaction is to adjust the current debt levels 
of Coach to a more sustainable level and to concentrate the holdings of 
the shares of Coach into a single noncarrier UK entity, thereby 
creating a simpler single direct holding in the United States.
    This is a transaction within a corporate family of the type 
specifically exempted from prior review and approval under 49 CFR 
1182.9. Coach states that the transaction will not result in adverse 
changes to the subsidiary motor companies' service levels, significant 
operational changes, or a change in the competitive balance with motor 
passenger carriers outside the corporate family. Coach also states 
that, to consummate this transaction, it will enter into (1) a Stock 
Purchase Agreement to sell its shares in Coach Administration to SCUSI 
Limited and SCOTO Limited, and (2) an Assignment and Assumption 
Agreement and First Amendment to Loan Facility, in which Coach, as the 
lender, allows the change in the identity of the borrower under the 
Loan Facility from Stagecoach Nevada to Coach Administration. Coach 
further states that the motor passenger carriers involved in this 
transaction will remain unchanged by these transactions and that these 
transactions will have no effect upon Coach employees or the employees 
of the motor passenger carriers owned by Coach.
    If the verified notice contains false or misleading information, 
the Board shall summarily revoke the exemption and require divestiture. 
Petitions to revoke the exemption under 49 U.S.C. 13541(d) may be filed 
at any time. See 49 CFR 1182.9(c).
    An original and 10 copies of all pleadings, referring to STB Docket 
No. MC-F-21005, must be filed with the Surface Transportation Board, 
1925 K Street, NW., Washington, DC 20423-0001. In addition, a copy of 
each pleading must be served on David H. Coburn, Steptoe & Johnson LLP, 
1330 Connecticut Avenue, NW., Washington, DC 20036.
    Board decisions and notices are available on our Web site at 
www.stb.dot.gov.

    Decided: March 4, 2004.

    By the Board, David M. Konschnik, Director, Office of 
Proceedings.
Vernon A. Williams,
Secretary.
[FR Doc. 04-5381 Filed 3-11-04; 8:45 am]
BILLING CODE 4915-01-P