[Federal Register Volume 69, Number 123 (Monday, June 28, 2004)]
[Notices]
[Pages 36161-36162]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 04-14590]


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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[STB Ex Parte No. 558 (Sub-No. 7)]


Railroad Cost-of-Capital--2003

AGENCY: Surface Transportation Board, DoT.

ACTION: Notice of decision.

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SUMMARY: On June 22, 2004, the Board served a decision to update its 
computation of the railroad industry's cost-of-capital for 2003. The 
composite after-tax cost-of-capital rate for 2003 is found to be 9.4%, 
based on a current cost-of-debt of 5.0%; a cost of common

[[Page 36162]]

equity capital of 12.7%; and a capital structure mix comprised of 42.8% 
debt and 57.2% common equity. The cost-of-capital finding made in this 
proceeding will be used in a variety of Board proceedings.

DATES: Effective Date: This action is effective June 28, 2004.

FOR FURTHER INFORMATION CONTACT: Leonard J. Blistein, (202) 565-1529. 
(Federal Information Relay Service (FIRS) for the hearing impaired: 1 
(800) 877-8339).

SUPPLEMENTARY INFORMATION: The cost-of-capital finding in this decision 
may be used for a variety of regulatory purposes. The Board's decision 
is posted on the Board's Web site, www.stb.dot.gov. In addition, copies 
of the decision may be purchased from ASAP Document Solutions by 
calling 301-577-2600 or by e-mailing [email protected].

Environmental and Energy Considerations

    This action will not significantly affect either the quality of the 
human environment or the conservation of energy resources.

Regulatory Flexibility Analysis

    Pursuant to 5 U.S.C. 605(b), we conclude that our action in this 
proceeding will not have a significant economic impact on a substantial 
number of small entities. The purpose and effect of this action are to 
update the annual railroad industry cost-of-capital finding by the 
Board. No new reporting or other regulatory requirements are imposed, 
directly or indirectly, on small entities.

    Authority: 49 U.S.C. 10704(a).

    Decided: June 22, 2004.

    By the Board, Chairman Nober, Vice Chairman Mulvey, and 
Commissioner Buttrey.
Vernon A. Williams,
Secretary.
[FR Doc. 04-14590 Filed 6-25-04; 8:45 am]
BILLING CODE 4915-01-P