[Federal Register Volume 72, Number 128 (Thursday, July 5, 2007)]
[Notices]
[Pages 36757-36758]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-12753]


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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[STB Finance Docket No. 35051]


Progressive Rail Inc.--Acquisition of Control Exemption--Central 
Midland Railway Company

    Progressive Rail Inc. (PRI), a Class III rail carrier,\1\ has filed 
a verified notice of exemption to acquire control of Central Midland 
Railway Company (CMR), also a Class III rail carrier, pursuant to a 
stock purchase agreement.\2\ CMR currently leases and operates a rail 
line of Missouri Central Railway Co., and a rail line of Union Pacific 
Railroad Company.\3\
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    \1\ PRI owns rail property interests in the States of Minnesota, 
Wisconsin and Iowa.
    \2\ A redacted version of the stock purchase agreement between 
CMR and PRI was filed with the notice of exemption. The full version 
of the agreement, as required by 49 CFR 1180.6(a)(7)(ii), was 
concurrently filed under seal along with a motion for protective 
order. The request for a protective order is being addressed in a 
separate decision.
    \3\ Both rail lines are located in the State of Missouri.
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    The transaction is scheduled to be consummated on or about July 19, 
2007.

[[Page 36758]]

    PRI represents that: (1) The involved railroads do not connect with 
each other or with other railroads in their corporate families; (2) the 
transaction is not part of a series of anticipated transactions that 
would connect the railroads with each other or any railroad in their 
corporate families; and (3) the transaction does not involve a Class I 
rail carrier.\4\ Therefore, the transaction is exempt from the prior 
approval requirements of 49 U.S.C. 11323. See 49 CFR 1180.2(d)(2).
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    \4\ In addition to its verified notice of exemption, PRI 
submitted a facsimile letter dated June 21, 2007, confirming that 
the qualifications at (i) and (ii) of 49 CFR 1180.2(d)(2) had been 
met.
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    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 section 11324 
and 11325 that involve only Class III rail carriers. Accordingly, the 
Board may not impose labor protective conditions here, because all of 
the carriers involved are Class III carriers.
    If the verified notice contains false or misleading information, 
the exemption is void ab initio. 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. 35051, must be filed with the Surface Transportation 
Board, 395 E Street, SW., Washington, DC 20423-0001. In addition, one 
copy of each pleading must be served on Michael J. Barron, Jr., 
Fletcher & Sippel LLC, 29 North Wacker Drive, Suite 920, Chicago, IL 
60606-2832.
    Board decisions and notices are available on our Web site at http://www.stb.dot.gov.

    Decided: June 26, 2007.

    By the Board, David M. Konschnik, Director, Office of 
Proceedings.
Vernon A. Williams.
Secretary.
[FR Doc. E7-12753 Filed 7-3-07; 8:45 am]
BILLING CODE 4915-01-P