[Federal Register Volume 72, Number 134 (Friday, July 13, 2007)]
[Notices]
[Page 38654]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: E7-13540]


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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[STB Docket No. MC-F-21021]


FirstGroup plc--Acquisition--Cognisa Transportation, Inc.

AGENCY: Surface Transportation Board, DOT.

ACTION: Notice Tentatively Approving Finance Transaction.

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SUMMARY: On June 13, 2007, FirstGroup plc (FirstGroup), a noncarrier in 
control of one or more motor carriers of passengers, filed an 
application under 49 U.S.C. 14303 to acquire Board authorization of its 
indirect purchase of the properties of Cognisa Transportation, Inc. 
(Cognisa). Persons wishing to oppose this application must follow the 
rules at 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 August 27, 2007. Applicant may file a 
reply by September 11, 2007. If no comments are filed by August 27, 
2007, this notice is effective on that date.

ADDRESSES: Send an original and 10 copies of any comments referring to 
STB Docket No. MC-F-21021 to: Surface Transportation Board, 395 E 
Street, SW., Washington, DC 20423-0001. In addition, send one copy of 
comments to applicant's representative: Fritz R. Kahn, 1920 N Street, 
NW., 8th Floor, Washington, DC 20036.

FOR FURTHER INFORMATION CONTACT: Julia Farr (202) 245-0359 [Federal 
Information Relay Service (FIRS) for the hearing impaired: 1-800-877-
8339].

SUPPLEMENTARY INFORMATION: FirstGroup is a public limited company 
organized under the laws of Scotland, U.K. FirstGroup states that it 
has three North American operating divisions: (1) First Student, Inc., 
(2) First Transit, Inc., and (3) First Services, Inc. FirstGroup 
America, Inc., a wholly owned subsidiary of FirstGroup USA, Inc., 
controls First Student, Inc. and First Transit, Inc. (First Transit). 
First Services, Inc., a wholly owned subsidiary of FirstGroup USA, 
Inc., controls First Vehicle Services, Inc. and First Support Services, 
Inc.\1\
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    \1\ FirstGroup's corporate organization chart is attached as 
Exhibit 1 to its application.
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    According to FirstGroup, First Transit (MC 576222) purchased the 
properties of Cognisa, effective January 1, 2007, without the advice of 
commerce counsel or the approval of the Board. The Board informed 
FirstGroup that it must file a complete application under 49 CFR 1182 
seeking authorization for First Transit's acquisition of Cognisa.\2\ We 
will consider the application here.
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    \2\ See FirstGroup plc--Acquisition--Laidlaw International, 
Inc., STB Docket No. MC-F-21020 (STB served Apr. 5, 2007).
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    Cognisa (MC-548215) was a motor common carrier of passengers 
rendering special and charter operations, primarily in the airport, 
university, and corporate passenger shuttle market.
    The gross operating revenues of FirstGroup and Cognisa exceed $2 
million annually. Through the transaction, First Transit acquired the 
buses, assignable contracts, customer lists, and good will of Cognisa. 
All of these assets have been merged into First Transit. Cognisa 
remains a corporate entity but without transportation assets.
    Under 49 U.S.C. 14303(b), the Board must approve and authorize a 
transaction found to be 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.
    FirstGroup has submitted information, as required by 49 CFR 1182.2, 
including the information to demonstrate that the transaction is 
consistent with public interest under 49 U.S.C. 14303(b). Applicant has 
shown that the transaction has had no adverse impact on the adequacy of 
transportation services available to the public, that the transaction 
has not had an adverse effect on the total fixed charges, and that the 
interests of employees of Cognisa were not adversely impacted. 
Additional information, including a copy of the application, may be 
obtained from the applicant's representative.
    On the basis of the application, we find that the 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 notice 
will take effect automatically and will be the final Board action.
    Board decisions and notices are available on our Web site at: 
http://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 finance transaction is approved and authorized, subject to 
the filing of opposing comments.
    2. If timely opposing comments are filed, the findings made in this 
notice will be deemed as having been vacated.
    3. This notice will be effective August 27, 2007, 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, 1200 New 
Jersey Avenue, SE., 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, 1200 New Jersey Avenue, SE., Washington, 
DC 20590.

    Dated: July 5, 2007.

    By the Board, Chairman Nottingham, Vice Chairman Buttrey, and 
Commissioner Mulvey.
 Vernon A. Williams,
Secretary.
[FR Doc. E7-13540 Filed 7-12-07; 8:45 am]
BILLING CODE 4915-01-P