[Federal Register Volume 76, Number 212 (Wednesday, November 2, 2011)]
[Notices]
[Pages 67790-67791]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2011-28408]


=======================================================================
-----------------------------------------------------------------------

DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[Docket No. MC-F 21041]


National Express Acquisition Corporation--Control--Petermann 
Partners, Inc.

AGENCY: Surface Transportation Board.

ACTION: Notice Tentatively Approving and Authorizing Finance 
Transaction.

-----------------------------------------------------------------------

SUMMARY: National Express Acquisition Corporation (NEAC) and National

[[Page 67791]]

Express Corporation (NEC), both noncarriers, have filed an application 
under 49 U.S.C. 14303 for NEAC's acquisition of control of Petermann 
Partners, Inc. (PPI), a noncarrier, and the passenger motor carriers 
PPI controls: Beck Bus Transportation Corp. (MC-143528); Petermann 
Northeast, LLC (MC-723926); Petermann Northwest, LLC (MC-638608); 
Petermann Southwest, LLC (MC-644996); Petermann STSA, LLC (which has 
filed for registration in FMCSA Docket No. MC-749360); MV Student 
Transportation, Inc. (MC-148934); Carrier Management, Inc. (no MC 
number); and Petermann Ltd. (MC-364668) (collectively, Petermann 
Carriers). The Board has tentatively approved and authorized the 
transaction, and, if no opposing comments are timely filed, this notice 
will be the final Board action. Persons wishing to oppose the 
application must follow the rules under 49 CFR 1182.5 and 1182.8.

DATES: Comments must be filed by December 16, 2011. Applicants may file 
a reply by December 30, 2011. If no comments are filed by December 16, 
2011, this notice is effective on that date.

ADDRESSES: Send an original and 10 copies of any comments referring to 
Docket No. MC-F 21041 to: Surface Transportation Board, 395 E Street 
SW., Washington, DC 20423-0001. In addition, send one copy of comments 
to the Applicants' representative: Andrew K. Light, Scopelitis, Garvin, 
Light, Hanson & Feary, P.C., 10 W. Market Street, Suite 1500, 
Indianapolis, IN 46204.

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

SUPPLEMENTARY INFORMATION: A British Corporation, National Express 
Group, PLC, controls NEC and NEAC, both of which are noncarrier holding 
companies incorporated in Delaware. NEC controls Vogel Bus Company, 
Inc. (MC-274520) (Vogel) and Durham School Services, L.P. (MC-163066) 
(Durham), both of which are motor carriers providing interstate charter 
passenger services to the public.\1\ PPI is a noncarrier holding 
company incorporated in Delaware. All of the Petermann Carriers 
primarily provide school bus transportation. Their interstate charter 
operations, which are subject to the Board's jurisdiction, are limited 
and often provided in school buses.
---------------------------------------------------------------------------

    \1\ The core business of Vogel and Durham is transporting 
students to and from school, a type of transportation that is not 
subject to Board jurisdiction. See 49 U.S.C. 13506(a)(1). Vogel and 
Durham also provide interstate charter services (using both school 
buses and motor coaches), which is subject to the Board's 
jurisdiction.
---------------------------------------------------------------------------

    Under the proposed transaction, NEAC seeks permission to acquire, 
directly or indirectly, all of the shares of PPI. Applicants state that 
NEC's ``operational infrastructure will be relied upon heavily for the 
actual operation of [the Petermann Carriers].'' Accordingly, because of 
this and the fact that NEC controls 2 carriers, NEC has been included 
as an applicant in an abundance of caution.
    Under 49 U.S.C. 14303, the Board must approve and authorize a 
transaction it finds 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. 
Applicants have submitted information, as required by 49 CFR 1182.2, 
including the information to demonstrate that the proposed transaction 
is consistent with the public interest under 49 U.S.C. 14303(b), and a 
statement that the 12-month aggregate gross operating revenues of all 
motor carrier parties and all motor carriers controlling, controlled 
by, or under common control with any party exceeded $2 million.
    Applicants state that: (1) The proposed transaction will have no 
impact on the adequacy of transportation services available to the 
public, because the operations of the Petermann carriers will continue 
to be provided by the same companies under the same name, as part of 
the NEC corporate family, an organization with experience in passenger 
transportation; and (2) the proposed transaction will have no fixed 
charges. Applicants also state that the proposed transaction will not 
have substantial impacts on employees or labor conditions because NEC 
does not anticipate a measurable reduction in force or change in 
compensation levels and/or benefits, although NEC states that it is 
possible that a limited number of back-office and/or managerial 
personnel could be affected. Additional information, including a copy 
of the application, may be obtained from the applicants' 
representative.
    On the basis of the application, the Board finds that the proposed 
acquisition of control is consistent with the public interest and 
should be tentatively approved and 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.
    The parties' application and Board decisions and notices are 
available on our Web site at 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 proposed 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 December 16, 2011, unless timely 
opposing comments are filed.
    4. A copy of this decision will be served on: (1) 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.

    Decided: October 28, 2011.

    By the Board, Chairman Elliott, Vice Chairman Begeman, and 
Commissioner Mulvey.
Jeffrey Herzig,
Clearance Clerk.
[FR Doc. 2011-28408 Filed 11-1-11; 8:45 am]
BILLING CODE 4915-01-P