69710 Federal Register / Vol. 63, No. 242 / Thursday, December 17, 1998 / Notices efficient operation of equipment. Approval is granted in such DEPARTMENT OF TRANSPORTATION Applicants aver that, with Coach’s and circumstances when the record contains Coach Canada’s assistance, coordinated strong affirmative evidence of public Surface Transportation Board driver training services will be benefits to be derived from the resulting [STB Docket No. MC±F±20940] provided, enabling each carrier to control, warranting the view that the allocate driver resources in the most public should not be penalized by being Laidlaw Inc. and Laidlaw Transit efficient manner possible. Applicants deprived of those benefits. Moreover, in Acquisition Corp.ÐMergerÐ add that the proposed transaction will this case, the record shows an absence Greyhound Lines, Inc. benefit the employees of each carrier of intent to flout the law or of a and that collectively bargained deliberate or planned violation. See AGENCY: Surface Transportation Board. agreements will be recognized. Kenosha Auto Transport Corp.— ACTION: Notice tentatively approving Applicants state that Coach Canada, Control, 85 M.C.C. 731, 736 (1960). finance transaction. like other management subsidiaries that On the basis of the application, we Coach has established to assume control find that the proposed acquisition of SUMMARY: Laidlaw Inc. (Laidlaw), a of, and manage the operations of, motor control and continuance in control is noncarrier that controls seven interstate passenger carriers as to which control consistent with the public interest and motor passenger carriers, and Laidlaw authority has previously been granted to should be authorized. If any opposing Transit Acquisition Corp. (LTAC), a Coach, will focus its efforts on those comments are timely filed, this finding wholly owned noncarrier subsidiary carriers that are based in Canada. will be deemed vacated and, unless a (collectively, applicants), have filed an Applicants also state that Coach Canada final decision can be made on the record application under 49 U.S.C. 14303 for will be responsible for developing as developed, a procedural schedule approval of the merger of LTAC with strategic business and growth plans for will be adopted to reconsider the Greyhound Lines, Inc. (Greyhound), a the Canadian based entities that it seeks application.7 If no opposing comments motor carrier of passengers. Persons to control and for assessing are filed by the expiration of the wishing to oppose the application must opportunities for further Canadian comment period, this decision will take follow the rules under 49 CFR part 1182 acquisitions of passenger transportation effect automatically and will be the final (effective October 1, 1998). The Board entities. Applicants indicate that, over Board action. has tentatively approved the the long term, Coach and Coach Canada Board decisions and notices are transaction, and, if no opposing will provide centralized marketing and available on our website at comments are timely filed, this notice reservation services for the bus firms ‘‘WWW.STB.DOT.GOV.’’ will be the final Board action. that they control, thereby further This decision will not significantly DATES: Comments must be filed by enhancing the benefits resulting from affect either the quality of the human February 1, 1999. Applicants may file a these control transactions. environment or the conservation of reply by February 16, 1999. If no Applicants certify that: (1) None of energy resources. comments are filed by February 1, 1999, the carriers holds an unsatisfactory It is ordered: this notice is effective on that date. 1. The proposed acquisition of control safety rating from the U.S. Department ADDRESSES: Send an original and 10 of Transportation; 5 (2) each has and continuance in control is approved and authorized, subject to the filing of copies of any comments referring to STB sufficient liability insurance; (3) none is Docket No. MC–F–20940 to: Surface domiciled in Mexico or owned or opposing comments. 2. If timely opposing comments are Transportation Board, Office of the controlled by persons of that country; Secretary, Case Control Unit, 1925 K and (4) approval of the transaction will filed, the findings made in this decision will be deemed as having been vacated. Street, N.W., Washington, DC 20423– not significantly affect either the quality 0001. In addition, send one copy of of the human environment or the 3. This decision will be effective on February 1, 1999, unless timely comments to applicants’ representative: conservation of energy resources. Raymond A. Jacobsen, Jr., McDermott, Additional information may be obtained opposing comments are filed. 4. A copy of this notice will be served Will & Emery, 600 13th Street, N.W., from applicants’ representatives. Washington, DC 20005–3096. Under 49 U.S.C. 14303(b), we must on: (1) the U.S. Department of FOR FURTHER INFORMATION CONTACT: approve and authorize a transaction we Transportation, Office of Motor Carriers- find consistent with the public interest, HIA 30, 400 Virginia Avenue, S.W., Beryl Gordon, (202) 565–1600. [TDD for taking into consideration at least: (1) the Suite 600, Washington, DC 20024; and the hearing impaired: (202) 565–1695.] effect of the transaction on the adequacy (2) the U.S. Department of Justice, SUPPLEMENTARY INFORMATION: Laidlaw 1 of transportation to the public; (2) the Antitrust Division, 10th Street & currently controls seven interstate motor total fixed charges that result; and (3) Pennsylvania, N.W., Washington, DC passenger carriers 2 and three intrastate the interest of affected carrier 20530. or regional carriers not subject to federal employees. The prior consummation of Decided: December 9, 1998. the transaction involving Autocar does By the Board, Chairman Morgan and Vice 1 Laidlaw, through its affiliates, is one of the largest school bus operators in the United States. It not bar approval of the application Chairman Owen. Vernon A. Williams, also operates municipal, transit, charter buses, and under section 14303 if the evidence medical transportation in Canada and the United establishes that the transaction would Secretary. States. However, no carrier controlled by Laidlaw be consistent with the public interest in [FR Doc. 98–33459 Filed 12–16–98; 8:45 am] conducts any regularly scheduled intercity passenger operations in the United States. 6 BILLING CODE 4915±00±P other respects, and for the future. 2 Laidlaw’s federally regulated affiliates are: Greyhound Canada Transportation Corp. 5 Trentway and Autocar each hold satisfactory should have sought our approval sooner but, under (Greyhound Canada) (MC–304126), which is not ratings. Erie 1985 has a conditional rating, while the circumstances, the Board does not intend to currently affiliated with Greyhound Lines, Inc.; Erie, which is not presently a carrier, has no rating. pursue enforcement actions against applicants for Laidlaw Transit, Inc. (MC–161299); Laidlaw Transit 6 Applicants seek nunc pro tunc approval of their the previously unauthorized common control. Ltd. (MC–102189); Roesch Lines, Inc. (Roesch) control of Autocar, which they already control. 7 Under revised 49 CFR 1182.6(c), a procedural (MC–119843); Safe Ride Services, Inc. (Safe Ride) While we are granting our tentative approval, the schedule will not be issued if we are able to dispose (MC–246193); Vancom Transportation-Illinois, L.P. need for retroactive effect has not been of opposition to the application on the basis of (MC–167816); and Willett Motor Coach Co. (Willett) demonstrated. Applicants recognize that they comments and the reply. (MC–16073). Federal Register / Vol. 63, No. 242 / Thursday, December 17, 1998 / Notices 69711 economic regulation.3 Greyhound holds complementary operations is expected taking into consideration at least: (1) nationwide, motor passenger carrier to facilitate the implementation of The effect of the proposed transaction operating authority under Docket No. seamless U.S. and Canadian passenger on the adequacy of transportation to the MC–1515, and controls, directly or services, including the development of public; (2) the total fixed charges that indirectly, ten regional motor passenger cross-border fares and greater result from the proposed transaction; carriers.4 promotional fares between Greyhound and (3) the interest of affected carrier Pursuant to a merger agreement with Canada and Greyhound. employees. Greyhound, Laidlaw will acquire Applicants state that Greyhound’s Greyhound’s outstanding common management will remain with On the basis of the application, we stock, and LTAC will be merged with Greyhound, to ensure continued find that the proposed merger is and into Greyhound, with Greyhound employee enthusiasm and Greyhound’s consistent with the public interest and being the surviving corporation. After reputation for service. Given the should be authorized. If any opposing completion of the merger, Greyhound seasonal nature of the scheduled comments are timely filed, this finding will be a subsidiary of Laidlaw. As a intercity motor passenger carrier will be deemed vacated, and unless a consequence, no operating authorities business, the proposed merger is also final decision can be made on the record for any of the carriers involved will be expected to permit greater annual as developed, a procedural schedule transferred as a result of this financial stability for Greyhound, due to will be adopted to reconsider the transaction. the strength and stability of Laidlaw’s application.6 If no opposing comments Applicants submit that approval of cash flow. In addition to this added are filed by the expiration of the the proposed transaction will be financial stability, the merger is comment period, this decision will take consistent with the public interest and expected to provide Greyhound the effect automatically and will be the final will have no adverse effects on the capital it needs to continue to revitalize Board action. adequacy of transportation to the public, and expand affordable intercity bus the interest of employees, or fixed services and, therefore, provide better Board decisions and notices are charges. On the contrary, applicants service to the public. Applicants assert available on our webside at assert that the proposed merger will that the merger will not adversely affect ‘‘WWW.STB.DOT.GOV.’’ significantly benefit the traveling Laidlaw’s fixed charges. This decision will not significantly public, employees, and shareholders, Applicants submit that the proposed affect either the quality of the human through the synergies, efficiencies, and transaction will greatly benefit current environment or the conservation of savings that will result from the and future carrier employees. They energy resources. combined resources, skill, and assert that the merged company will operations of the two complementary observe all current Greyhound It is ordered: companies. In this regard, it is collective-bargaining agreements, that 1. The proposed merger is approved anticipated that savings will be derived all Greyhound carrier employees will be and authorized, subject to the filing of from volume purchases of vehicles, fuel, able to continue in their present opposing comments. equipment, and services, and from positions, and that no layoffs are reduced overhead and operating costs planned in the short-term as part of the 2. If timely opposing comments are related to insurance, financing, merger. Rather, Laidlaw anticipates filed, the findings made in this decision headquarters, and securities and continued growth and expansion of will be deemed vacated. accounting reporting. The combined services, which may result in the need 3. This decision will be effective on companies will be better positioned to to hire new carrier employees. February 1, 1999, unless timely manage equipment utilization, to Applicants state that the aggregate opposing comments are filed. develop financial and strategic plans, gross operating revenues from interstate 4. A copy of this notice will be served and to improve the operations with the operations of the companies exceeded goal of enhancing service to the public $2 million during the 12-month period on: (1) the U.S. Department of Justice, while achieving growth for the prior to the date of the application. Antitrust Division, 10th Street & company. In this regard, Laidlaw’s Applicants certify that neither Laidlaw, Pennsylvania Avenue, N.W., financial strength is expected to assist in Greyhound, nor any of their affiliates, Washington, DC 20530; and (2) the U.S. reducing Greyhound’s debt and permit holds an unsatisfactory safety rating Department of Transportation, Office of investments for growth while improving from the U.S. Department of Motor Carriers-HIA 30, 400 Virginia customer service. Moreover, the Transportation.5 Applicants also certify Avenue, S.W., Suite 600, Washington, proposed merger of the two that they have sufficient insurance DC 20024. coverage and that neither Laidlaw nor Decided: December 9, 1998. 3 Laidlaw’s other motor transportation affiliates any of the carriers it controls is By the Board, Chairman Morgan and Vice are: Empex Ventures, Inc. (California); Laidlaw domiciled in Mexico nor owned or Transit Services, Inc. (Minnesota and the Chairman Owen. controlled by persons of that country. Washington Metropolitan Area Transit Vernon A. Williams, Commission); and The Dave Companies, Inc. Additional information may be obtained (California and Minnesota). from applicants’ representative. Secretary. 4 Greyhound’s motor passenger carrier affiliates Under 49 U.S.C. 14303(b), we must [FR Doc. 98–33460 Filed 12–16–98; 8:45 am] are: Continental Panhandle Lines, Inc. (MC–8742); approve and authorize a transaction we BILLING CODE 4915±00±P Valley Transit Co., Inc. (MC–74); Carolina Coach Co., Inc. (MC–13300); Texas, New Mexico & find consistent with the public interest, Oklahoma Coaches, Inc. (MC–61120); Vermont 6 Under revised 49 CFR part 1182, effective Transit Co. Inc. (MC–45626); Los Rapidos, Inc. 5 It appears that Laidlaw’s affiliates are unrated, October 1, 1998, as adopted in Revisions to (MC–293638); Americanos U.S.A., L.L.C. except for Greyhound Canada, Roesch, Safe Ride, Regulations Governing Finance Applications (Americanos) (MC–309813); Gonzales, Inc. d/b/a and Willett, all of which have satisfactory safety Involving Motor Passenger Carriers, STB Ex Parte Golden State Transportation (Gonzales) (MC– ratings. One of Greyhound’s affiliates, Gonzales, No. 559 (STB served Sept. 1, 1998), a procedural 173837); PRB Acquisition LLC (MC–66810); and however, has a conditional safety rating. schedule will not be issued if the Board is able to Autobuses Amigos, L.L.C. (Amigos) (MC–340462– Americanos and Amigos are unrated, and the dispose of opposition to the application on the basis C). remainder have satisfactory safety ratings. of the comments and applicants’ reply.