EMPLOYER STATUS DETERMINATION

Anschutz Marketing & Transportation Company

This is a determination of the Railroad Retirement Board

concerning the status of Anschutz Marketing & Transportation

Company (AMT) as an employer under the Railroad Retirement Act (45

U.S.C. §231 et seq.) (RRA) and the Railroad Unemployment Insurance

Act (45 U.S.C. §351 et sea.) (RUIA).

AMT is a wholly-owned subsidiary of The Anschutz Corporation (TAC)

which owns approximately 31% of Southern Pacific Rail Corporation

(SPRC) which is the parent company of several railroads, Southern

Pacific Transportation Company (SPTC), St. Louis, Southwestern

Railway (SSW) and the Denver and Rio Grande Western Railroad

(D&RGW). All of these railroads are carriers under the Acts.

Information regarding AMT was provided by Mr. Robert T. Blanchard,

Vice-President of AMT, in letters dated June 12 and October 20,

1995. AMT was incorporated August 11, 1987, and began its

operations on that date. AMT employs 21 employees. According to

the letter AMT is a privately held corporation which provides fuel

purchasing, fuel service and fuel trading for the SPTC and other,

non-railroad, entities. Approximately 10 AMT employees work full

time on SPTC related activities; approximately 2% of AMT's gross

revenues and two-thirds of its net revenues are derived from work

for its affiliated companies. The work for SPTC is not done on the

property of the SPTC, nor was any office space leased by AMT from

SPTC. AMT provides its own supplies and equipment for the services

it performs for SPTC. There is no sharing of supplies or equipment

between SPTC or AMT.

Section 1 of the Railroad Retirement Act defines the term employer

to include the following:

(i) any express company, sleeping car company, and

carrier by railroad, subject to subchapter I of chapter

105 of Title 49;

(ii) any company which is directly or indirectly owned or

controlled by, or under common control with, one or more

employers as defined in paragraph (i) of this

subdivision, and which operates any equipment or facility

or performs any services (except trucking service, casual

service, and the casual operations of equipment or

facilities) in connection with the transportation of

passengers or property by railroad.... [45 U.S.C.

§231 (a) (1) (i) and (ii)]

The Railroad Unemployment Insurance Act contains the same

definition.

BCD 1996-9
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Anschutz Marketing & Transportation CompanySection 202.5 of the Board's regulations, defines when a company or

person is under common control:

A company or person is under common control with a

carrier whenever the control of such company or person is

in the same person, persons, or company as that by which

such carrier is controlled, [20 CFR 202.5] .

In order to exercise control within the meaning of the above-cited

regulation a company must have the right or power to direct the

policies and business of another company. See section 202.4 of the

Board's regulations (20 CFR 202.4). As stated above AMT's parent,

TAG, only owns 31% of the affiliated railroad parent, SPRC. AMT

has one director in common with SPTC and SPRC. There are no other

significant indicia of potential or actual control by TAG over

SPRC. Therefore, it is the conclusion of the Board that AMT is not

under common control with a railroad carrier within the meaning of

the Board's regulations.

Glen L. Bower

V. M. Speakman, Jr: