[Federal Register Volume 71, Number 18 (Friday, January 27, 2006)]
[Notices]
[Page 4635]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 06-733]



[[Page 4635]]

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DEPARTMENT OF TRANSPORTATION

Surface Transportation Board

[STB Finance Docket No. 34806]


Susquehanna Valley Railroad Corporation--Acquisition of Control 
Exemption--Juniata Valley Railroad Company, Lycoming Valley Railroad 
Company, Nittany & Bald Eagle Railroad Company, North Shore Railroad 
Company, Wellsboro & Corning Railroad Company, Union County Industrial 
Railroad Company, and Shamokin Valley Railroad Company

    Susquehanna Valley Railroad Corporation (SVRC), a new noncarrier 
holding company, has filed a verified notice of exemption to acquire 
control of seven Class III railroads: Juniata Valley Railroad Company, 
Lycoming Valley Railroad Company, Nittany & Bald Eagle Railroad 
Company, North Shore Railroad Company, Wellsboro & Corning Railroad 
Company, Union County Industrial Railroad Company, and Shamokin Valley 
Railroad Company. Mr. Richard D. Robey, a noncarrier individual, is the 
sole shareholder and current owner of each of these Class III 
railroads. In a related transaction, STB Finance Docket No. 34807, Mr. 
Robey has obtained an exemption to continue in control of SVRC and 
Stourbridge Railroad Company, a Class III railroad.
    The transaction was scheduled to be consummated on or after January 
6, 2006, the effective date of the exemption (7 days after the 
exemption was filed).\1\
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    \1\ The notice erroneously indicated a consummation date of 
January 1, 2006. That date has been corrected here.
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    SVRC states that this is a corporate family transaction that will 
not result in adverse changes in service levels, significant 
operational changes, or a change in the competitive balance with 
carriers outside the corporate family. Therefore, the transaction is 
exempt from the prior approval requirements of 49 U.S.C. 11323. See 49 
CFR 1180.2(d)(3).
    As a result of this transaction, SVRC will own and control the 
seven Class III railroads owned by Mr. Robey and Mr. Robey will be the 
sole shareholder and owner of SVRC. The purpose of the transaction is 
to create a noncarrier holding company that can provide consolidated 
administration and management of the seven shortline railroad companies 
to be acquired by SVRC from Mr. Robey.
    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 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. 34806, must be filed with the Surface Transportation 
Board, 1925 K Street, NW., Washington, DC 20423-0001. In addition, a 
copy of each pleading must be served on: Richard R. Wilson, Esq., 127 
Lexington Ave, Ste. 100, Altoona, PA 16601.
    Board decisions and notices are available on our Web site at http://www.stb.dot.gov.

    Decided: January 20, 2006.
    By the Board, David M. Konschnik, Director, Office of 
Proceedings.
Vernon A. Williams,
Secretary.
[FR Doc. 06-733 Filed 1-26-06; 8:45 am]
BILLING CODE 4915-01-P