[Federal Register Volume 62, Number 234 (Friday, December 5, 1997)]
[Notices]
[Pages 64437-64438]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-31922]


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

DEPARTMENT OF TRANSPORTATION

Surface Transportation Board
[STB Finance Docket No. 33506]


Coach USA, Inc.--Control Exemption--Browder Tours, Inc. and El 
Expreso, Inc.

AGENCY: Surface Transportation Board, DOT.

ACTION: Notice of filing of Petition for Exemption.

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

SUMMARY: Coach USA, Inc. (Coach), a noncarrier in control of 28 motor 
passenger carriers at the time of filing its petition,<SUP>1</SUP> 
seeks an exemption under 49 U.S.C. 13541 from the prior approval 
requirements of 49 U.S.C. 14303(a)(5) to acquire control of Browder 
Tours, Inc. (Browder) and El Expreso, Inc. (El Expreso), through 
acquisition of all of the outstanding shares of stock of the two motor 
passenger carriers.<SUP>2</SUP>

    \1\ Coach currently controls the Nation's second largest group 
of motor passenger carriers. See Coach USA, Inc.--Control 
Exemption--America Charters, Ltd., STB Finance Docket No. 33393 (STB 
served Oct. 3, 1997), slip op. at 1. Since the filing of the instant 
petition on October 31, 1997, Coach has been authorized to acquire 
control of an additional three motor passenger carriers in Coach 
USA, Inc., and Leisure Time Tours--Control and Merger Exemption--Van 
Nortwick Bros., Inc., The Arrow Line, Inc., and Trentway-Wager, 
Inc., STB Finance Docket No. 33428 (STB served Nov. 13, 1997).
    In addition to the instant petition, Coach has two other pending 
petitions: Coach USA, Inc. and K-T Contract Services, Inc.--Control 
and Merger Exemption--Gray Line Tours of Southern Nevada, STB 
Finance Docket No. 33431 (STB served Aug. 22, 1997), in which it 
seeks an exemption to acquire control of one additional motor 
passenger carrier, and Coach USA, Inc.--Control Exemption--Air 
Travel, Inc.; Airlines Acquisition Co., Inc.; and Transportation 
Management Services, Inc., STB Finance Docket No. 33471 (STB served 
Nov. 14, 1997), in which it seeks to acquire control of three 
additional motor passenger carriers.
    \2\ The stock of Browder and El Expreso was placed in an 
independent voting trust to avoid any unlawful control pending 
disposition of this proceeding.
---------------------------------------------------------------------------

DATES: Comments must be filed by January 5, 1998. Petitioner may file a 
reply by January 14, 1998.

ADDRESSES: Send an original and 10 copies of comments referring to STB 
Finance Docket No. 33506 to: Surface Transportation Board, Office of 
the Secretary, Case Control Unit, 1925 K Street, N.W., Washington, DC 
20423-0001. Also, send one copy of comments to petitioner's 
representatives: Betty Jo Christian and David H. Coburn, Steptoe

[[Page 64438]]

& Johnson LLP, 1330 Connecticut Avenue, N.W., Washington, DC 20036.

FOR FURTHER INFORMATION CONTACT: Joseph H. Dettmar, (202) 565-1600 [TDD 
for the hearing impaired: (202) 565-1695.]

SUPPLEMENTARY INFORMATION: Coach, a noncarrier, seeks an exemption to 
acquire control of two motor carriers of passengers: (1) Browder Tours, 
Inc. (MC-236290), a Tennessee corporation that is authorized to operate 
as a common carrier of passengers in interstate commerce over irregular 
routes transporting passengers in charter and special services between 
points in the United States, other than Alaska and Hawaii; <SUP>3</SUP> 
and (2) El Expreso, Inc. (MC-244195), a Texas-based corporation that is 
authorized to operate as a common carrier of passengers in interstate 
commerce over regular routes transporting passengers between various 
points within Texas, including points on the U.S./Mexico border, as 
well as between points in several southeastern states.<SUP>4</SUP>
---------------------------------------------------------------------------

    \3\ Browder focuses on tour and charter operations in Tennessee 
and nearby states.
    \4\ El Expreso focuses on providing service to persons traveling 
between Mexico and the United States, as well as to persons 
traveling between Texas and other states.
---------------------------------------------------------------------------

    Coach reported, at the time it filed this petition for exemption, 
that it controlled 28 motor carriers of passengers. Coach claims that 
its acquisition of control of the two motor carriers through the 
acquisition of their stock will not inhibit competition or reduce 
transportation options available to the public. Coach asserts that the 
two carriers do not compete with any Coach-owned carrier.
    Petitioner also claims that the acquisition of control of the two 
carriers will allow each carrier to offer improved service at lower 
costs. This will be made possible by the coordination of functions, 
centralized management, financial support, rationalization of 
resources, and economies of scale that are anticipated from the common 
control. Coach also states that all collective bargaining agreements 
will be honored and that employee benefits will improve. Additional 
information may be obtained from petitioner's representatives.
    A copy of this notice will be served on the Department of Justice, 
Antitrust Division, 10th Street and Pennsylvania Avenue, N.W., 
Washington, DC 20530.

    Decided: November 25, 1997.

    By the Board, Chairman Morgan and Vice Chairman Owen.
Vernon A. Williams,
Secretary.
[FR Doc. 97-31922 Filed 12-4-97; 8:45 am]
BILLING CODE 4915-00-P