[Federal Register Volume 62, Number 244 (Friday, December 19, 1997)]
[Notices]
[Page 66715]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 97-33281]



[[Page 66715]]

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

DEPARTMENT OF TRANSPORTATION

Surface Transportation Board
[STB Docket No. MC-F-20914]


Greyhound Lines, Inc.--Control--Gonzalez, Inc., d/b/a Golden 
State Transportation Company

AGENCY: Surface Transportation Board, DOT.

ACTION: Notice tentatively approving finance transaction.

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

SUMMARY: Greyhound Lines, Inc. (Greyhound or applicant) has filed an 
application under 49 U.S.C. 14303 to acquire control of Gonzalez, Inc., 
d/b/a Golden State Transportation Company (Golden State).<SUP>1</SUP> 
Persons wishing to oppose the application must follow the rules under 
49 CFR part 1182, subpart B. The Surface Transportation Board (Board) 
has tentatively approved the transaction, and, if no opposing comments 
are timely filed, this notice will be the final Board action.
---------------------------------------------------------------------------

    \1\ Greyhound will acquire 51% of the stock of Golden State and 
will exercise control of Golden State through its wholly owned 
subsidiary, Sistema Internacional de Transporte de Autobuses, Inc. 
Mr. Gonzalez and members of his family will retain the remaining 49% 
stock interest through a trust, the Francisco & Josefa Gonzalez 
Family Limited Partnership.

DATES: Comments are due by February 2, 1998. Applicants may reply by 
February 17, 1998. If no comments are received by February 2, 1998, 
---------------------------------------------------------------------------
this notice is effective on that date.

ADDRESSES: Send an original and 10 copies of any comments referring to 
STB No. MC-F-20914 to: Surface Transportation Board, Office of the 
Secretary, Case Control Unit, 1925 K Street, N.W., Washington, DC 
20423-0001. In addition, send one copy of comments to applicant's 
representative: Fritz R. Kahn, Suite 750 West, 1100 New York Avenue, 
N.W., Washington, DC 20005-3934.

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

SUPPLEMENTARY INFORMATION: Greyhound is a nationwide motor common 
carrier of passengers over regular routes that currently controls seven 
regional interstate motor carriers of passengers: Valley Transit 
Company, Inc.; Carolina Coach Company, Inc.; Texas, New Mexico & 
Oklahoma Coaches, Inc.; Continental Panhandle Lines, Inc.; Vermont 
Transit, Inc.; Los Rapidos, Inc.; and Grupo Centro, Inc. (Grupo). 
Golden State operates as a motor carrier of passengers in regular-route 
service primarily in California, Arizona, New Mexico, and Colorado.
    Greyhound states that, as a result of this control transaction, 
Golden State will remain a separate corporation, controlled indirectly 
through Sistema Internacional de Transporte de Autobuses, Inc., 
Greyhound's wholly owned noncarrier holding company. Golden State will 
initiate trans-border service to passengers traveling between points in 
the United States and points in Mexico through Greyhound's interest in 
Autobuses Crucero S.A. de C.F., a large Mexican bus line, and 
Greyhound's subsidiary, Los Rapidos. By acquiring control of Golden 
State, Greyhound will be allied with a motor carrier of passengers with 
an established reputation for accommodating the travel requirements of 
Hispanic/Latino passengers traveling between points of entry along the 
United States/Mexican border and points in the United States.
    Applicant asserts that the aggregate gross operating revenues of 
Greyhound and its affiliates exceeded $2 million during the 12 months 
preceding the filing of this application. Applicant also states that 
the proposed transaction will have no adverse competitive effects, and 
that the operations of the carriers involved will remain unchanged; 
that the total fixed charges associated with the proposed transaction 
are well within Greyhound's financial means; and that there will be no 
change in the status of any employees. Applicant certifies that: (1) 
Greyhound and its affiliates (except Grupo, which is not yet rated) 
hold ``satisfactory'' safety ratings from the U.S. Department of 
Transportation; (2) Golden State has a ``conditional'' rating and will 
procure and maintain sufficient liability insurance to meet the 
established fitness requirements; (3) neither Greyhound nor Golden 
State is domiciled in Mexico, and neither is owned or controlled by a 
citizen of that country; and (4) approval of the transaction will not 
significantly affect either the quality of the human environment or the 
conservation of energy resources. Additional information may be 
obtained from applicant's representative.
    Under 49 U.S.C. 14303(b), we must approve and authorize a 
transaction we find 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.
    On the basis of the application, we find that the proposed 
acquisition of control is consistent with the public interest and 
should be authorized. If any opposing comments are timely filed, this 
finding will be deemed vacated and a procedural schedule will be 
adopted to reconsider the application. If no opposing comments are 
filed by the expiration of the comment period, this decision will take 
effect automatically and will be the final Board action.
    This action will not significantly affect either the quality of the 
human environment or the conservation of energy resources.
    It is ordered:
    1. The proposed acquisition of control is approved and authorized, 
subject to the filing of opposing comments.
    2. If timely opposing comments are filed, the findings made in this 
decision will be deemed vacated.
    3. This decision will be effective on February 2, 1998, unless 
timely opposing comments are filed.
    4. A copy of this notice will be served on the U.S. Department of 
Justice, Antitrust Division, 10th Street & Pennsylvania Avenue, N.W., 
Washington, DC 20530.

    Decided: December 12, 1997.

    By the Board, Chairman Morgan and Vice Chairman Owen.
Vernon A. Williams,
Secretary.
[FR Doc. 97-33281 Filed 12-18-97; 8:45 am]
BILLING CODE 4915-00-P