The purchase and name change, made official Thursday, May 15, 2014, gives the short line new direction following the derailment and explosion July 6, 2013, in Lac-Megantic, Quebec, resulting in 47 deaths.
Chapter 11 trustee Robert Keach said the parties closed on the US$15.85 million sale of bankrupt MM&A, formerly owned by Chicago-based Rail World, Inc. A separate, parallel Canadian proceeding has yet to be completed. Proceeds from the sale will help pay off creditors.
Conflicting media reports make the railroad's return to Lac-Mégantic unclear. Some outlets said the Central Maine and Quebec had "no plans to resume oil train shipments through the Quebec city; other reports held that new management would slowly and tactfully seek dialogue with Lac-Mégantic officials on eventually resuming such service. Limited service through Lac-Mégantic resumed Dec. 18, 2013.