All five Surface Transportation Board members on April 14 signed off on CSX’s proposal to acquire Pan Am Systems, Inc., and its short line railroad subsidiaries, effective May 14.
Pan Am Southern
As a series of Surface Transportation Board comment periods continues for the CSX’s proposed acquisition of Pan Am Railways, letters both for and against the combination have been filed with the STB.
In Aug. 26 comments filed with the Surface Transportation Board, the United States Department of Justice took issue with many aspects of the proposed CSX-Pan Am Railways merger, citing President Biden’s July 9 Executive Order, “Promoting Competition in the American Economy.”
On May 26, The Surface Transportation Board rejected as “incomplete” the merger application filed by CSX Transportation, Inc. to acquire control of Pan Am Systems, Inc. and its short line railroad subsidiaries. CSX on July 1 submitted an “amended and supplemented application” to the STB, stating that the refreshed application “provides all of the additional details of the proposed transaction requested by the STB.”
The Vermont Rail System (VRS) has opposed CSX’s acquisition of the Pan Am System in a filing with the Surface Transportation Board.
CSX is submitting an application to the Surface Transportation Board (STB) to acquire the Pan Am System, including Pan Am Railways (PAR) and its 50% stake in Pan Am Southern (PAS), the Class I railroad reported Feb. 26.
Shades of the battle between CSX and Norfolk Southern that occurred some 25 years ago over Conrail, but on a smaller scale: CSX is in negotiations to acquire Pan Am Railways, the 1,700-mile Class II previously known as the Guilford Rail System, itself the amalgamation of the Boston & Maine, Maine Central, Portland Terminal Company and Springfield Terminal Railway. NS, in a Nov. 6 filing with the Surface Transportation Board, is opposing the transaction.
Pan Am Southern LLC (PAS, the joint venture of Pan Am Railways and Norfolk Southern) and Pan Am Railways (PAR) itself on Dec. 20 served default and dispute notices concerning “important operational safety agreements” with the Massachusetts Bay Transportation Authority (MBTA) involving Positive Train Control (PTC).