CSX Corp. (NASDAQ: CSX) announced today that support for its
pending merger with Pan Am Railways Inc. (Pan Am) continues to grow
as several additional letters of support were recently filed with
the Surface Transportation Board (STB), bringing the total to more
than 100 pro-merger comments.
U.S. Senator Angus King (I-ME) recently offered his support for
the merger, recognizing CSX’s “agreements to continue the support
of passenger rail service” in addition to looking forward to
investment benefits this acquisition may bring to Maine.
Senator King’s support follows that of his colleague - Maine
Senator Susan Collins - who previously weighed in, hailing the
benefits to passenger rail service in her state, and saying the
merger “has the potential to bring significant benefits to Maine.
Many Maine businesses rely on rail traffic to deliver raw materials
and transport products.”
Also in the latest batch of supportive letters
is the Connecticut Department of Transportation (CTDOT) which cited
how CSX’s planned investments to the Pan Am infrastructure will
benefit the state, freight shippers, and passenger rail.
CSX “has shown a commitment to safety and has
indicated to CTDOT that it will invest in and modernize the Pan Am
infrastructure, which will make the New England Rail network more
efficient and safer for freight and passenger operations. Safety is
a top priority for CTDOT, and we look forward to these
improvements,” wrote Richard Andreski, CTDOT public transportation
chief.
Connecticut’s letter for support follows that of
the Northern New England Passenger Rail Association (NNEPRA) which,
after coming to a resolution on a few issues related to station
locations and maintenance concerns, also submitted a letter of
support.
NNEPRA Executive Director Patricia Quinn wrote,
“This transaction, and the physical and operational improvements
CSX has indicated it will make, has the potential not only to
sustain and enhance the safe operation of passenger and freight
rail service in Maine and New Hampshire, but also to preserve and
protect the substantial financial investments which have enabled
NNEPRA and its partners to achieve success to date and set the
stage for even greater economic opportunities and public benefits
in the future.”
NNEPRA’s support for the transaction is
significant given NNEPRA’s role as the primary state sponsor of
Amtrak’s Downeaster passenger rail service between Brunswick, Maine
and Boston, Massachusetts. A copy of the letter – and all letters
of support for the merger - can be viewed here.
New Hampshire Department of Transportation
Commissioner Victoria F. Sheehan also submitted a supportive
letter, lauding the merger, and saying in part, “This transaction
would be beneficial to New Hampshire because it would provide a
continuous, single-line rail service and provide additional
resources to improve and market the line with the potential to
bring additional freight service to New England markets. The
ability to create more opportunity for freight service in New
Hampshire would take additional trucks off the road which would be
beneficial for both the economy and the environment.”
Touting the environmental benefits of the proposed transaction,
New Hampshire State Representative John A. Graham said in his
letter of support, “Increased use of freight rail means less trucks
are on the roads, which is beneficial for the state's highway
budget and good for the environment. Additionally, this merger will
give greater credence to our efforts to further inter-modal
transportation here in New Hampshire and help reduce carbon
emissions throughout the region.”
The transaction will provide significant
benefits to shippers, passenger rail users, and local communities
as CSX integrates Pan Am into its best-in-class network. In
particular, as CSX connects more of New England with its existing
23-state network, which serves two thirds of the nation’s
population, CSX’s expected investment in infrastructure upgrades
will improve freight and passenger rail service and further enhance
the environmental sustainability of rail transportation in New
England by shifting truck traffic off the highway.
On Friday, July 30, the STB formerly accepted
CSX’s revised application for consideration, which was filed
earlier last month as part of an agreement to acquire Pan Am
Railways.
Copies of the aforementioned support letters,
and additional information on the merger can be found by visiting
NEFreightRail.com.
About CSX
CSX, based in Jacksonville, Florida, is a
premier transportation company. It provides rail, intermodal and
rail-to-truck transload services and solutions to customers across
a broad array of markets, including energy, industrial,
construction, agricultural and consumer products. For nearly 200
years, CSX has played a critical role in the nation’s economic
expansion and industrial development. Its network connects every
major metropolitan area in the eastern United States, where nearly
two-thirds of the nation’s population resides. It also links more
than 230 short-line railroads and more than 70 ocean, river and
lake ports with major population centers and farming towns alike.
More information about CSX Corp. and its subsidiaries is available
at www.csx.com. Like us on Facebook
(http://facebook.com/OfficialCSX) and follow us on Twitter
(http://twitter.com/CSX).
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Contact:Bill Slater, Investor
Relations904-359-1334
Bryan Tucker, Corporate Communications855-955-6397
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