Printer Friendly

SANTA FE SIGNS TERM SHEET FOR SALE OF SOUTHERN CALIFORNIA COMMUTER LINES

SANTA FE SIGNS TERM SHEET FOR SALE OF SOUTHERN CALIFORNIA COMMUTER LINES
 SCHAUMBURG, Ill., June 18 /PRNewswire/ -- Santa Fe Corp. announced today that its subsidiary, the Santa Fe Railway, and eight southern California transportation agencies have executed a non-binding term sheet for the sale of the agencies of 340 miles of rail right-of-way and easement, and additional property for $500 million. The term sheet anticipates three closings for the conveyance of the properties over the next 12 months.
 Santa Fe will retain all rights necessary for its extensive freight operations in southern California. To facilitate the operation of commuter and freight traffic, the transportation agencies also will pay for more than $80 million of capital improvements associated with initial capacity additions in San Bernardino, Olive and San Diego subdivisions. As commuter service increases in Southern California, significant additional capital improvements on Santa Fe's San Bernardino line will be funded by the county agencies. Also, the railroad will be relieved of significant obligations to reimburse certain state and county agencies for capital expenditures previously paid for by the agencies.
 "Santa Fe's properties comprise about two-thirds of the envisioned southern California commuter rail system. We are pleased to play a part in making this service a reality," said Robert D. Krebs, chairman, president and chief executive officer. "We look forward to working closely with local authorities to develop the long-awaited commuter rail system."
 The term sheet is the result of negotiations that began when rail authorities invited Santa Fe to consider sale of more than 300 miles of right-of-way and several thousand acres of property located in five different counties.
 The term sheet specifies the principal terms which are to be embodied in a definitive agreement. The sale is ultimately subject to a number of conditions including approval by appropriate public agencies, Santa Fe's board of directors, state funding and any necessary regulatory consents and approvals.
 -0- 6/18/92
 /CONTACT: Cathy Westphal, assistant vice president/public relations, 708-995-6273; or Mike Martin, manager/public affairs, 714-386-4484, both of Santa Fe Corp./ CO: Santa Fe Corp. ST: Illinois IN: TRN SU: JVN


AH -- NY094 -- 1739 06/18/92 19:50 EDT
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Jun 18, 1992
Words:358
Previous Article:DEXTER REPORTS SECOND QUARTER EARNINGS INCREASE ON RECORD SALES
Next Article:PULITZER PUBLISHING REPORTS SHARP GAIN IN SECOND-QUARTER EARNINGS
Topics:


Related Articles
SAN DIEGO MTDB PURCHASES SANTA FE PROPERTY
LACTC AGREES TO PURCHASE OF SOUTHERN PACIFIC RIGHTS-OF-WAY
SANTA FE AND SOUTHERN CALIFORNIA TRANSPORTATION AGENCIES REACH DEFINITIVE AGREEMENTS FOR SALE OF COMMUTER RAIL LINES
SANTA FE COMPLETES CALIFORNIA LINE SALE TO TRANSIT AGENCIES
CALIFORNIA LINE SALE CLOSING
SANTA FE FOURTH QUARTER EARNINGS PER SHARE RISE 50%
SANTA FE FOURTH QUARTER EARNINGS PER SHARE RISE 50%
GM, SANTA FE RAILWAY DEDICATE NEW VEHICLE DISTRIBUTION CENTER
UNION PACIFIC FILES ICC APPLICATION

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters