Eastern Railroad Discussion > Watco Acquisition of Great Lakes Central OKed

The U.S. Surface Transportation Board has approved the acquisition by short line holding company Watco of Michigan-based regional railroad Great Lakes Central.Watco took an equity ownership share in the 420-mile GLC in 2013 and last March said it would acquire it.

 In May the STB said it needed more information to determine whether the deal qualifies for an exemption and began a review proceeding.The STB said the acquisition will become effective Sept. 28. Regulators did attach one condition to the merger.

 “Watco must adhere to its representation that it will keep all currently active GLC and AA (Ann Arbor Railroad) gateways open on commercially competitive terms commensurate with future traffic volumes and shipper demand and subject to the cooperation of third-party interline partners in facilitating traffic movements via such existing gateways,” the board said.Watco owns the Ann Arbor Railroad. From the akronrrblog