Judge approves MM&A auction terms
A federal bankruptcy judge has approved bidding procedures for the auction of Montreal, Maine & Atlantic Railways, for which bidding will start at $14.25 million.
The Associated Press reported the goal is to find a buyer who will continue operating the railroad’s lines in Maine and Canada. The railroad’s line through Lac-Megantic, Quebec, again saw train traffic on Wednesday for the first time since a tanker car accident killed 47 people earlier this year.
Robert Keach, the railroad’s bankruptcy trustee, said that the proceeds of the sale will repay creditors and victims of the crash, supplementing a $25 million insurance policy for wrongful death, personal injury, property damage, fire suppression and environmental damage. The starting bid price comes from stalking horse bidder Railroad Acquisitions Holdings LLC.
Bidding for the railroad is set to take place Jan. 21.
Most Recent
Most Recent
Comments