Re: (erielack) Failed Chessie takeover (was: Terminals in the Port of NY)

["Paul Brezicki" <doctorpb_@_bellsouth.net>]

Yes, you're correct. EL was in bankruptcy, and the combination would have 
been purely a transfer of assets rather than a merger. Any proceeds received 
from Chessie would have been used to pay off EL creditors. The net result: 
the disappearance of EL as a corporate entity, as what happened with 
Conrail.

Paul B

It is my understanding that if the plan for the Chessie System to acquire 
the EL lines east of Sterling OH worked out back in 1976, it would have been 
a takeover by the B&O.  Correct?  The assets, including some locomotives and 
rolling stock, would have been transferred in the deal to the B&O.  Right? 
In other words, you would not have seen locomotives being repainted for 
"Chessie System - EL", the locomotives would have been repainted in Chessie 
colors and sublettered for the B&O.  Just curious.

- - -pat moore


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