(The Associated Press circulated the following on May 24.)
CINCINNATI, Ohio — American Financial Group says in a lawsuit that Amtrak stopped trying to buy back shares of its stock and has made itself worthless.
Cincinnati-based American Financial Group has sued Amtrak in U.S. District Court because officials shut down stock negotiations in January. Congress told Amtrak to buy back all its common stock by 2002 but hasn’t yet finished the deal.
The last known offer came in 2000, for 3 cents a share.
American Financial Group owns about 5.2 million shares of the troubled railroad. The suit says the company has made bad decisions and its stock is now worthless. American Financial Group says it wants $52 million and interest.
An Amtrak spokesman said Friday the company hadn’t reviewed the lawsuit.
The rail line is heavily subsidized by Congress and loses about a $1 billion a year.