(CSXT and Norfolk Southern issued the following news release on August 30.)
WASHINGTON, D.C. — Consolidated Rail Corporation (Conrail), CSX Transportation, Inc. (CSXT) and Norfolk Southern Railway Company (NSR) announced today that they have closed both their previously announced offer to exchange new unsecured debt securities of CSXT and NSR and cash for existing unsecured debt securities of Conrail and their solicitation of consents relating to the restructuring of Conrail’s indebtedness. The new unsecured debt securities were issued, and cash was paid, to holders of Conrail’s unsecured debt securities that had tendered their debt securities, and provided their consent to the transactions relating to the restructuring of Conrail’s indebtedness, on or prior to the expiration date of the exchange offer. Cash was also paid to holders of Conrail’s equipment trust certificates and pass through trust certificates that provided their consents to, among other things, the restructuring of Conrail’s indebtedness on or prior to the expiration of the secured debt consent solicitation.
The exchange offer and the unsecured and secured debt consent solicitations were part of a series of transactions relating to the restructuring of Conrail’s indebtedness and assets as described in the parties’ joint petition filed with the Surface Transportation Board on June 4, 2003. The restructuring was completed on Friday, August 27, 2004. As a result of the completion of the restructuring, the business, assets, and operations of New York Central Lines LLC were consolidated into CSXT and the business, assets, and operations of Pennsylvania Lines LLC were consolidated into NSR.
CSX Corporation (CSX), based in Jacksonville, Fla., owns the largest rail network in the eastern United States. CSXT and its 34,000 employees provide rail transportation services over a 23,000 route-mile network in 23 states, the District of Columbia and two Canadian provinces. CSX also provides intermodal and global container terminal operations through other subsidiaries.
Norfolk Southern Corp. (NSC) through its NSR subsidiary operates 21,500 route miles in 22 states, the District of Columbia and Ontario, Canada, serving every major container port in the eastern United States and providing connections to western rail carriers. NSC operates an extensive intermodal network and is the nation’s largest rail carrier of automotive parts and finished vehicles.Conrail is a principal freight railroad in the Northeastern United States, and is indirectly owned 58% by NSC and 42% by CSX.